McLennan County approves $4.3 million portion of $8.6 million EDC grant for Graphic Packaging project

McLennan County Commissioners on Tuesday approved a program project agreement that directs part of an $8.6 million Economic Development Corporation (EDC) grant to support Graphic Packaging International’s new Waco facility.

The court voted to authorize the county judge to sign a finalized three‑party agreement, pending final legal review. The package splits $8.6 million between Graphic Packaging and the Waco Industrial Foundation; the county’s share is $4.3 million.

The agreement covers roughly $4.3 million designated to Graphic Packaging for construction of a rail spur and reimbursement for a traffic signal at Bagby Avenue, while the remaining $4.3 million is allocated to the Waco Industrial Foundation for natural gas infrastructure, including a city‑gate improvement and the line extension along Sheehy Parkway. Payments are contingent on completion and acceptance of the specific improvements.

County staff described the project as a billion‑dollar capital investment with about 190 direct jobs averaging $65,000 in annual pay plus benefits; staff estimated a 20‑year combined return on investment of 26.8% and county payback in about 6.4 years. The presentation also noted the company’s construction activity to date, including about $70 million spent with local suppliers and contractors and recent acceleration of the schedule that could move operations to October 2025.

The court heard that extensive public infrastructure — new road (Sheehy Parkway), sidewalks, water, sewer, electrical and natural gas distribution, a traffic signal and rail work — has been constructed or is under way to serve the site. Staff said the natural gas line is complete, the traffic signal is expected to be operational by the end of the month, and rail work is in progress.

Judge Felton moved to approve the agreement as presented and to allow the county judge to sign following a final staff and legal review; the motion passed unanimously.

Officials said additional disbursement paperwork will return to the court once the improvements are accepted so the Industrial Foundation and Graphic Packaging can receive reimbursement.