The San Antonio City Council on Thursday will consider adopting a new economic incentive program that would provide $800,000 of taxpayer funds to support tech startup companies.
And it’s not available to just any tech startup.
The pilot program would specifically support the entrepreneurs and companies participating in the Techstars Cloud accelerator program in partnership with Tech Bloc, a year-old technology booster organization.
The proposed four-year pilot program called the “Techstar Talent Retention Pilot Program” would provide $200,000 a year for four years to companies participating in the Techstars Cloud program. Four companies would be eligible for up to $50,000 each in grants for each class. The program’s goal is to recruit and retain 16 companies by 2020.
In addition, the City Council will consider amendments to the Economic Development Incentive Fund to “provide for investments in entrepreneurial development activities and workforce development programs.”
“This program supports talented entrepreneurs who are building high-growth companies in San Antonio, demonstrating our commitment to becoming a globally competitive city where everyone has the opportunity to succeed,” Mayor Ivy R. Taylor said in a news release. “Partnering with Tech Bloc on this pilot program allows us to continuously improve our approach to secure promising tech entrepreneurs who are potentially building the next Rackspace or Facebook right here in San Antonio. In addition, we updated our incentive toolkit, expanding our commitment across other industries and providing more workforce development options so residents have better access to jobs created by these new companies.”
Under the proposal, Tech Bloc would manage the program for the city.
So far, 44 companies have participated in the Techstars Cloud program, founded in 2012, and only eight have remained in San Antonio.