Plano ISD officials are entering into extended negotiations with Texas Instruments regarding the company’s potential $3.2 billion expansion project that could fall within district boundaries.
PISD trustees approved an extension to continue negotiations regarding a tax-agreement application with Texas Instruments—an agreement that could save the company tens of millions of dollars in future property taxes it would have normally paid to the district.
The PISD board of trustees voted at its March 5 meeting to extend Texas Instruments’ application deadline to April 15.
“As you know, we have been working diligently to come to terms on the basic framework of a mutually beneficial agreement that will make further investment in Richardson cost-competitive compared to TI’s other options,” said Virginia Schaefer, Texas Instruments director of Governmental Relations, in a letter to PISD Superintendent Sara Bonser.
The greatest share of the $3.2 billion in investments the company outlined in its application consisted of $2.7 billion in “tangible personal property,” a category that includes items such as computers, machinery or other movable goods, as previously reported by Community Impact Newspaper. Another $500 million in investment would be designated for new buildings or other nonremovable improvements to the property.
The tax-agreement application, which trustees approved in August, would require the company to pay PISD property taxes for maintenance and operations on only $100 million of property each year for a decade starting in 2023. During that time, the property’s taxable value is expected to grow from $329 million to $1.2 billion.
The expansion could create upwards of 600 jobs, according to Texas Instruments’ original 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.
Trustees voted 5-0 to approve the deadline extension, with trustee Tammy Richards abstaining.
PISD spokesperson Lesley Range-Stanton said the district could not comment on the details of the negotiations, as they were topics of conversation held in the board trustees’ executive session.
A Texas Instruments spokesperson said the company has not yet determined the final site for its future manufacturing facility.
“We are researching multiple locations for our next wafer [fabrication facility], and Richardson is one candidate being considered for a new facility,” company spokesperson Nicole Bernard said in a statement. “This is one step in a strategic decision process, allowing us to keep our options open without yet committing to a particular site location.”
Correction: A previous version of this story said the deadline had been extended by 90 days. In fact, the deadline had been extended to April 15.