Local and State Incentives

Local Incentives

Local incentives are determined on a case-by-case basis by the Cedar Hill Economic Development Corporation Board of Directors and must have final approval by the City Council. A cost-benefit analysis is prepared for eligible projects to determine the potential direct and indirect economic benefit to Cedar Hill.  The following are the guidelines that will be used by the Cedar Hill Economic Development Corporation to qualify projects and determine incentive level and type of incentive.

Eligible Projects:

  • Land, buildings, equipment, facilities, improvements, and expenditures related to:

    • Manufacturing, industrial, research & development, recycling, small warehouse and corporate headquarter facilities, and distribution centers.

    • Job training for primary jobs and commercial/retail.

    • Clean-up of contaminated project sites (with a special election and specific ballot language).

    • Infrastructure assistance to retail or commercial projects.

    • Business-related sewer utilities and site improvements.

    • Projects designed to attract new military missions

    • Light rail, commuter rail, or motor buses.

    • Type B projects with voter approval.

  • To learn more about Type B Eligible Projects, click here

    • Water supply facilities (with a special election and specific ballot language).

    • Projects that improve a community’s quality of life, including parks, professional and amateur sport and athletic facilities, tourism and entertainment facilities, affordable housing, and other improvements or expenditures that promote new or expanded business activity that create or retain primary jobs.

    • Projects designed to attract new military missions.

Incentives can take the form of reimbursement for infrastructure improvements, cash bonuses for capital improvements, bonuses for job creation, assistance with job training, payments in place of tax abatements, and loan guarantees.

    • Type A and Type B sales tax funds can be used to attract new industrial development, assist with expansions, or provide related infrastructure (a development assistance package could be used by the company to meet location and development costs in Cedar Hill). An application and further explanation of this program are provided to potential applicants, and projects are considered on a case-by-case basis.

    • Texas communities tax business inventory at the same rate as land, buildings, and equipment. However, some Texas communities, like Cedar Hill, offer Triple Freeport Exemption from all local taxing authorities, city, county and school district. Cedar Hill grants the Triple Freeport Exemption from the City of Cedar Hill, Dallas County, and the Cedar Hill Independent School District. The exemption applies to inventory that is shipped out of Texas within 175 days, and it provides substantial savings for interstate shippers that turn inventory several times a year.

    • The City of Cedar Hill may consider tax abatements for eligible developments, based upon the new tax base value the project will add to Cedar Hill and based upon the number and type of jobs the project will save or create. An application and further explanation of the program guidelines are provided to potential applicants.

    • Cedar Hill has established the Cedar Hill Industrial Development Corporation to provide the conduit for issuing tax-exempt industrial revenue bonds for manufacturing company developments that meet state and federal guidelines. Potential projects are considered by the city's bond counsel.

    • Cedar Hill offers all training programs available to companies throughout the state of Texas. These training programs include those offered through the Texas Workforce Commission and Skills Development Fund. The Dallas County Community College System, Cedar Valley College, and Northwood University in Cedar Hill are prepared to assist companies in developing specific skills.

State Incentives

Texas invests in its future by offering competitive incentives to companies who are creating jobs and driving innovation.  

  • The Skills Development Fund assists Texas public community and technical colleges in funding customized job training for their local businesses. Grants are provided to help companies and labor unions form partnerships with local community colleges and technical schools to provide custom job training.

  • The Texas Enterprise Zone Program is an economic development tool for local communities to partner with the State of Texas to promote job creation and significant private investment that will assist economically distressed areas of the state.

  • The Texas Workforce Commission, in conjunction with the Governor’s Office of Economic Development and Tourism, provides access to a team of highly skilled professional who provide technical assistance, at no charge, to help streamline the development of projects and proposals.

    For further details on these incentives and many more offered by the State of Texas, please visit https://businessintexas.com/ .