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Vulcraft Looks to Expand

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Seeks Tax Abatement from County

By Will Johnson

Messenger Reporter

HOUSTON COUNTY – Plans are in the works for the largest employer in Houston County to get even bigger as Vulcraft (a division of Nucor) looks to establish a grating facility at its Grapeland location.

During the last Commissioners Court meeting of the decade, Brandon Bridges, serving in his capacity with the Grapeland Municipal Development District (MDD), Indicated the steel manufacturer was looking at expansion and wanted to see if the corporation could get a tax abatement on the planned development.   

“What this is about is a grating facility that manufacturers grating material. Think of a catwalk,” Bridges explained. “They (Nucor) are closing three of their facilities in the United States and consolidating it into one facility here in Grapeland.”

Bridges presented the commissioners with a tax abatement proposal and said the numbers presented in the proposal were “… very conservative. These are minimum numbers. I expect most of the numbers to be greater than this. There are a minimum of 25 jobs and approximately $12 million added to the tax rolls. We would like to abate that project for a period of five years on a graduated schedule of 20 percent per year.”

He explained the abatement would be for 100 percent in 2020, 80 percent in 2021, 60 percent in 2022, 40 percent in 2023, 20 percent in 2024 and zero percent in 2025. The new facility would be fully taxed in 2025.

“This is only for the new facility. It is not for the existing facility that Nucor owns in the county. This is just for improvements that will be made next year. This does not apply to any additional expansions in the future,” Bridges said.

“We’re really excited about this,” he continued. “They have never asked for an abatement from the county and I think it’s something we should partner up with them on. It is a pretty conservative abatement.”

Bridges stressed Nucor did not want an abatement from the Grapeland Independent School District.

Following several minutes of discussion, a motion was put forward to approve the tax abatement. The motion was seconded and unanimously approved.  

Will Johnson may be contacted via e-mail at wjohnson@messenger-news.com.

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