Bill > SB489

This bill modifies requirements for businesses seeking property tax limitations in Texas by adding a child care provision. Specifically, the bill requires that companies participating in certain economic development agreements must provide child care benefits to employees as a condition of receiving a tax value limitation. These child care benefits can be either an on-site licensed child care center operated by the company or run through a contracted center, or the company must pay at least 50% of an employee's child care costs. The requirement will only apply when a project creates 100 or more jobs, and the child care benefit must be implemented beginning January 1 of the tax year following the year the job threshold is met. This change is part of the state's efforts to incentivize business development while also supporting workforce needs by helping employees manage child care expenses. The bill will apply to new agreements entered into on or after its effective date of September 1, 2025, and will not retroactively affect existing agreements.

Business and Industry

https://capitol.texas.gov/BillLookup/History.aspx?LegSess=89R&Bill=SB489