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Commission amends contract language and approves Project Decor incentive; staff projects hundreds of jobs

Ennis City Commission · July 16, 2024
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Summary

After finding a mismatch between typed and numeric language in the incentive agreement, the commission amended Article 3 from $75,000,000 to $70,000,000 and approved the Project Decor tax‑rebate agreement; staff projected large capital investment and about 274 jobs.

ENNIS, Texas — The Ennis City Commission on July 16 approved the economic development agreement for “Project Decor” after amending a written/number discrepancy in the contract.

Economic Development Director Jim Wehmeyer described Project Decor as a campus‑style industrial development on Oak Grove/Red Road, with projected sales near $300 million annually, a capital investment figure presented to the commission of approximately $107.5 million and a projection of about 274 new jobs. The city proposed a tax‑rebate structure that would refund 70% of qualifying city property taxes for a set period as a development incentive, funded from designated tax increment funds and the general fund.

During final review, staff and commissioners identified a mismatch between the written dollar amount in Article 3 (typed as $75,000,000) and the numeric figure ($70,000,000) printed elsewhere in the contract. Commissioner Haney moved an amendment to change the written wording to read $70,000,000 to match the numeric value; Commissioner Jones seconded the amendment. The amendment passed by voice vote, and the commission then adopted the amended agreement.

Jim Wehmeyer summarized the fiscal projections for the commission, including the city’s expectation that the development would generate property‑tax revenue that increases substantially after the incentive period expires. Wehmeyer emphasized that incentives are structured to capture increment and are not intended to fully offset taxes from day one.

The commission’s approval directs staff to proceed with implementation steps and to coordinate with Ellis County, which must consider matching or companion actions as part of the incentive package. The developer and city will follow the contract’s reporting and verification requirements before rebate payments are made.

The city clerk recorded the amendment and the vote; the agreement proceeds to subsequent administrative steps to finalize the incentive package.