Emerson to move Division Headquarters, 750 jobs to Round Rock
125 additional jobs to be added over next three years
|Mayor Alan McGraw, left, shakes hands with Emerson's Jim Nyquist following the City Council's approval of a memorandum outlining an incentive agreement between the City and the company.|
The Round Rock City Council approved a memorandum of understanding on June 21 with Emerson Process Management
for financial incentives that will bring 750 new jobs to Round Rock in 2012, with an additional 125 jobs to be added over the next three years.
On June 17, Emerson finalized its purchase of Frontera Vista at La Frontera in Round Rock. The property includes 278,860 square feet of office space and a parking garage on a corporate campus. Emerson also expects to occupy 10,000 room nights annually at area hotels.
"Our decision was based on many factors, but the combination of the facility and the strong business climate in Round Rock and Williamson County was hard to beat,â€ť said Jim Nyquist, President of Emersonâ€™s systems and services division, based in Austin.
The facility, located at 1100 W. Louis Henna Blvd., will house the international headquarters and technology center for Emerson Process Management, which delivers automation technologies and services to the chemical, oil and gas, refining, pulp and paper, life sciences and other industries.
â€śWe are proud that Emerson has chosen Round Rock for its new division headquarters,â€ť Round Rock Mayor Alan McGraw said. â€śTo have another company of this caliber select Round Rock reaffirms our cityâ€™s position as a preferred locale for business.â€ť
Said Williamson County Judge Dan A. Gattis: â€śThe chance to increase the job base in Williamson County is good for our county and the metro area.â€ť
The $1.75 million incentive package (see details below) will include support from the City, County and from the Momentum Economic Opportunity Fund of the Round Rock Chamber of Commerce and Economic Development Partnership.
â€śThe Round Rock Chamber of Commerce collaborated closely with our elected officials to attract Emerson,â€ť Chamber Chairman Jim Shelgren said. â€śWhat is significant is that the Chamber money comes from the private sector through our Momentum Program. We look forward to welcoming Emerson to the Round Rock community.â€ť
Dave Porter, Senior Vice President of Economic Development at the Greater Austin Chamber of Commerce, applauded the deal.
â€śWe are thrilled Emerson will be staying in Central Texas and adding a number of good paying jobs,â€ť Porter said. â€śEmerson has been a great corporate citizen and we look forward to many more years of success at their new Round Rock location.â€ť
|City of Round Rock||$750,000 in Program Payments over seven years |
$250,000 in cash from existing Economic Development incentive fund
|Williamson County||$500,000 in Program Payments over seven years|
|Round Rock Chamber of Commerce||$250,000 in cash from Momentum Economic Opportunity Fund|
| TOTAL||$1.75 million|
City of Round Rock Program Payments will be made through an economic development agreement pursuant to Chapter 380 of the Texas Local Government Code. Williamson County Program Payments will be made through an economic development agreement pursuant to Chapter 381 of the Texas Local Government Code. Chapter 380 and 381 agreements can be more efficiently created and administered than tax abatement agreements.
Both the City Council and County Commissioners voted to approve on Tuesday, June 21, on a Memorandum of Understanding outlining the performance standards Emerson must achieve to receive the program payments:
- Invest $25 million in facility improvements and personal property
- Transfer 750 existing jobs
- Add 125 new jobs over three years beginning Jan. 1, 2012
- Generate at least 10,000 hotel/motel nights per year in City
Formal agreements are expected to be voted on by both bodies within a month.
The $250,000 in cash from the City and the $250,000 in cash from the Chamber of Commerce Momentum Economic Opportunity Fund will be payable when Emerson receives a Certificate of Occupancy for the buildings, which is expected no later than March 2012.
The City also intends to waive permit fees and expedite approvals of required permits.
Frontera Vista is currently appraised at approximately $20 million by the Williamson County Appraisal District.
Just north of Austin, with a population of over 100,000 residents, Round Rock is one of the nationâ€™s fastest growing and most economically vibrant cities. It is home to four hospitals, multiple higher education campuses, quality schools, safe neighborhoods, Fortune 500 companies and thriving small businesses, and Triple-A baseball.
Posted: Monday, June 20, 2011