DEPARTMENT: Economic Development
DEPARTMENT HEAD: Alejandra Lopez
COUNCIL DISTRICTS IMPACTED: District 8
SUBJECT:
A Resolution to nominate the 3M Company ("3M") as a Texas Enterprise Project
SUMMARY:
This Resolution nominates 3M as a Texas Enterprise Zone Project. The Texas Enterprise Zone ("TEZ") is an economic development tool that allows local communities to partner with the State of Texas to encourage job creation and capital investment in economically distressed areas. If the State of Texas awards 3M a TEZ designation, 3M would be eligible to apply for State Sales and Use Tax refunds on qualified expenditures of up to $1.25 million over five years. This nomination has no fiscal impact to the City.
BACKGROUND INFORMATION:
KCI was founded in 1976 in San Antonio and originally focused on therapeutic beds for patients with pulmonary complications and then transitioned to advanced wound care and specialty surgical applications. KCI introduced V.A.C. Therapy, the first commercial negative pressure wound therapy. Negative pressure wound therapy assists in wounds healing faster and with fewer infections by creating a seal and drawing out fluid with a gentle vacuum. In 2014, Acelity was formed as a conglomerate of several regenerative and wound management companies worldwide including KCI.
In October 2019 3M completed its $6.7 billion acquisition of San Antonio headquartered Acelity. 3M?is a multinational conglomerate operating in the fields of industry, worker safety, health care, and consumer goods and is headquartered in the Minneapolis-St. Paul metro area. This is 3M's largest acquisition to date and was the largest medical technology acquisition for 2019.
3M currently employs 1,209 full time employees at its San Antonio headquarters along I-10 in District 8. 3M's San Antonio positions have an average wage of $69,673, with all positions earning above the Living Wage and 92% earn above the All-Industry Wage. The company's range of benefit i...
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