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"Catholic social teaching isn't ideological," [Bob] Fleming said. "It says, 'Go out to the people, talk with them, understand them, let them tell you what's going on.' "

....[Sr. Pearl] Ceasar shares Fleming's sentiment about the compatibility of Texas IAF's work and Catholic social teaching. In the 1960s, she studied the documents of the Second Vatican Council, which she said greatly impacted her outlook on the responsibilities of individual Catholics and the Catholic Church.

"Vatican II didn't address the doctrines of the church; it addressed the relationships in the church and who we are to be as Catholics," Ceasar said. "Meaning that we are to be engaged with people, we are to be engaged in the community."

For 50 years, Texas IAF Organizing Group Has Drawn on Catholic Roots, National Catholic Reporter [pdf]

[Excerpt]

“Tax breaks should be decoupled from school funding and from school board decision making, period,” said Rev. Miles Brandon, a [Central Texas] Interfaith leader and pastor of St. Julian of Norwich Episcopal Church...

Brandon said the new program is better than what existed previously because it no longer includes direct payments to schools, which he described as a “perverse incentive” for districts to approve deals despite the cost to the state's overall education system. He also said the decrease in the total size of each tax abatement is an improvement over Chapter 313, as is the requirement that each deal must pass the governor's office.

But he said Austin Interfaith will continue to encourage school board members to vote in opposition to any request by a company to participate in the new program...“As we see how this law unfolds, I think we will continue to oppose" applications, Brandon said."

[Photo Credit: Arnold Wells, Austin Business Journal]

Texas' New Incentives Tool is Ready, Austin Business Journal [link]

Two Years of Texas IAF Opposition Leads to Reforms to Limit Giving School Money for Corporate Tax Breaks 

The Texas Senate and House passed a compromised version of HB5 that still fundamentally represents misguided economic development to the benefit of out of state corporations that would come here for other factors anyway.  This perpetuates a corporate welfare state which Chambers of Commerce and industry groups could never prove otherwise.

However, a 2-year campaign by Texas IAF and allies led to some major reforms in HB5 compared to the now defunct and failed Chapter 313 program.  When these tax abatement deals are proposed at local school districts, there will now be a fair fight for taxpayers and public school supporters concerned about corporate welfare.  HB 5 Reforms to Chapter 313 include:

CREATE 2-YEAR PAUSE TO ASSESS FISCAL IMPACT OF $31 BILLION IN CURRENT CHAPTER 313 TAXPAYER OBLIGATIONS

The Networks of Texas IAF Organizations (Texas IAF) urge Texas Senators to vote NO on HB5, the bill to renew the failed and defunct Chapter 313 program. With just a few days to go before the deadline for the Senate to pass House bills, the legislature has no clear path forward for the state’s costliest corporate tax incentive program, which was ended last legislative session with bi-partisan opposition.  HB5 passed out of committee late Sunday with only 6 of 11 votes in favor.

“Though in the past few days there has finally been a real debate on the use of hard-earned taxpayer dollars on corporate giveaways, time has run out to put together an economic development program that protects schools and taxpayers,” said Rosalie Tristan, leader with Valley Interfaith of the Texas IAF. “Legislators and lobbyists had two years to put together a plan, and it’s clear that none exists because school-based corporate tax breaks are a failed strategy that undermines the future of our state.”

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The bill would provide six months of Medicaid coverage to qualifying new moms....and could have a massive local impact.

More babies are born on Parkland’s Health’s insurance plan than in eight states. Extending coverage for those families would improve outcomes for tens of thousands of women in North Texas. Groups like Dallas Area Interfaith, a non-partisan, multi-ethnic, multi-issue group of religious congregations, schools, and other non-profits in Dallas, are working to get the bill passed.

[Excerpt]

Chapter 313 was one of the country’s worst examples of crony capitalism, funneling billions in Texas taxpayer dollars to out-of-state interests. The program still costs Texas taxpayers over $1 billion a year in tax breaks to major oil, gas and manufacturing companies — money that could go to educating our children.

Dallas Area Interfaith, the Texas IAF, allies and a bipartisan group of legislators killed the reauthorization of Chapter 313 in the 2021 legislative session. Rather than leaving the program in the grave, industry groups are actually proposing to resurrect Chapter 313 this legislative session and make it worse in the form of House Bill 5.

[Excerpt]

A coalition of more than a dozen organizations such as the Network of Texas IAF Organizations, the Texas Campaign for the Environment, the Texas State Teachers Association and the Texas AFL-CIO wrote a letter to lawmakers Thursdayopposing the bill and any efforts to revive Chapter 313.

“We urge you to support alternative policies that promote fair and transparent economic development, adequately fund our public education and ensure a level playing field for all businesses in Texas,” they wrote.

[Excerpt]

“Speaker Phelan and Chair Hunter, and the multinational companies that will benefit from HB5, need to get their hands out of the pockets of Texas taxpayers and off the backs of Texas schoolchildren,” said Rosalie Tristan, a leader with Valley Interfaith of the Texas IAF. “Over the past month we have seen them use every lever of the House, every carrot and stick, to bully members to sign on to renew a worse version of the failed Chapter 313 program. We call on House Members to stand up and say ‘no’ to HB5. They should put that same energy and our tax dollars into increasing the basic student allotment that funds teacher salaries and our public schools.”

[Excerpt]

Texas economic development evangelists speak of this program – once known as Chapter 313 but now House Bill 5 – with almost biblical reverence. It may not turn water into wine, but they argue it will at least turn our school property tax dollars into new jobs for years to come.

[Excerpt]

"This program is literally sucking the blood out of our school funding system and state budget, yet lobby groups continue to try to bring it back from the grave like Dracula," read a statement from the Texas chapter of the Industrial Areas Foundation.

[Photo Credit: Eddie Gaspar, The Texas Tribune]

Gov. Greg Abbott Says Texas Will Revamp Economic Development Program After Property Tax Incentive Expires, Fort Worth Business [pdf]