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The Enterprise Zone Program (EZP) was created to help companies grow and expand their business in Texas. It is an economic development sales tax incentive partnering the state and local government to help local employment and support business investment. As a company grows, they are eligible to apply for a state sales tax refund. During these tough economic times, EZP has supported more jobs than any other state incentive program. Performance-Based Incentive The EZP is performance-based and allows qualified businesses to receive a refund of state sales and use taxes, ranging from $2,500-$7,500 per job created and/or retained during a five year designation period, up to a maximum of $1.25-$3.75 million. The level and amount of refund is related to the capital investment and jobs at the qualified business site. Two Strong Economic Development Incentives While the Texas Enterprise Fund (TEF) is an economic development tool used to assist in the State's recruitment endeavors, the EZP can also assist with job retention efforts. Jobs Capital Investment Funded Projects Texas Enterprise Zone 100,264 (new & retained) $15.8 Billion 198 Texas Enterprise Fund 56,002 (new) $14.1 Billion 55 Sept. 1,2003 - Aug.31,2009 Program Requirements Communities may nominate projects, for a designation period up to five years, non-inclusive of a gO-day window prior to the application deadline. Employment and capital investment commitments must be incurred and met within this timeframe. Projects may be physically located in or outside of an enterprise zone. In a zone, a company commits that 25% of their new employees will meet economically disadvantaged or enterprise zone residency requisites. Outside a zone, a company commits that 35% of their new employees will meet economically disadvantaged or enterprise zone residency requisites. Under statutory provisions, an enterprise project designation may be granted for job retention. Jobs must accumulate at least 1,820 hours during a 12-month period. Jobs must exist through the end of the designated period, or at least three years after the date on which a state benefit is received, whichever is later. Communities with a population of less than 250,000 may nominate up to six projects per state biennium while those with a population of 250,000 or more may nominate up to nine projects per state biennium.