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HomeMy WebLinkAboutAgenda 11-19-19 Item 5-a - Public Hearing Regarding an Economic Development Recruitment Incentive for Piedmont Metalworks, LLC 1 ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: November 19, 2019 Action Agenda Item No. 5-a SUBJECT: Public Hearing Regarding an Economic Development Recruitment Incentive for Piedmont Metalworks, LLC DEPARTMENT: Economic Development Manager's Office Attorney's Office ATTACHMENT(S): INFORMATION CONTACT: 1. Performance Agreement between Steve Brantley, Economic Development, Orange County & Piedmont (919) 245-2326 Metalworks, LLC Travis Myren, Deputy County Manager, 2. PowerPoint Brief Summary (919) 245-2308 3. Public Hearing Media Notice PURPOSE: To: 1) Receive proposal information and hold a public hearing on the issuance of a "performance-based" economic development incentive by the County to a private company; and 2) Consider approval of the proposed 5-year performance-based incentive agreement, with claw-back provisions, for the recruitment of Piedmont Metalworks LLC's manufacturing facility to Orange County, NC. BACKGROUND: Local and state government in North Carolina have the goal to promote economic development by encouraging the location of new businesses and the expansion of existing businesses. This activity serves to diversify the local tax base, increase employment opportunities and introduce desired job skills and related benefits to a community, and for the benefit of its residents. The Local Government Act, North Carolina General Statute (NCGS) 158-7.1 outlines the requirements of public hearings, and NCGS 158-7.1(a) specifically addresses the requirement that economic development appropriations "must be determined by the governing body of the city or county to increase the population, taxable property, agriculture industries, employment, industrial output, or business prospects of the city or county" This public hearing has been scheduled in compliance. Project Description: Piedmont Metalworks, LLC is a locally-owned structural and sheet metal fabrication company serving industries throughout the Southeast United States. The firm's staff of 12 metalworking 2 professionals has over 100 years of collective sheet metal fabrication experience and has performed custom work for many facilities around the region, including the Raleigh-Durham International Airport (ticket counters and jetway entrances), the North Carolina Museum of Art and North Carolina Museum of Natural History in Raleigh, UNC Chapel Hill (HVAC mounting platform), and the U. S. Marine Corps (tethered aerostat / blimp towing vehicles). Manufactured parts include enclosures, cabinets, housings, railroad sinks and toilets, panels, brackets, racks and recycling collection boxes. Products are made with structural steel and various sheet metal including mild steel, aluminum, stainless steel, galvanized, brass and copper. Manufacturing skills include plasma cutting, welding, design and CAD engineering, powder coating and silk screening. The average annual salary is $41,236 plus full employment benefits including medical, dental, and 401(k) match. Piedmont Metalworks currently has operations at 1551 Cooper Street in Durham, but has determined to relocate to either Orange County, or, competing sites and available building options in Alamance County. Management of the firm contacted Orange County Economic Development in July of this year to inquire about potential financial incentives to consolidate operations here, and the BOCC met and discussed this project in closed session on September 3, 2019. Under the same ownership by Chief Executive Officer (CEO) Richie Richmond is the Orange County-based custom sheet metal fabrication company, Forma-Fab Metals, which manufactures enclosures, cabinets, housings, panels, brackets, racks, bus bars, and covers. That firm, which has two locations at 5816 U.S. Highway 70 and at 6600 E. Washington Street in Orange County (between the Cheeks community and Mebane), has 68 local employees, and 75,000 square feet of manufacturing space with a total Orange County property tax valuation of $2,916,600 This region of Orange County is part of a U.S. federally designated rural census tract area. The owner and CEO of both facilities, Ritchie Richmond, proposes to relocate Piedmont Metalworks from Durham to Orange County and be adjacent to his Forma-Fab Metals operation, which is located at 5816 U.S. 70, which is near the Buckhorn Road and U.S. 70 intersection. Illustration of metalworking machinery currently in use: QMAQA r _ 1 � 3 Orange County Site Location at 5816 US Hwy 70, Mebane, NC 27302: Orange County,North Carolina Forma-Fab Metals Site i'- I �r ORANGE COUNT' w NOK]'H CAliOUNA N :n=,,OOO reel --• Railroad m- Site of Inter boo orarq.courcy wnrvn�.:.. Parcels P �-�•��• ec irsorzo�c Aerial view of the Orange County facility: Orange County,North Carolina Forma-Fab Metals Site .I.. - . 170 ] _ T t 1, l _ t G F COUNTY Q Site of Interest �. :ne ` Utility Easements - Sewer Force Main Streams Railroad 4 Examples of locally manufactured products for customers: (recycling bin, military vehicle, safety ladder, rail car sink, airport counter) i �" r 5 Basis to Calculate the Value of Orange County's Performance-Based Incentive: (1) NEW INVESTMENT — Piedmont Metalworks, LLC proposes to relocate its current Durham-based sheet metal manufacturing facility to Orange County and build a new 40,000 square foot production space adjacent to the existing Forma-Fab Metals operation. This plan will increase real property valuation by approximately $3,050,000 and personal property valuation by approximately $1,100,000 to yield a total of $4,150,000 in combined real and personal property investment over the next 5 years. New lnvestmeIV110201TI�0211 190"Iqnnl"IVI�024 Real Property $1,500,000 $0 $750,000 $0 $800,000 Personal Property $150,000 $200,000 $250,000 $250,000 $250,000 Total (annual) $1,650,000 $200,000 $1,000,000 $250,000 $1,050,000 TOTAL NEW INVESTMENT BY 2024: $4,150,000 (2) NEW EMPLOYMENT — Piedmont Metalworks will maintain employment consistent with the hiring schedule outlined below during the term of the incentive agreement. If annual job targets are not achieved, the incentive payment will be reduced proportionally. By year #5, the Company plans to add 42 positions with an average salary of $41,236 per year (equivalent to an average salary of $19.83 per hour), plus health and related employment benefits. Of these 42 jobs, 12 positions will be existing jobs that will relocate to Orange County, and 30 positions will be new hires over the next 5 years. IIIIL 1st Year Employment Projection —4 2—d Year 3r Year 4th Year 5th Year 2020 2021 2022 2023 2024 New Full Time 15 4 10 4 9 Jobs (annual) TOTAL NEW EMPLOYMENT BY 2024: 42 Jobs The proposed economic development incentive follows the County's previously adopted incentive formula that has been utilized with other industrial prospects, and is calculated at an amount equal to 75% of Piedmont Metalworks' projected investment in additional real & personal property tax valuation over each of the first 5 years. County policy ensures that annual revenues from this project's additional property tax values, net of annual incentive payments, remain revenue positive in all years of the incentive agreement. The incentive will be performance-based, revenue positive, and require annual verification by the County of Piedmont Metalworks' actual metrics over the next 5 years to note annual increases in (1) employment, wages & benefits, and, (2) new taxable real & personal property additions. Incentives would only be paid following confirmation of the Company's required annual threshold growth in these measures, and, on a pro-rata reimbursement in case the company's targeted growth in any year lags current growth projections. 