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Commissioner Nelson asked about the annual fees after the startup is complete and if $150,000 would cover it. The representative from Smithson Mills said that in Asheville the operating expenses there are approximately $130,000 a year; and $70,000 of that is the Facility Director (salary of$50,000 with benefits). The community college receives rent of about $35,000 a year. The balance is dedicated to equipment repairs, minor equipment acquisition, cleaning fees, etc. He said that, based on the demand measured in this region, which is substantially higher than Asheville, he believes that the project can approach or meet a break- even status within a few years. Commissioner Nelson asked about the Valley Forge site and said that, if Orange County were chipping that in, what would the other counties be contributing. Noah Ranells said that those discussions have not occurred yet. Chair Jacobs said that this could be brought up once everyone is brought to the table. He is sure that there is a willingness to contribute. Commissioner Nelson made reference to the management entity and asked who would set this up and if it would spin off into its own authority. Noah Ranells said that the options for development of the management authority lay with the commissions of each county as well as the stakeholder group. These two entities would come together and form this administrative body. The representative from Smithson Mills strongly recommended establishing a 501(c) 3 with appointees from various commissions because it is more flexible and works better. Commissioner Nelson asked about the lease arrangement and said that his main concern is that he does not believe in giving space away. However, this is an exciting project and he would like to find a way to do this. He would prefer that this entity pay rental, even if it means the County is contributing financially towards the operating expenses for the first few years. He does not think that it is a wise idea from a business standpoint to set up a business and not have them paying all of the operation costs that a real business would pay. He said that it is hard to justify giving property away. Chair Jacobs suggested trying to scale it up to the place that the County wants. By process of elimination, it is going to be way more convenient to Orange County producers. So Orange County will have the biggest advantage for the economic development opportunity. With that understanding, he thinks that something equitable could be built in. Noah Ranells made reference to a previous question and said that there is about $300,000 in equipment and $400,000 in renovation costs for the initial phase. He said that this is a business incubator and would spawn economic development. Laura Blackmon said that there will be concerns from other counties about the County getting the building renovated and the value that would be added to that. The representative from Smithson Mills said that there is a way to structure it so that the value of the building can be a match. The agreement in Asheville is $1 a year, with a $35,000 a year utilities and maintenance fee. Commissioner Gordon said that this is an exciting opportunity. She asked if there was a hope to do more than break even. Noah Ranells said that this is an incubator and it will graduate people out. The long-term financial planning is a little uncertain. Commissioner Gordon said that she thinks that the County should be able to get some money back. She said that the value of the building would be about $500,000. She does not think that the County is affluent enough to be able to afford to give this property away. In order to get the costs down, she would like to assess what the property is really worth and then ask the other counties to subsidize it too. She thinks that every other county involved in this has a lower tax rate. She also has a concern about giving space away. She wants to talk to the other counties, factor it in, and make it fair. Chair Jacobs said that he has heard that the Board has no objections with proceeding, no objections with allocating the building, no objections to seeing the board become a 501(c) 3,