HomeMy WebLinkAboutR-1695-3-99RESOLUTIONNO. 1695-3-99 (R)
' A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ALLEN, COLLIN
COUNTY, TEXAS, REQUESTING THE GOVERNOR OF THE STATE OF TEXAS .
DEVELOP A MAJOR LEGISLATIVE INITIATIVE FOR THE 76m LEGISLATIVE
SESSION TO OFFER A RESEARCH AND DEVELOPMENT FRANCHISE TAX
CREDIT AND A SALES TAX EXEMPTION FOR R&D EQUIPMENT; AND
PROVIDING FOR THE EFFECTIVE DATE THEREOF.
WHEREAS, Texas currently does not offer a research and development tax credit, an investment tax
credit, or a capital investment credit; and
WHEREAS, Texas has the second largest high tech employment base in the nation; and
WHEREAS, the current high-tech annual wages in Texas are averaging $40,000 compared to non -tech
wages of $28,000; and
WHEREAS, the continued growth of the technology industry is vital to the economy of Texas; and
WHEREAS, the Texas Strategic Economic Development Planning Commission has recommended
providing a state tax credit on research and development and capital investment; and
' WHEREAS, the City of Allen's economy and furore development is dependent upon the success of its
technology companies.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ALLEN,
COLLIN COUNTY, TEXAS, THAT:
SECTION 1: The 761° Legislature is urged to pass a Research and Development Franchise Tax Credit for
the State of Texas and to strongly support legislation that will 1) encourage the retention of research and
development activities (existing jobs) as well as encourage the investment in new R&D activities/programs;
2) benefit companies involved in R&D regardless of size, industry sector, or geographical areas of Texas,
and thereby encourage continued growth of these high -paying jobs; 3) maximize economic benefit for
entrepreneurial start-up companies as they seek to create jobs and bring innovations to the marketplace; and
4) provide incentives for companies and industries to enter into partnerships with Texas public universities
in furtherance of thew research, recruitment and investment activities, and thereby enhance the quality level
of R&D educational excellence in Texas.
SECTION 2: The 76'" Legislature is further urged to pass a Sales Tax Exemption on R&D equipment to be
structured in the same manner as the current Sales Tax Exemption for manufacturing equipment.
SECTION 3: A copy of this resolution be provided to the offices of the Governor, Lieutenant Governor,
Speaker of the House of Representatives, Senate Economic Development Committee, House Economic
Development Committee and all area Senate and House members.
DULY PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF ALLEN, COLLIN
' COUNTY, TEXAS, ON THIS THE 9TH DAY OF _MARCH _, 1999•
APPROVED:
ruin `*
Stephen Terrell, MAYOR
ATTEST:
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J y Mor(.iton, C�CITYECRETARY
Resolution No. 1695-3-99(R) Paget