History of Silsbee EDC

The Silsbee Economic Development Corporation (SEDC) was formed in August 1994 as a Section 4A corporation under the Industrial Development Act of 1979. Silsbee voters elected a one-half cent sales tax to fund the corporation by a 70% majority vote on Saturday, August 13, 1994. The original purpose of the SECD was to improve the City’s water and sewer infrastructure and those systems associated with it. However, the additional sales tax revenue could be used only for improvements directly related to encouraging new companies to begin operations in the City. In 1997, the Texas Legislature amended the Act to allow 4A corporations to fund 4B projects like water/sewer projects, if approved by the voters. Voters approved a proposal to use 70% of SEDC revenue for a major water/sewer project in January 1998. In addition to the water/sewer projects, the citizens of Silsbee voted to allow Silsbee Economic Development Corporation to fund the following 4B projects:

• Professional or amateur athletic facilities
• Parks and related public space improvements
• Tourism and entertainment facilities
• Certain public facility improvements
• Transportation improvements
• Infrastructural improvements related to business development or expansion

The voters did not approve expenditures for affordable housing as is typically allowed under the 4B section of the law.

In addition to the 4A/4B allowable expenditures approved by the voters, since Silsbee is a community of less than 20,000 the corporation can provide funding for retail projects.