Council nominates Flint Hills Resources for state enterprise zone for $150M investment, 500 retained jobs
Loading...
Summary
The council approved a resolution nominating Flint Hills Resources for the Texas Enterprise Zone Program after staff described the company's $150 million capital investment package and retention of 500 jobs; councilmembers noted the tax/IDA tradeoffs that accompany incentive nominations.
The City Council voted to nominate Flint Hills Resources for the Texas Enterprise Zone Program after a presentation from the Corpus Christi Regional Economic Development Corporation.
Randy Almaguerre of the regional economic development corporation told council that Flint Hills is seeking state enterprise zone designation tied to a capital investment (machinery and equipment) of about $150 million and a commitment to retain roughly 500 jobs. The program provides a state-level sales-and-use tax refund on qualifying purchases; the application requires a local resolution and the city manager's signature.
Council members discussed the local tradeoffs. Councilwoman Sylvia Campos asked staff to explain the interaction between enterprise zone incentives and local industrial district/abatement mechanisms; councilmembers noted that large investments and pilot agreements can delay or reduce local tax receipts for several years, and some asked whether other large local taxpayers might undertake similar requests in the future.
Councilman Campos said she appreciated Flint Hills' long presence in the community but urged continued local participation in community investments. The motion to nominate the company for the state program passed unanimously.
Ending: City staff will sign and forward the local resolution and required documentation to support Flint Hills Resources' application to the Texas Enterprise Zone Program; the nomination does not itself change local tax agreements or abatements.