6 Company CEO and President Richie Richmond has been invited to attend the meeting and will be available for comment and questions. Orange 1 st Year 2--d Year Sid Year 41h-Year 51-h Year TOTAL 2021 2022 2023 2024 2025 Gross Property Tax $14,320 $15,926 $24,314 $26,005 $34,449 $115,014 Revenues Incentive Payments ($10,740) ($11,944) ($18,236) ($19,504) ($25,837) ($86,261) Annual Net $3,580 $3,981 $6,079 $6,501 $8,612 $28,753 Revenues Orange (10 Years) Gross Property Tax Revenues $274,709.00 Incentive Payments ($86,261.00) Annual Net Revenues $188,448.00 FINANCIAL IMPACT: The attached "Performance Agreement" contract between Orange County and Piedmont Metalworks, LLC outlines a total financial impact of up to Eighty Six Thousand Two Hundred Sixty One Dollars ($86,261), payable in five (5) annual installments. This Inducement Agreement will be performance-based, measured annually, and based on the Company's annual investments in 2020 through 2024 resulting in a new property tax valuation of approximately Three Million Fifty Thousand Dollars ($3,050,000) in Real Property, and approximately One Million One Hundred Thousand Dollars ($1,100,000) in new Personal Property, to yield a combined Four Million One Hundred Fifty Thousand Dollars ($4,150,000). Annual incentive payments by the County will be paid from net new property tax revenues to be generated by Piedmont Metalworks, LLC, and from available Article 46 funds, as required. The Company will create at least forty-two (42) full-time jobs, to include 30 new positions, with an average annual salary of $41,236 per year (average salary of $19.83 per hour). Other economic benefit multipliers to the County include enhanced job skills for those employees through advanced technical training to be provided by the Orange County campus of Durham Technical Community College in Hillsborough. Also, construction employment for the additional 40,000 square foot facility will create additional skilled trade jobs in the metalworking industry. 7 Proposed Orange County Incentives Project FFM Last Updated:8/6/2019 COMPANY!INVESTMENT $4,150,000 $0.8579 JOBS 42 75% of new property tax for 5 years AVERAGE WAGE $41.236 10% I New Value Yr 1 1 1 1 1 Real $1,500,000 $1,500,000 $2,250,000 $2,250,000 $3,050,000 $3,050,000 $3,050,000 $3,050,000 $3,050,000 $3,050,000 $3,050,000 $3,050,000 Pers Proo Yr 1 $150,000 $135,000 $121,500 $109,350 $98,415 $88,574 $79,716 $71,745 $64,570 $59,113 $52,302 $150,333 Pers P,oc v-2 $C $200,000 $180,000 $162,000 $145,800 $1,91,220 $118,098 $106,2S8 $95,659 $86,093 $77,484 $20a,3aa Pe-s'- -3 $0 $0 $250,000 $225,000 $200,000 $175,000 $1.50,000 $125,000 $100,000 $75,000 $50,000 $253,333 Pe-s--oc v-4 $0 $0 $0 $250,000 $225,000 $200,ODD $179,000 $150,000 $125,000 $100,000 $75,CCC $253,333 Pers Prot v-_� $0 $C $0 $0 $250,000 $225,CCC $200,000 $175,000 $150,000 $125,000 $100,000 $253,333 Pers Prop Yr 6 $C $C $0 $0 $0 $0 $0 $0 $o $o $0 $0 Pers Prop Yr 7 $C S0 $0 $0 $0 $0 $C $0 $0 $0 $0 $0 Tax Value $1,650,000 $1,835,000 $2,801,500 $2,996,350 $3,969,215 $3,869,794 $3,772,814 $3,678,033 $3,585,229 $3,494,207 $3,404,786 $4,150,000 1 1 (21ft1 (ZD29) Yr 11(2030) Total Property Tax $0 $14,320 $15,925 $24,314 $26,005 $34,449 $33,596 $32,744 $51,922 $31,116 $30,326 $274,709 Incenbi $C -510,740 -$11,944 -$15,236 -$19,504 -$25,S37 W $0 $0 $0 $0 -$86,261 Annual Net ;5,375 $5,501 $5,512 533,5S5 $S2,744 551,S22 S-11,115 550,325 $188,448 Cash Flow S3 S3 583 F552 S13,540 S20,141 $28,754 SE2,340 Ss5 394 S127 MS 5158,122 S199449 $200,000 $180,000 $160,000 $140,000 $120,000 $100,000 $80,000 $60,000 $4gom $2000o . . . ■ rip Yr1(2020) Yr2(20211 Yr3(2022) Yr4(2023) Yr 5(2024) Yr6(2025) Yr7(2026) YrS(20071 Yr9(2028) Yr 10(2029) Yr 11(20301 �An 1 Net -Cash Flow I I I I I I 1 1 1 ! 0 I I 15 4 10 4 9 -_ 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: The following Orange County Responsibility Goal impacts are applicable to this item: • ENERGY EFFICIENCY AND WASTE REDUCTION Initiate policies and programs that: 1) conserve energy; 2) reduce resource consumption; 3) increase the use of recycled and renewable resources; and 4) minimize waste stream impacts on the environment. Piedmont Metalworks' proposed consolidation of metalworking operations onto the firm's main production site should promote greater efficiencies regarding energy usage, recycling efforts, trucking transportation and related logistics. • RESULTANT IMPACT ON NATURAL RESOURCES AND AIR QUALITY Assess and where possible mitigate adverse impacts created to the natural resources of the site and adjoining area. Minimize production of greenhouse gases. 8 The proposed new construction will involve the oversight of Orange County Planning & Inspections regarding site plan approvals, sedimentation control and storm water runoff management, and compliance with the County's zoning, set-back requirements and other land use ordinances. RECOMMENDATION(S): The Manager recommends that the Board: (1) Receive the proposal to consider the issuance of incentives to a private company for the recruitment & expansion of Piedmont Metalworks' manufacturing facility to Orange County; (2) Conduct the Public Hearing and receive BOCC and public comments; (3) Close the Public Hearing; and (4) Approve the "performance-based" economic development incentive agreement between Orange County and the Company, Piedmont Metalworks, LLC, subject to final review by the County Attorney, and authorize the Chair to sign the agreement on behalf of the County. 