Commissioners to consider participation in tax abatement package

Published on Monday, 19 June 2017 02:00 - Written by FAITH HARPER,

Smith County Commissioners will consider participating in a tax abatement package for Crest Process Systems Inc.

Last week, the Tyler City Council approved a tax abatement for the company in exchange for meeting certain infrastructure investments in its facility and creating additional jobs.

Commissioners will evaluate whether the county will participate in that deal at 9:30 a.m. Tuesday in the Smith County Courthouse Annex Building, 200 E. Ferguson St. The meeting is open to the public.

Crest Process Systems Inc. was founded in January 2012, according to the Tyler Area Economic Development Council. It specializes in engineering, design and fabrication of production equipment for the oil and gas industry, and is headquartered on 10 acres off Robertson Road in the Tyler Industrial Park.

The company had $12 million in sales in 2015, but then the market declined. 

This year, those orders have picked up and the company is expanding its current 50,000-square-foot facility to include an additional 25,000-square-foot building with overhead cranes and welding stations, which will be built at its current location, according to the EDC.

The project will create new investment of $2.2 million in the plant and equipment and add 20 new jobs, plus maintain the current 45 employees, according to the EDC.

The facility primarily employs welders and pipe fitters, and the estimated salary of the new employees is $52,000 annually.

According to the abatement, the company will not pay any new property taxes on the increased value of the property for three years. It will, however, continue to pay the taxes on the existing facility, according to the EDC.

The 2016 taxable value is $1.96 million, and will not be included in the abatement.

The Tyler Morning Telegraph will attend the meeting. For updates as they happen, follow @TMTFaith on Twitter.