ORANGE, Texas — Orange city leaders think they've found a new business to potentially take over the former International Paper facility.
Nearly 500 employees lost their jobs when the plant shut down without warning last fall. Since the shut down city and county leaders have started trying to find incentives to encourage other companies to move into the site.
"A reinvestment zone essentially is the first step, in beginning those conversations, or negotiations for incentive requests," said Megan Layne, the executive director of Orange County Economic Development Corporation.
On November 19, Orange City Council approved the old International Paper facility to be designated a reinvestment zone. This will allow for tax break incentives from the city to attract possible buyers.
"Which allows them to save on taxation, and to help improve the facility with, you know, different types of allocated funds, grants," said City of Orange Mayor Larry Spears.
Orange County will also benefit from the new company moving in.
"What we get out of it is jobs. And those people that get those jobs buy homes, and spend money on the local region. And so that's the incentive. The incentive for us is to get those folks here to do that. And the incentive for them is to make it more profitable venture for them," said Orange County Judge John Gothia.
The closure of International Paper hit the school district hard.
"International Paper was the largest, really the only, largest tax paying entity in the Little Cyprus-Mauriceville ISD district, and so the opportunity to have a new facility come in and backfill that space is going to be huge," said Layne.
While City of Orange leaders declined to reveal the top contender for the sites, they said the company will offer high paying jobs.
"I don't think it'll completely replace what we lost from International Paper. But it's a great start. We're moving in the right direction. But several hundred for now, is what i can say," Layne said.
According to KOGY, the company that is taking over the facility is United States Gypsum.
"We've entertained several companies. And now we've got it kind of narrowed down and some folks are really taking it serious now. And we're excited about it, I mean it's great news from Orange County that someone is looking at that facility," Judge Gothia said.
We will most likely find out the company that will be moving into the facility next year, but 12News is told jobs include administrative positions, operator and both skilled and unskilled opportunities.