Relating to the authority of the Brazoria County Commissioners Court to execute tax abatement agreements for property within the Port Freeport district.

Contracts

• Ground Leases: Review existing leases with Port Freeport. If you intend to seek an abatement, your lease term must generally exceed the duration of the abatement (often 10 years). You may need to negotiate a lease extension immediately to qualify.
• Construction Agreements: Insert strict completion deadlines into General Contractor agreements. Tax abatements are time-bound; if a project drags past the deadline set in the County agreement, the tax exemption for that year is forfeited.

Hiring/Training

• Finance/Tax Teams: Must be trained on Chapter 312 of the Texas Tax Code. They need to separate "abatable" assets (new improvements/personal property) from "ineligible" assets (land/existing inventory) in their ledgers.
• Government Relations: Staff must pivot from general lobbying to specific procurement. The law requires a written request *from* the Port *to* the County. You must successfully lobby the Port Board first.

Reporting & Record-Keeping

• Reinvestment Zone Application: You must generate economic impact data (job creation, capital investment value) to support the Port’s written request to the County.
• Asset Segregation: Maintain a distinct fixed asset list for improvements located within the designated zone. Commingling these assets with non-zone assets will trigger audit failures.
• Annual Certification: Prepare for an annual filing with Brazoria County certifying that job creation and investment metrics are being met to avoid "clawback" of saved taxes.

Fees & Costs

• Application Fees: Budget for standard reinvestment zone application fees typically charged by counties (often $1,000 - $5,000).
• Legal Spend: Anticipate increased outside counsel fees to negotiate the specific terms of the abatement agreement (clawbacks, performance metrics).