State Incentive

Industrial Revenue Bonds


The State of Texas Industrial Revenue Bond Program (IRB) is designed to provide tax-exempt or taxable financing for eligible industrial or manufacturing projects. These projects typically involve significant private activity.

KEDC, sponsored by a government unit, may issue bonds to finance projects involving significant private activity that promote new and existing business, encourage employment and expand the local tax base. Proceeds are passed on to private businesses, which are responsible for debt service payment.

For tax exempt bonds to finance land and depreciable property for manufacturing facilities:

  • Maximum issue amount: $10,000,000

  • Maximum Project Capital Expenditure: $20,000,000

  • Subject to volume cap

For taxable industrial revenue bonds:

  • Maximum issue amount: no limit

  • Maximum project capital investment: no limit

  • Not subject to volume cap