Brownfield Industrial Development Corp. will be on May ballot

by TownTalk Staff

As filing for municipal elections continues, there will also be a proposition for the electorate in the City of Brownfield to consider.

In 1990, the citizens of Brownfield voted to add a half-cent sales tax to the existing one-cent sales tax established in 1969, which was designated to support an economic development corporation. This corporation is now known as the Brownfield Industrial Development Corporation (BIDCorp). Currently, BIDCorp operates as a “Type A” economic development corporation. According to the Texas Comptroller and the Texas Attorney General, sales tax revenues used for Type A economic development can only be allocated for manufacturing and industrial projects, which are expected to create job opportunities.

In recent years, there have been discussions about changing BIDCorp’s designation from a Type A to a “Type B” economic development corporation. The sales tax for a Type B economic development corporation can be used for projects that are eligible under Type A, as well as for quality of life improvement projects. Type B corporations may fund land, buildings, equipment, facilities, targeted infrastructure, and improvements for various projects.

  • sports and athletic facilities, tourism and entertainment facilities, convention facilities and public parks;
  • related store, restaurant, concession, parking and transportation facilities;
  • related street, water and sewer facilities; and
  • affordable housing.

Plus Type B can be used for:

  • public safety facilities;
  • recycling facilities;
  • streets, roads, drainage and related improvements;
  • demolition of existing structures;
  • general municipally owned improvements; and
  • maintenance and operating costs associated with projects.

Type B EDCs also may seek voter approval for a water supply or water conservation programs or cleanup of contaminated property.

During the City Council meeting on November 7, 2024, the Council approved a change from a Type A Economic Development Corporation (EDC) to a Type B EDC. In a subsequent meeting on Thursday, December 5, 2024, the Council discussed and considered a resolution to create a Brownfield Type B Economic Development Corporation. This included approving a certificate of formation and authorizing the preparation and execution of all necessary documents to establish the corporation. Both items passed unanimously.

Additionally, during the same meeting, the Council called for a special election to be held on May 3, 2025. This election will ask voters to decide whether to abolish the Type A corporation and redirect the sales tax collected for use in funding projects for the Type B corporation. It was emphasized that there would be no changes to the current sales tax rate; the same rate utilized by the existing BIDCorp would continue to apply to the Type B corporation. Again, it was clarified that there would be no alterations to the sales tax rate with this transition.

Executive director of BIDCorp Gina Kelly said, ““We are excited to move forward with this change. I am approached regularly by retailers interested in moving to Brownfield. With this change, we will be able to offer these retailers financial help, if needed, and will be better able to help Brownfield grow. I will be happy to go speak to clubs and organizations to get the word out on what a positive thing this will be for Brownfield.”

Mayor Eric Horton also stated, “I know that the decisions we (the Council) make, we do it for the betterment of Brownfield. If this passes in May, it will only help our community. More will be able to get done, plus also anytime the new board of directors of the Type B EDC approve a project and city does the same, citizens will have voice on that project, unlike in Type A EDC. I’m excited and I beleive the council is excited too.”

Now the change going from a Type A EDC to a Type B EDC will be placed on the May 3rd, 2025 ballot. This is how it will be written:

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