Six companies have applied for Texas’ new business tax break program since it opened in February, according to the state comptroller’s office.

Among the first applicants were a Fort Worth-based aircraft manufacturer, a sustainable aviation fuel company and a semiconductor manufacturer.

Texas lawmakers passed the Jobs, Energy, Technology and Innovation Act with bipartisan support last year. Eligible manufacturing, research and development companies that launch new projects in Texas can apply to receive a 10-year reduction in the property taxes they pay to local school districts.

The details

The JETI Act replaced Chapter 313, a similar economic incentive program that expired in December 2022 amid concerns about “corporate welfare” and inequity for public schools. Chapter 313 created over 14,000 new jobs through 2021, the comptroller’s office reported.


To be eligible for the new program, proposed projects must create salaried or contracted jobs with health benefits and competitive wages. Approved projects will receive a 50% tax cut over a 10-year period, and projects located in low-income “opportunity zones” will be eligible for a 75% tax reduction. Companies could get a 100% tax abatement under Chapter 313.

Texas will use its general revenue fund to reimburse districts for money lost due to the tax cuts.

Projects eligible for the JETI program include:
  • Manufacturing, including semiconductor production
  • Utility and electric generation facilities
  • The development of natural resources
  • “Critical infrastructure,” such as water treatment plants and natural gas facilities
  • Research and development companies
Wind, solar and battery power storage companies were excluded from the program. Renewable energy made up about two-thirds of Chapter 313 projects.

Zooming in


Interested companies must submit project applications to the comptroller’s office. The comptroller’s team can support or oppose each application, although local school districts and the governor have the final say.

As of Sept. 27, three projects have received a positive recommendation, one project was not recommended, one application was deemed incomplete and one is still being reviewed.

The recommended applicants were:Summit Next Gen plans to build a new ethanol jet fuel production facility in Harris County, aimed at reducing carbon emissions for aircraft companies and airlines, according to the company’s application. The over $1 billion project would create at least 75 new jobs, the company said. The plant would be located within Galena Park ISD’s boundaries.

Bell Textron aims to invest over $600 million in a new advanced manufacturing plant, according to the company’s application. The commercial and military aircraft company plans to create about 411 jobs with an average wage of $85,000. The project would be located within Northwest ISD’s boundaries.


America’s Foundry Bryan is working on a 3 million-square-foot semiconductor manufacturing project on 288 acres of land owned by the Texas A&M University System in Bryan, according to the company’s application. The company, which is tied to San Francisco-based tech startup Substrate Inc., plans to hire 2,000 employees for its $10 billion project. The facility would be located within Bryan ISD’s boundaries.

“[The JETI Act] is an important economic development tool used to help us attract significant capital-intensive economic development projects, bringing high-paying jobs to Texas communities,” said Adriana Cruz, the executive director of Texas Economic Development and Tourism.

One more thing

To foster competition, JETI applicants are required to consider project sites in multiple states. The application that was not recommended for approval was not “in competition with a site outside the state of Texas,” according to John Villarreal, an economic development manager at the comptroller’s office.


The new program is located in Chapter 403 of the state tax code. It expires at the end of 2033, when lawmakers can choose to alter, extend or cancel it.