BC 2010 09 20 Regular - Laserfiche WebLink

Home Browse Search

September 20, 2010 (Regular Meeting) Page 138 Section 9. Copies of this grant ordinance shall be made available to the Budget Officer and the Finance Director for directions in carrying out this project. ADOPTED this 20 day of September, 2010 contingent upon receipt of the Grant Agreement. CABARRUS COUNTY BOARD OF COMMISSIONERS By: /s/ H. Jay White, Sr. H. Jay White, Sr., Chairman ATTEST /s/ Kay Honeycutt Clerk to the Board (G -2) EDC - Approval of Revised Economic Development Grant Agreement for LKN /ACN and Public Hearing - 6:30 P.M. Richard Koch, County Attorney, reported in 2007, a grant agreement was approved for LKN /ACN with reference to their purchase of the old CTC /Windstream building on Progress Place. LKN /ACN planned to purchase the existing building, upfit it and buy new equipment in connection with that transaction. The original grant agreement provided for incentive grants equal to 99 percent of the increase and assessed value for a period of five years. Since this project was located in Concord, he said there was a like grant approved by the Concord City Council and the total amount of those grants would be matched dollar- for - dollar by the One North Carolina Fund up to a maximum of $300,000.00. Due to the nature of the real estate being an existing building as opposed to new construction and its relative value, the ability to maximize that grant, in order to obtain the maximum match from the One North Carolina Fund, was not able to come to fruition. When that became evident, he said LKN /ACN requested the grant be reworked so the grant could be maximized as originally contemplated. The original grant amount was $5 million and according to the audit and calculations performed by the Tax Assessor's Office, LKN /ACN was not able to achieve that amount. However, he reported LKN /ACN fully achieved the job creation aspect of the grant and complied with the grant agreement and representations that were made in connection with the agreement. He advised that allowing LKN /ACN to grant on additional purchases of equipment bought during the grant agreement period is the only way to help LKN /ACN achieve their goal of maximizing the original grant, which will require a modification or waiver of the existing grant program. Further, he advised the Tax Assessor's office prepared the numbers that supports the new grant agreement, the number for County's and the City's participation has changed slightly from $180,000.00 (County) and $120,000.00 (City and that a public a public hearing is required. Finally, he suggested the motion include the following information: (1) approval of a waiver to the County's Economic Development Program for depreciable assets as determined by the Tax office; and (2) to cap the amount of participation at the original grant amount based on the County's prorata share instead of an exact number. Chairman White opened the public hearing at 7:28 p.m. The Public Hearing Notice was posted on the County's website ( www.cabarrus county. us ) on September 9, 2010 in accordance with Article 2, Administration, Section 2.1 (Use of Electronic Means to Provide Public Notices) of the Cabarrus County Code of Ordinances. There was no one present to address the Board; therefore, Chairman White closed the public hearing. After a short discussion, Commissioner Carruth MOVED to approve the revised Agreement between Cabarrus County and LKN /ACN as outlined by the County Attorney. Following a brief discussion, Commissioner Carruth amended his MOTION to include replacing the hard number amount of $180,000.00 in the Agreement with "the County's prorata share ". Commissioner Mynatt seconded the motion and the MOTION unanimously carried. (G -3) EDC - Consideration of Economic Development Grant for DNP IMS America Corporation (Project Ribbon) and Public Hearing - 6:30 P.M. Ryan McDaniels, Cabarrus Economic Development Corporation (EDC), requested an Economic Development Grant for DNP IMS America Corporation (Project Ribbon) . He presented the following information: the expansion