Tyler city council considering new incentive to lure Centene - KYTX CBS 19 Tyler Longview News Weather Sports

Tyler city council considering new incentive to lure Centene

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TYLER (KYTX) - As a 4B city, Tyler dedicates its half-cent sales tax revenue to infrastructure and some quality-of-life projects. State law prevents it from using that revenue for economic development, a tactic used by 4A cities such as Longview.

Tyler Economic Development Council President Tom Mullins says that has put Tyler at a disadvantage in attracting several companies and job prospects to the Rose City. Mayor Barbara Bass, a Longview native, wants that to change, Mullins said.

When the Tyler City Council meets at 9 Wednesday morning at City Hall, it will consider a first-of-its-kind incentive package for Centene Corp. to expand here. St. Louis-based Centene operates an insurance customer claims center with about 60 employees at the former Down Under Pub & Grub building on Old Grande Blvd. at South Broadway Avenue.

In May, Centene announced plans to build a 50,000-square-foot, two-story office and a 10,000-square-foot day care center for employees at the Tyler Business and Technology Park on Earl Campbell Parkway. Gov. Rick Perry boosted the project by infusing $1.3 million from the Texas Enterprise Fund to Centene.

Mullins said Centene plans to bring 325 jobs to the city with average pay of $45,000 a year.

Today, Smith County commissioners approve tax abatements for Hyponex Corp., manufacturing of Scott's Miracle-Gro, which plans to employ up to 40 people on 63.5 acres of the former Goodyear Plant on Texas 31 West.

"These are two good back-to-back stories. Not every town is having these very positive stories in this economy," Mullins said. "(Centene) is a new high-end company. This is more growth for the west side of Tyler, so that we don't have this pattern where everything goes south (in the city)."

City council members have discussed a possible incentive for Centene in several past executive sessions, Mullins said.

"The city of Tyler has not used this incentive package before," he said. After Bass became mayor in May 2008, she saw the need for Tyler to provide incentives to attract business and jobs, and began working with council members to develop an incentive policy, Mullins said.

Tyler Economic Development Council sold land at the Tyler Business and Technology Park to Centene at a discounted price, Mullins said. Centene will be the park's first tenant, but Mullins expects the company to maintain its lease on Old Grande Blvd. during construction, which could take up to two years.

Mullins also noted that Centene invests heavily in the communities where centers are located.

"It is a very community-spirited company," he said.

To apply for a job with Centene Corp., visit http://www.centene.com/careers/search-jobs/.

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