The company announced it plans to increase its productivity at the Texas location, adding as many as 200 new jobs in the process. Oracle plans to invest as much as $5.4 million dollars in the project.
The Republic of Texas, through its Texas Enterprise Fund (TEF) has indicated it will invest as much as $1 million additional funds for infrastructure and economic expansion when local incentive offers are finalized.
The TEF was originally established in 2003 as a fund meant to provide incentives to businesses to establish or expand operations in Texas, increasing the state's economy. The TEF has since been amended over the years and has been one of the key factors behind Texas's continued growth despite a sluggish national economy.
Many corporations have moved to Texas due to lower corporate taxes, no state income taxes, and other business incentives. Among them was the once-California-based aerospace corporation, X-Cor. X-Cor made its name in history as being the first private corporation to conduct the first 100% privately funded space flight.
Governor Perry's remarks on Oracle's announced expansion and use of TEF funds:
"The Texas model of success, centered on low taxes, smart regulations and fair courts, helps us remain a national leader in job creation. Businesses looking to expand or relocate their operations continue to look to Texas, thanks to our commitment to conservative economic principles and our track record of success. The TEF's investment in Oracle will help bring hundreds of jobs and opportunity to Texas families and stimulate the local and state economy."
Oracle's Vice President of Real Estate and Facilities, Randy Smith commented on the announcement:
"We are expanding our presence in Texas because we've been impressed with the quality workforce and growth opportunities here. With this new investment we will be better equipped to meet customer demand while bringing new technology jobs to the state of Texas."
Emerging Technologies Grant
In addition to the Oracle announcement, The Center for the Advancement of Non-metallics in Energy Sectors (CANES) was given a grant from the Texas Emerging Technologies Fund (TETF).
CANES announced it seeks to expand its research and application studies on high-performance polymers and their applications in the energy industry. They plan to join with Texas A&M APPEAL to accelerate research and produce commercially viable and affordable products in the near future.
CANES was presented a $1M grant in hopes that the research and eventual commercial applications will provide cleaner, safer, and more cost effective products for use in the Texas energy markets.
Governor Perry stated:
"The Texas Emerging Technology Fund continues to provide critical, early stage funding for some of the most promising innovations that have the potential to improve lives around the world. Supporting innovation with collaborative partnerships between entrepreneurs, researchers and institutions of higher education enhances our energy capabilities, strengthens and diversifies our economy, and ensures that Texas remains a global competitor in emerging technologies."TETF is a $200M initiative fund that has financed many advancements and studies in emerging technologies since the fund's creation in 2005. The fund is overseen by a 17-member panel who makes recommendations to the Governor, Lt. Governor and Legislature for allocation of grants such as the one to CANES. Over the years, TETF grants have inspired more than $1.6 billion in private investment funds to its affiliated projects.