9 Attachment 1 STATE OF NORTH CAROLINA ORANGE COUNTY PERFORMANCE AGREEMENT BETWEEN ORANGE COUNTY, NORTH CAROLINA, AND PIEDMONT METALWORKS, LLC. This Performance Agreement("Agreement")made and entered into this the day of ,2019 by and between Orange County, a body politic existing under the laws of the State of North Carolina ("County") and Piedmont Metalworks, LLC., a U.S. operating entity and privately-owned corporation, with facilities located adjacent to 5816 U.S. 70 West in Orange County,North Carolina("Company"), for the purpose of incentivizing Company's expansion which will create investment and employment growth in Orange County. Company's Facility shall move their existing sheet metal manufacturing operation. Company represents it is duly authorized to conduct business in North Carolina. It is understood that the levels of performance required by this Agreement are to be met by Company as a whole at its Facility in Orange County. Accordingly,the term"Company" as used in this Agreement refers to the entire group at such Facility. WITNESSETH THAT WHEREAS, the County has offered to the Company an inducement package as hereinafter set forth; and WHEREAS, Pursuant to G.S. Section 153A-449, 158-7.1, and 158-7.2, as construed by the North Carolina Supreme Court in its opinion in Maready v. The City of Winston-Salem, et al, 342 N.C. 708 (1996), and other judicial authority, the County may enter into an agreement with the Company in connection therewith; and WHEREAS, the County finds that awarding the Company a grant based on its Total Taxable Investment will increase the taxable property base for the County and help create new jobs in the County at the agreed average annual salary, all of which will result in an added and valued benefit to the taxpayers of the County; and WHEREAS,but for the offer of an inducement package the Company would not be locating its manufacturing facility within Orange County. NOW, THEREFORE,the parties hereto in consideration of these mutual covenants and agreements passing from each to the other do hereby agree as follows: 1. DEFINITIONS. As used in this Agreement the terms below will have the following meanings: A. "Affiliate." A company that the Company controls, controls the Company, or is under common control with the Company. B. "Baseline Employment." Number of employees,_12 , employed by Company as of the date of execution of this Agreement. 10 C. "Baseline Valuation." Current assessed valuation of the Subject Property as assessed by the Orange County Tax Administrator prior to the investment contemplated in this Agreement. Upon revaluation by the County the Baseline Valuation shall be adjusted as determined by the Orange County Tax Administrator. D. "Commencement Date." The date in which the Company begins actual production operations at the Subject Property, after having obtained applicable governmental approvals, certificates of zoning compliance, and certificates of occupancy. Unless delayed by causes beyond the control of the Company,the Commencement Date is anticipated to be no later than December 31, 2020. E. "Company." Piedmont Metalworks, LLC. and includes its affiliates, successors, and assigns. F. "Eligible Property." Includes (a)the Subject Property(as defined in Exhibit C, Legal Description of Real Property), other real property in the County, and all improvements the Company or an Affiliate of the Company constructs or installs, or causes to be constructed or installed, at the Subject Property or such other real property, including all buildings,building systems, and building improvements, and(b) all personal property (as defined in Exhibit B, Personal Property)the Company or an Affiliate of the Company purchases or leases and installs, at or relocates to,the Facility or such other real property. Does not include property valued for the Baseline Valuation. G. "Grant."An economic incentive grant to the County pursuant to Section 2 of this Agreement. H. "Inducement Grant." An economic development grant provided to Company for the purpose of securing the Company's location of its manufacturing facility in Orange County,North Carolina. I. "Minimum Taxable Investment." The aggregate Qualifying Expenditures made by the Company that Company anticipates will be made annually as reflected in Exhibit A and verified by the Orange County Tax Assessor and which will be used for calculating the annual Inducement Grant payment. J. "Orange County Facility" or"Facility." The Company constructed and/or owned primary and secondary structures,utilities, and operations and service areas situated on the Subject Property adjacent to 5816 U.S. 70 West, Orange County,North Carolina in and on which Company conducts its business and/or operations. K. "Person." Any individual,partnership,trust, estate, association, limited liability company, corporation, custodian,nominee, governmental instrumentality or agency, body politic or any other entity in its own or any representative capacity. L. "Personal Property." All personal property the Company or an Affiliate owns or leases located at the Facility, including all(a)machinery and equipment, (b) furniture, furnishings, and fixtures, (c)property that is capitalized for federal or state income tax purposes, (d) all additions to any of the foregoing, and all replacements of any of the foregoing in excess of$100,000. Page 2 of 14 11 M. "Qualifying Expenditure." All expenditures the Company, an Affiliate, or lessor to the Company or an Affiliate makes for Eligible Property which is subject to Tax in the County, and is not subject to an exemption or exclusion from Tax,that the Company uses. N. "State." The State of North Carolina. O. "Subject Property." The property on which Company constructs and/or operates the Orange County Facility. P. "Tax"or"Taxes." Ad valorem property tax levied on real and personal property located in the Count y pursuant to Article 25, Chapter 105 of the North Carolina General Statutes or any successor statute relating to ad valorem property tax the County levies on property. Q. "Term" or"Full Term." The duration of this Agreement meaning , 2019 through and including January 31, 2025. R. "Total Taxable Investment." The taxable value of all Qualifying Expenditures made by Company in and to its Orange County Facility as of January 1, 2025. 2. INDUSTRIAL INVESTMENT AND EMPLOYMENT AGREEMENT A. INVESTMENT 1. The Company anticipates it shall, during the term of this Agreement, directly invest a Minimum Taxable Investment annually in accordance with the investment plan attached as Exhibit A in addition to 2019 assessments in real and taxable business personal property as described in Exhibit B and Exhibit C. If the Company does not make the Total Taxable Investment by on or before January 1, 2025 (and as may be extended below),the amount of the Inducement Grants will be adjusted as provided in Subsection 2A3. 2. The Company shall achieve the Total Taxable Investment by January 1,2025. 