City approves Chapter 380 retention deal to keep Halliburton operations in Victoria

The Victoria City Council on Tuesday approved a Chapter 380 economic development agreement meant to retain Halliburton Energy Services Incorporated’s equipment and local operations in Victoria.

City staff told the council the company’s potential relocation would have removed a major taxpayer and cost the city an estimated $1.5 million in combined city and sales‑tax development revenue. Under the agreement presented, Halliburton would commit to retaining a minimum of $150 million in property value at its local site and at least 40 local jobs. In exchange, the city would rebate up to $500,000 from sales and use tax receipts over a five‑year period.

The council had the item on its agenda as a business retention measure. City staff introduced Michael Henry, identified in the meeting as Halliburton operations manager, and Sharon Bernard of the Victoria Development Corporation was present and acknowledged for her role in negotiations. After a brief presentation, a council member moved and the council voted to approve the Chapter 380 agreement by voice vote.

City staff described the agreement as a team effort involving the Victoria Development Corporation and city departments. Mayor Duane Crocker thanked staff and local partners for working “all hands on deck” to find a solution to keep the company and the associated tax and employment base in Victoria.

The resolution authorizes the city manager to enter into the economic development agreement with Halliburton under Texas Local Government Code Chapter 380. Specific rebate payments, performance milestones and the contract schedule will be documented in the written agreement executed by the parties.