Why Do Business Here?

Hondo welcomes the opportunity to work with you to develop your business operations in our city. We offer a low cost of doing business through readily available land, low taxes, reliable and sustainable sources of electricity, natural gas and water. Our city has a favorable business climate that is enthusiastically supported by community leaders and community as a whole.

Hondo is a city with a population of 9,305 located on U.S. Highway 90 West just 41 miles west of San Antonio with the Eagle Pass, Laredo and San Antonio triangle. The proximity to the greater San Antonio metropolitan network of roadways allows for easy transit and flexibility for new business ventures.

Our South Texas Regional Intermodal Park and Airport consists of 975 acres of available land ready for development. The intermodal park is located one half mile from U.S. Highway 90 and parallel to the Union Pacific Railroad line. The Union Pacific Railroad owns and maintains the railroad through the city. Hondo Railway, a short rail operator, runs the rail port and coordinates with UP and BNSF for all train movements.

The South Texas Regional Airport has 4 active runways, over 400k square feet of tarmac and apron space that is capable of handling aircraft from a small Cessna to a Boeing 737 and the lowest aviation fuel prices in the area. The airport terminal offers concierge services to all pilots to include a courtesy van for local ground transportation.

The city coordinates with Workforce Solutions Alamo to advertise your employee needs, collect all employee applications and prepare a list of applicants that meet your requirements. We will conduct a Job Fair for your company upon request. Texas also offers a Skills Development Fund that in cooperation with industry and the local community college assists businesses by designing, financing and implementing customized job training programs.

Hondo's South Texas Regional Training Center partners with the Southwest Texas Junior College and Goodwill Industries of San Antonio to offer training for your personnel as requested. Tax credits are also available to companies that hire persons under the Welfare to Work program. We will assist in completing the applications to qualify for these programs.

City utilities are available to all properties. Commercial water rates are a minimum monthly charge of $30 for small commercial and $55 for large commercial businesses from 0 to 2,000 gallons with an escalated rate schedule up to 75,000 gallons at $4 per gallon. The rate for 75,001 and above is $4.25 per gallon. Commercial and Industrial sewer rates are a minimum monthly charge of $25 for 0 to 2,000 gallons. Above 2,001 gallons the charge is $1.70. Sewer tap fee is $1,700 for depths less than 5' and $2,300 for depths more than 5'. The city building permit fees for your project will be established after we meet to discuss the extent of your construction costs. The electricity commercial rate is $0.127 per kilo watt hour for a small commercial business with a base rate of $30, $0.1237 per kilo watt hour for medium commercial business with a base rate of $60 and $0.1137 per kilo watt hour for large commercial business with a base rate of $400.

Our tax rate is competitive with the surrounding counties and we believe does not serve as an impediment to any business.

Hondo has the following tax rate structure:

• City Tax Rate $0.5109 per $100
• Independent School District Tax Rate $1.1400 per $100
• County Tax Rate $0.5250 per $100
• Hospital Special District Rate $0.0581 per $100

Hondo has a tax abatement program as part of the incentives offered to businesses that are seeking to locate in our city. Each request for any tax abatement is done on a case by case basis. Upon your formal commitment to initiate your operation in Hondo, the city will consider designating your site as an Enterprise Zone project and Freeport Zone. This will allow you to take advantage of certain property tax exemptions and to apply for funding for your project from the State of Texas.

The City of Hondo Economic Development Office (COHEDC) will coordinate all applications for incentives offered by the State of Texas, Medina County and the City of Hondo. COHEDC works closely with new business prospects to facilitate their move to Hondo by coordinating with the City Code Compliance Department to facilitate permitting for your business.

Our community is an active grouping of people that are constantly seeking ways to improve our quality of life.

The City of Hondo has:

• An excellent school district that is in the process of implementing a $33m bond improvement plan.
• Hondo recently completed construction of a state of the art library.
• The Medina Healthcare System operates a 25 bed hospital with a surgical unit, 3 rural health clinics that are open 6 days a week; a 24-hour Level IV Trauma Certified Emergency Department and a Skilled Nursing and Rehabilitation Center.
• Active civic organizations such as the Rotary Club, the Lions Club, American Legion, VFW, Art League, Garden Club, Fair Association, Rodeo Association, Stock Show Association and many others offer volunteer opportunities for all our citizens.
• An active Little League baseball program, softball for all kids, a youth soccer league, a youth flag football program run by an active recreation center staff that offers services to the city and countywide youth.
• A recreation center that incorporates all our efforts to create more recreational and wellness opportunities for our children, adults and senior citizens.
• Over 100 acres of parks that are located in all parts of town to include a 9-hole golf course.
• A 20-acre nature trail serves as a physical fitness and education venue for all of our citizens and visitors alike.

We look forward to partnering with you to make your company an integral part of our local business community. Your business is important to us because it diversifies our business and commercial environment and provides Hondo with a presence in the national and international market. But more importantly, your company provides jobs for the community.