ALLOY MANUFACTURER CHOOSES WASHINGTON CO. AS SITE FOR NEW FACILITY

  

A manufacturer in the oil and gas industry has chosen a site in Washington County to build a new production facility.

Corrosion Resistant Alloys, LP (CRA) will build the facility on Highway 290, approximately two miles east of Brenham.  According to a release from Brenham | Washington County Economic Development, the first phase of development is projected to include 80,000 square feet of manufacturing space with a capital investment of $30 million.  CRA expects to employ 15 workers to support the first phase of the project.

CRA is a manufacturer of high-grade corrosion resistant alloy tubes with a primary market historically in the upstream oil and gas industry.  Founded in 2001, CRA maintains global headquarters in Houston.  From 2008 to 2011, CRA expanded operations from their core business sector as a distributor and stockist with acquisition of two of the world’s largest cold finishing mills.

CRA has worked closely with Brenham | Washington County Economic Development over the past two years to bring this project, formerly referred to as “Silver Crayon,” to the county.

According to the release, both the Texas Economic Development Office in the Office of Governor Greg Abbott and the Texas Department of Agriculture Texas Capital Fund provided significant support for the project.  However, revisions to CRA’s project since negotiations began in 2019 led CRA to decline the Texas Enterprise Fund (TEF) incentives and Texas Capital Fund (TCF) grant funds.  In December, the county approved an agreement for development and tax phase-in for the company.

Update @ 2:10 p.m.: When asked to elaborate on what changes have been made to the CRA project since 2019, Brenham Economic Development Director Susan Cates said it became clear over the course of the time the project has been in planning that the number of employees needed to staff Phase One of the facility is less than what was originally projected.  She added that a primary factor in both the TEF and TCF awards is job creation, so CRA chose not to accept the awards once the company's job creation projections were revised.

Cates also said there are no changes to the commitments made by Washington County as a result of CRA not accepting the awards, and the county will not have additional financial obligations.  She said the county approved tax phase-in for this project based on its existing tax phase-in policy, which is a performance based incentive available to both new and existing Washington County businesses that meet the criteria.  According to Cates, if the project's property valuation or number of employees hired is less than originally projected, the total value of the tax phase-in will be less than was estimated at the time it was approved.

Washington County Judge John Durrenberger said the county welcomes CRA and is “encouraged by the quality jobs this project will provide our residents.”

CRA Founder and President John Patchell said this facility will “significantly enhance” the company’s manufacturing capacity, capabilities and speed by consolidating equipment from the United States and overseas into one location.  He said the company is “excited about what Washington County has to offer in numerous respects and for what this site means for the future of CRA.”

Site work is anticipated to begin by the end of 2021, with production scheduled to start approximately the 4^th quarter of 2022.