Agenda - 05-18-2010 - 8b - Laserfiche WebLink

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building expansion and/or equipment. The project for either new or existing industries must not have been started prior to the request for the incentive. Creation of jobs through either new development or expansion must have a wage rate equal to or greater than the average hourly wage of all industry in the county as established quarterly by the Employment Security Commission. [11 The payback period for any and all incentives shall be no longer than five (5) years. No incentives are being recommended for connnercial /retail -type businesses at this time, but could be explored in the future if deemed necessary. Incentives will be paid after current year ad valorem taxes are paid by the requesting industry. Other criteria for consideration may include but are not limited to: site specific issues that have an impact upon local infrastructure responsibilities, site specific issues that have an impact upon other local resources such as public safety, public works, etc. The industry meeting the criteria and desiring the incentive shall apply in writing. Upon request by an applicant industry and after taking into consideration the importance of proposed investments by an applicant industry to the local economy under the current circumstances, subject to the approval of the City Council, the foregoing criteria may be modified and/or waived in order to qualify an applicant industry in those instances where documentation is presented by the applicant industry that a significant number of sustainable jobs will be created and substantial capital investments, in addition to the initially proposed investments, are scheduled for implementation in the immediate future. The industry must enter into a binding economic development contract with the City of Burlington and is therefore subject to any reporting or repayment (clawback provision) requirements contained therein. City Council will hold the necessary public hearings as required under statute and approve the signing of the contract between the City and the requesting industry. Incentives in the amount of a minimum of one per cent (1 %) of the total investment of new or expanded tax base. [21 (These funds will be paid from ad valorem taxes created by the new or expanded tax base from an Economic Development Fund.) Other incentives could be in the form of infrastructure such as streets; environmental testing/site mitigation; clearing, grading and erosion control measures; water and/or sewer line extensions. Corporate Headquarters Incentive Criteria The City will provide a one -half percent (.5 %) higher incentive to corporate headquarters if the project meets the following criteria: Corporate headquarters means the building or buildings that the principal executive officers have designated as their principal office. [See North Carolina G.S. 55 -140 (17)]. The City requires that the corporate headquarters have at least fifty (50) or more full -time employees who are located in that building or buildings. The headquarters and/or expansion must be located within the corporate limits of the City of Burlington. If the project is an expansion, the expansion must employ fifty, (50) or more full -time employees. The project must meet all other criteria as listed in Part III of this document. Incentives will be paid after all taxes, fees and charges due the City are paid. 691Page