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File #: 7332    Version: 1 Name:
Type: Resolution Status: Passed
File created: 8/11/2025 In control: City Council
On agenda: 8/19/2025 Final action: 8/19/2025
Title: Consider A Resolution Authorizing The City Manager To Negotiate And Execute An Economic Development Incentive Agreement With AER Manufacturing, LP Establishing A Program Of Grants To The Company For Its Expansion At 3405 Wiley Post Road, In Amounts Equal To Fifty Percent (50%) Of Taxes Paid To The City On The Assessed New Value Of Real Property And Business And Personal Property For A Maximum Term Of Five (5) Years, For A Total Incentive Amount Not To Exceed Dollars $277,663.
Attachments: 1. Location Map AER MFG, 2. Resolution_AER_2025-08-19
CC MEETING: August 19, 2025

DATE: August 11, 2025

TO: Erin Rinehart, City Manager

FROM: Jenny Zeilfelder, Director of Economic Development
Ravi Shah, Executive Director of Development
Shannon Hicks, Assistant City Manager

Title
Consider A Resolution Authorizing The City Manager To Negotiate And Execute An Economic Development Incentive Agreement With AER Manufacturing, LP Establishing A Program Of Grants To The Company For Its Expansion At 3405 Wiley Post Road, In Amounts Equal To Fifty Percent (50%) Of Taxes Paid To The City On The Assessed New Value Of Real Property And Business And Personal Property For A Maximum Term Of Five (5) Years, For A Total Incentive Amount Not To Exceed Dollars $277,663.

Body
BACKGROUND:
This agenda item is to consider a resolution authorizing the City Manager to negotiate and execute an economic development incentive agreement with AER Manufacturing, LP.

AER Manufacturing, LP is a manufacturer of remanufactured engine assemblies and has headquartered in Carrollton since 1946. The company's campus encompasses over 800,000 square feet of manufacturing and distribution space and employs over 1,000 Full-Time Employees.

AER Manufacturing, LP intends to construct a 155,000-square-foot warehouse facility, located at 3405 Wiley Post Road. This investment would add the installation of new furniture, fixtures, and equipment with an approximate value of $1.05 million and approximately $19 million in real property improvements to the facility, and the creation of fifteen (15) Full-Time Employees.

FINANCIAL IMPLICATIONS:
Staff recommends a fifty percent (50%) rebate on the assessed value of the new business and personal property taxes paid to the City, as well as a fifty percent (50%) rebate on the assessed value of real property taxes paid to the City, both for five (5) years. The dollar value of this program of tax rebates will not exceed $277,663 over the term of the Agreement. No incentives to the Company will be derived...

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