3. If total increase of taxable investment falls below the Minimum Taxable Investment levels, due to failure to meet the investment goals set forth in Exhibit A or removal of equipment, as assessed by the Orange County Tax Assessor,the amount of the following annual Inducement Grant installment payment will be reduced by a pro-rata percentage of the shortfall. The Baseline Valuation shall be excluded from calculations to determine whether the investment goals have been met. 4. In the event of the failure of the Company to make the Minimum Taxable Investment, or to fill the applicable Jobs Minimum by an applicable date,the County in its sole discretion may grant to the Company a reasonable extension of time to satisfy such criteria, which grant of extension of time shall not be unreasonably withheld, or otherwise agree to such other performance criteria that equate to a similar economic and fiscal return to the County. Any such extension or extensions will extend the dates for payment of Inducement Grant funds. Page 3 of 14 12 B. EMPLOYMENT 1. On or before December 31, 2024, at least 42 persons will be employed in full-time positions at the Facility("Jobs Minimum"). The number of full-time positions shall be evidenced by one or more Quarterly Tax and Wage Reports (Form NCUI 101) filed with the N.C. Employment Security Commission. 2. During the Term and at the expiration of this Agreement,the Company, and its Affiliates, shall employ, at the Facility in Orange County, new full time equivalent employees in accordance with Exhibit A. Employees counted toward the total numbers reflected in Exhibit A shall include employees of the Company employed and located at Company's Facility in Orange County,North Carolina provided such employees are employed in Orange County on a full time basis and are eligible to participate in Company sponsored health insurance programs. For purposes of this section"full time equivalent employees" shall be defined as actively employed individuals and shall not include vacant positions for which the Company is actively or otherwise recruiting and shall not include positions counted toward the Baseline Employment. It is understood that vacancies occur and that when such occur the Company will immediately, or as soon as is reasonably possible thereafter, fill said vacancies. The average wage of the 42 new full time equivalent employees shall be, as of the last day of this Agreement, at the annual rate of Forty One Thousand Two Hundred Thirty Six Dollars ($41,236.00). C. DEVELOPMENT GRANT PARTICIPATION: Where applicable,the Company agrees to partner, through the commitment to create new jobs,with Orange County and other applicable agencies to apply for development grants that will improve and/or add water, sewer,road or other necessary infrastructure in order to facilitate the successful completion of this project. The Company agrees to meet with program representatives, and to participate in the grant request process as necessary to secure the required funding. D. GUARANTEED MINIMUM LEVEL OF PERFORMANCE: The Company agrees that its minimum level of performance pursuant to this Agreement shall be as set out in this Section 2. Furthermore, Company agrees that failure to meet the minimum level of new employment as reflected in Section 2B shall entitle the County to make reductions in inducement installments paid to the Company in an amount of Five Hundred dollars ($500.00)per employee not hired as reflected in Exhibit A. Company further agrees that failure to meet the minimum level of direct investment as reflected in Section 2A shall entitle County to make pro rata reductions in inducement installments paid to the Company as set out in Section 3. It is agreed and understood by the parties hereto that the failure of the Company to meet the level of performance with respect to minimum level of investment or minimum level of new employment as specified herein shall not be considered a breach of this Agreement. Notwithstanding the above reductions to the inducement installments paid to Company based on failure to meet the minimum levels of new employment in Section 2B in any year, Company shall be entitled to such recoupment(in the same $500 increments) in the event in following years that it not only meets the following year minimum levels of new employment but makes up any prior year's deficits. Page 4 of 14 13 E. STATUTORY COMPLIANCE: The Company understands that the County's participation is contingent upon authority found in North Carolina General Statute 158-7.1 and other relevant North Carolina General Statutes and that should such statutory authority be withdrawn by the North Carolina General Assembly County may terminate this Agreement without penalty to County and without further compliance with this Agreement. 3. INDUCEMENT PACKAGE A. COUNTY INDUCEMENT GRANT: Subject to the limitations set out herein the County, upon execution of this Agreement, shall provide to the Company an Inducement Grant to offset Facility development, expansion, and acquisition costs in an amount estimated at Eighty Six Thousand Two Hundred Sixty One Dollars ($86,261.00)payable in five installments . The estimated annual amount of each year's grant payment is shown in Exhibit A. The first installment shall occur on January 31,2021 upon receipt of proof, as described in Section 5 of this Agreement,that the minimum employment and investment numbers referenced in Section 2 of this Agreement have been met and proof that all outstanding local property taxes on the real and business personal property owned by the Company and located within Orange County, for which a bill for such taxes has been issued to the Company,have been paid. Subsequent annual installments will occur during the month of January for the term of this Agreement with the final installment occurring in January 2025. No installment shall be required to be paid until such time as County receives proof of the payment of all outstanding property taxes and verification of employment and investment levels has been submitted to the County. Subject to Section 3C the final Inducement Grant amount shall be determined based on the Company's Total Taxable Investment at the time of the final inducement installment and according to the formula in 3B. B. TOTAL COUNTY COMMITMENT: The maximum amount of the Inducement Grant payment is based on the Total Taxable Investment by Company in an amount of Four Million One Hundred Fifty Thousand Dollars ($4,150,000.00). The Inducement Grant payments shall be calculated based on the Company's Minimum Taxable Investment for the time period preceding the current Inducement Grant payment. County shall adjust the Inducement Grant payment amount according to the following formula: Amount of investment divided by 100 multiplied by the current ad valorem tax rate(currently$0.8679 per$100 of valuation) multiplied by 0.75 (percentage of inducement)multiplied by 5 (number of years). Utilizing this formula, and an estimate of depreciation as outlined in Exhibit A, a taxable investment currently estimated at Four Million One Hundred Fifty Thousand Dollars ($4,150,000.00)would result in an Inducement Grant in the amount of Eighty Six Thousand Two Hundred Sixty One Dollars ($86,261.00), payable in 5 installments. Subject to 3C below, in the event the amount of taxable investment increases or decreases, the amount of inducement shall increase or decrease based on the formula specified herein,however the total amount of inducement shall not exceed Eight Six Thousand Two Hundred Sixty One Dollars ($86,261.00). Further, this example assumes a static Total Taxable Investment of Four Million One Hundred Fifty Thousand Dollars ($4,150,000.00)throughout the 5 year term. The formula specified herein shall be applied to the taxable investment annually during the term to determine the actual amount of the 5 inducement installments. Page 5 of 14 14 C. MAXIMUM COUNTY COMMITMENT: The Inducement Grant SHALL NOT EXCEED (Eighty Six Thousand Two Hundred Sixty One Dollars ($86,261.00). This is the maximum allowable inducement amount based on an estimated Total Taxable Investment by the Company of Four Million One Hundred Fifty Thousand Dollars ($4,150,000.00). This maximum amount may be reduced based on lower than anticipated investment by the Company. 