Texas IAF Underscores Lasting Consequences of Chapter 313 Subsidies
"In December, legislators killed a controversial tax abatement program known as Chapter 313, but its effects will last decades....
“There’s no accountability at the statewide level; nobody administers it,” said Bob Fleming, an organizer with [T]he Metropolitan Organization of Houston who campaigned against Chapter 313 reauthorization back in 2021. “A bunch of local school districts make singular decisions based on what they think is in their interest. Nobody is looking out for the statewide interest. Local school districts are overmatched when the $2,000 suits walk into the room.” ....
“It’s a perverse incentive,” said Doug Greco, lead organizer at Central Texas Interfaith, one of the organizations that helped shut down reauthorization of Chapter 313 in the 2021 legislative session.
“We approach it on a school funding basis,” said Greco, who is already gearing up to fight any Chapter 313 renewal efforts in 2023. “It’s corporate welfare and the people who pay over time are Texas school districts.” ....
“The district my granddaughter goes to is losing $4 million to $5 million every year,” said Rosalie Tristan, referring to Edinburg Consolidated Independent School District. Tristan is an organizer with the community organization Valley Interfaith who lives north of McAllen in the Rio Grande Valley.
“They could be using that money to get more teachers for these students,” she said. “For a parent, or for a grandparent raising her granddaughter, it’s a hit in the gut.”
[Photo Credit: Pu Ying Huang, The Texas Tribune]
Critics Say State Tax Break Helps Petrochemical Companies and Hurts Public Schools, The Texas Tribune [pdf]