Local Incentives
We know that every business is unique, which is why Richardson offers tailored incentive packages to support growth, investment, and job creation.
zones to boost development
Grants
improve buildings
Local Incentives
Richardson customizes incentive packages on a case-by-case basis, with key factors including taxable value creation, job impact, industry growth potential, and alignment with the City’s economic development strategy.
What We Offer
Tax Increment Financing (TIF) uses projected property tax value increases to finance specific infrastructure improvements or developments. Increased revenue from the rise in property taxes is deposited into a locally created TIF fund which is used to repay infrastructure improvements or may be used to reimburse developers for specific costs including land acquisition, demolition, streets, parking, and utilities.
This 900-acre zone was created in 2009 to encourage redevelopment in this important corridor. Richardson's TIF 1 Zone extends along both sides of Central Expressway from Campbell Road south to Spring Valley Road, west on Spring Valley to Coit Road and east to Greenville Avenue. (TIF District One Map)
The zone includes approximately 212 acres, plus public rights-of-way. The zone is bounded by the DART “Red Line” right-of-way, the President George Bush Turnpike, Wyndham Lane and Renner Road, plus approximately 7.15 acres east of Wyndham Lane. (TIF District Two Map)
Richardson Reinvestment Zone Number Three includes 88.72 acres plus public rights-of-way. The zone is bounded by the President George Bush Turnpike, the DART “Red Line” right-of-way, Renner Road and the western boundaries of tracts owned by the W.W. Caruth, Jr. Foundation and Oncor. (TIF District Three Map)
Costs for the following items may be eligible for reimbursement according to state law, depending on the size and scope of the project:
- Demolition
- Acquisition
- Streets
- Alleys
- Sidewalks
- Parking Structures
- Certain Utilities
A board of directors appointed by the Richardson City Council coordinates any projects applying for or receiving funds within TIF zones and oversees administration of the zone. Abatements are limited to an annual percentage of not more than 100% and a term of not more than 10 years. The City of Richardson typically offers abatements from 25% to 50% for a term of 5 to 10 years. County or community college districts may also elect to participate in the abatement, particularly for major projects of $15M+.
Building permit and certificate of occupancy fees may be waived.
The City of Richardson does not assess impact fees, unlike some DFW area cities, lowering upfront costs.
New construction and Business Personal Property may be eligible for a tax abatement typically ranging from 25-50% for a period of 5-10 years.
The City has the right to enter into a contractual agreement with a private sector company for economic development purposes under a section of Texas law generally referred to as “Chapter 380.” Under such an agreement, the City may provide cash or cash equivalent goods or services in return for the private company’s performance of certain obligations, such as the creation of a certain number of jobs or the addition of a specific amount of taxable property. This type of agreement can sometimes be used to creatively fashion an incentive package that best meets the City’s and the company’s unique objectives.
Where expansion and relocation projects require significant infrastructure construction such as those for roads, water, or sewer, Richardson may offer funding for qualifying projects.
RAMP is a City of Richardson pilot program that provides matching funds for businesses that have received federal Small Business Innovation Research (SBIR) or Small Business Technology Transfer (STTR) funds. RAMP funds are available to all research-focused, for-profit, privately owned small businesses that:
- Have already been awarded a Phase I or Phase II SBIR or STTR grant
- Are currently located in Richardson, or are committed to relocating to Richardson for a minimum of five years after receiving funds
Learn more and apply:
The Express Permitting Program streamlines the building permit process for small businesses with projects of less than 5,000 SF. Learn more about the Express Permitting Program from the City of Richardson Building Inspection Department.
The City may offer funding for capital improvements for businesses with long-term leases.