Hearne Economic Development Corporations (HEDC)

HEDCs are the legal entities with the statutory authority to spend economic development sales tax dollars. In January of 1997, the eligible voters of the City of Hearne, Texas, approved a ballot proposition authorizing a sales tax and creation of a non-profit corporation, governed by Sections 4A and 4B of the Development Corporation Act of 1979, as amended, and currently authorized pursuant to Chapters 501, 504 and
505 of the Texas Local Government Code.   Corporations are now referred to either as “Type A” or “Type B” depending on the type of economic development sales tax uses approved by local voters.  Each Corporation is governed by a city-appointed board of directors.

Chapters 501, 504 and 505, Local Government Code is the section of Texas law that contains the rules governing the use of the economic development sales tax, including eligible uses of tax revenues and procedures that must be followed to enact the tax.  The economic development sales tax statute was previously located in 5190.6 Vernon’s Civil Statutes.

Type A and Type B Economic Development Corporation (eligible projects)

HEDC – Type A (eligible projects)

Board Members  (Five members)

  • Cathy Lazarus, Secretary
  • Emmett Aguirre, Treasurer
  • Cindy Wallace
  • Herbert O’Neil
  • One vacancy

HEDC – Type B (eligible projects)

Board Members  (Seven members)

  • Virgil Blankenship, President
  • Erin Wallace, Vice President
  • Nelda Trevino, Treasurer
  • Paula Deal
  • Debra Powers Konczal
  • Dawn Jefferson
  • Pat Williams

HEDC Applications

Traditional Direct Business Incentives  [link to pdf attached]

Minimum requirements

  • 4 FTE (new jobs – above average wage)
  • $250,000 capital investment (new taxable)
  • Meets targeted industry or unmet need in community

City Requirements for New Businesses [link to pdf attached]