4. EXPANSION OPPORTUNITY Participation in this Agreement shall not exclude the Company from consideration for additional inducements from the County either during or upon completion of this Agreement. Future projects shall be considered on a case-by-case basis and induced at the discretion of the County based on new taxable investment and job creation in excess of the minimum levels outlined in Section 2 above. Any such agreement shall require a separate"Performance Agreement"which shall conform to all relevant North Carolina Statutes and/or Orange County Ordinances, Policies or Resolutions, shall be in writing, and shall be mutually agreed upon by the Parties. 5. PROOF AND CERTIFICATION The officials of the parties to this Agreement shall furnish the necessary reports and certificates to verify that each party's respective goals are met. Acceptable forms of proof for taxable investment shall be the records of the County Tax Administrator. Acceptable forms of proof of payment of taxes shall be in the form of cancelled checks, and receipts of payment from the County Tax Administrator. Acceptable forms of proof for employment numbers shall be in the form of a notarized statement from a North Carolina licensed Certified Public Accountant and shall be verified by the North Carolina Employment Security Commission. Until that date which is one (1)year following the date of the final Incentive Grant payment, the Company shall allow representatives of the County to enter the Facility during normal business hours upon forty-eight(48)hours prior notice for the purpose of confirming that the claimed investment and employment goals have been met. Company will not be held liable for injuries to representatives of the County while at the Facility. 6. REMEDY A. INDUCEMENT PACKAGE: If the County does not meet and maintain the terms set forth in the inducement package,the Company has the option to the rights set forth in Section 1 IA of this Agreement upon thirty(30) days written notice to the County. B. DELAY OF INDUCEMENT PACKAGE INITIATION: If the Company believes that it will not meet employment and investment goals that are to be met pursuant to this Agreement by December 31,2020, the onset of this Agreement may be delayed up to one (1)year, at the option of the Company. Written notification of the exercise of this option to delay onset must be received by the County no later than December 31, 2020. In that event this Agreement shall initiate no later than December 31, 2021 and shall expire no later than January 31, 2026. In the event the employment and investment goals are not met due to causes beyond the control of the Company, the period in which such employment and investment goals are to be met may,upon written notice to, and agreement by the County,be tolled by the period of such delay,up to one (1)year, caused by such causes beyond the control of the Company(for purposes of this Section 6B causes beyond the control of the Company are limited to delay in completion of public works Page 6 of 14 15 construction such as access road,utilities,water, and sewer lines). Notwithstanding anything else herein the Commencement Date shall not be beyond December 31, 2022. If Company cannot meet this deadline this Agreement shall terminate automatically without fault or further obligation to County. Company shall remain free to negotiate a new incentive agreement with County based on new terms and timelines. C. INVESTMENT AND EMPLOYMENT PACKAGE: If the Company does not meet and maintain either the investment or employment goals within the annual timetable set forth in this Agreement, and does not opt to delay the onset of this Agreement as described above, then the county will reduce the annual installment payment as set forth in Section 2D of this Agreement until such time as the Company once again meets both the investment and employment goals. Reduction shall be computed based on the percentage of the goal not met. In order to qualify for the full reimbursement, including recovery of any prior reductions,both investment and employment must meet or exceed the minimum standards outlined above prior to the natural termination of this Agreement. 7. SEVERABILITY If any term or provision of this Agreement is held to be illegal, invalid, or unenforceable,the legality,validity, or enforceability of the remaining terms, or provisions of this Agreement shall not be affected thereby; and in lieu of such illegal, invalid or unenforceable term or provision, there shall be added by mutually agreed upon written amendment to this Agreement, a legal, valid, or enforceable term or provision, as similar as possible to the term or provision declared illegal, invalid, or unenforceable. 8. COMPLIANCE WITH THE LOCAL GOVERNMENT BUDGET AND FISCAL CONTROL ACT OF NORTH CAROLINA GENERAL STATUTES All appropriations and expenditures pursuant to this Agreement shall be subject to the provisions of the Local Government Budget and Fiscal Control Act of the North Carolina General Statutes for cities and counties and shall be listed in the annual report submitted to the Local Government Commission by the County. 9. GOVERNING LAWS,DISPUTE RESOLUTION, &FORUM This Agreement shall be governed and construed by the Laws of the State of North Carolina. Any action brought to enforce or contest any term or provision of this Agreement shall be brought in the North Carolina General Court of Justice sitting in Orange County,North Carolina. The Parties hereto stipulate to the jurisdiction of said court. It is agreed by the parties that no other court shall have jurisdiction or venue with respect to any claims, complaints, suits, or actions. Binding arbitration may not be initiated by either party,however, the parties may agree to nonbinding mediation of any dispute prior to the bringing of a claim, complaint, suit or action. 