Grapevine officials have executed an economic development agreement with C&O Supply, a distributor of wire and cable for data center construction.
The agreement was executed July 8, according to city documents. Council approved a Chapter 380 Agreement, which allows Grapevine to use city funds for incentives or grants for economic development, during the April 21 meeting.
C&O Supply operates a Grapevine facility located at 1800 SH 121. Council members approved a conditional use permit to allow for a 22,730-square-foot outdoor storage area and the outdoor storage of 10 service and delivery vehicles, such as box trucks and service trailers, at the facility during the July 21 meeting.
The overview
For the term of the agreement, the city has pledged 50% of annual sales tax receipts from the business each year of the agreement. The term runs for 10 years or until C&O Supply has received $2.6 million in rebated sales tax receipts.
The yearly maximum sales tax grant is up to $400,000, per city documents.
Based on the terms of the agreement, C&O Supply is required to have at least 50 full-time employees within 24 months of opening the facility. City documents state the estimated full-time employee count at build-out will be between 50 and 75.
Diving deeper
The conditional permit will cover the facility, which C&O Supply plans to use to store materials used in the construction of data centers. Per city documents, some activities that will be allowed at the site include:
- Storing and staging electrical materials, equipment and construction-related products
- Assembling electrical prefab components and supports
- Preparing and kitting materials for field installation
- Receiving, packaging and shipping materials
