Bryan City Council approves $65M development agreement with Messer

Bryan City Council unanimously approved an economic development agreement at its March 10 meeting that will bring a $65.4 million industrial project to the city, creating at least 16 full-time jobs.

Messer LLC plans to build a liquid air separation facility in Bryan, according to city documents. Messer, dubbed the world’s largest privately held industrial gas company, produces gases including nitrogen, hydrogen and oxygen, and is used in health care and manufacturing industries.

The facility is projected to be operational by summer 2027, officials said.

The details

Under the agreement, the city will provide a limited tax incentive if the company meets certain investment and employment targets:

• For its first five years, the city will return 55% of property taxes collected under its maintenance and operations rate tied to the project. This incentive is hinged on the facility maintaining a minimum investment value set by the agreement.
• Messer must keep at least 16 full-time employees with a minimum annual payroll of $1.35 million.

If these benchmarks are not met, Messer must make additional payments to the city. The overall agreement lasts 30 years, though the tax incentives are limited to the first five years.

Further, if the company falls short of its job requirement, Messer will have to pay the city $7,500 for each position below the minimum. This is called an Employee Deficit PILOT, or payment in lieu of taxes.

To qualify for incentives, the facility must maintain a minimum taxable value during the first five years:

• Year 1: $52.5 million
• Years 2-4: $47.5 million
• Year 5: $42.5 million

The agreement also requires the company to generate at least $312,000 per year in property tax revenue for the city during the incentive period. If tax revenue falls below that amount, Messer will have to make up the difference with an additional payment to the city.

The facility will sit in Reinvestment Zone No. 34, which is near FM 974 and Boatcallie Road. It will receive water service from Wickson Creek Special Utility District and electricity from Bryan Texas Utilities.

What the council is saying

District 4 council member James Edge motioned to approve the project, which council members voted for unanimously. Afterward, council members spoke highly about it and what it will bring to the city of Bryan.

Council member Jared Salvato said he looks at the project as a strong addition to the local economy.

“I think it’s a great opportunity, great business to add to our community," he said.

Also on the agenda

Another agenda item at the March 10 meeting was a rezoning request from Made Well House, located in the East Side Historic District. After a lengthy discussion, the item was postponed until the next council meeting to allow further clarification and discussion between the business and its neighbors.

Stay tuned

Watch the full March 10 City Council meeting here. The next Bryan City Council meeting will be April 14.