10. INDEMNIFICATION The Company hereby agrees to indemnify, protect and save the County and its officers, directors, and employees harmless from all liability, obligations, losses, claims, damages, actions, suits,proceedings, costs and expenses, including reasonable attorneys' fees, arising Page 7 of 14 16 out of, connected with, or resulting directly or indirectly from the business, construction, maintenance, or operations of the Company or the Facility or the transactions contemplated by or relating to this Agreement, including without limitation, the possession, condition, construction or use thereof, insofar as such matters relate to events subject to the control of the Company and not the County. The indemnification arising under this Article shall survive the Agreement's termination. 11. TERMINATION A. COMPANY: Upon Company's meeting its Employment and Investment obligations asset out in Section 2 above and upon Company's certification to such and certification of the payment of all real and personal property taxes, as set out in Section 5 above, then upon the occurrence of any of the following events, the Company shall have the option of terminating this Agreement: Failure of the County, to provide the initial inducement installment as provided in Section 3 of this Agreement; or,under the same circumstances, failure of the County to make future inducement installments, as provided for in Section 3 of this Agreement. Should the Company exercise its option to terminate this Agreement,pursuant to this Section for failure by the County,the Company shall be entitled to retain all funds paid to or for the benefit of the Company pursuant to this Agreement. On the other hand, should the Company terminate this Agreement for any reason other than the default by the County to provide for any inducement installment to the Company, the Company shall repay to the County all funds paid to or for the benefit of the Company pursuant to this Agreement. Thereafter, the County shall have no further obligation to make inducement installments annually or otherwise. Any such termination of this Agreement by the Company shall be in writing and shall meet notice requirements as set out herein. B. COUNTY: The County shall have the option of terminating this Agreement upon any Abandonment of Operations by the Company, without penalty or further obligation to the County, which option shall be executed by giving written notice to the Company. Abandonment of Operations shall be defined as a period in excess of eight (8)weeks during which the Company's level of Full Time Equivalent Employees or Direct Investment goes below forty five percent(45%) of the guaranteed minimum levels of performance commitments for either Full Time Equivalent Employees or Direct Investment as reflected in Section 2 above. Notwithstanding the foregoing, if the aforesaid decline in the number of full time equivalent employees or the Company's failure to make the required direct investments is attributable to an overall national economic decline (as such may be recognized by the United States Bureau of Labor Statistics),this shall not be deemed an abandonment of operations entitling the County to terminate this Agreement, and the Company shall not be deemed in default. In such event,the Company's and the County's obligations shall be suspended for one year and resume thereafter. If after one year the aforesaid decline continues the County may declare an Abandonment of Operations and proceed as set forth herein. C. NATURAL: In any event,the above terms notwithstanding,this Agreement shall terminate upon the 31 st day of January of the year in which the final financial inducement installment is made. Page 8 of 14 17 12. LIMITATION OF COUNTY'S OBLIGATION NO PROVISION OF THIS AGREEMENT SHALL BE CONSTRUED OR INTERPRETED AS CREATING A PLEDGE OF THE FAITH AND CREDIT OF THE COUNTY WITHIN THE MEANING OF ANY CONSTITUTIONAL DEBT LIMITATION. NO PROVISION OF THIS AGREEMENT SHALL BE CONSTRUED OR INTERPRETED AS DELEGATING GOVERNMENTAL POWERS NOR AS A DONATION OR A LENDING OF THE CREDIT OF THE COUNTY WITHIN THE MEANING OF THE STATE CONSTITUTION. THIS AGREEMENT SHALL NOT DIRECTLY OR INDIRECTLY OR CONTINGENTLY OBLIGATE THE COUNTY TO MAKE ANY PAYMENTS BEYOND THOSE APPROPRIATED IN THE COUNTY'S SOLE DISCRETION FOR ANY FISCAL YEAR IN WHICH THIS AGREEMENT SHALL BE IN EFFECT. NO PROVISION OF THIS AGREEMENT SHALL BE CONSTRUED TO PLEDGE OR TO CREATE A LIEN ON ANY CLASS OR SOURCE OF THE COUNTY'S MONEYS,NOR SHALL ANY PROVISION OF THE AGREEMENT RESTRICT TO ANY EXTENT PROHIBITED BY LAW,ANY ACTION OR RIGHT OF ACTION ON THE PART OF ANY FUTURE COUNTY GOVERNING BODY. TO THE EXTENT OF ANY CONFLICT BETWEEN THIS ARTICLE AND ANY OTHER PROVISION OF THIS AGREEMENT, THIS ARTICLE SHALL TAKE PRIORITY. 13. LIABILITY OF PUBLIC OFFICERS No officer, agent or employee of the County or the Company shall be subject to any personal liability or accountability by reason of the execution of this Agreement or any other documents related to the transactions contemplated hereby. Such officers, agents, or employees shall be deemed to execute such documents in their official capacities only, and not in their individual capacities. This Section shall not relieve any such officer, agent or employee from the performance of any official duty provided by law. 14. MISCELLANEOUS A. ENTIRE AGREEMENT: This Agreement, including all exhibits attached, constitutes the entire contract between the parties, and this Agreement shall not be amended except in writing signed by the Parties. B. BINDING EFFECT: Subject to the specific provisions of this Agreement, this Agreement shall be binding upon and inure to the benefit of and be enforceable by the Parties and their respective successors and assigns. C. TIME: Time is of the essence in this Agreement and each and all of its provisions. D. CONSTRUCTION: Nothing in this Agreement shall be construed to the effect that the County has any right to influence the Company's business decisions or to receive business Page 9 of 14 18 information from the Company(except as expressly provided in Section 2B and Section 5 hereof). E. SIGNATURES: This Agreement together with any amendments or modifications may be executed electronically. All electronic signatures affixed hereto evidence the intent of the Parties to comply with Article 11A and Article 40 of North Carolina General Statute Chapter 66. F. AUTHORITY: The parties and each person executing this Agreement on behalf thereof represent and warrant that they have the full right and authority to enter into this Agreement, which is binding, and to sign on behalf of the party indicated, and are acting on behalf of themselves, the constituent members and the successors and assigns of each of them. The parties shall reasonably assist one another and cooperate in the defense (should any defense ever be necessary) of this Agreement and/or the incentives granted hereunder, so as to support and in no way undercut the same. G. FORCE MAJEURE: Subject to the provisions of Section 6 neither party shall be liable towards the other party for non-compliance with its contractual obligations hereunder, if and to the extent such non-compliance is directly attributable to events of force majeure. Events of force majeure are events or causes which are not under a parry's reasonable control and render the execution of a party's obligations impossible. Each party shall forthwith inform the other parties of the occurrence of a force majeure event preventing such party from complying with its contractual obligations. Force Majeure does not include failure of the Company to secure permitting necessary for the project to proceed. 