Central Texas Interfaith Ramps Up Pressure on Austin ISD Board as Chapter 313 Deadline Looms
As the December 31st expiration date for final certification of Chapter 313 tax break applications approaches, Central Texas Interfaith calls on the state comptroller's office to not rush into certifying the nearly 200 potential project applications still in the pipeline, including Samsung and NXP. The looming deadline does not give nearly enough time for school boards and community members to properly evaluate any more deals. It is time to turn the page.
[Excerpts from Austin Business Journal and Austin America Statesman]
"A vote has been delayed on whether to grant NXP Semiconductors NV property tax abatements that could aid its expansion of manufacturing facilities in Austin, edging the request very close to an end-of-year deadline...
The looming loss of the program has been lamented by many members of the business community, but because it limits public school property taxes, Chapter 313 has been opposed by some community organizations, including [Central Texas Interfaith, formerly known as] Austin Interfaith. 'While we want economic development and good jobs in Central Texas, Chapter 313 prohibits school boards from requiring high living wage and worker safety standards as part of these agreements, unlike city and county incentives in which good job standards can be negotiated,' Central Texas Interfaith and other progressive groups said in a Nov. 17 statement calling for AISD trustees to vote against the deal."
***
"With the expiration of Chapter 313 fast approaching, representatives of Central Texas Interfaith, an organization that has opposed the program because of its impact on statewide school funding, said the comptroller's office shouldn't be rushed into certifying the applications in the remaining backlog, 'given the billions of taxpayer dollars that are at stake.'
In addition, 'any application certified at this point (almost at Thanksgiving) does not give local taxpayers and school boards nearly enough time to properly deliberate and make decisions on these decades long obligations,' said the Rev. Miles Brandon, clergy leader with Central Texas Interfaith. 'It's time to turn the page on this failed program.'
Central Texas Interfaith and other critics of Chapter 313 have said the program has slipshod oversight and guidelines, calling it a mechanism for taxpayer-funded giveaways to corporations at the expense of statewide funding for education."
[Photo Credit: Arnold Wells, Austin Business Journal]
Decision on NXP's Chapter 313 incentives in Austin Coming Down to the Wire, Austin Business Journal [pdf]
As End of Texas Tax Break Looms, Fate Unclear for Billions in Potential Projects, Austin American Statesman [pdf]
Faith, Labor & Policy Orgs Call on AISD to End Consideration of NXP's Application
[Excerpt]
We, the undersigned, call on all AISD Trustees and Trustees-Elect to end consideration of NXP’s $100Million Chapter 313 property tax break application to the Board. While we want economic development and good jobs in Central Texas, Chapter 313 prohibits school boards from requiring high living wage and worker safety standards as part of these agreements, unlike city and county incentives in which good job standards can be negotiated. Chapter 313 is a failed corporate giveaway program that was killed in the last legislative session by Central Texas Interfaith/Texas IAF, the Texas AFL-CIO, and other union and advocacy groups. Central Texas Interfaith calls on all AISD trustees to vote against NXP’s Chapter 313 application to the Board.
Chapter 313 is Texas’ largest corporate welfare program which costs taxpayers over $1 Billion annually, money which could be going to public schools and other public needs. Not only do corporations get out of paying most of their property taxes (for 10 years) they would otherwise owe for our schools, but the state must replace that revenue with taxes collected from all Texans. The current legislation ends in December of 2022, which has led to a “gold rush” of over 450 applications, which could cost taxpayers as much as $10 Billion/year. Not only do state taxpayers foot the bill for this with state taxes; over time, local taxpayers and businesses will also be paying more. With the support of Central Texas Interfaith and its sister organization Valley Interfaith, school boards in Elgin ISD and Port Isabel ISD school have rejected Chapter 313 applications, as well as several other districts. We urge AISD to do the same....
Full Statement from Faith, Labor and Policy Organizations
As Deadline Approaches, CTI Leaders Persist in Push Against NXP Tax Break
[Excerpts]
“While we want economic development and good jobs in Central Texas, these agreements prohibit school boards from enacting high living wage and worker safety standards as part of these agreements, unlike city and county incentives, in which good job standards can be negotiated,” said Carlota Garcia of the Central Texas Interfaith organization.
Garcia said these agreements are “Texas’ largest corporate welfare program, which costs taxpayers over $1 billion annually—money that could be going to public schools and other public needs. The state must replace the revenue that the corporations get out of paying in property taxes for 10 years by collecting more taxes from all Texans.”
-Community Impact
“We’re not anti-economic development,” said the Rev. Miles Brandon of St. Julian of Norwich Episcopal Church and member of Central Texas Interfaith. “We believe that all of the dollars we can possibly put together in this state should go to educate our children.”
-Austin Business Journal
“We are a part of the AISD community,” Brandon said. “We implore you to choose your advocates and partners over corporations. It makes certain there will be $100 million less to fight for. It is in our children’s best interest now and in the future.”
-Austin American Statesman
[Photo Credit: Community Impact]
Possible Chapter 313 Agreement Between Austin ISD, NXP Draws Criticism, Community Impact [pdf]
Austin ISD to Vote on NXP Semiconductor's $100M Tax Break, Austin Business Journal [pdf]
Time Ticking for Austin School Board to Vote on Proposed Tax Breaks for NXP Semiconductors, Austin American Statesman [pdf]