Brownwood City Council members approved an incentive Tuesday for the 3M plant in Brownwood of up to $400,000 over five years.
Council members ratified earlier action of the Brownwood Economic Development Corp. in approving the incentive, which will assist in upgrading technology and the development of the Specialty Products Manufacturing in the Brownwood plant.
The incentive provides $2,500 for each new full-time equivalent job created, capped at $80,000 annually for five years beginning Nov. 1, 2010, council members were told.
BEDC executive director James Campbell told council members the company made two requests for economic incentives, which were consolidated into a single request.
3M has created 13 new jobs, with more expected, in the Specialty Products organization, plant manager Dean Mill wrote in a Sept. 9 letter to Campbell. Mill described Specialty Products as “job shop” for various divisions.
The company has relocated eight machines from other 3M facilities to the Brownwood plant, Mill said.
The technology portion of the incentive is to support continuing technological upgrades. In 2009, 3M made a multi-million-dollar investment to construct a new manufacturing line designed to produce products that will allow the elimination of a 30-year-old product line, Mill said. The company is using 15 employees to support the new line and expects to increase the number of employees in the near future.
• Approved an ordinance on second and third readings approving the FY 2008/2009 end-of-year budget amendments. Six amendments will increase revenue by $64,135, and 16 amendments will increase expenditures by $96,979, creating a net deficit of $32,844.
• Approved a resolution to accept $50,000 from the Energy Efficiency and Conservation Block Grants (EECBG) Program. Qualified projects must show an energy savings to existing structures. A project the city has considered for use of the money is a new roof on the Coliseum Annex and as a match toward the Texas Parks and Wildlife grant.
• Approved a resolution to accept funds from the Texas Transportation Enhancement Program if the Camp Bowie Walking Trail is selected for funding. Funds from the program will pay for 80 percent of the $250,000 cost, with the city required to pay the remaining 20 percent, or $50,000.
• Accepted a quit claim deed from TNW Corporation, doing business as Texas Rock Crusher Railway. The company intends to donate six-tenths of an acre at West Main Avenue and Ninth Street which consists of a drainage ditch.
• Approved a resolution to declare used water meters as surplus property and authorize city staff to sell or trade the meters for the purchase of new meters.
• Approved Mayor Bert Massey’s appointments of Jack Davis, Jan Golub, Bobbie Jo Hubbard, Clay Riley, Pat McGhee and Bobbie Jo Simms to the Library Board.
• Heard City Manager Bobby Rountree report on:
— Letter from Rotonics Manufacturing general manager Jo Segura stating that the corporation will be dissolved by mutual consent of the partners as of Dec. 31.
The city will lose $12,000 to $14,000 a year in pilot taxes with the dissolvement of the company, Rountree said. He said he understands from Campbell that many of the company’s 22 employees have found jobs in the area.
— Park progress report. Interior demolition of the Coliseum Annex is complete, and other interior work is ongoing. City employees have completed the grading at the site of the new swimming pool. City officials will meet with National Guard representatives Friday, and it appears Guard representatives have been cleared to begin site work for the new ball fields.
— Corinne T. Smith Animal Shelter open house. The event is scheduled for 5-7 p.m. Thursday.