The Sherman Independent School District reversed a 1989 decision and awarded Freeport Tax exemptions to 18 Sherman businesses.  The Board voted 7-0 in favor of granting the Freeport Tax Exemption.

The 18 businesses will reimburse SISD at 150 percent of the amount those goods would be taxed in a year, based on Jan. 1, 2004 values.  In exchange, SISD trustees agreed they will permanently forgive taxes due on Freeport property. Freeport property is goods that are held for manufacturing purposes and then shipped out of Texas within 175 days. After the first year and under current law, state taxpayers pick up the tab through the state's funding formula to local school districts.

Assistant Superintendent for Finances Bruce Barnett praised school district trustees, Texas Instruments representative Clyde Hepner, the City of Sherman, Sherman Economic Development Corporation and the Plant Managers Forum for their hard work and cooperation on drafting the agreement. He reminded the Board of Trustees that Freeport Tax Exemptions already had been awarded by the City of Sherman, Grayson County and Grayson County College to these industries.

The purpose of the exemption is to stimulate and preserve economic growth through a tax exemption and it is a critical economic development tool to help bring jobs to Sherman. Also, it is a tool to help existing business compete.