Saturday, April 19, 2014

More Economic Development Hype from the 4/17/14 GBIC Board Meeting

Jason Hilts
Jason Hilt's BEDC Director's report is well worth the price of admission to GBIC's monthly meetings.  Hundreds of jobs at many dollars per hour roll off his tongue at each meeting, so many, that I find myself no longer writing down the numbers.  By now, certainly every Brownsville resident should have at least three high-paying jobs, if even 10% of Hilts' tantalizing projections over the last few years proved true.

At least the old west medicine shows selling Dr. Gillespie's Magic Elixer at a dollar a bottle never visited the same town twice.  


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But, each month, the Greater Brownsville Incentives Corporation Board pencils in a director's report for Hilts, forcing him to revisit his notes, repeat what he said last month and the month before about Finnish foundries, Turkish pipe builders, desalinization plants producing clean water, exporting soda ash, etc.  

Anyway, at the 4/17/14 GBIC Board Meeting, Hilts mentioned a few things he hadn't said before:  Project Sizzle is still on the "back burner."  The Finnish
foundry is now joined by an Italian company, intrigued by producing steel, shipping it to Monterrey, Mexico. Caterpillar is said to be a potential primary customer of the steel produced by the foundry proposed adjacent to the Port of Brownsville.

An unnamed Mexican maquiladora is said to be contemplating a move to Brownsville, based on access to the Port of Brownsville, security and cheaper power.

I'm not exactly a true believer as shown by these observations from a 5/24/13 Mean Mister Brownsville article:
"When Administrator Jason Hilts appears before the GBIC board, his mission is two-fold; tantalize the board with their favorite buzzwords indicating economic growth, increased revenue AND reassure the members that his tireless efforts on the city's behalf justify his six figure income and lavish travel. Hilts is a salesman and those in sales are always aware of the need to "sell themselves."

One company will provide "300 jobs immediately" but eventually need 600 full-time employees. Another firm will add "1300 jobs over 8 years." "100 machinists at $20,00 per hour" has a nice ring in this impoverished community. While the company's name may be somewhat obscure, we all learn the particulars, however overstated. Just to illustrate, think SpaceX. Even young Debbie Portillo is repeating the line "1000 jobs at a minimum of $55,000" although Elon Musk says nothing close to that in official company projections.

Ruben Gallegos took the bait, or was perhaps cleverly setting up his friend Hilts with: "That's a lot of work, Jason."

Hilts responded: "Yes, it's a lot of hard work." What Hilts had been describing and Gallegos lauded was the process of finding 75 appropriate acres for the Finnish foundry. "We had a perfect site until we found that the electrical service would not be P.U.B." When someone whispered "Magic Valley," Hilts nodded. Another site, near the port, thought also to be "perfect" was found to historically have been a landfill, not the proper ground to take the weight and constant pounding of a foundry. The picture is painted that Hilts is carefully protecting all our interests, maneuvering things so that a $200,000,000 company becomes part of the Brownsville tax base and spends its megawatt energy dollars with P.U.B. Yes, Hilts is selling Hilts."

11 comments:

  1. Jim, I spent 25 years of my life in the Maquiladora business, you wouldn't believe how easy it is to bring those assembly lines to Brownsville, but there must be some very obscure interests keeping it from happening or this assholes don't have the slightest idea of how to do it

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    1. Spoken like a one-dimensional fool.

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    2. Citizens demand results to stop telling taxpayers what they want to here it's been to many yrs of bullshit put up or shut up!jobs jobs jobs that's what it's all about

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  2. Between Jason Hilts and Gilbert Salinas there is not one ounce of economic development know how between them. They are there by design. Certain people want ignorant people at the helm so they can do what they want and line their pockets. Carlos Marin comes to mind. There, I said it.

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  3. How is it that Carlos Marin is a BEDC Board member and his firm Ambiotec is the engineering firm of record for GIBIC? Instead of Luis Saenz trying to jail people for stealing peanuts, Marin is having his way with millions. Riddle me that Jimbo.

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    1. If you turn a blind eye, are you complicit?

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  4. Why would you bring a maquiladora to the port, which would immediately increase your labor costs by at least a factor of ten. The Finns are going to compete with Altos Hornos de Mexico, S.A. de C.V. one of the largest steel mills in the world? "In the early 2000s, AHMSA filed for bankruptcy amid declining steel prices. In September 2004, AHMSA announced a strategic alliance with Russian Investors."

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    1. A maquiladora located in Mexico has to deal with the cartels. Yes, labor is cheaper in Mexico, but that's more than offset by cheaper and more reliable power in the U.S.

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    2. As I have documented in previous comments, PUB has some of the highest rates in the US. More than double large cities like Houston. Mexico has comparable rates to PUB. Not only is labor cost a lot more critical in labor intensive plants, additionally, Mexican labor is more productive. There is NO welfare state in Mexico and people appreciate having any job they can find. In the US you are better off in many cases not working at all and just receiving benefits. If this were not the case, why would there be hundreds of thousands of Mexicans employed along the border in maquiladoras instead of the US side?

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  5. Exactly my point, why would you bring assembly lines from Matamoros to Brownsville, Only a fool would see the benefits, yea, yea am a fool.

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  6. The graphic of Luis Saenz arresting people for playing 8 liners while Carlos Marin & so called friends of our city steal millions of our taxpayers dollars while he does ablsolutely nothing is beyond comprehension.

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