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2 <br /> Medline experienced an unexpected delay in receipt of its certificate of occupancy not under the <br /> company's direct control, resulting in a delay of the commencement date. This unexpected delay <br /> exceeded 12 months in duration and caused the company's revised investment and job creation <br /> schedule to face an unrealistic schedule in relation to its 2019 agreement with the County. <br /> In accordance with the Performance Agreement's Section 6. Remedy; B. Delay of Inducement <br /> Package Initiation, Medline submitted a request to the County on November 19, 2020, within the <br /> timeframe outlined in the Performance Agreement, requesting an extension. A Contract <br /> Amendment is necessary to formalize the new December 31, 2021 deadline for the <br /> commencement date and January 31, 2027 agreement end date. <br /> FINANCIAL IMPACT: There is no financial impact to the County associated with extending the <br /> start date of the 5-year incentive contract with Medline Industries, since the County's Performance <br /> Agreement was previously approved by the Board on September 10, 2019 following a public <br /> hearing. <br /> SOCIAL JUSTICE IMPACT: The following Orange County Social Justice Goal is applicable to <br /> this item: <br /> • GOAL: ENSURE ECONOMIC SELF-SUFFICIENCY <br /> The creation and preservation of infrastructure, policies, programs and funding necessary <br /> for residents to provide shelter, food, clothing and medical care for themselves and their <br /> dependents. <br /> ENVIRONMENTAL IMPACT: There is no Orange County Environmental Responsibility Goal <br /> impact associated with this item. <br /> RECOMMENDATION(S): The Manager recommends that the Board receive and review the <br /> County's original Performance Agreement with Medline Industries, LP, and approve and authorize <br /> the Chair to sign the contract amendment (Attachment 2). This action will approve the extension <br /> request made by Medline Industries and allowed by Section "6 B" (Delay of Inducement Package <br /> Initiation) in the Performance Agreement, making the new commencement deadline December <br /> 31, 2021 and termination date January 31, 2027. <br />