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Council approves amendment to American Spiral Weld Pipe tax abatement to honor COVID delay
Summary
Paris City Council voted 4-0 to amend a tax abatement agreement for American Spiral Weld Pipe Company to extend the abatement period by one year, reflecting pandemic-related construction delays and aligning local practice with the appraisal district.
The Paris City Council on March 10 approved a resolution amending the tax-abatement agreement with American Spiral Weld Pipe Company, LLC, extending the abatement period by one year to honor delays caused by the COVID-19 pandemic.
Staff said the original agreement, executed in 2018, included a seven-year, deescalating abatement that was to start in 2020 and end in 2026. "As part, as Stephanie mentioned, American Spiral Well was announced in 2018 and as part of their incentive package, they were offered a 7 year deescalating tax abatement," said Stephanie Maureen Hammond, executive director of the Economic Development Corporation, during her presentation. Hammond said supply-chain delays pushed the company's building completion from 2020 to 2021; the amendment extends the abatement to 2027 so the company is not penalized for that pandemic-related delay.
Hammond said the company exceeded projections: it had forecast up to 100 new jobs and a capital investment of $90,000,000 at announcement, and "fast forward to today, they are employing 150 people in this community," she said. She added the jobs "are all well above the county average of 50,000, have benefits. They have a wonderful corporate culture. And so, they have exceeded all of our expectations." City staff also said Lamar County Appraisal District (LCAD) has been treating the abatement as if the first year were 2021; the amendment would conform the city agreement to LCAD’s treatment.
Council discussion was brief and supportive. The council moved and seconded the resolution (mover and seconder not specified in the record); the vote carried 4-0.
The amendment keeps the structure of the original incentive package while shifting its start/end dates to reflect actual construction and operation timelines, city staff said.
