Hutto, Texas : At a Glance
Community Demographics and Statistics
Hutto, Texas. Conveniently Connected™
Welcome to Hutto, Texas.
Hutto is proud to offer its residents an exceptional quality of life and a low
cost of living. Although our community has grown rapidly, we still retain
the familiarity and comfort of small-town life, while offering easy access to
the amenities of major markets such as Austin and San Antonio.
Location
The Austin Region
Hutto, Texas has undergone a transformation over the past decade from a sleepy, rural Texas farm town of 1,250 to one of Austin’s
fastest growing suburb. The impetus for Hutto’s exponential growth has been quality, affordable housing and quality public schools
coupled with the opening of SH-130 on the new Central Texas turnpike System. Low crime, quality schools, moderate taxes, and
convenient access to the Austin region and state have resulted in honors such as Hutto being named one of the “Top 100 Places in Major
Markets to Locate Your Business” by Southern Business & Development as well as a host of other accolades.
“The Austin metro offers your business the best of all worlds. We’re
easygoing and entrepreneurial. Pro-business and pro-environment.
Get down to business in Austin.”
The Austin Chamber of Commerce
Population
Growth, Distribution & Educational Attainment
All the growth and change has not eroded a strong sense of community pride that has permeated Hutto since it was first settled in the
mid 1800’s. Swedish and German immigrants came to this area to farm and ranch and begin their new lives in America. However, a
slave, Adam Orgain, was actually the first person to live in the immediate Hutto vicinity having been placed out on the black land prairie
by his owner to watch after the cattle and livestock holdings.
Hutto is perhaps most widely known for its high school
mascot-the hippo. According to local historian Mike Fowler,
there are several alternate stories about the beginnings
of the unique Hutto mascot. One is, the big Swedish and
German boys of Hutto were playing their smaller foes in
football, and the visiting coach exclaimed “We can’t beat
those boys, they’re big as hippos!” Another story, also based
on gridiron lore, is that the Hutto football team in the early
twenties had no real jerseys and used feed sacks as their
uniforms. The opposing coach allegedly said that the football
team looked like a bunch of hippos in their makeshift outfits.
The most popular local legend is that in 1915 a circus train
stopped in Hutto at the depot to take on passengers, pick up
and deliver mail and possibly take on water and fuel for the
steam locomotive. The circus train workers also would have
taken this opportunity to care for their animals. At some
point during this historic layover, a hippopotamus got out
of the railcar and made its way to the nearby Cottonwood
Creek which is next to the rail line. This caused much
consternation for the circus workers. Local farmers and
merchants watched the commotion in amusement and with
interest as unsuccessful efforts were made to extricate the
hippopotamus from the muddy waters of Cottonwood Creek.
The Depot Agent telegraphed the communities of Taylor
and Round Rock that were eight miles to the east and west
of Hutto to the effect of: “STOP TRAINS, HIPPO LOOSE IN
HUTTO”. After much effort the hippo was prodded from the
mud and water that resembled its natural habitat and was
reloaded back onto the train car. Soon afterward the Hutto
School adopted the hippopotamus as its mascot and as early
as 1923 the hippo appeared on official Hutto High School
graduation announcements. Hutto is the only community in
the United States with the Hippo as its mascot.
The City of Hutto has seen exponential growth and development over the last ten years, and plans for the future
continue to develop.
Over the last decade, Hutto,
Texas has seen unprecedented
growth, translating into a
population
of
increase
of
over 1,500% since 2000. This
growth can be attributed to
two things: the growing Austin
metro area and new roads.
With the introduction of the
Central Texas Turnpike System
came the construction of SH130
through Hutto’s backyard. Now
thousands have chosen to make
their home in the once rural
town of Hutto, making it a lively
and integral part of the Austin
Metro area.
The City of Hutto is well known
for its outstanding service to the
people of Hutto and its strong
focus on growth and progress in
the community. The hard work
of the City is evident through
its awards and honors from the
Texas Municipal League, The
Government Finance Officer’s
Association (GFOA) and Texas
Association of Governmental
Information
Technology
Managers (TAGITM).
With close proximity to Austin, a safe and burgeoning community, and convenient access to amenities Hutto is
prime for continued growth.
An educated workforce is key to
having a dedicated and diverse
workforce. In the Hutto area,
36.1% of the population has a
college degree, compared to the
national average of 27.2% and
a state average of 25.5%. This
educational attainment shows
that the Hutto community is
diverse, skilled, and capable of
adapting to the changing needs
within the workforce.
