A Plano ISD tax deal with technology company Texas Instruments could result in $20 million in payments to the district over a decade.
The PISD board of trustees voted April 9 to enter into a 10-year tax agreement with Texas Instruments regarding the company’s manufacturing facility expansion project. The company has proposed over $3 billion in investments for the expansion project, which were detailed in the company’s state application.
The site Texas Instruments is considering is located at 300 W. Renner Road, Richardson, according to state comptroller records. Texas Instruments owns and operates an existing fabrication facility at that address.
However, Richardson City Manager Dan Johnson said the district’s approval of the tax deal does not mean Texas Instruments has selected the north Richardson facility as the location for the expansion project. That is a decision the company has yet to make, he said.
The agreement would limit the taxable value of the expansion project to $100 million per year for 10 years. In that time, the company would send $2 million per year to PISD, according to district documents.
Trustees voted 6-0 to enter into the agreement, with trustee Tammy Richards abstaining.
The district has been in negotiations with Texas Instruments regarding the tax agreement since August. On March 5, trustees approved an extension on Texas Instruments’ application deadline to allow more time for the two entities to negotiate the terms of the agreement.
“Our strategy has long been to ensure we have capacity ahead of demand to support our customers’ growth,” Texas Instruments said in a statement April 5.
“We will soon be completing our research on the multiple locations being considered in this competitive site-selection process, of which Richardson is a candidate. Once we conclude our research and analysis, we will make a decision on where to build our next [wafer fabrication facility].”