Frito-Lay invests in Fort Bend County

A photo of the Rosenberg Frito-Lay plant, at sunset.

One of Fort Bend County’s biggest employers, Frito-Lay, will add more than 100 jobs and invest more than $200 million after county commissioners Tuesday signed off on a tax abatement for the company’s facility in Rosenberg.

Commissioners approved an economic incentive agreement with the company, under which Frito-Lay must complete $200 million in improvements at the plant by Dec. 31, 2023, and must retain a total of 735 employees beginning Jan. 1, 2025 in exchange for 45 percent and 55 percent abatements on their property taxes, according to the agreement documents.

Frito-Lay, if it meets the terms of the agreement, would receive a 55 percent rebate on property taxes starting in the 2024 tax year, according to the agreement.

Company officials are expanding the Rosenberg facility in order to add two manufacturing lines for Funyuns and tortilla chips as well as to increase the warehouse capacity and enable future growth, according to a company news release.

“We’ve called Rosenberg home for 40 years,” said Laura Maxwell, senior vice president of supply chain for PepsiCo Food North America, of which Frito-Lay is a division. “Throughout that time, the support of Fort Bend County has helped us invest in the right areas so that we can continue to grow and provide jobs to the community.”

The Rosenberg facility already has the largest footprint for the company in the state and produces snacks for Texas, Louisiana, Oklahoma, Kansas and Georgia, Maxwell said.

The plant currently employs more than 750 full-time plant and fleet associates and produces more than 117 million pounds of snacks each year, according to the release.

This is the second major investment Frito-Lay has made to its Rosenberg facility since 2019, said Natalie Ilseng, a spokeswoman for PepsiCo, Frito-Lay’s parent company. The snack giant first announced a $138 million investment in its Cheetos line, including new seasoning and packaging equipment and a warehouse expansion, according to a company news release.

That first expansion is set to be complete later this year, according to the release.

As part of the newest tax abatement, the company’s owner must pay $6,000 per year to the Greater Fort Bend Economic Development Council and must furnish payroll records to ensure they’re meeting the agreement.

The certified appraised value of the eligible property must be more than $82 million starting Jan. 1, 2024 and each January after that, according to the agreement. If the company fails to meet that, it will invalidate the tax abatement for the year the requirement wasn’t met.

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