If you're seriously considering Texas and opportunities in some other state, the Texas Enterprise Fund (TEF) might help you make your decision. The fund is a cash grant used as a financial incentive tool for projects that offer significant projected job creation and capital investment and where a single Texas site is competing with another viable out-of-state option. Since its inception in 2004, the TEF has awarded over 140 grants totaling nearly $600 million across a wide variety of industries and projects committed to creating more than 80,000 jobs and investing more than $27 billion. View a listing of all TEF Awarded Projects to date (as of January 31, 2018).
Award dollar amounts are determined using an analytical model applied uniformly to each TEF applicant. This model assures that the State of Texas will see a full return on its investment within the period of a project contract due to the resulting increase in estimated sales tax revenues. Variations in award amounts are influenced by the number of jobs to be created, the expected timeframe for hiring, and the average wages to be paid.
The TEF is a significant investment by Texas in the state's economy. TEF grant recipients are contractually obligated to fulfill the terms of their job creation agreements with the State of Texas. Once a company has accepted an offer from the Texas Enterprise Fund, a signed contract is required prior to the distribution of an award. The contract obligates the grantee, among other terms and conditions, to job creation targets and commits the grantee to maintain these employment positions at or above the county average wage for the term of the agreement. Additionally, all TEF contracts contain provisions for grant repayment through clawbacks in the event that a grantee does not meet the obligations of the agreement. To be eligible, a project must meet the following criteria:
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