Brazos County grants Honeywell tax abatement for new facility

By Joe Southern Joe.Southern

Brazos County grants Honeywell tax abatement for new facility

WATCH: The U.S. Department of Commerce has finalized a nearly $6 billion subsidy for Micron Technology to support domestic semiconductor facility construction in New York and Idaho. This funding is among the largest under the CHIPS and Science Act and is expected to create over 20,000 jobs by 2030.

Brazos County commissioners on Tuesday approved a five-year, 50% tax abatement for Honeywell International's $120 million facility in Bryan that will produce ultra high purity hydrofluoric acid (UHPHF) for use in production of semiconductors.

The city of Bryan earlier approved a similar abatement for Honeywell after creating a reinvestment zone for the company's 25-acre location on Mumford Road last August.

According to the tax abatement agreement with the county, the Honeywell Electronic Chemical facility "will be the first United States facility to produce semiconductor grade hydrofluoric acid."

The abatement begins Jan. 1. The estimated property value in 2025 is $45.9 million. The incremental taxable value of the property will rise to $74.1 million in 2026 and then go to $120 million after that. The new facility is expected to employ 10 to 12 people with an annual payroll of $909,000.

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According to the city of Bryan, the facility will generate an estimated $748,000 in property tax after the abatement ends.

The commissioners unanimously approved the abatement with Commissioner Chuck Konderla being absent.

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The commissioners also approved a $2.2 million contract to buy the former ReconMR building at 2504 Kent St. in Bryan to use as a new 911 dispatch center. The 16,400 square-foot building sits on a 1.9-acre lot at the intersection with Villa Maria Road.

The property is being purchased from Rosenbaum-Schoenvogel Investments, LP. The contract gives the county 90 days to inspect the property before closing on it.

"This morning we're putting it under contract for 90 days to vet it all and see whether it will work ... if there's any holes that we don't see right now, but it gives us 90 days to get that done," County Judge Duane Peters said.

He said the current dispatch office is old and too small for current needs. It is located on Regent Avenue, next to the county courthouse.

"911 dispatch has been in the current building since 1988 and they have pretty much run out of room, and so they need a relocation spot," Peters said.

He explained that the county has been investigating options for the last five years, including building a new facility, and this was the more affordable option.

The commissioners discussed the purchase in executive session before coming out and voting. Two people commented on the purchase, but neither were in opposition.

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