‘We’re ready for them:’ Texans see opportunity in western Canadian malaise

Realtor Robert Graham is delivering tens of thousands of brochures to British Columbia, Alberta and Saskatchewan

Cars travel along a highway with the skyline of downtown Houston in the background on May 20, 2010. (THE CANADIAN PRESS/AP-Houston Chronicle, Michael Paulsen)

Cars travel along a highway with the skyline of downtown Houston in the background on May 20, 2010. (THE CANADIAN PRESS/AP-Houston Chronicle, Michael Paulsen)

The brochure’s cover has the Texas flag as a backdrop and shows an arrow pointing from Alberta to the Lone Star State.

“Arrowstar Realty invites you to relocate to Texas,” reads the mailer sent to businesses across Western Canada recently. “Join the 100s of companies that have already made the move!”

Inside is a letter — beginning “Dear Canadian Neighbour” — boasting of Montgomery County’s “BOOMING” economy, tax incentives and ranch-style properties. It offers to link prospective clients with banks, accountants and lawyers to ease their move.

Realtor Robert Graham says 15,000 brochures have been delivered in British Columbia, Alberta and Saskatchewan so far. Another 50,000 are coming.

He says Arrowstar has helped about 100 western Canadian companies move north of Houston in the last decade, and 40 of them were in the last year and a half.

The majority of newcomers have been Canadian oil and gas drillers, a sector that has hit a rough patch in recent years.

“I definitely want Canada to pick back up. I would love for that more than anything,” says Graham.

But for now, he says, a lot of Canadian businesses need help to keep going.

“We’ve got doors open and we’re ready for them.”

READ MORE: Trudeau promises added incentives for first-time home buyers in Greater Victoria

Krisjan Jones, operations manager at livestock feed supplement maker Canadian Bio-Systems, says Lubbock’s economic development agency recently made an enticing pitch to move his business to the west Texas city.

It was offering land at no cost with utilities and rail access.

“So essentially you get a blank canvas for free,” says Jones, who adds he’s waiting on the outcome of the Oct. 21 federal election before pulling the trigger. He cites the federal carbon tax as a major issue for him.

Clogged railways that make it difficult to get international shipments out on time are another big knock against Canada, he says.

John Osborne with the Lubbock Economic Development Alliance says pitches are centred more on the long-term business case than politics or potential perks. When benefits are discussed, it’s more of a problem-solving exercise.

“We look at it as ‘What’s stopping you from saying yes to coming to Lubbock right now?’”

That could mean free land, sewer and water hookups or road paving.

Osborne says his group has been doing Canadian outreach for about a decade, but it’s gone from sporadic to regular in recent years. Most trips are to Calgary and Toronto and have been with companies in oil and gas, manufacturing and agriculture.

Precision Drilling CEO Kevin Neveu moved to Houston from Calgary three years ago with the rest of the company’s management team. It has about 250 employees in each city now.

Neveu says 2017 was the first year Canada made up less than half of Precision’s activity and this year it’s at 30 per cent.

Alberta’s oil curtailments, trouble building new pipelines and cooling investor sentiment have depressed the Canadian industry, he says.

“It’s those three factors that are really starving our customers for capital, which means they’re not reinvesting in drilling, which means that our business here is just really slow — brutally slow.”

READ MORE: Developer offers free Tesla 3 with purchase of South Surrey townhome

Mark Scholz, head of the Canadian Association of Oilwell Drilling Contractors, says every member he’s spoken to has at least seriously considered moving people or equipment out of Canada. The association represents more than 100 companies that drill or service oil and gas wells.

He says moves from Alberta’s new United Conservative government to lessen the regulatory and tax burden are helping with competitiveness, but the southbound exodus is a wake-up call.

“The Americans are playing a very strategic game and quite frankly I think they’re winning at that.”

