Katy Council Approves Resolution In Support Of BAE Systems’ Contract
November 24th, 2009 | by John Pape | Published in News | Email This Post
Katy has become the latest city to formally endorse the growing effort to save Sealy-based BAE Systems from losing a vital military contract with the potential loss of as many as 3,000 area jobs.
During Monday night’s meeting, Katy council members unanimously approved a resolution in support of BAE and urging state and federal leaders to help keep the contract in Sealy.

MORE SUPPORT FOR BAE – Katy Area Economic Development Council Vice President Frank Lombard urges the Katy City Council to pass a resolution in support of Sealy-based military contractor BAE Systems. Council members unanimously approved the resolution.
Mayor Don Elder said Katy’s resolution will be presented to the Katy Area Economic Development Council to use as a part of the effort to save BAE’s contract to supply the U.S. Army with its Family Medium Tactical Vehicles, or FMTVs.
Katy Area EDC Vice President Frank Lombard, who was present for the council meeting, said a task force of Katy and Sealy area business and community leaders working to save the FMTV contract is hopeful an appeal to the General Accounting Office will keep the contract in Sealy.
“There are some very strong indicators that the Army’s decision-making process was flawed,” Lombard told the council.
He added there was a “very real possibility” of retaining at least some parts of the contract for BAE, but broad-based community support for the company was a critical tool in the effort.
Earlier in the day, Lombard added, the task force held a rally at Minute Maid Park in Houston to emphasize the economic impact BAE has on the region’s economy. Minute Maid was chosen as the site for the rally to showcase the fact that BAE has seven times the annual economic impact of the baseball stadium.
BAE, which has been manufacturing the FMTVs for more than 17 years at its Sealy plant, recently learned that a “follow-on” contract to make the vehicles was instead being awarded to OshKosh Corporation in Wisconsin.
BAE appealed the Army’s decision to the General Accounting Office, citing a flawed bidding process.
The FMTV is the truck platform used by the Army for everything from transporting cargo and troops to launching missiles. There are more than 56,000 of the trucks, all manufactured in Sealy, currently in service.
Of BAE’s 3,000 local employees, about 1,000 of them live in Katy.
In addition to the Sealy plant, BAE has a 234,000 square-foot inventory warehouse in Sugar Land and a 35,000 square-foot warehouse in Park 10.
BAE currently manufactures 49 vehicles and 12 trailers per day with a reliability rate exceeding 94 percent.
The task force, which was established jointly by the Katy Area Economic Development Council and the Sealy Economic Development Corporation, has also launched a website for residents to get involved in saving the defense contractor.
The website, DefendTexasJobs.org, provides information for residents to use send letters to elected officials, the Secretary of Defense and the Secretary of the Army. It also allows residents to send e-mail messages in support of BAE.
The website also features a video about BAE Systems and the FMTV.
Task force members include Matt Barr, Sen. John Cornyn’s Office; Carolyn Bilski, Austin County Judge; Matt Boone, Senior Vice President of the Greater Houston Partnership; Cari Broderson, Greater Houston Partnership; Chad Carson, Greater Houston Partnership; Albert Cheng, Sen. Kay Bailey Hutchison’s Office; Chris Coffman, City Manager, City of Sealy; John Cook, President, CenterPoint Energy; Ken Courville, Vice President, CenterPoint Energy and Keith Graf, Gov. Rick Perry’s office.
Also on the task force are Lance LaCour, CEO/President, Katy Area EDC; Krisha Langton, City of Sealy; Lombard; David Marquez, Executive Director, Bexar County EDC; Jennifer Martinez, Bexar County EDC; Kara Mayfield, Congressman Michael McCaul’s Office; Kim Meloneck, Director, Sealy EDC; Craig Richard, Greater Houston Partnership; John Roper, Sr. Vice President, Fleishman-Hillard Inc.; Chris Steinbach, State Rep. Lois Kolkhorst’s Office and Nick Tirey, Mayor of Sealy.
A decision on BAE’s appeal is expected from the GAO by mid-December.

