TITLE
Title
HOLD A PUBLIC HEARING TO CONSIDER AN ECONOMIC DEVELOPMENT INCENTIVE REQUEST FOR AMADA NORTH AMERICA, INC.
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SPONSOR
Sponsor
Marty K. Lawing, County Manager
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BACKGROUND
Background
Amada North America, Inc, a laser cutting machine manufacturing company is considering a High Point site for the development of a new manufacturing facility. The facility would be developed in two phases. Phase I would consist of new construction valued at $25 million and personal property valuation of $16 million and the creation of 100 new jobs by 2022. Phase II would include an additional $25 million in construction value and $16 million in equipment and machinery investment. An additional 101 jobs would be added with Phase II which would be completed in 2024 bringing the total investment and estimated increased real and personal property assessed valuation to $82 million and the total new jobs created to 201.
Based on the county’s current incentive guidelines Phase I would qualify for an incentive based on new valuation of $495,000. Both Phase I and Phase II combined would qualify for an incentive of $990,000.
If approved, this would be a performance based incentive grant would be based on investment in real and personal property that would result in increased assessed valuation of $82 million and the creation of 201 jobs. The grant payments would be reimbursable after the company pays all taxes billed and meets the scheduled employment thresholds. The performance incentive grant payments would be made over a five (5) year period based on performance.
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BUDGET IMPACT
Budget Impact
No impact on FY 2018-19 Budget
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REQUESTED ACTION
Requested Action
Hold Required Economic Development Incentive Public Hearing for Amada North America, Inc.; and consider authorization of staff to enter into performance based grant agreement up to $990,000.00.
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