15. COMPLIANCE WITH LAW A. NON-DISCRIMINATION: Company shall at all times remain in compliance with all applicable local, state, and federal laws, rules, and regulations including but not limited to all state and federal anti-discrimination laws,policies, rules, and regulations and the Orange County Non-Discrimination Policy. Company shall not discriminate against any person based on age, race, ethnicity, color, national origin,religion, creed, sex, gender, gender identity, gender expression,marital status, familial status, source of income, disability,political affiliation, veteran status, and disabled veteran status. Any violation of this requirement is a breach of this Agreement and County may immediately terminate this Agreement without further obligation on the part of the County. This section is not intended to limit and does not limit the definition of breach to discrimination. B. E-VERIFY, ISRAEL BOYCOTT,AND IRAN DIVESTMENT: By executing this Agreement Company affirms that Company, and any North Carolina Affiliates of Company, is and shall remain in compliance with Article 2 of Chapter 64 of the North Carolina General Statutes. By executing this Agreement Company certifies that Company, and any North Carolina Affiliates of Company, have not been identified, and have not utilized the services of any agent or subcontractor, on the list created by the North Carolina State Treasurer pursuant to Articles 6E and 6G of Chapter 147 of the North Carolina General Statutes. Page 10 of 14 19 16.NOTICES Any notices pursuant to and/or required by this Agreement shall be in writing and shall be delivered via United States Mail, certified, return receipt requested: If to Orange County; If to Piedmont Metalworks, LLC.; County Manager Richie Richmond 200 S. Cameron Street Chief Executive Officer Hillsborough,NC 27278 Piedmont Metalworks, LLC. 5816 U.S. 70 West Mebane,NC 27302 Any addressee may designate additional or different addresses for communications by notice given under this Section to the other Party. Page 11 of 14 20 AGREEMENT REVIEWED AND ACCEPTED BY: Chief Executive Officer Attest: Piedmont Metalworks, LLC. Chair Attest: Donna Baker Orange County Board of Commissioners Clerk to the Board Orange County Commissioners This instrument has been pre-audited in the manner required by the Local Government Budget and Fiscal Control Act. Chief Financial Officer Approved as to form and legal sufficiency. Office of the County Attorney Page 12 of 14 21 EXHIBIT A - PROPOSED ORANGE COUNTY INCENTIVE Project FFM Last Updated:8/6/2019 •UT i P A 11 F E MRTM $4,150,000 TAX RATE qoq$0.8679 M Highlighted area indicates the incentive period forjobs and investment JOBS 42 INCENTIVE 75% of new property tax for 5 years AVERAGE WAGE $41,236 DEPRECIATION RATE 10% New Value Yr 1 (2020 Initial New Real $1,500,000 $1,500,000 $2,250,000 $2,250,000 $3,050,000 $3,050,000 $3,050,000 $3,050,0001 $3,050,000 $3,050,000 $3,050,000� $3,050,000 Pers Prop Yr 1 $150,000 $135,000 $121,500 $109,3501 $98,4151 $88,574 $79,716 $71,7451 $64,570 $58,113 $52,302 $150,000 Pers Prop Yr 2 $0 $200,000 $180,000 $162,0001 $145,800 $131,220 $118,098 $106,2881 $95,659 $86,093 $77,484 $200,000 Pers Prop Yr 3 $0 $0 $250,000 $225,000 $200,000 $175,000 $150,000 $125,OOO1 $100,000 $75,000 $50,000 $250,000 F Pers Prop Yr 4 $0 $0 $0 $250,0001 $225,000 $200,000 $175,0001 $150,0001 $125,000 $100,000 $75,000 $250,000 Pers Prop Yr 5 $0 $0 $0 $0 $250,000 $225,000 $200,0001 $175,0001 $150,000 $125,000 $100,000 $250,000 Pers Prop Yr 6 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 50 Pers Prop Yr 7 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Tax Value $1,650,000 $1,835,000 $2,801,500 $2,996,350 $3,969,215 $3,869,794 $3,772,814 $3,678,033 $3,585,229 $3,494,207 $3,404,786 $4,150,000 Property Tax $0 $14,320 $15,926 $24,314 $26,005 $34,449 $33,586 $32,744 $31,922 $31,116 $30,326 $274,709 Incentives $0 -$10,740 -$11,944 -$18,236 -$19,504 -$25,837 $0 $0 $0 $0 $0 -$86,261 Annual Net $0 $3,580 $3,981 $6,079 $6,501 $8,612 $33,586 $32,744 $31,922 $31,116 $30,326 $188,448 Cash Flow $0 $3,580 $7,562 $13,640 $20,141 $28,754 $62,340 $95,084 $127,006 $158,122 $188,448 $200,000 $180,000 $160,000 $140,000 $120,000 $100,000 $80,000 $60,000 - $40,000 $20,0$0 . . ■ ■ ■ Yr 1(2020) Yr 2(2021) Yr 3(2022) Yr 4(2023) Yr 5(2024) Yr 6(2025) Yr 7(2026) Yr 8(2027) Yr 9(2028) Yr 10(2029) Yr 11(2030) �Annual Net Cash Flow 15 4 10 4 9 42 22 EXHIBIT B — BUSINESS REAL & PERSONAL PROPERTY IN ORANGE COUNTY, NC (Forma-Fab Metals facilities currently owned & managed by Richie Richmond's RJR Properties LLC) PIN # 9834594810 Address: 5816 U.S. 70 West, Cheeks Township, Orange County NC Acreage: 3.43 acres Land value: $305200.00 Owner: RJR Properties LLC PIN # 9834598771 Address: 5816 U.S. 70 West, Cheeks Township, Orange County NC Acreage: 14.39 acres Land value: $391,400.00 Building value: $1,408,000.00 Owner: RJR Properties LLC PIN # 9834191848 Address: 6600 E Washington St, Mebane, Orange County NC Acreage: 3.78 acres Land value: $935500.00 Building value: $9935500.00 Personal value: $152165150.00 Owner: RJR Properties LLC 23 ORANGE COUNTY NORTH CAROLINA Piedmont Metalworks , LLC Public Hearing for Incentive Proposal for Industrial Recruitment Project Southern Human Services Center November 19, 2019 24 Description of Piedmont Metalworks, LLC Industrial Recruitment Project Investment: $4. 15 million (2020-2024) Employment: 42 jobs in first 5 years (30 new jobs to be created, plus the transfer of 12 existing jobs) $41 ,236 average annual salary, plus health care, & 401 K retirement match (equal to $19.83 per hour) Facilit New construction of 40,000 sq. ft. to relocate the firm's current operations in another county to be adjacent to the affiliated metal working firm in Orange County, "Forma-Fab Metals", which has the same ownership. Competition: Alamance County site options. ORANGE COUNTY NORTH CAROLINA 25 Investment, Construction & Employment Schedule INVESTMENTA&Mi62ah Ad &M deb i!006M� Real $1 ,500,000 $0 $750,000 $0 $0 $800,000 Property Personal $150,000 $200,000 $250,000 $250,000 $100,000 $250,000 Property Total $1 ,650,000 $200,000 $1 ,000,000 $250,000 $100,000 $1,050,000 EMPLOYMENT _A6._ Full-Time Jobs 15 4 10 9 42 ORANGE COUNTY NORTH CAROLINA Company Description 26 Piedmont Metalworks LLC • based in Durham and operating as a custom and structural metal fabricator serving general contractors, electrical contractors, mechanical contractors, manufacturing & industrial, pharmaceutical, food service and the power generation industries. • 12 employees provide plasma cutting, welding, design & CAD engineering, powder coating and silk screening services. Forma-Fab Metals Inc. • Under the same ownership by C.E.O Richie Richmond is the Orange County- based custom sheet metal fabrication company, which manufactures enclosures, cabinets, housings, panels, brackets, racks, bus bars, and covers. • Has 68 local employees, and 75,000 sq. ft. of manufacturing space with a total Orange County property tax valuation of $2,916,600.00 • Products are made with various light gauge sheet metals including: mild steel, aluminum, stainless steel, galvanized, brass, copper and plastics. uKANGE COUNTY NORTH CAROLINA 27 Examples of Manufactured Products . 