Business may seek county aid with new expansion

By Holly Green

Weatherford International gave a presentation to the Walker County Commissioners Court on Monday morning in preparation to ask for assistance in the company’s new endeavor.

The five-member court received an update on Weatherford’s projects thus far in the Huntsville area as well as a look at what the future could bring.

Weatherford representatives included engineering manager Jack Setterberg, Huntsville general manager Johnny DeBaugh and Huntsville director Bill Ilfrey.

The business completed its ‘phase one’ project — a $1 million investment — in June 2007, constructing new expandable threading stations for underground pipes.

Immediately following phase one completion, Weatherford requested a tax abatement agreement from the City of Huntsville that resulted in approval of phase two expansion.

Phase two consisted of the construction of a $3.5 million testing lab, including equipment costs.

It was completed in February 2008.

Setterberg said one area the oil field company focuses on is further development.

“It’s very important for us to move forward aggressively to develop our product,” Setterberg said. “If we get behind anyone else, we’ll have to wait. We were controlling our own destiny with (phase one) and (phase two).

“This shows our commitment to this project.”

Setterburg said Weatherford is hopeful to have the testing facility in order to hold a formal open house for the public in early May.

Weatherford now looks ahead to phase three — the construction of a “large facility to produce the pipes and help drive this growth,” said Ilfrey.

DeBaugh said in an effort to make Huntsville Weatherford’s best facility, phase three will offer a full thread shop and training facility for employees from around the globe.

“We are in negotiations for an additional 15 acres of land for this project,” he said. “Our planned capital expenditures have the training facility cost at $1.2 million as well as ongoing expenses, including a fenced storage, test space and add-ons at $1 million.

“Weatherford, as of Friday, approved a $14.1 million budget for building and land costs at $7.4 million and equipment costs at $6.7 million. So, in about three years, we’ve come to a total investment of $16.3 million.”

Weatherford will make another presentation to the Economic Development Council as well as a request for a tax abatement for phase three.

EDC will in turn make a recommendation to the City Council.

County Judge Danny Pierce said the court is expected to show its support of the project following these events.

“I think this has been well received by the court and it’s a good opportunity,” he said. “We appreciate what (Weatherford) is doing in Huntsville.”

The commissioners decided to pass on the approval of resolution 2008-12, authorizing Pierce to certify a TEFRA public hearing on the refinancing of the Arbors of Sam Houston I and II Apartments.

Approving the resolution would allow the Atlantic Housing Foundation, a organization that has not paid taxes since 2003, to refinance its debt on The Arbors, located on Bowers Boulevard.

For the past four years, the property tax dispute between AHF and the taxing entities of Walker County has tied up all parties with the question of whether or not the AHF should be tax exempt or not.

Commissioners discussed the issue with Frank Blazak, AHF representative and local attorney, and consulted county district attorney David Weeks.

Instead of approving the resolution, the court posed an offer to AHF.

The offer consists of the court signing the resolution only if AHF agrees to repeal its appeal and begin paying taxes.

“Frank is going to check on this issue we brought up ... and we’ll discuss it at a later date,” Pierce said.

During the meeting, the court also:

• Approved minutes for March 24,

• Approved claims/invoices submitted for payment,

• Approved variance to insurance/liability policy for aerobic septic systems,

• Approved proclamation 2008-13 “Stewardship Week,”

• Approved amendment to the wrecker fee schedule,

• Passed on work session about fee schedule for the Walker County Storm Shelter and expo center.