Placement: Resolutions
Action Requested: Motion / Vote
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Resolution 24-R73, a Resolution of the City Council of the City of Port St. Lucie Approving an Economic Development Incentive Package for Project Four PSL; Providing for Conflict; Providing for Severability; and Providing an Effective Date.
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Submitted By: Elijah Wooten, Economic Development Administrator.
Strategic Plan Link: The City's Goal of a diverse local economy and employment opportunities.
Executive Summary (General Business): Project Four PSL is a global manufacturer and distributor of metal and furniture grade fixtures for commercial, industrial, and institutional applications. The company will construct a 250,000 square foot manufacturing and distribution facility and create two hundred twenty-five (225) new full-time jobs paying an average wage of $52,374 plus benefits, which is above the average earnings for St. Lucie County.
Presentation Information: A brief presentation will be provided by Elijah Wooten (Economic Development Administrator) and Wes McCurry (Senior Vice President, Economic Development Council of St. Lucie County).
Staff Recommendation: Move that the Council approve the packet of economic incentives for Project Four PSL’s relocation.
Alternate Recommendations:
1. Move that the Council amend the recommendation and approve the packet of economic incentives for Project Four PSL’s relocation.
2. Move that the Council not approve the packet of economic incentives for Project Four PSL’s relocation and provide staff direction.
Background: Project Four PSL is a global manufacturer and distributor of metal and furniture grade fixtures for commercial, industrial, and institutional applications is a targeted industry. The company will make a capital investment of $33,500,000 in real property and $12,750,000 in tangible personal property. The company will create two hundred twenty-five (225) new full-time jobs paying an average wage of $51,657.46 plus benefits, which is 109% of St. Lucie County’s average wage.
Issues/Analysis: The employment schedule for Project Four PSL consists of fifty (50) new jobs in Year 1; fifty (50) new jobs in Year 2; fifty (50) new jobs in Year 3; fifty (50) new jobs in Year 4; and twenty-five (25) new jobs in Year 5.
Financial Information: The Economic Incentive Packet consists of ad valorem tax exemption, impact fee mitigation, and expedited site plan and permitting. The proposed ad valorem tax exemption on real property and tangible personal property is for a ten (10) year period with the first five years at 100%. The subsequent five (5) years are tiered at 90% in year six; 80% in year seven; 60% in year eight; 40% in year nine and 20% in year ten. The company is eligible to receive up to $3,500 per job in impact and mobility fee mitigation based on the two hundred twenty-five (225) new full-time positions that will be created paying 109% of St. Lucie County’s average wage. The impact fees will be paid from the Tradition Economic Development Fund and/or from the Government Finance Corporation’s sales proceeds that are allocated for infrastructure improvements in the Tradition Center for Commerce.
Special Consideration: A summary of the direct, indirect, and induced economic benefits from Project Four PSL’s relocation to Port St. Lucie is included in the attached Executive Summary.
Location of Project: Tradition Center for Commerce.
Attachments:
1. Executive Summary - Project Four PSL
2. Project Four PSL presentation
3. Economic Packet Resolution for Project Four PSL
NOTE: All of the listed items in the “Attachment” section above are in the custody of the City Clerk. Any item(s) not provided in City Council packets are available upon request from the City Clerk.
Internal Reference Number: 24243-04.
Legal Sufficiency Review:
Reviewed by Carly Fabien, Deputy City Attorney. Approved as to Legal form and sufficiency by Richard Berrios, City Attorney.