BEAUMONT — Baptist Hospitals of Southeast Texas Behavioral Health has submitted an application for Neighborhood Empowerment Zone incentives to support a significant renovation and expansion project at its Beaumont facility.
The project includes renovations to the existing building, the addition of 72 new patient beds, construction of a new 3-story facility, and improvements to parking and infrastructure. The total estimated construction cost is approximately $50 million, with construction anticipated to begin in March 2026 and be completed by early 2028.
The project is expected to create approximately 120 full-time jobs with an estimated annual payroll of $7 million, while expanding access to mental health services in the community.
CITY OF BEAUMONT COUNCIL PACKET:
TO: City Council
FROM: Kenneth R. Williams, City Manager
PREPARED BY: Miles Haynes, Interim Economic Development Manager
MEETING DATE: April 7, 2026
REQUESTED ACTION: Authorize the City Manager to execute all documents related to the
NEZ Agreement for the Baptist Hospital Behavioral Health facility
redevelopment and expansion project at 3250 Fannin Street,
including applicable building fee waivers and incentives.
BACKGROUND
Baptist Hospitals of Southeast Texas Behavioral Health has submitted an application for NEZ
incentives to support a significant renovation and expansion project at its Beaumont facility. The
project includes renovations to the existing building, the addition of 72 new patient beds,
construction of a new 3-story facility, and improvements to parking and infrastructure. The total
estimated construction cost is approximately $50 million, with construction anticipated to begin
in March 2026 and be completed by early 2028. The project is expected to create approximately
120 full-time jobs with an estimated annual payroll of $7 million, while expanding access to
mental health services in the community.
FUNDING SOURCE
Neighborhood Empowerment Zone (NEZ) incentive
RECOMMENDATION
Staff recommends approval.
ATTACHMENTS
CITY OF BEAUMONT
APPLICATION FOR NEIGHBORHOOD
EMPOWERMENT ZONE DEVELOPMENT INCENTIVES
The purpose of this application is to present to the City of Beaumont a reasonably
comprehensive outline of the project for which the incentives are requested. Please
review the Neighborhood Empowerment Zone guidelines carefully before completing
this application. If additional space is needed, separate sheets may be attached.
Types of incentives that you are seeking:
Building Fee Waivers D Expedited Permit Review Lien Waivers O Tаx
Abatement
DESCRIPTION OF PROJECT
1. Legal name and address of applicant: Baptist Hospitals of Southeast Texas
Behavioral Health -3250 Fannin St. Beaumont. TX 77701
2. Type of organization (Corporation, Ltd. Partnership, etc.): Non-Profit Corporation
3. Date organization formed: 1945
4. Address and telephone number of headquarters location: 3080 College Street.
Beaumont, TX 77701 – (409) 212-5000
5. State(s) in which business is registered: Texas
6. Other locations of this business (names of cities): N/A
7. Is business current with all taxes? Yes.
8. Name, address, and telephone number of principal offcers:
Justin Doss – Chief Executive Officer (CEO) – 3080 College Street,
Beaumont, TX 77701 – (409) 212-5000
Glen Christensen -Chief Financial Officer (CFO) – 3080 College Street,
Beaumont, TX 77701 – (409) 212-5000
Bryan Chandler- Chief Operating Officer (COО) – 3080 Сollege Street,
Beaumont, TX 77701- (409) 212-5000
9. Name, address & phone number of designated contact person: Garrett Craver:
409679-2620-3250 Fannin St Beaumont TX 77701
10. Type of business to be conducted and goods or services to be produced or
provided: Baptist Behavioral Health in Beaumont, TX provides both inpatient
and outpatient mental health care: inpatient services include 24/7 hospitalbased acute psychiatric treatment for individuals needing stabilization and
intensive support, while outpatient care offers ongoing counseling, theraру,
and medication management. These programs address mental health disorders
using evidence-based therapies, crisis intervention, and recovery planning
across age groups, from children to adults
11. Location of project (street address): 3250 Fannin St, Beaumont TX 77701
13. Identify and describe the kind, number and location of all improvements to the
physical property and discuss the development schedule of the proposed
improvements. Renovation improvement to the existing administrative and 72
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DAVID BROWH SURVEY
ADSTRACT NO
WHITELEY
TRACT NIIE
patient room areas, 72 additional patient beds in the new building, new double
cart elevator, additional areas in the new building for patients, visitors, and
administrative personnel.
14. What infrastructure construction will be required to serve the proposed project? What
is the estimated cost of this construction? $50,000,000.
Renovate exterior walls of the existing building.
Renovate patient rooms and additional rooms on all 3 levels of the existing
building.
Exterior improvements. Landscaping, additional furniture, additional
parking lots and driveways.
Construct a new 3-story facility that will directly tie into the building. 2 levels
of patient rooms, offices, administrative space, and parking garage area on
level 2.
15. Estimated construction commencement date: March 16, 2026.
16. Estimated construction completion date: January 12, 2028.
17. Estimated date for project to be operational: March 15, 2028.
18. City liens requested to be released: N/A
EMPLOYMENT IMPACT (for Non-residential Projects)
19. What is the estimated number of permanent full-time new jobs that will be created?
120 full-time positions.
20. What percentage of employees do you anticipate will be residents living in:
(a) the Neighborhood Empowerment Zone – 10%
(b) City of Beaumont-30%
(c) Jefferson County – 60%
(d) Outside Jefferson County – 40%
21. How many new, temporary and part-time jobs will be created in Beaumont? 120 new
jobs.
22. What types ofjobs will be created? Healthcare. (nurses, aids, social service
workers, and administrative).
23. What will be the total project annual payroll of the newly created jobs? $7,000,000.00
in salary and benefits.
24. Will specialized training be required? If so, what type?: Professional staff will
have to be licensed in the state of Texas. 6-week Baptist training course.
FISCAL IMPACТ
25. Is there an anticipated cost to the City of Beaumont for providing municipal
services to the proposed project? N/A
COMMUNITY IMPACT
28. Do you anticipate the proposed project having a substantial impact on the local
residential, commercial or retail market? Yes, this will improve access to care for
residents, local employers, and facility improvement should increase property value
in the surrounding area.
29. Will rezoning and platting/replatting be required? N/A