Coming together: SISD last to finalize incentives for proposed TI plant
TI now has formal incentive agreements from all four taxing entities in Grayson County as the region continues to work to make itself attractive to the tech manufacturer who has proposed a $29 billion expansion project in Sherman.
Monday night, the Sherman Independent School District Board of Directors formally approved its package which includes a series of decade-long tax limitation agreements.
With SISD's action, local leaders are now waiting for TI to decide if Sherman or Singapore will be the home of the new plant.
"TI has been an incredible corporate partner for the school district for many years and this $29 billion investment is evidence of their commitment long term," SISD Superintendent David Hicks said Monday.
For SISD, these incentives came in the form of four tax valuation limitations — one for each phase — effectively capping how much the district can claim from TI for the purposes of determining property tax values. A draft of the agreement application, which was received by the Herald Democrat in September, capped the valuation of each phase at $80 million.
Each of these agreements will last for 10 years after the completion of each construction phase.
While SISD may not immediately see the boon from TI's property taxes, Hicks said there are other benefits from the agreement for the district. This would include new opportunities to teach students higher-level skills and career preparation through yet another industrial employer in the area.
Hicks has already had conversations with TI officials about increasing their presence in the community and district if the project moves forward.
On the district's side, Hicks said SISD will continue to plan for the impacts of the new plant if it does come to Sherman. This will primarily come in the form of population growth, but Hicks said the district is also planning how best to educate students for potentially taking these locally-available jobs.
The new plant will see TI move away from the 100 mm silicon wafers that are produced at the current facility and move toward more modern 300 mm wafers. Texas Instruments announced in 2020 that it plans to close the existing plant by 2025, bringing a close to its operations in Texoma that date back nearly 50 years.
In order to change production, TI is considering constructing four new production hubs across nearly 550 acres of land over the course of the next 17 years.
SISD was the first taxing entity over TI to consider incentives for the new facilities and the final one to take action having first announced the project in late August when it accepted an application for a Chapter 313 tax agreement between TI and the district.
Since that time, Sherman, Grayson College and Grayson County have all approved their own forms of abatements and incentives in support of the project, which could see the creation of about 3,200 jobs.