Garland Cuts Taxes To Lure Business - NBC 5 Dallas-Fort Worth

Garland Cuts Taxes To Lure Business

City's expensive effort to attract more businesses



    Garland approves several projects with different tax abatements. (Published Saturday, April 21, 2012)

    La Bodega Meat, Inc. could go anywhere to expand its growing businesses.

    "When we were looking at various locations, we had been considering Richardson and Arlington and even Oklahoma,” said Raymond Shuey, El Rancho Supermarket's Vice President of Finance.

    But they considered staying in Garland because of the tax incentives. The city council approved a $900,000 tax delay for ten years on any new growth they bring to Garland.

    “When the tax abatement period is over Garland will again be the beneficiary of property within their jurisdiction that is taxable, so it’s a win- win situation," said Shuey.

    Since the beginning of the year, the city has ramped up tax abatements to keep and attract more businesses in Garland. it's delayed taxing to have a payoff later.

    “While we abhor on one level giving up our taxes, because that is our job, is to build our tax base, in reality you’re in a competition," said Paul Mayer, Garland Chamber of Commerce.

    From small companies to big national chains like Kraft, so far the city has worked on eight projects with tax abatements. They are anticipated to bring in 765 more jobs to Garland.

    “That’s the real payoff, people employed, new taxes coming in to build streets have public safety, schools," Mayer said.

    Over the next ten years, the grocery distribution company hopes to add 230 jobs with some of their operations in one central location.

    “In order to stay competitive we need to do what other chains stores do and centralize that process and better control the safety and quality," Shuey said.

    “The job of building Garland is what we do everyday and we’re excited about it," Mayer said.

    La Bodega is still finalizing negotiation details with the city.