Council signals support for Endurance Technologies inducement as company eyes Las Cruces site

The Las Cruces City Council on Sept. 15 adopted an inducement resolution expressing the city’s intent to issue industrial revenue bonds (IRBs) for Endurance Technologies, a Canadian steel-pipe manufacturer that told council it expects to hire 41 workers and invest roughly $17 million if it locates here.

Elizabeth Teeters, the city’s economic development director, described the IRB as “an economic development tool available to counties and municipalities” that allows a qualified company to receive limited, statutory tax abatements and to use nontaxable transaction certificates for eligible purchases while bond and ordinance paperwork proceeds.

Jeff Pacura, president and CEO of Endurance Technologies, told council the company had identified a vacant industrial-park building that could support its operations and that the company “envision[s] starting with 25 in the first year of operations” and building to about 41 staff over roughly three years. Pacura said the site under consideration is about 45,000 square feet on a 15-acre parcel with room for expansion.

Davin Lopez of the development alliance and other local economic-development backers urged council to view the inducement as a step toward jobs and site reuse; the resolution enables Endurance to apply for tax-exempt certificates to begin equipment purchases while the formal IRB ordinance proceeds.

On a related economic-development matter, the council approved an ordinance to close out a Local Economic Development Act (LEDA) project with Saputo Cheese USA (formerly F&A Dairy). Economic development staff told the council Saputo exceeded the original job and investment targets: the company was expected to create 150 jobs and $30 million in capital investment under the agreement; staff reported Saputo created 216 new jobs and reported higher average wages. Council adopted ordinance No. 3096 to release security and close out the LEDA agreement early after the company met the agreement criteria.

Why it matters: The inducement resolution does not itself grant tax abatements; it signals council support for moving to the next step in the IRB process and allows the company to begin certain non-taxable purchases. If Endurance proceeds and the council later adopts an IRB ordinance, terms including payment in lieu of taxes and the length of any exemption would be set in the ordinance.

What’s next: Adoption of the inducement resolution permits Endurance to pursue purchase certificates and continue due diligence on the industrial-park site. A separate IRB ordinance would be required to finalize any tax abatement and bond structure; council will consider that later if the company proceeds.