The
US
Census
Bureau
Glossary defines educational
attainment as “the highest
level of education completed
in
terms
of
the
highest
degree or the highest level
of
schooling
completed.”
Overall the households and
demographics featuring the
highest educational attainment
in the United States are also
among those with the highest
household income and wealth.
Thus, while the population as a
whole is proceeding further in
formal educational programs,
income
attainment
correlated.
and
educational
remain
highly
Local & State Tax Information
Texas features no personal or corporate income tax, and overall the state
has one of the lowest state and local tax burdens in the nation, ranking
44th lowest among the 50 states in taxes paid per $1000 of personal
income.
Property Tax
The property tax is the largest source of funding for local services in Texas. Property taxes help to pay for public schools in the Hutto
Independent School District, municipal services in the City of Hutto, Williamson County roads and services, Hutto Fire & Rescue fire
protection and many other services. Property taxes are based on monetary value. For example, the property tax due on a vacant lot
valued at $10,000 would be ten times as much as the tax for one valued at $1,000.
Sales Tax
The composite sales tax rate in the City of Hutto is 8.25%. The rate is comprised of 6.25% for the State of Texas, 1% for the City of
Hutto .5% for property tax reduction in the City of Hutto, and .5% Section A (Formerly 4A) economic development sales tax that funds
the Hutto Economic Development Corporation.
Hotel Occupancy Tax
The City of Hutto collects a Hotel Occupancy Tax (HOT) from hotels, motels and bed and breakfasts. Under state law, the revenue for the
HOT may be used only to directly promote tourism and the convention and hotel industry. The current composite rate in the City of Hutto
is 13%. Of that 7% is levied by the City of Hutto, and 6% is levied by the state of Texas.
Local Taxation Rates 2014 (per $100 of assessed valuation)
Hutto ISD
$1.67
City of Hutto
$0.5287
Williamson County
$0.489
Emergency Service District
$0.10
Temple College
$0.05
Brushy Creek Water
$0.02
Total Property Tax
$2.8577
Unemployment Insurance
Businesses that employ one or more individuals may be subject to the state unemployment tax. In 2012, new employers pay 2.7% on
the first $9,000 of wages per employee. A minimum of six quarters is required to obtain an experience rating in order to determine
an employer’s revised rate. The Texas Workforce Commission indicates that the effective tax rate in 2012 ranges from a minimum of
0.61% to a maximum of 7.58% for experienced‐rated accounts and the average experience tax rate is 1.87%.
ESTIMATED EMPLOYER CONTRIBUTION RATES, 2012
Average employer tax rate as a
percentage of taxable wages
Average employer tax rate as a
percentage of total wages
Texas
3.18%
0.68%
United States
3.33%
0.93%
*Source: U.S. Employment & Training Administration, Average Employer Contribution Rates by State.
Workers’ Compensation
Texas’ workers’ compensation is managed by the Division of Workers Compensation of the Texas Department of Insurance. Workers
compensation is not mandatory in Texas.
The Texas Workers’ Compensation Act limits a business’ liability for job‐related injuries if the employer has a workers’ compensation
policy from a licensed insurance carrier or has been certified to self‐insure by the Texas Workers’ Compensation Commission. Only
companies specifically licensed to sell workers’ compensation in Texas may legally offer such insurance. They may sell only the
standard policy adopted by the Commissioner of Insurance.
Businesses without workers’ compensation coverage—including those with alternative coverage—face unlimited liability if an
employee is injured and can prove in court that the employer was negligent in any way.
The TDI publishes a rate guide to assist employers in comparison shopping for workers’ compensation and employers’ liability
insurance in Texas. It identifies the rates filed by insurance carriers for Texas.
Legislation that became effective in 1992 requires insurance carriers to develop and file their own rates which has resulted in rates
and rating plans varying from one insurance carrier to another. It is now to an employer’s benefit to shop around for the most affordable
coverage.
Texas employers are assigned one or more classifications based on the type of business. Each employee’s payroll is then assigned to
the appropriate classification. The total payroll for each classification is then multiplied by the insurer’s filed rate for that classification
(rate per $100 payroll) to determine premium. The employer’s basic premium is the sum of the individual classification premiums.
There are other factors that may be utilized to increase or decrease the employer’s premium. An experience rating modifier that
reflects the employer’s past loss history may be applied to the premium. (The employer may be able to negotiate the experience
modifier downward if they have improved loss ratios or implemented improved safety programs.) A schedule rating debit or credit may
be applied to the premium depending on individual characteristics of the employer’s business that may not be reflected in the rate.
In addition, there are several optional rating plans such as deductibles or retrospective rating that are available to insureds that may
reduce premiums.