Lauren Krugel, The Canadian Press

Like us on Facebook and follow us on Twitter

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Josie Osborne was sworn into the Legislature virtually on Nov. 24. (FACEBOOK PHOTO)
Mid Island-Pacific Rim MLA Josie Osborne named minister of municipal affairs

The position was previously held by Selina Robinson, who is the province’s new finance minister

A sign at the entrance to Ty-Histanis asks visitors to stay out of the community during the COVID-19 pandemic. (Westerly file photo)
Leaders from Tofino-Ucluelet region urge tourists to stay away for two weeks

The West Coast is pausing its winter tourist season temporarily due to rising COVID-19 numbers

This large Spruce was one of several trees that came crashing down around CARE’s animal shelter during Nov. 17’s windstorm. (CARE Network photo)
Funding and fosters needed after storm destroys fencing at Tofino-Ucluelet animal shelter

The damage forced an evacuation of the facility, which was sheltering five animals at the time.

Tourists are being asked to postpone their non-essential trips to Tofino as COVID-19 cases rise across Vancouver Island, but at least one accommodation provider is offering conflicting messaging. (Westerly file photo)
Victoria woman says Tofino Airbnb host encouraged travel despite provincial restrictions

“The only way I would get a refund is if she would be able to rebook the suite for that weekend.”

A sign outside Ucluelet’s Blue Room on Monday morning advises patrons that the restaurant has gone back to take-out only. (Andrew Bailey photo)
Some Ucluelet restaurants heading back to take-out only as COVID-19 concerns rise

Ucluelet mayor Mayco Noel urges residents to be respectul of business owners’ decisions.

B.C. Health Minister Adrian Dix and provincial health officer Dr. Bonnie Henry update the COVID-19 situation at the B.C. legislature, Nov. 23, 2020. (B.C. government)
B.C. sets another COVID-19 record with 887 new cases

Another 13 deaths, ties the highest three days ago

Arthur Topham has been sentenced to one month of house arrest and three years of probation after breaching the terms of his probation. Topham was convicted of promoting hate against Jewish people in 2015. (Photo submitted)
Quesnel man convicted for anti-Semitic website sentenced to house arrest for probation breach

Arthur Topham was convicted of breaching probation following his 2017 sentence for promoting hatred

Langley School District's board office. (Langley Advance Times files)
‘Sick Out’ aims to pressure B.C. schools over masks, class sizes

Parents from Langley and Surrey are worried about COVID safety in classrooms

The Klahoose First Nation village on Cortes Island is under lockdown until further notice due to a positive COVID-19 test. Photo courtesy Kevin Peacey.
Cortes Island First Nation community locked down due to positive COVID-19 test

Klahoose First Nation has had one positive test, one other potential case

Cannabis bought in British Columbia (Ashley Wadhwani/Black Press Media)
Is it time to start thinking about greener ways to package cannabis?

Packaging suppliers are still figuring eco-friendly and affordable packaging options that fit the mandates of Cannabis Regulations

Join Black Press Media and Do Some Good
Join Black Press Media and Do Some Good

Pay it Forward program supports local businesses in their community giving

Ladysmith’s 1st Avenue will be lit up until January 15. (Cole Schisler photo)
Light Up parade a no-go, but Ladysmith’s streets are still all aglow

Although the tradition Light Up this year was cancelled, folks can still enjoy the holiday lights

The baby boy born to Gillian and Dave McIntosh of Abbotsford was released from hospital on Wednesday (Nov. 25) while Gillian continues to fight for her life after being diagnosed with COVID-19.
B.C. mom with COVID-19 still fighting for life while newborn baby now at home

Son was delivered Nov. 10 while Gillian McIntosh was in an induced coma

Gracie couldn’t stop nursing from her previous owner’s goats which was problematic given the goats were trying to be dried out to breed. Gracie now lives at A Home for Hooves. (Sarah Simpson/Citizen)
Cowichan animal sanctuary gets international accreditation

A Home for Hooves farm sanctuary accredited by the Global Federation of Animal Sanctuaries

Most Read