The City of Fort Worth is considering the development of two multimillion-dollar projects. Fort Worth council members held public hearings on these new projects during their last meeting on Tuesday.
These two projects will be between Siemens AG, a German multinational technology company, and DrinkPAK, a canned alcoholic and non-alcoholic drink manufacturer.
Siemens AG is seeking to create a new manufacturing facility in the city, while DrinkPAK seeks to open up two new manufacturing facilities, according to city documents.
The city resolution explains that DrinkPAK’s two new facilities will have 1,000 employees between the locations and will necessitate a “total minimum investment of $452 million in real property and business personal property improvements.”
Each of these new positions would pay over $70,000, and 15% of the costs to develop these locations would be dedicated to businesses owned by women and minorities, according to the Dallas Business Journal.
The first phase of development would involve $37 million in improvements before the end of 2026, while $183 million in business personal property would be used by January 2027.
The resolution for the agreement with Siemens AG reveals a plan to create a new manufacturing plant to produce low-voltage switchgear and switchboards. The 540,000-square-foot facility would be at 7200 Harris Legacy Dr. at Carter Park East.
The facility would cost at least $125 million to construct, but pledges to bring 715 jobs to the city by the end of 2026. Workers at this facility would have an annual salary equal to or greater than $63,000.
Fort Worth has proposed 10-year tax abatements for each agreement. The abatement with DrinkPAK would be up to 70% of incremental real and business personal property, valued at $21 million, while that for Siemens AG would be up to 70% of the same, valued at $6 million.
DrinkPAK would forfeit its tax breaks if employment numbers for the first two phases fell below 800 workers. The abatement for Siemens AG will be relinquished if employers do not honor the minimum salary of $63,000.
The city council will vote on the tax breaks for these projects at a future meeting.
