CTI Opposes NXP Chapter 313 Application to AISD

For Immediate Release

Contact: Father Miles Brandon – 512-484-0590

May 18, 2022

Central Texas Interfaith Statement Opposing NXP Chapter 313 Application to AISD

It is shameful to take money from schoolchildren to line the pockets of multinational corporations. Central Texas Interfaith unequivocally opposes NXP’s request for 10-year tax abatement from AISD under the failed Chapter 313 program. During the 2021 Texas legislative session, Central Texas Interfaith and its Texas IAF sister organizations, with bi-partisan legislative support, stopped the reauthorization of Chapter 313, the state’s largest corporate welfare program which drains over $1Billion/year in potential money for public schools and lines the pockets of oil, gas, and manufacturing companies.

Hardworking taxpayers don’t get this type of giveaway, nor do small businesses or responsible corporations. We want our tax money to go to public schools, but not to pay the bill for corporations shirking their responsibility to public education. Without a Chapter 313 tax giveaway, NXP would have to pay its full share of school taxes, which would directly benefit Texas schoolchildren.

NXP’s Chapter 313 application was posted less than 24 hours before AISD Trustees are set to vote on it today. As a citizens’ organization, we are at a loss as to how we even have a public debate about accepting an application whose terms were made public just hours before a board meeting. We want good jobs, we want companies to expand in Austin, but we want NXP to pay their fair share of taxes to Texas schoolchildren like the rest of us.

See our Myths versus Realitiesdocument on NXP’s request for a Chapter 313 giveaway.

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Central Texas Interfaith is a non-partisan, multi-ethnic, multi-issue coalition of 50 religious congregations, schools, unions, and civil organizations who work together to address public issues that affect the well being of families and neighborhoods in our
community.
https://www.austininterfaith.org
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Central Texas Interfaith Opposes NXP $2.6 Billion Expansion

[Excerpt]

NXP Semiconductors, which is based in the Netherlands and has two fabrication plants in Austin, is seeking tax breaks from the Austin Independent School District under the state's Chapter 313 incentive program for proposed expansion. An initial presentation to the district's board Tuesday night didn't specify the amount, but previous incentives agreements from Texas school districts for similar Chapter 313 deals have been for tens of millions of dollars.

The Chapter 313 incentives program — which is named after a portion of the tax code — has been controversial. It's set to expire at the end of this year because state lawmakers declined to renew it during last year's legislative session, although deals struck before then won't be affected....

Under the Chapter 313 program, school districts are reimbursed by the state for the corporate tax breaks they agree to provide. That attribute has made Chapter 313 controversial among critics who say school districts have no reason not to grant them, and that the program siphons money from taxpayers statewide as handouts to corporations.

“There's no such thing as free money," said Doug Greco, lead organizer with Central Texas Interfaith, a group that opposes all Chapter 313 deals and has worked to help end the program.

“It's money that is being drained out of the state budget that could be going to schools," Greco said. "When you add these (deals) up, it's just a drain on the system that we can't sustain. Let's stop the gold rush here."

[Photo Credit: Mark Matson, Austin American Statesman]

Chipmaker NXP Considers Austin for $2.6 Billion Expansion, Up to 800 New JobsAustin American Statesman [pdf]

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CTI-Huston Tillotson Partnership Results in Historic HBCU Conference

[Excerpt]

[With support from Central Texas Interfaith], Texas students and campus leaders held the state’s first Texas Historically Black Colleges and Universities Conference in Austin over the weekend to discuss the need for increased investments in HBCUs.

The event, held at Huston-Tillotson University, featured speeches from campus leaders, a conversation with state lawmakers who represent HBCUs in their districts and a roundtable discussion with students who spoke about the experience and challenges of attending HBCUs....

Jeffrey Clemmons, a Huston-Tillotson alumnus, who graduated in 2021, said there has been a “funding inequity from day one” between money for HBCUs and the flagship state university systems. In addition to addressing inequities, he said one of the conference's goals is to develop a coalition of HBCUs that can address shared issues in the future.

“Prior to this moment, as far as we could tell, while there were informal channels, there was never a unified conference of HBCUs,” Clemmons said. “We were never able to come together in a unified fashion and advocate for issues, and so I certainly hope that the one thing that comes out of this is that we will no longer be strangers to one another and we will be united”

[In left photos, Huston-Tillotson students engage state legislators.  In right photo Huston-Tillotson University  professors and CTI Lead Organizer Doug Greco discuss the development of public leadership.  Credit: Aaron E.  Martinez, American-Statesman]

Texas HBCUs Hold Statewide Conference at Huston-Tillotson to Address Funding Inequities, Austin American Statesman [pdf

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