Economic Development

The City of Round Rock is committed to transparency.  The goal of the City of Round Rock is to be an open government in all areas.  The City is increasing its efforts in transparency as it relates to economic development programs and incentives supported by our tax dollars that are designed to attract industry and investment, create jobs and otherwise grow the economy.

For more information on the Texas Comptroller’s efforts to encourage transparency among local governments, please visit their website at https://comptroller.texas.gov/transparency/.

The City of Round Rock enters into economic development agreements to promote development and redevelopment within the City, generate additional sales tax revenues, enhance our property tax base and improve the quality of life for our citizens.  These programs abate or rebate property taxes and sales tax, include economic incentive payments, and/or reductions in fees that are not tied to taxes.  The City’s economic development agreements are authorized under Chapter 380 of the Texas Local Government Code.

The City negotiates property tax abatement agreements and property tax, sales tax, and HOT tax rebates on an individual basis.  Tax abatements are limited to ten (10) years in length.  The City has an abatement recapture clause in all tax abatement agreements in the event that the recipient does not fulfill the requirements of the agreement.  The tax rebate program is for a period of greater than 10 years, and taxes paid to the City are reimbursed back to the owner.


 Tax Abatement & Rebate Summary

 

  New Existing 
 Number of Tax Abatements & Rebates in Fiscal Year 2018 3 11 
      
  Total Per Capita* 

Taxes Abated or Refunded in Year 1 of Active Agreements

     
2015 La Frontera Owner, LLC$75,928$0.68 
Dell Computer Corporation 135,682 1.21 
EastGroup Properties, LP ¹   
Houghton Mifflin Harcourt (HMH) Publishing Company 10,157 0.09 
Insys Therapeutics, Inc. 34,032 0.30 
KR Acquisitions, LLC ¹   
Medistar Round Rock Rehab, LLC ¹   
Odyssey Technical Solutions, LLC 1,689 0.02 
Proportion Foods, LLC  2,689 0.02 
Round Rock Property Investors LP (formerly DAC) 9,040 0.08 
RRTX Lake Creek Hotel, LP¹   
Stonemill Hospitality, LLC¹   
TOTKN, LLC¹   
United Parcel Service, Inc.¹   
      
Notes: 1 – Year 1 of agreement occurs in a future fiscal year.
     

 

     
 
     

Estimated Taxes Abated or Refunded for Life of Agreements

     
2015 La Frontera Owner, LLC$501,877$4.47 
Dell Computer Corporation 80,981,326 721.75 
EastGroup Properties, LP 92,965 0.83 
Houghton Mifflin Harcourt (HMH) Publishing Company 25,204 0.22 
Insys Therapeutics, Inc. 144,878 1.29 
KR Acquisitions, LLC TBD  
Medistar Round Rock Rehab, LLC 237,575 2.12 
Odyssey Technical Solutions, LLC 32,694 0.29 
Proportion Foods, LLC 175,243 1.56 
Round Rock Property Investors LP (formerly DAC) 52,154 0.46 
RRTX Lake Creek Hotel, LP 440,000 3.92 
Stonemill Hospitality, LLC 4,000,000 35.65 
TOTKN, LLC TBD  
United Parcel Service, Inc. 1,834,180 16.35 
      

 

Number of Jobs Created/Retained by Agreements

Total Capital Investment Received for all Active Agreements

*Based on population as of September 2018

 

 

 

$

 

 

14,939

530,250,000

112,201

   



City of Round Rock’s Current Economic Development Agreements:

Searchable Database of Agreements
Economic Development Summary Report 

Abatements

Chapter 380 Agreements

Texas Comptroller’s Local Economic Development Programs Information

Texas Comptroller’s Economic Development Search Tool

Chapter 380 of Texas Local Government Code

GASB Statement 77 – Tax Abatements

City Council Contact Information