Port Arthur appeals to investors by diversifying away from oil

Port Arthur is moving away from the petrochemical industry, appealing to a wide range of interests, though it retains strong links with the field that put the town on the map, writes RaNoda McClain-Lee, Marketing Manager, PAEDC

 
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Being home to MOTIVA, the largest petroleum plant in North America, many have come to know Port Arthur, Texas as the petroleum capital of the world. Yet, even with a population of just 55,000, it has a hugely diverse and rich culture that is rapidly developing. This is due, in part, to the town’s highly skilled workforce, growing employment levels and rapid business development, which continue to drive talented workers to take residence there, encouraged further by the town’s university.

Moreover, having a regional airport and being so close to Houston (only 90 miles away) enables the town’s business community to explore service industries that are aimed at catching overflow from the fourth largest city in the US. “Another driver is that our port has total cargo volumes in the millions, with a focus in break-bulk and bulk commodities, such as forest products, iron and steel, petroleum, and chemicals”, noted Floyd Batiste, CEO of the Port Arthur Economic Development Corporation (PAEDC).

Local rejuvenation
The revitalisation of downtown Port Arthur first took off as a result of the PAEDC’s 20/20 Vision project. Support from Port Arthur’s National Development Council (NDC), as well as financial assistance from Chase Bank and the Texas Historical Commission, facilitated the $5.4m redesign of a 19,500 sq ft, three-story building into a modern office space, which now houses the PAEDC and the Chamber of Commerce. “Downtown Port Arthur was once known for its vibrant businesses, but had been in decline due to reduced traffic and population loss. The restoration of the historic First National Bank building launched a revitalisation effort to serve the community and increase the presence of downtown businesses”, Batiste explained. With that complete, the PAEDC is now focusing on increasing Port Arthur’s business activity and foot traffic by renovating other abandoned downtown buildings.

Having a regional airport and being so close to Houston (only 90 miles away) enables the town’s business community to explore service industries that are aimed at catching overflow from the fourth largest city in the US

Further demonstrating the area’s growth is the On the Job Training (OJT) programme, which offers companies an opportunity to employ residents who have little to no experience and train them while on the job. To help motivate businesses to do so, the PAEDC reimburses the employer with 50 percent of the employee’s wages for the training period. Naturally, OJT contracts have a cap on the amount available to them for wage reimbursement. While the PAEDC also provides a Life Skills Training programme to help residents become employed and retain employment. So far, these programmes have been considerably successful, which in turn has helped to ensure that Port Arthur continues to have an available workforce for expanding and incoming employers.

Residents in training
In order to offer higher level welding training, the PAEDC has partnered with a local company under the state’s Skills Development Grant to develop 24 students over a one-year period, while in employment. Once training is complete, they will be able to take at least two welding tests and then will be retained as employees of the company. “We have also partnered with our local state college to provide tuition grants to Port Arthur residents for certain certification programmes, such as a commercial driving course in the spring”, added Batiste.

Another exciting development for the town is the arrival of Pure Renewables, a company that is planning to build a textile and manufacturing facility at the port, which is expected to create 500 direct jobs and pump $260m in capital investment into the local economy. “It is difficult to quantify what the impact is going to be, but if we are looking at $260m worth of infrastructure investment, hundreds of jobs will be created from all the spin-off activities, and it certainly will change the economic and educational landscape of Port Arthur forever”, noted Batiste. The decision of Pure Renewables to locate in Port Arthur will create a huge economic opportunity for the region, helping it to diversify away from the reason it is famous in the first place.