Texas Supreme Court says it can’t force the state to process deluge of applications for tax break expiring this year

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The program, known as Chapter 313, provides companies with billions of dollars in property tax breaks.

State Comptroller Glenn Hegar speaks at The Texas Tribune Festival on Sept. 23, 2022. The Texas Supreme Court declined Friday to intervene in two companies' requests to force the comptroller's office to process their applications for a tax break expiring this year. Hegar has said his office has seen"an extraordinary number of applications seeking to secure" the incentive., our daily newsletter that keeps readers up to speed on the most essential Texas news.

The companies sought relief from the Texas Supreme Court, but the court said Friday that the matter was outside its jurisdiction and that lawmakers should decide whether to give new directions to the comptroller’s office. Going into the final year of the program, Texas Comptroller Glenn Hegar said that his office has seen an “extraordinary number of applications from companies seeking to secure an incentive under the current program.” He noted his staff had to manage a workload that has significantly increased in the past six months, despite no additional staffing support from the Legislature.

Under the Chapter 313 program, manufacturing and energy companies apply to local school districts for a 10-year discount on their property tax bills in exchange for building or expanding in the community and, in a number of cases, creating new jobs. The Texas comptroller’s office must also approve those agreements.

 

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