Gov. Rick Perry announced that The Dow Chemical Co. will create 150 new jobs and $1.7 billion in capital investment with the location of a hydrocarbon cracker in Brazoria County. The governor was joined by Lt. Gov. David Dewhurst, Dow CEO and Chairman Andrew Liveris and lawmakers, where he announced the state is investing $1 million through the Texas Enterprise Fund (TEF) to close the deal on this project.
"When it comes to attracting jobs, the Texas Enterprise Fund may help close the deal and provide the final piece of the puzzle, but it's Texas' growing reputation as the country's best place to build your business that puts us in the running in the first place," Gov. Perry said. "This announcement is great news for Texas, and even better news for the people who will eventually work at this new facility thanks to this TEF investment."
The Dow Chemical Co. is a worldwide manufacturer and supplier of products that go into businesses such as specialty chemicals, electronics, agrosciences and plastics. This new ethylene cracker will processes natural gas and natural gas liquids to create ethylene, to produce plastic resins and other chemical intermediates that are used to manufacture a variety of materials including transportation, building and construction, infrastructure, wire and cable, medical devices, personal care and food packaging. This will be Dow's largest ethylene cracker worldwide, and will use U.S. produced shale gas and natural gas liquids.
"Dow is proud to be making a significant investment in Texas with the construction of a new world-scale ethylene production plant - a key part of our comprehensive plan to further connect our U.S. operations with cost-advantaged feedstocks available from increasing supplies of U.S. shale gas," Dow Chemical Company chairman and CEO Andrew Liveris said. "We received a lot of support from our local community and from this business-friendly state via the Texas Enterprise Fund, and are proud to expand upon our longstanding history of investing in Texas."
"We're pleased that Dow Chemical chose to bring their new facility to Texas, generating billions in investment and creating hundreds of new jobs," Lt. Gov. Dewhurst said. "Gov. Perry and I have worked hard over the last nine years to cultivate the best business climate in America. Our low tax, pro-growth fiscal policies have made our state a national leader in job creation, and that's why so many companies like Dow are relocating and choosing to explore new business opportunities in Texas."
"As county commissioner of Brazoria County Precinct 1, I am very pleased with Dow's announcement to expand their operations in Brazoria County. Brazoria County has been supportive of this project for a long time now as this will mean jobs and economic prosperity for the whole region," Commissioner Donald "Dude" Payne said. "It is always a pleasure working with Dow and to be able to provide an incentive such as a tax abatement to help secure this project in our county. I am also pleased to see the state support this project with a Texas Enterprise Fund Award."
Texas' economy continues to rank number one in the nation for job growth and business climate, adding more new jobs over the past year than anywhere else in the country. Texas' unemployment rate remains more than a full point below the national average and continues to decline. To ensure Texas continues leading the nation in job creation and economic development, earlier this week Gov. Perry announced the Texas Budget Compact, pledging his commitment to the following five key principles, and asking lawmakers to do the same:
• Practice Truth in Budgeting
• Support a Constitutional limit of spending to the growth of population and inflation
• Oppose any new taxes or tax increases, and make the small business tax exemption permanent
• Preserve a strong Rainy Day Fund
• Cut unnecessary and duplicative government programs and agencies
The Legislature created the TEF in 2003 and re-appropriated funding in 2005, 2007, 2009 and 2011 to help ensure the growth of Texas businesses and create more jobs throughout the state. TEF projects must be approved by the governor, lieutenant governor and speaker of the House. The fund has since become one of the state's most competitive tools to recruit and bolster business. To date, the TEF has invested more than $465.4 million and closed the deal on projects generating more than 73,009 new jobs and more than $18 billion in capital investment in the state.
For more information about the TEF, please visit http://www.texaswideopenforbusiness.com/incentives-financing/tef.php or http://www.governor.state.tx.us.