Agenda - 03-07-2023; 8-j - Two Proposed Contract Amendments to the Existing Three-Year Interlocal Agreement between Orange County and Chapel Hill Joint Funding for the “LAUNCH, Inc.” Small Business Incubator

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4 • On November 17, 2015, the BOCC approved a new three-year (36-month) Interlocal Agreement starting on January 1, 2016 and expiring on December 31, 2018. The County's financial contribution remained the same at $10,000 per quarter, or a total cost of $120,000 to the County over the initial three-year term. The County's payment was funded from Article 46. The Town also provided an equal level of financial support. (3) Amendment made to the Second Interlocal Agreement to permit LAUNCH to add 3,700 square feet for additional co-working space in the incubator's existing facility. • The second Interlocal Agreement was amended in June 2016 to permit an on-site expansion of the LAUNCH office, which required Orange County and the Town to contribute an additional $8,375 per quarter ($33,500 annual increase) for up to three (3) years. The amended annual cost to the County then increased to $18,375 per quarter, or a total of $73,500 per year. The Town also provided an equal level of financial support. The amended Interlocal Agreement expired on December 31, 2018. (4) Third Interlocal Agreement between the Town and County (a 3-year renewal of financial support, at the same annual cost that was set during the second Interlocal Agreement) • The third Interlocal Agreement was amended on February 25, 2019 to set a new three- year term. The County and Town continued to provide an equal 50/50 co-share of financial support (each local government paying $18,375 per quarter, or a total of $73,500 per year). The amended Interlocal Agreement expired on December 31, 2021. (5) Fourth Interlocal Agreement between the Town and County (a 3-year renewal of financial support, at the same annual cost that was set during the third Interlocal Agreement) • On October 21, 2021, the BOCC approved a new three-year (36-month) Interlocal Agreement starting on January 1, 2022 and expiring on December 31, 2024. The County and Town continued to provide an equal 50/50 co-share of financial support (each local government paying $18,375 per quarter, or a total of $73,500 per year). FINANCIAL IMPACT: The proposed changes to the existing Interlocal Agreement do not adjust the County's $18,375 per quarter (or $73,500 annually) contribution as outlined in the original agreement. County funding is provided exclusively by Article 46's annual retail sales tax collections that support a variety of economic development activities to include the LAUNCH small business incubator. Therefore, there is no new financial impact. SOCIAL JUSTICE IMPACT: The following Orange County Social Justice Goal is applicable to this item: • GOAL: ENSURE ECONOMIC SELF-SUFFICIENCY The creation and preservation of infrastructure, policies, programs and funding necessary for residents to provide shelter, food, clothing and medical care for themselves and their dependents. ENVIRONMENTAL IMPACT: There is no Orange County Environmental Responsibility Goal impact associated with the proposed renewal of the LAUNCH incubator and new interlocal agreement.