Hunt County approves tax abatement and Chapter 381 Freeport agreement for Polaris distribution center

Hunt County Commissioners on Jan. 14 approved a tax abatement agreement and a Texas Local Government Code Chapter 381 Freeport agreement for Polaris Industries’ proposed distribution center in Hunt County Reinvestment Zone No. 1.

The commissioners approved the written tax abatement between Hunt County and Polaris Sales Inc. and separately approved the Chapter 381 Freeport agreement after two public hearings in which no members of the public spoke for or against the project.

Why it matters: The planned facility is described by county and development officials as a major private investment in the county industrial park. County staff said the project would add a 400,000-square-foot distribution center on roughly 40–45 acres, a projected capital investment of about $68 million and about 60–67 new jobs with an average annual pay of about $55,000.

Greg Sims of Greenville Board Development, who presented the project to the court, said Polaris — a publicly traded company based in Minnesota that makes off-road vehicles and Indian Motorcycles — plans a Class A distribution facility with racking and conveyor systems to serve regional dealers. Sims said Polaris will take approximately half of a larger 95-acre site owned by the industrial park and that the development will include detention ponds, employee and truck parking and fire-department circulation.

Polaris representative Paul Eicoff told the court the company operates three other U.S. distribution centers and is seeking to be closer to its dealers in the region. "This is a game changer for us when you can do free land and incentives because then it makes sense to be closer to customers," Eicoff said.

Terms and conditions: County staff said the proposed package includes 50% tax abatement on real property and equipment for 10 years each and a 20-year Chapter 381 Freeport agreement; the company will also receive the land and enter a voluntary pilot agreement with the City of Greenville for water, sewer and other city services. Sims told the court Polaris requested a roughly three-year delay before the abatements would take effect; he said that delay is included in the agreements to allow the company flexibility depending on market conditions.

During discussion, a county commissioner asked whether Polaris could begin construction earlier if market conditions improve. Eicoff responded the three-year start was not fixed in the sense of preventing an earlier start: the company had planned to start last year but delayed because of falling sales, and it will move forward sooner if sales recover.

Public process and vote: The court opened public hearings on both the tax abatement and the Chapter 381 Freeport agreement; no public speakers addressed either hearing. Each item drew a motion, a second and an aye vote. The judge declared both motions carried and welcomed Polaris to Hunt County.

What’s next: County staff and the city will complete site engineering and finalize a pilot agreement for city services once Polaris advances the site work and project timing.