city of San Antonio


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File #: 19-7960   
Type: Resolution
In control: City Council A Session
On agenda: 10/31/2019
Posting Language: Resolution approving the nomination of Navistar, Inc. to the Office of the Governor Economic Development and Tourism through the Economic Development Bank for designation as a qualified business and enterprise project under the Texas Enterprise Zone Program under the Texas Enterprise Zone Act, Chapter 2303, Texas Government Code.
Attachments: 1. Chapter 380 Agreement, 2. E16 Program Agreement, 3. Tax Abatement Agreement, 4. Draft Ordinance - Part A, 5. Draft Ordinance - Part B, 6. Draft Ordinance - Part C, 7. Draft Resolution - Part D, 8. Contract Disclosure Form, 9. Resolution 2019-10-31-0064R
Related files: 19-7958, 19-7959, 19-7290, 19-7957
DEPARTMENT: Economic Development


DEPARTMENT HEAD: Alejandra Lopez


COUNCIL DISTRICTS IMPACTED: 3


SUBJECT:

A public hearing and City Council consideration of ordinances designating the Navistar Reinvestment Zone, approving a 10-year, 100%, real and personal property tax abatement agreement, authorizing a Chapter 380 Economic Development Incentive Fund (EDIF) grant agreement, authorizing City and SAWS impact fee waivers, authorizing a CPS Energy E16 Economic Development Incentive Rate Rider (E16 Rider) agreement, and a resolution nominating Navistar for designation as a Texas Enterprise Zone Project.


SUMMARY:

The following items relate to a potential Navistar production facility in San Antonio: (A) a public hearing and an Ordinance designating the Navistar Reinvestment Zone located at 15770 S US Highway 281 in City Council District 3; (B) an Ordinance approving a 10-year, 100% Tax Abatement Agreement on real and personal property based on a capital investment of at least $235 million over four years and the exclusive use of CPS Energy and San Antonio Water Systems for 16 years; (C) an Ordinance authorizing a Chapter 380 Economic Development Fund (EDIF) grant agreement with Navistar for up to $750,000, restricted to costs associated with water infrastructure improvements, City development fee waivers up to $200,000 and SAWS impact fee waivers up to $300,000, and approving an agreement with Navistar to participate in the CPS Energy E16 Economic Development Incentive Rate Rider (E16 Rider) Program; and (D) a Resolution nominating Navistar for designation as a Texas Enterprise Zone Project.


BACKGROUND INFORMATION:

Founded in 1902 as the International Harvester Company, Navistar is a publicly-traded, multinational commercial truck manufacturer headquartered in Lisle, Illinois, in the Chicago metro area. Today, Navistar employs 14,000 people worldwide, and its products, parts, and service are sold throughout a network of nearly 1,000 dealer outlets in f...

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