Projected $27 Million Capital Investment Expected To Create 231 New Jobs
D6 Inc. plans to relocate the company headquarters from Portland, Oregon, to Sulphur Springs, to expand their manufacturing presence in the state, Governor Greg Abbott announced Friday afternoon, Oct. 15, 2021. D6 Inc. is an advanced design-to-shelf packaging manufacturer, using recycled plastics, and when the pandemic began shifted to making face shields and masks. The business opened a Sulphur Springs plant at the end of 2020, with plans to expand within 18-months — which now includes moving the D6 Inc. headquarters to Sulphur Springs as well.
Starting An Operation In Sulphur Springs
D6 Inc. purchased the old Coca-Cola building, which was more recently the location for S&S Commercial operations. In November 2020, Sulphur Springs City Council was asked to establish an industrial reinvestment zone so the business could apply for a tax abatement from the hospital district, as well as n economic development agreement with the city so the Portland, Oregon-based business could make a $6 million investment, including a 5,000 square foot expansion, of the old Coca-Cola business, located at the corner of Industrial Drive and Commercial Services Drive.
Sulphur Springs City Council approved the requests on first reading in November and final reading on Dec. 1, 2020, granting a 10-year 380 economic development agreement to D6 Inc., requiring the business to pay all taxes, then receive a rebate when documents showing the terms of the agreement are met are provided. This first year, the rebate would be the full amount, then would reduce by 10 percent each year. Essentially, the business would pay 45 percent of total taxes over the 10 years of the agreement.
On Nov. 23, 2020, a Chapter 381 agreement between Hopkins County and D6 Inc. was approved by Hopkins County Commissioners Court. That agreement didn’t cover the entire operation, just the planned 25,000-square foot expansion at the facility.
The business in 2020, had initially indicated plans to hire 70 employees, but the pan approved by the Commissioners Court was to start with 30, pay taxes to the county on the original building, and receive a tax break on the new addition. D6 Inc. had begun hiring employees and moving equipment in already but wasn’t fully operational in late November 2020, Sulphur Springs-Hopkins County Economic Development Corporation Executive Director Roger Feagley reported at that time, adding that the business at that time was planning another expansion which would provide additional jobs at the Sulphur Springs plant for up to 90 employees18 months later. D6 Inc. at that time was having a hard time filling positions.
Hopkins County Hospital District on Dec. 17, 2020, approved a tax abatement for D6 Inc.
Looking To The Future
The relocation of D6 Inc.’s headquarters to Texas, announced by Governor Abbott on Friday, Oct. 15, 2021, is reported to be the result of months of negotiations and work between the business and local officials.
The project will create 231 new jobs and $27 million in capital investment. A Texas Enterprise Fund grant of $1,432,200 has been extended to D6. In addition, D6 has been offered a $6,000 Veteran Created Job Bonus, Governor Abbott announced Friday afternoon, Oct. 15, 2021.
“The relocation of D6’s headquarters to Sulphur Springs will be a major economic boon to Northeast Texas as it brings more jobs, opportunities, and investment to the community,” Governor Abbott stated in the news brief. “More and more great companies like D6 are moving to Texas every day because of our welcoming business climate and our young, growing, skilled, and diverse workforce, and I look forward to working alongside D6 and all of our business and community leaders to keep Texas the best place to live, work, and raise a family.”
“I would like to thank Governor Greg Abbott, Lt. Governor Dan Patrick, and Speaker of the House Dade Phelan for supporting D6 Inc.’s vision to bring a world-class recycling operation to the great state of Texas,” said D6 Chief Executive Officer Edward Dominion, stated in the news release.
“We greatly appreciate the vision and ongoing support from the City of Sulphur Springs, Hopkins County and the Sulphur Springs-Hopkins County EDC. With the help of all, D6 Inc. will build the first fully closed-loop recycling site for single-use PET clamshells in Sulphur Springs,” Abbott said of the plastic packaging produced by the company.
Sulphur Springs/Hopkins County Economic Development Corporation Executive Director Roger Feagley also extended thanks to the state officials for their support of the D6 project.
“We feel that this company will be a great long-term asset for our community,” Feagley said.
“Sulphur Springs has always been supportive of new industry. D6’s headquarters relocation and expansion will boost our local economy and provide growth we support,” said Sulphur Springs Mayor John Sellers.
“Hopkins County is very excited about D6 moving their headquarters from Oregon to Sulphur Springs,” Hopkins County Judge Robert Newsom was quoted in the announcement. “We know this will boost our economy by providing new investment. We also appreciate that these jobs will be paying higher than the average weekly wage.”