DEPARTMENT: Economic Development
DEPARTMENT HEAD: Alejandra Lopez
COUNCIL DISTRICTS IMPACTED: District 3
SUBJECT:
A public hearing and City Council consideration of ordinances designating the Navistar International Corporation Reinvestment Zone, approving a 10-year, 50%, real and personal property tax abatement agreement, and a resolution nominating Navistar for designation as a Texas Enterprise Zone Project.
SUMMARY:
The following items relate to a potential Navistar facility in San Antonio: (A) a public hearing and an Ordinance designating the Navistar International Corporation Reinvestment Zone at 4526 South Loop 1604 in City Council District 3; (B) an Ordinance approving a 10-year, 50% Tax Abatement Agreement on real and personal property based on a capital investment of at least $14 million; and (C) 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 four countries: United States, Canada, Mexico, and Brazil. The company's primary line of business is medium to heavy commercial truck production. Other key lines of business include school buses, joint ventures for producing automotive diesel engines, and support brands of commercial trucks.
In 2019 it was announced that Navistar would construct a $235 million, 900,000 square foot manufacturing facility in San Antonio at 15770 South US Highway 281 in Council District 3. This facility will employ at least 598 and is projected to be completed in early 2022. The new facility will produce approximately 12,500 medium and heavy-duty commercial trucks annually. In order to secure the manufacturing faci...
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