Agenda - 10-20-2009 - 5a - Laserfiche WebLink

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Attachment 1 Utility Extension Fund Request Taylor Fish Farm 3237 Lonesome Road Cedar Grove Revised Septe~rtberl7, 2009 Fund Background The Orange County Utility Extension Fund (Fund} was created in 1993, and as described in the attached undated summary entitled "Utility Extension Development", the fund is designed to "...encourage economic development in Orange County by providing funds to finance utility extensions for commercial entities." The intention of the fund is to cover a portion of the costs to extend utility infrastructure necessary to stimulate economic development, with a portion of the resulting increase in property tax revenue being used to repay the fund. The fund thereby acts as a revolving fund with the funds used to address other utility needs. A set of procedures were developed in 1993 to utilize the Fund; a copy of the procedures is provided as Attachment A, In summary, a potential project must conform with applicable zoning requirements, must provide job opportunities for a diverse group of Orange County citizens with wages scales in compliance with the Orange County living wage standard, and the project must be able to show that the increase in property taxes resulting from the infrastructure upgrade will more than cover the requested utility expenditures. The current balance in this fund is approximately $76,000. To date, two projects have been awarded funding from the Fund and are summarized below (as provided by April 19, 199b memo from Ted Abernathy, EDC, to Orange County Board of County Commissioners and John Link): • Meadowlands Park and Cornerstone Park Hillsborou h - In 1991 Orange County contributed $78,000 in conjunction with contributions from the Town of Hillsborough and two private development companies to upgrade the Hillsborough sewer system to allow commercial development, as well as provide benefits to surround schools and properties. The project had a net surplus to Orange County in the 5-year payback period of $276,209. • H_ ancor, Inc. -In 1993 Orange County provided $38,428 to assist the Hancor facility in their connection to the Efland sewer system by adding a small force main along Highway 70, allowing Hancor to expand their existing operations. The net surplus to Orange County in a 3-year payback period was $15,975. • Barber and Ross - In 1999 Orange County provided $50,000 to Barber & Ross Company, a manufacturer of pre-hung doors, windows, and millwork to aid in connecting their facility's sanitary waste stream to the existing sanitary sewer Iine located on US 70. Proiect Backeround Taylor Fish Farm is astate-of--the-art aquaculture facility located in the Cedar Grbve Township of Orange County. The farm is housed in a "barn", slightly smaller than a football field, where Tilapia is raised, from fingerling through average harvest size (ca. 1.51bs.). The custom-designed facility utilitizes an indoor recirculating water system and an anabolic digestive system, and was designed with the support of NC State aquaculture extension agency. The production facility has