Bastrop, Tx–Buc-ee’s, the convenience and travel center retail chain, wants to build a 45,000-square-foot store in Bastrop, but needs a 10-year sales tax break to do so, the city council heard Tuesday.
Buc-ee’s founder Beaver Aplin offered two arguments to justify the rebate request. First, he said, his bank needs the assurance of sales tax rebates as security for the construction loan, estimated at $6.8 million for the store at Texas 95 and Texas 71. Aplin also argued that some street and utility work required by city rules will provide benefits to adjoining property owners as well as his project.
Aplin asked for the city’s 1.5 percent sales tax on store sales to be reimbursed to Bec-ee’s for 10 years. That represents the share of the state’s 8.25 percent salex tax which currently goes to the city and the Bastrop Economic Development Corp. He is not seeking relief from local property and other taxes.
The rebate, if approved, could amount to some $150,000 a year. Aplin said his proposed store will not really compete with other local convenience stores because it’s a different class of operation.
Council Member Joe Beal asked for a formal written abatement proposal from Aplin before the council considers the request further.
Council Member Julie Hart said she encourages local retail competition as long as “it’s on a level playing fied,” suggesting that a sales tax rebate for Buc-ee’s might tilt the advantage.