Local Incentive

Chapter 380/381 Economic Development Agreements

Summary

Chapter 380/381 (Section 380.001) of the Local Government Code, authorizes municipalities and counties to offer a range of incentives designed to promote state or local economic development.

Chapter 380 (Section 380.001) of the Local Government Code, authorizes municipalities to offer a range of incentives designed to promote state or local economic development. Specifically, it allows for the provision of loans and grants of city funds, as well as the use of city staff, city facilities or city services, at minimal or no charge.

Chapter 381 of the Local Government Code allows counties to provide incentives encouraging developers to build in their jurisdictions. A county may administer and develop a program to make loans and grants of public money to promote state or local economic development and to stimulate, encourage and develop business location and commercial activity in the county.