Graham Backs TIRZ; Tax Incentives As Planning Tools

Young County Judge Win Graham says his first term in office has focused on modernizing county government while preparing Young County for growth that is already reshaping rural Texas.

A longtime business owner and community volunteer, Graham said he approached the county judge’s office with the mindset that local government must operate efficiently while planning for future economic pressures. During his first term, Young County balanced its budget each year while increasing salaries for county employees, including more than 20 percent raises for sheriff ’s deputies. Olney leaders have also praised Judge Graham for including the city in countywide housing and economic development discussions, particularly surrounding infrastructure, tax increment reinvestment zones and large industrial projects.

Olney Mayor Rue Rogers said he was “very appreciative of Judge Graham and his leadership, along with the full support the City of Olney has received from the Commissioners Court.”

“They see the benefit for the entire County in Olney’s growth and development, and they have partnered with us without hesitation. For this unwavering support, I’m very thankful,” Mayor Rogers said.

In a recent interview with the Enterprise, Judge Graham discussed the challenges rural counties face as major industrial projects spread across North Texas. The following interview has been edited for clarity and length.

Enterprise: Several questions at the April 28 candidate forum in Olney focused on the shortage of patrol deputies. Is there any way to increase manpower without additional revenue?

Judge Graham: There are really only three ways to create more revenue: build homes, raise taxes or bring in corporate investment.

The county could raise taxes to pay for more deputies, but there are not grants available for additional patrol deputies. Another option is bringing in businesses that become corporate taxpayers and help offset the burden on residents.

Enterprise: You mentioned deputy salaries during the forum. What changes have been made during your administration?

Judge Graham: Sheriff ’s deputies have received over a 20 percent raise since I took office.

County employees did not receive many raises under the previous administration, and we have worked to make major improvements in salaries while balancing the budget each year.

Enterprise: Sheriff Babcock said Young County risks being overwhelmed by growth and increased traffic from neighboring counties unless the county finds additional revenue. Do you agree?

Judge Graham: Yes. That is a valid point. The jail currently averages between 60 and 90 inmates, and a large portion of those inmates come from neighboring counties that pay Young County to house them. Liberty County regularly sends inmates here, along with Archer County and others.

The jail is making money for the county, and that money is being reinvested into the jail and sheriff ’s department because the facility is aging and requires expensive maintenance.

Enterprise: Texas leaders are aggressively recruiting data centers and large industrial projects. Does Young County have any legal ability to stop a data center project if one wants to locate here?

Judge Graham: No. Texas counties do not have zoning authority. Landowners have the right to use their land as they choose, and counties cannot stop projects like data centers, slaughterhouses or industrial operations. Counties are limited mostly to septic regulations. Cities have zoning authority, but counties do not.

Enterprise: What happens if neighboring counties receive these projects and Young County deals with the traffic and law enforcement issues without receiving additional tax revenue?

Judge Graham: That is absolutely possible. Every county in Texas currently has some kind of potential data center project. If neighboring counties build them, Young County could still experience increased traffic and law enforcement demands without receiving direct revenue.

At the same time, if Young County refuses development entirely, the county gets nothing while still absorbing the impacts from surrounding growth.

Enterprise: Are you already seeing economic spillover from projects in neighboring counties?

Judge Graham: Yes. Construction workers connected to the solar farm project near the Jack County line are staying in Graham hotels and eating at local restaurants. We are already seeing increased business activity from nearby projects.

Enterprise: Some residents oppose tax abatements for industrial projects. Why are abatements important?

Judge Graham: Tax abatements are the only real tool counties have to negotiate additional support from large projects. For example, the county’s agreement with the proposed solar farm requires a $300,000 payment to Young County that will be divided between volunteer fire departments and the sheriff ’s office. Without an abatement agreement, counties cannot require companies to contribute anything beyond normal taxes.

Enterprise: Some residents argue the county should reject abatements and simply collect full taxes later.

Judge Graham: If a company builds without an abatement, the county eventually receives substantial tax revenue once construction is complete.

A single data center could generate roughly $5.8 million annually in tax revenue. The problem is timing. If construction began in 2027, the county likely would not receive tax revenue until 2029 because taxes are not collected until construction is complete.

There is a two-to-three-year lag between the start of construction and the arrival of tax revenue.

Enterprise: During that lag period, could the county face increased law enforcement and infrastructure demands without additional revenue?

Judge Graham: Yes. That is one reason the county needs to negotiate support during the abatement process. If the county enters into a data center abatement agreement, one requirement should be funding for 10 additional deputy positions, including vehicles, equipment and training.

Ten additional deputies would allow Young County to maintain two patrol deputies on duty around the clock.

Currently, patrol coverage rotates between one and two deputies.

Enterprise: Why is patrol staffing such a major issue in rural counties?

Judge Graham: Every arrest removes officers from patrol for long periods of time. An officer may spend 15 minutes to an hour on scene during an arrest, then drive the inmate to jail, complete paperwork and return to patrol. For Olney officers, simply transporting an inmate to the jail and returning can remove an officer from patrol for a significant amount of time. With small departments, every arrest has a major impact on patrol coverage.

Enterprise: Housing shortages have become another growing concern. Are you seeing signs of that problem spreading into this region?

Judge Graham: Yes. Housing shortages are already happening in places like Abilene because of large construction projects and increased demand from workers moving into the area. We already have a housing shortage in Young County. If housing is not expanded, renters absolutely could be pushed out as landlords seek higher-paying tenants connected to industrial projects.

Enterprise: You strongly supported the county’s participation in local TIRZ agreements designed to encourage housing development. Why?

Judge Graham: The TIRZ agreements may be one of the most important things we have accomplished during my administration. Those agreements are designed to encourage outside housing development and address long-term housing shortages in communities like Olney.

Without additional housing, growth pressures will eventually affect both renters and homeowners.

Enterprise: If the county must hire additional deputies and expand services, could property taxes eventually rise?

Judge Graham: Yes. That is fair. If the county has to raise additional revenue to support law enforcement and infrastructure, local taxpayers will ultimately bear that cost.

Enterprise: Have state leaders provided meaningful help to rural counties dealing with these growth pressures?

Judge Graham: No. The state’s property tax relief programs have not made a noticeable difference.

Enterprise: What do you think voters should understand about the debate over growth, tax abatements and industrial projects?

Judge Graham: People need to think through the long-term consequences. If neighboring counties continue growing while Young County refuses development entirely, Young County could still absorb the traffic, law enforcement and housing pressures without receiving additional revenue to deal with them.