Glossary
Tax abatement
Also: Chapter 312, PILOT, payment in lieu of taxes, economic development agreement
A county, city or school district's agreement to reduce a project's property taxes for a period; on the agenda months before construction.
Solar farms, battery sites and data centers add a lot of taxable value, so developers often negotiate with the county, the city or the school district before they build: an abatement, a payment in lieu of taxes (PILOT) or another economic development agreement. In Texas, counties grant abatements under Chapter 312 of the Tax Code inside a reinvestment zone they designate first.
These deals go through public meetings, so they show up on county agendas and in signed agreements, often naming the project company, its size and the year construction is expected to start. Groundtrace reads county agendas and agreements and matches them to projects.