PRESENTER: Presenter
Jeff Jewell, Director of Economic and Community Development
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SUBJECT: Title
Approval of a resolution nominating CEMEX Construction Materials South, LLC for designation as an Enterprise Zone Project under the State of Texas Enterprise Zone Program under the Texas Enterprise Zone Act, Chapter 2303, Texas Government Code
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DEPARTMENT: Economic and Community Development
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COUNCIL DISTRICTS IMPACTED: N/A
BACKGROUND INFORMATION:
CEMEX Construction Materials currently owns and operates a cement manufacturing facility located in the City of New Braunfels’ extra-territorial jurisdiction known as the Balcones Plant. The City has an Industrial Development Agreement with CEMEX which prohibits the City from annexing the property and a payment-in-lieu-of-taxes from CEMEX to the City.
CEMEX plans to invest more than $31 million into its New Braunfels facility. In 2023, this investment will include more than $12 million in construction and $5 million in equipment related to the replacement of the primary crusher, sand scale upgrades, as well as purchasing new mobile equipment. Over the next five years, the investment will include $14 million in strategic growth with new and upgraded Balcones plan H2 injection and manufacturing systems. All investments will aid in optimizing the plant and increase productivity for years to come.
CEMEX wishes to submit application to the State of Texas for designation as an enterprise project. The City has previously nominated CEMEX for this designation in 2017.
Officials from CEMEX and their consulting firm leading this nomination will attend the City Council meeting to answer questions.
FISCAL IMPACT:
N/A
Recommendation
RECOMMENDATION:
Staff recommends approval of a resolution nominating CEMEX Construction Materials South, LLC for designation as an Enterprise Zone Project under the State of Texas Enterprise Zone Program