Information technology services company Jack Henry and Associates could invest over $5 million and bring 10 additional full-time jobs to its Allen campus if granted state funds.
Allen City Council unanimously approved nominating Jack Henry and Associates for a grant from the Texas Enterprise Zone Program at an Oct. 27 meeting.
The details
Founded in Missouri in 1976, Jack Henry and Associates provides IT solutions for small banks and financial institutions, said Dan Bowman, president and CEO of the Allen Economic Development Corp.
The business has been operating in Allen for nearly 30 years and has two locations—an office space for personnel at 1021 S. Central Expressway and a data center at 816 Allen Commerce Parkway, per city documents.
The Texas Enterprise Zone Program is a business retention and expansion tool, Bowman said. Allen City Council has nominated Jack Henry and Associates for this program several times, per city documents.
“Most of what this is doing is helping them keep employees here in the community by encouraging reinvestment,” he said.
The impact
If the company receives the grant, company officials will keep 490 full-time jobs in Allen and hire an additional 10 individuals over a five-year period, Bowman said.
To be eligible for the grant, Jack Henry and Associates must spend at least $5 million over five years and could receive a sales tax rebate of up to $2,500 per employee for existing and eligible new hires for a maximum of $1.25 million, he said.
When company officials spend money in Allen on equipment and machinery, the city will receive 2% of that sales tax, according to Bowman’s presentation.
“If they were to spend $20 million, then we as the city and the [AEDC] and [Allen Community Development Corp.] would get $400,000 of that,” he said.
Quote of note
“Jack Henry [and Associates] is a fantastic candidate for this,” Bowman said. “I want to reiterate … these are dollars from the state of Texas, so this does not come from the city’s budget, and in fact, this will positively impact the city through the increased investment.”