4 � 11•.s � � tag _ . . , � ' �' � '� 1 VAI L 7 � cu ti M�J&Ir Fail Car din M lY mom— ORANGE NORTH , • • , Site Location - 5816 U.S. Hiqhwav 70 28 (Buckhorn Economic Development District) Orange County,North Carolina Forma-Fab Metals Site n .r 4 E � z .,m ,.fit,`� "�i � � ,��• ��" �� c _ _ - �Na k,. r V, r ORANGE COUNTY NOKI'H C:AItOLINA �--• N Railroad J 111111E�Feet Site of Interest ° 500 'p00 m N' 0—ge Cnuy Planning and Inapecli_ Parcels SC 712W2019 ORANGE COUNTY NORTH CAROLINA Site Location - Buckhorn Economic Development District (5816 U .S. Highway 70) Orange County.North Carolina Forma-Fab Metals Site D .i r 70 r11111 _ ORANGE COUNTY NORTH CAR01.1tun $ita 01 IntRrRKt Water Line L 1 m-21W[eel Uti ly Easements - Sewer Force Main ^ ���Pxi a"e Cwniy Plen-V a In, n"61 Streams �-. Railroad ec7M(a Oi9 ORANGE COUNTY NORTH CAROLINA 30 Outline of Orange Countv's Performance-Based Incentive (1) County's proposed incentive of $86,261.00 will be paid in 5 annual instalments over each of the first 5 years of Piedmont Metalworks' start-up operation. (2) Calculated in value as a grant equal to 75% of the project's expected new property tax valuation to be created. (3) The incentive is performance-based, and will be measured annually against verification of Piedmont Metalworks' actual history to create 42 jobs and invest $4, 150,000.00 in new property valuation over each of the initial 5 years, as proposed. (4) Net property tax revenue collected is positive in all years, after paying the annual grant incentive. ➢ $28, 753.00 in net new revenue in the first 5 years ➢ $188,448.00 million in net new revenues over 10 years ORANGE COUNTY NORTH CAROLINA 31 Proposed Oranqe County Incentive Net Property Tax Revenues (5 & 10 Year Projections) F 3= New Property $14,320 $15,926 $24,314 $26,005 $34,449 $115,014 Taxes (Gross) Incentive ($10,740) ($11 ,944 Payments ) ($18,236) ($19,504) ($25,837) ($86,261) Annual Net $3,580 $37981 $67079 $6,501 $8,612 $28,753 &:10-Y,%g,County Revenu7"Projection New Property Taxes (Gross) $2749709.00 Incentive Payments ($869281 .00) Annual Net $1885448.00 ORANGE COUNTY NORTH CAROLINA 32 Proposed Orange County Incentive Lz t Up J-t e J:V EVZO 29 $4,150,Faa 42 1.1 Ll 75 Y. — of n e proper-y-ex for 5 y ears 6 h3 I U li q r-1 1'41 0 i i.202 61 YrEL 1241 1 P02gi Yr 11 qaaaj ni:iz!l New CO sl'-qWy-c. Ze.050000 53,050,000 52,05OX-W Z &3 :lasaA-6m 0.50)DOO 7,3,0-0)DOD 00 5135,OD3 S1.ir00 5109 35,-. S5n,415 &;S,5 -;7--4 -9,7 s -7"54,5-0 &S�_W 2 1--0,0c)0 .16 DD szwwo -;I&D)DOL) 516',Ox. -;I S1.21,2210 SIL6,2SS 595,659 Sep Af-2 E--7A-i4 5.,00,000 71J0 DD 5.,50)DOL) S200)50�. -;I-S))00 -;isoOL)D 5I.,5)DL)0 S100)DO0 5-5AX}D SSO)DOO 5'50,000 DD ZID so S25�.=X. S2 5200))00 -;1-5,LO0 5150)DL)0 S125)DO0 slooxw 575))00 5'50,000 71J0 DD so SO 50)D00 -;,.,S))CkD -;,00,LkD0 S150)Do0 S125�m SI00))00 250)000 so so so so so so so DD W K so So DD DD so DD So so so so so so SO so L)D 5."996,250 53,&E---4 53,--1 -1:_� s-:,SS5".,q _7,_3A-,4"L)7 S2,404,7 -DOD ,814 _;2,6.SL S5 S4,150, i3i YrZ(Z02111 Yr A I ZOZZ5 Yr4 PDZAJ YF 5 FMZ41 Yr B f2D 0261 Yr 9 C 2-0 02 93 Yr 1-0 P0291 Yr 11 i 20�01 -11c?l DD S15,9.-s S.'4,214 s Z-B)DO.5 _r_34,449 -;14,220 522.5-r16 -z-:2,-4-4 531,9.. 521,116 530r.5 0- $0 -$10,740 -$lz2m -$19-504 -$25,937 $0 $0 $0 $0 $0 -$M-ZGJL Z-D S12,5W s"B'sal -;S,612 S-22,585 sz 2,-4-4 &:-1,9.'2 S21,116 &:-Dr,5 1 ssA--L& Z-D x,SeJ S75-52 S11,640 S20,141 S,52,240 -;g-C:A)i4 -;12-)D05 S 1 Z751"; K3 K3 K3 K3 K3 K3 K3 K3 K3 K3 K3 yr 1 Im2al vr2 W211 W3 Pa22 I Ift 4 Pa231 If r 5 12a241 W r.6 W251 W7[2a261 Vr.9 JZ27) 'fr3O3291 'frial2a2al W1112MCO �Amu Mgt —C3hRow 3j Yr2jZ0ZJLl Yr-4120221 YF4PDZAl YFS(2024�VrS�20 32Q Yra 0271 YF9jZ02alYrl43V0293YrllP3301 TcMml 15 4 10 4 13 42 ORANGE COUNTY NORTH CAROLINA Attachment 3 33 PUBLICATION INSTRUCTION: Please publish the following notice in the Special Notice Section of the Classified Advertisements as early as Thursday, November 7, 2019 and by no later than Friday, November 8, 2019. The County Seal should be placed above the announcement. t m 17 5� r 1� v�. axe PUBLIC HEARING Tuesday, November 19, 2019 — 7:00 PM SOUTHERN HUMAN SERVICES CENTER 2501 Homestead Road, Chapel Hill, NC 27516 NOTICE OF PUBLIC HEARING REGARDING PROPOSED ECONOMIC DEVELOPMENT INCENTIVE AGREEMENT FOR PIEDMONT METALWORKS, LLC Notice is hereby given that in accordance with North Carolina General Statute 158-7.1 the Board of Commissioners of Orange County (the "Board") will hold a public hearing on Tuesday, November 19, 2019 at 7:00 PM at Orange County's Southern Human Services Center facility, located at 2501 Homestead Road, Chapel Hill, NC 27516 concerning Orange County entering into an Economic Development Incentive Agreement with Piedmont Metalworks, LLC to encourage the company to locate a manufacturing facility in the County. The Board will consider the appropriation of county general funds for the purpose of entering into an Economic Development Incentive Agreement with Piedmont Metalworks, LLC., a sheet metal manufacturing company, in an amount not to exceed Eighty Six Thousand Two Hundred Sixty One Dollars ($86,261.00), payable in five (5) annual installments over a five year period. These funds will be used to assist the company with expenses associated with establishing the company in Orange County, to include site development and facility construction costs. Recruitment of Piedmont Metalworks, LLC to Orange County will create public benefits for the County including the creation of 42 new full time jobs, plus benefits, and a new capital investment in Orange County of $4,150,000. Anyone interested in the Economic Development Incentive Agreement or the nature of Piedmont Metalworks, LLC may appear and be heard at the public hearing. Anyone who wishes to make comments in writing prior to the public hearing may do so by mailing or delivering such comments to the Board of Commissioners of Orange County, c/o Clerk to the Board of Commissioners, 200 S. Cameron Street, Hillsborough, North Carolina 27278.