NEWTON ECONOMIC DEVELOPMENT CORPORATION
In 1979, the Texas Legislature passed The Development Corporation Act. It was later amended to allow communities the opportunity to build economic development funding through a local sales and use tax. In 1994 an election was held and the voters in the City of Newton overwhelmingly passed an ordinance creating The Newton Economic Development Corporation (NEDC). The corporation is administered by local citizens consisting of 5 Directors with some oversight and cooperation from the Newton City Council.
The NEDC is completely funded by the voter approved 1/2 cent addition to the State Sales Tax on services and products produced or sold within the taxing jurisdiction of the City of Newton. The tax was created to give smaller Texas communities the financial resources to build effective economic development programs and offer financial incentives to attract primary jobs. Over the years, the economic development sales tax has become the backbone of local efforts to bring new jobs and investment to Newton.
The primary purpose of the Newton Economic Development Corporation is to act on behalf of a city in carrying out projects related to manufacturing and industrial development and the promotion of new and expanded business enterprises that create or retain primary jobs.
The City of Newton assist existing businesses and marketing to potential new businesses. Our main objective is to leverage these dollars into quality jobs while building an improved quality of life for all the residents of the City of Newton.
The following ae eligible projects that can be funded by NEDC.
Land, building, equipment, facilities, improvements and expenditures related to:
Manufacturing, Industrial, Research and Development
Recycling, Small warehouse and Corporate headquarter facilities, and distribution centers.
Job Training for primary jobs and commercial/retail.
Business airport facilities and port-related facilities
Infrastructure assistance to retail or commercial projects
Business-related sewer utilities and site improvements
Creation of Primary Jobs all according to the 4A Act.
Primary Job is a job that produces goods and / or services for customer that predominantly outside the community. This creates New “outside” dollars for the community. Once and employer is paid for thie products and/ or services, he redistributes that wealth in the community through wages paid to employees and through suppliers.
All Business of the Newton Economic Development Corporation is conducted through the Board of Directors. Action of the Board of Directors must be ratified in a public session by the City Council of the City of Newton.