Texas has adopted a classification system for workers’ compensation and employers’ liability insurance which specifies approximately
400 classifications. All insurers must use the classifications contained in the Texas classification system. The Texas classifications may
differ significantly from those used in other states. Insurance companies must use Texas classifications, but the rates for the individual
classifications may differ from one company to another.
Texas publishes basis of rate tables which set out the relativities by classification which are the base rates for a majority of insurance
carriers.
Workers Compensation Program costs: benefit Payout as a percent of covered wages
2008
2009
2010
Texas
0.44%
0.48%
0.39%
United States
0.97%
1.02%
0.99%
* National Academy of Social Insurance, Workers’ Compensation: Benefits, Coverage, and Costs, 2010, August 2012
Income Tax
Texas has no personal income tax. At all. Period.
Corporate Franchise Tax
In 2008, Texas replaced its franchise tax with a tax based on the taxable entity’s “margin.” Changes made by the 79th and 80th
Legislatures amend Texas Tax Code Chapter 171 to revise the existing franchise tax by changing the tax base, lowering the rate, and
extending coverage to active businesses receiving state law liability protection. The changes are effective for franchise tax reports
originally due on or after January 1, 2008. The Texas Comptroller has published detailed information on the revision in the Franchise Tax
Overview as well as a Franchise Tax Calculator worksheet.
Entities Subject to Tax
The tax applies to corporations, limited liability companies, partnerships (general, limited and limited liability), business trusts,
professional associations, business associations, joint ventures and other legal entities organized in Texas or that do business in Texas.
The tax is not imposed on: sole proprietorships, general partnerships directly owned by natural persons, and other specified entities such
as certain financial services businesses, nonprofits, and others.
In addition, a corporation in Texas engaged solely in the business of manufacturing, selling, or installing solar energy devices is exempted
from the franchise tax. There is no ceiling on this exemption, so it is a substantial incentive for solar manufacturers.
Cost of Living
Local & National Comparison
Texas consistently ranks as one of the nation’s most favorable business climates based on its low tax burden and competitive regulatory
environment. In Texas, aggregate costs for real estate, energy, wages and taxes are below most states in the country.
Texas features no personal or corporate income tax, and overall the state has one of the lowest state and local tax burdens in the
nation, ranking 47th among the 50 states in taxes paid per $1000 of personal income.
Higher Education at a Local Level
Hutto, Texas features a unique blend of traditional and community based
higher education. With close proximity to a multitude of nationally
recognized higher education institutions partnered with the new home of
Texas State Technical College and Temple College, Hutto can fulfill any
higher education requirements you may have.
EWCHEC-Hutto Details
• Multi-Institution Teaching Center (MITC) authorized
by 80th Session of the Texas Legislature in 2007.
• Temple
College,
Texas
State
Technical
College-Waco, and A&M Central Texas are the
institutions on the campus.
• Phase I was completed in Fall 2013.
• Campus is adjacent to SH-130 and CR 108.
• The first building houses both traditional academic
classroom space as well as space for technical
education.
• Supported by a Branch Campus Maintenance Tax (BCMT) passed by Hutto Independent School District voters in 2011. Branch
Campus Maintenance Tax was passed with 72% voting in favor of 5 cent tax.
• Additional funding made through an interlocal agreement between the Hutto Economic Development Corporation, Hutto
Independent School District and the City of Hutto.
Higher Education
Within 100 miles of Hutto, TX there are
over 25 higher education institutions,
some with multiple locations and
branches. When you come to Hutto, you
have your pick of some of the nations
top schools at your doorstep. From
workforce development to research
institutions, all your needs can be met
within minutes of Hutto.
Conveniently Connected™
Local & National Comparison
Hutto, Texas is Conveniently
ConnectedTM
to
the
entire
Central Texas region, and even
the entire nation, because of
the
well-integrated
highway
system which comprises the local
transportation makeup.
Hutto
sits on SH-130, which consists
of 90 miles of four-to-six-lane
roadways, creating an easy and
hassle free alternative route
around Austin.
Interstate 35, which runs from
Mexico to Canada, is located
only 8 minutes to the West of
Hutto, and US Highway 79, which
stretches from Round Rock, Texas
to Shreveport, Louisiana, runs
straight through the heart of
Hutto.
Hutto also boasts the unique
position of being located on a
Union Pacific Red Line, enhancing
the connectivity of the community
and making it accessible, not only
throughout Texas, but also the
rest of the nation.
321 Ed Schmidt Blvd., Suite 200, Hutto, Texas 78634
512.759.2806 • www.huttoedc.com