Houston Green Stormwater Infrastructure Tax Abatement

Houston City Council approves a tax abatement meant to lure private developers to invest in greenspaces next to drainage projects. Zview/Getty Images

Houston City Council has approved a new tax abatement to encourage private developers to add more trees and vegetation in drainage projects around the city.

The Green Stormwater Infrastructure Incentive Program update, passed unanimously on Thursday, aims to reduce flooding. It incorporates drainage pipe systems and gardens to absorb excess water and slow runoff. The new guidelines simplify the application process for developers by lowering project spending minimums. A green infrastructure project now has a threshold of $735,000, with at least $35,000 dedicated to green stormwater infrastructure. This is according to a report by the Houston Chronicle.

The city hopes that lowering these requirements will attract more companies to apply.

Previously, a project’s minimum cost was $3 million or more, including at least $100,000 for stormwater infrastructure.

City Council members, such as Sallie Alcorn, believe these programs will encourage developers to create more green infrastructure, paving the way for more such projects in Houston.

Alcorn said that the rules should work together to encourage development. She emphasized that it’s not just about the money or the tax abatement but also about different rules that make it easier for developers to implement green stormwater systems.

A significant reason for the lack of interest from developers might be a lack of understanding about green infrastructure. Previously, the city received only one application. Many developers are unsure how to assess the benefits of green stormwater developments for their businesses. Application hurdles might also have discouraged new applicants, as developers struggled to align with the city’s 188-page plan.

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