BC 2005 07 14 REGULAR - Laserfiche WebLink

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July 14, 2005 - Regular Meeting Page 275 estimated at $233,169.30 County. Mr. Saunders said of the incentives. with a net revenue of $153,108.90 to Cabarrus the EDC Board of Directors had recommended approval Further, Mr. Saunders provided the following background information regarding the incentive request: (1) The race team is in the final stages of negotiations with the City of Kannapolis to move the team to Kannapolis; (3) The race team had its own site criteria which included a July closing date with construction to begin in September and the building to be occupied in 2006; (4) The team looked at other sites, including sites outside Cabarrus County; (5) Only two sites within the county were identified that met the team's specifications and Haas selected the Kannapolis site; (5) Harrisburg Mayor Tim Hagler was involved in the process and is aware of the team's relocation to Kannapolis due to the lack of site availability in Harrisburg; and (6) The Kannapolis site is large enough for a future expansion which was a requirement of Haas. In response to questions by Commissioner Privette, Mr. Saunders stated EDe had not made a presentation to the Harrisburg Town Council regarding the incentive request by Haas CNC Racing. Commissioner Freeman reported that Harrisburg Town Councilman Mark Martin reported to him that the Town Council had talked about the project. He said Harrisburg Town Council has no animosity towards the race team for leaving Harrisburg as long as new jobs are created and the County's tax base increased. There was discussion regarding the proposed incentive grant. Issues addressed included the following: (1) Relocation of the team to a site outside Cabarrus County would result in the loss of 85 jobs; (2) No guarantee that 15 new jobs will be created; (3) Motorsports is a targeted industry for Cabarrus County; (4) Concerns about providing an incentive grant for the company to relocate from Harrisburg to Kannapolis; (5) Lack of available sites in Harrisburg due to site and future expansion plan requirements; and (5) Need to provide incentives for existing businesses in Cabarrus County. Mr. Saunders pointed out the County's current incentive program is based on asset investment with no direct tie in to new jobs. At 7:27 p.m., Vice Chairman Carruth opened the Public Hearing on the Industrial Development Incentive Grant (Level 1 Grant) for Haas CNC Racing. The Public Hearing Notice was published in THE INDEPENDENT TRIBUNE on July 2, 2005. Richard Simone of Davidson and an employee of the racing industry, encouraged Board members to get a commitment from Haas for the 15 jobs. He stated moving into a new facility did not necessitate hiring 15 employees unless they were janitors. Further, he commented on a tendency in the racing industry to build large buildings and stated the real estate could be sold if the teams lose their sponsors. Jim Halsey, an employee of Haas CNC Racing, reported the company has a trend of increasing its employee base, beginning with 20 employees in 2001 and having a total of 85 at this time. He stated the company has two teams, a Busch team and a Cup team, with plans to add a second Cup team. The race shop is currently housed in a 45,000 square foot facility and has to lease other buildings for additional space. Mr. Halsey reported the race shop cannot expand to a second Cup team without additional employees and space. There was no one else present to address the Board, and Vice Chairman Carruth closed the public hearing at 7:31 p.m. UPON MOTION of Commissioner Juba, seconded by Vice Chairman Carruth with vice Chairman Carruth, Commissioners Freeman and Juha voting for and Commissioner Privette voting against, the Board approved the incentive grant (Levell) for Haas CNC Racing subject to the negotiation and execution of a definitive agreement between Cabarrus County and Haas CNC Racing, as outlined in the Industrial Development Grant Program, and authorized the County Manager and County Attorney to conclude negotiations and execute the agreement. (G-2) Piedmont Behavioral Hea1thcare - Presentation of Audit and Report of Services Daniel Coughlin, CEO of piedmont Behavioral Healthcare (PBH) , presented a quarterly service report for the agency. He introduced Renee Snipes, PBH CFO, for a report on the annual audit for FY 03-04.