Velvin Oil has been in Henderson since 1964. HEDCO is putting land it could not sell for years into a Velvin expansion. On paper it is a strong fit: idle land, a long-time local employer and promised jobs. What the public can’t see yet is the land’s value or what happens if the promises fall short.
This story is part of our review of every performance agreement the Henderson Economic Development Corporation has made. A performance agreement is a contract: HEDCO puts up sales tax money, land or work, and a business promises something in return, usually investment and jobs. We are not suggesting anyone did anything wrong. We are asking whether the public can see what was promised and whether anyone checks.
| The deal at a glance | |
|---|---|
| Recipient | Velvin Oil / Velvin Production Company, Inc. |
| HEDCO project number | 2025-05-27 |
| HEDCO agendas | August 19, October 31, November 18 and December 16, 2025 |
| HEDCO public hearing | January 20, 2026 |
| City Council approval | January 20, 2026 (item 14) |
| Incentive | Property in the old industrial park |
| Promised in return | About $5 million of investment over 5 years; about 15 new jobs paying $20 an hour or more |
| Agreement text public? | No |
What the record shows
Mr. Gardella told the council on January 20, 2026 that the old industrial park property had been “languishing for years” and that the deal would also benefit the local railroad. He said HEDCO would put the property in so long as Velvin made the investment and created the jobs it planned. The council approved it.
The agreement appeared on HEDCO’s agenda four times, from August 19 to December 16, 2025, before HEDCO’s public hearing on January 20, 2026. The council approved it that same evening.
What’s missing
What the public record leaves out
- The size and appraised value of the land HEDCO is giving up.
- Whether the land comes back to HEDCO, or the company owes money, if the jobs or investment don’t happen.
- Which agenda the HEDCO board actually approved the agreement on, and whether that vote came before or after the public hearing. State law generally requires a Type B corporation like HEDCO to hold a public hearing before it spends money on a project.
- How the 15 jobs and $20 wage will be checked.
Our ask
What would make this deal easy to check
- Publish the agreement, the legal description of the land and its appraised value.
- Spell out the clawback: what happens if the jobs or investment fall short.
- Put the date of the board’s approval vote on the record next to the date of the public hearing.
Sources: HEDCO agendas for August 19, October 31, November 18 and December 16, 2025, and January 20, 2026; Henderson City Council meeting, January 20, 2026 (recording); HEDCO notice of projects for fiscal year 2025-26.