Newspaper Archive of
Hays Free Press
Kyle, Texas
Lyft
March 22, 2017     Hays Free Press
PAGE 7     (7 of 16 available)        PREVIOUS     NEXT      Full Size Image
 
PAGE 7     (7 of 16 available)        PREVIOUS     NEXT      Full Size Image
March 22, 2017
 

Newspaper Archive of Hays Free Press produced by SmallTownPapers, Inc.
Website © 2019. All content copyrighted. Copyright Information.     Terms Of Use.     Request Content Removal.




RED-yTO READ Free horse therapy program builds confidence in readers. - Page 1C Hays Free Press March 22, 2017 Page 3B ,I BY MOSES LEOS III news@haysfreepress.com Hays CISD trustees are one step closer toward im- plementing an ad valorem tax exemption for certain manufacturing companies in the area. Board trustees next week are expected to vote on potentially adopting the Freeport Exemption, which is a form of tax exemption used by communities for economic development and job creation. In addition, the board will rescind a December 1989 resolution denying tax exemption for Freeport goods. Board trustees will also authorize Superin- tendent Michael McKie to execute proposed Freeport Exemption agreements with eight companies currently operating in the district. Annette Folmar, Hays CISD chief financial officer, said Monday the board's resolution is complicated as it was the culmination "of a lot of discussion" on the Freeport Exemption. Dan Casey, with Moak, Casey and Associates, said one reason the Freeport tax exemption is important to businesses that Texas is one of a half-dozen states that taxes inventory. Companies that qualify for the Freeport Exemp- tion would be exempt from paying property taxes on inventory. Most states don't have similar discussions, as inventory is already exempt from taxes. Casey said over the last 20 years, areas that don't have a Freeport or Triple Freeport Exemption have not been on the lists for companies to move to. Triple Freeport is the situation in which a city, county and school district offer the tax exemption. Hays County and Kyle have passed legislation in favor of a Freeport Exemption. Diana Torres, Kyle Eco- nomic Development direc- tor, said having a Triple Freeport in place is the "final piece of the puzzle, it's the deal breaker" for some businesses. But implementing the Freeport exemption will be a permanent move by the board and cannot be revisited in the future, Casey said. Additionally, the dis- trict would be negatively impacted in the first year as the state wouldn't be able to recognize the property tax value change. The Hays Free Press reported in April 2016 the district stands to lose $700,000 in revenue the first year of the exemption. The district would also lose $45,000 per year that goes to debt service. But to counterbalance, the district would work The list of Freeport companies within Hays CISD are: CFAN Co. Goodrich, UTC Corp. RSI Inc. Henderson Controls Inc. Southwestern Pneumatic Cabela's Retail TX LP Ampersand Art Supply Fat Quarter Shop with businesses for a "hold- harmless" agreement. The agreement could mitigate the loss, as companies would pay 100 percent of the Freeport tax the first year. Afterward, the amount of taxes paid by the com- panies decreases by 25 percent. Folmar said the agree- ments were conducted between existing Freeport companies with a tax liabil- ity of $1,000 or above. The district came up with a list of eight companies. How- ever, the district will not seek similar hold-harmless agreements with any new companies in the future. Casey said school dis- tricts have protections with hold-harmless agreements. "The other thing in hold-harmless, I have never recalled a company that has not made good on its obligations within an agreement," Casey said. Of the eight companies the district is working with for agreements, all compa- nies are in good standing with the Hays County Tax Assessor Collector's office, Folmar said. One com- pany is reviewing language within its agreement. Folmar added timing of the resolution is also important, as the district wanted to ensure the companies' contracts are in place before implementing the Freeport exemption. "We've been talking about this item for over a year, but we didn't want to rush it until all of the con- tracts have been signed," said Holly Raymond, Hays CISD board president. "We wanted to do our due dili- gence. We wanted to make sure all of the contracts are in place." Willie Tenorio, District 2 trustee, said because Hays CISD is a fast growth district, it's gaining taxable property "all of the time," which would help continue to increase property tax revenue. But ensuring the district is cautious prior to imple- menting Freeport exemp- tion is paramount. "The old saying is, with a breakfast of bacon and eggs, the chicken is involved but the pig is committed," Tenorio said. "We're the pig, we're com- mitted and we can never change this." Four concert bands throughout the Hays CISD earned Sweepstakes Trophies at the recent Region 18 South Zone Concert and Sight-Reading Contest March 8-9. The Region 18 South included 33 middle school bands from Austin, Bastrop, Dripping Springs and Del Valle ISDs, as well as 13 bands from the Hays CISD. The four bands, from top to bottom are: Wallace Symphonic Band directed by Jason Brown; Chapa Wind Ensemble directed by Nathaniel Smith; Barton Wind Ensemble directed by BJ Sager; and Wallace Middle School Wind Ensemble directed by James Malik. PHOTOS BYJIMCULLEN Wallace Middle School Symphonic Band Chapa Middle School Wind Ensemble Barton Middle School Wind Ensemble Wallace Middle School Wind Ensemble 01L, 6AS, & MINERAL RI6HTS Both non-producing and producing including Non-Participating Royalty Interest (NPRI) Provide us your desired price for an offer evaluation. '7! CALL TODAY: 806.620.1422 LOB0 MINERALS, LLC PO Box 1800. Lubbock TX 79408-1800 LoboMineralsLLC@gmail.com FARM E Debbie Thames Insurance Agency AUTO HOME LIFE BOAT HEALTH 251 N. FM 1626 #2C Buda, TX 78610 Office: (512) 312-1917 Fax: 312-0688 Email: dvthames @ austin.rr.com Monday-Friday, 9am-5pm Your Business & Referrals Are Appreciated + + :i : Ii iti