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HomeMy WebLinkAboutAgenda 02-08-22; 2 - Efland Area Water and Sewer Presentation with Status Report on Interstate Properties in the Efland Area and Possibilities for Development-Economic Development 1 ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: February 8, 2022 Action Agenda Item No. 2 SUBJECT: Efland Area Water and Sewer Presentation with Status Report on Interstate Properties in the Efland Area and Possibilities for Development/Economic Development DEPARTMENT: Planning and Inspections (Engineering Division) Economic Development ATTACHMENT(S): INFORMATION CONTACT: PowerPoint Presentation Craig Benedict, Planning & Inspections - Future Land Use — Buckhorn EDD Director, 919-245-2585 & Hillsborough EDD Steve Brantley, Economic Development - Orange County/City of Director, 919-245-2326 Mebane/Orange County Utility Amanda Garner, Assistant Director, Area Service Agreement Map Economic Development, 919-245- - Water and Sewer Utility Facilities 2330 - Watersheds — Buckhorn EDD & Christopher Sandt, Staff Engineer, 919- Hillsborough EDD Map 245-2583 - Summary of New & Expanding Patrick Mallett, Erosion Control Industrial Activity in the Buckhorn Stormwater Supervisor, 919-245- Economic Development District 2577 - Hillsborough EDD & Buckhorn EDD - Large Sites Map PURPOSE: To receive information on the existing land use pattern and supporting public infrastructure agreements, plans and capacities in the Efland/Buckhorn/Mebane interstate corridor; and to receive an update on the status of economic development activity for this area. BACKGROUND: Efland Area Infrastructure and Agreements Orange County has had a land use map for this general area since 1981 since the importance of the interstate proximity was acknowledged (both 1-85 and eventually 1-40 extension through Orange County). A 2,000 acre area was originally designated as Commercial Industrial Transition Activity Node (CITAN), but most was later changed to Economic Development (ED) land use in 1994. Along with land use, zoning was changed upfront (AKA pre-zoning) at that time coupled with development standards. In the early 2000's, Orange County and the City of Mebane formed an agreement to implement utility construction and maintenance. Concurrently, an Efland-Mebane Small Area Plan was 2 commissioned by the BOCC and Mebane including elected officials, planning boards and community leaders to address the growth potential of the area and an implementation plan. Recommendations were processed over the subsequent years that were included in the major 2008 Comprehensive Plan and zoning updates in 2011. The largest impetus for economic development was the 2012 referendum for Article 46 which provided monies for utility extensions. A multi-year phased infrastructure plan and Capital Investment Plan (CIP)was developed to slowly create a `backbone' of utilities in a comprehensive manner. Agreements were amended with Mebane in 2012 and additional agreements made with the Town of Hillsborough and the City of Durham for other Economic zones. The comprehensive public water and sewer system was sized to accommodate land use demands based on existing and possible land use. These engineered utility systems are designed to accommodate early stage lower flows and upgradable as additional development occurred. So as development such as the Medline Industries facility occurs, along with the needs of the middle school and soccer complex, the nearby sewer lift station can be upgraded as noted in prior CIP's. The interstate corridor watershed flows east and west from Buckhorn Road and engineering is designed accordingly. However, due to the Town of Hillsborough disinterest in expanding sewer demand, Orange County engineered a cost effective solution for Efland residents and economic development opportunities by redirecting all flows to the City of Mebane. This work has been accomplished. Please also note the Upper Eno Watershed Map which was jointly approved by the State and Orange County in 1996 that designated this eastern zone as protected, State law and Orange County zoning allows up to 10% of the protected acreage to be 70% impervious cover to accommodate the economic development and residential transition zones. This higher density option does not allow development in critical watershed designated areas. It is worth noting that Orange County has designated an area 6 times larger than the state rules of 1996 for critical designation in this watershed. In summary, Orange County has invested in the corridor with public utility infrastructure and has a companion land use plan that intensifies growth in focused areas with supportive transportation systems. The jobs and tax base created in ED zones provide opportunities for residents to work in the county (and thereby limiting commuting and pollution) and bolstering tax base to help pay for other land uses that need services. See link for Efland Mebane Small Area Plan https://www.orangecountync.gov/DocumentCenter/View/4196/Efland-Mebane-Small-Area-Plan- PDF Efland Area Development/Economic Development The Buckhorn Economic Development District continues to show success in business recruiting and increased interest by investors to spur new light manufacturing, distribution and commercial operations. This trend is expected to continue in the future in response to several Article 46- 3 funded water/sewer projects that have now been completed by the County, through active marketing to prospective businesses, and as a result of strong interest by industrial and commercial developers seeking to identify properties in Orange County. For example, in recent years the Buckhorn Economic Development District has attracted in excess of$365 million dollars in new taxable investment, more than 975 full-time new jobs to be created, and over 1.9 million square feet of new construction to be added. This activity is represented by the companies Morinaga, ABB, Medline Industries, Thermo-Fisher Scientific, and Piedmont Metalworks. All of these companies are creating full-time jobs with health care and related employment benefits, and at salaries that are well above the Orange County living wage. ABB is Orange County's single largest private employer, and is currently seeking applicants to fill 400 new manufacturing positions that will average over $71,000 per year in salary. The attached map entitled "Hillsborough EDD & Buckhorn EDD — Large Sites" shows the location of four approved and/or in-process spec developer business parks located in the Hillsborough and Buckhorn Economic Development Districts (EDDs). Each of these four locations represent excellent potential for the County to attract new advanced manufacturing, distribution, research and related commercial development by tenants of the same caliber as companies such as Thermo-Fisher Scientific. To illustrate, the Research Triangle Logistics Park in the Hillsborough EDD has been approved for up to 2.4 million square feet of development on 160 acres at an Interstate 40/Old NC 86 exit. Second, the Ohio-based industrial developer Al. Neyer has now established two new business parks (Buckhorn Industrial Park and Mebane Business Centre) located along Buckhorn Road, and with total development potential of up to 1.6 million square feet on 167 acres. Both of these parks were annexed and rezoned into the Mebane city limits. Thermo Fisher Scientific is located here, with Medline Industries located adjacent. And in Efland, the Minnesota-based developer Oppidian is currently pursuing site plan approval with Orange County for authorization to build up to 918,000 square feet on approximately 100 acres. The Buckhorn EDD has several other large acreage tracks, as identified in red outline on the attached "Hillsborough EDD & Buckhorn EDD — Large Sites" map. These parcels have excellent development potential, existing utilities in place, immediate interstate access, and all are currently receiving review by a variety of well-funded investor prospects that are talking with land owners. This entire Hillsborough EDD/Buckhorn EDD region received a technical review in February 2018 in a comprehensive SWOT (Strengths, Weaknesses, Opportunities, and Threats) analysis performed by the consultant firm Timmons Engineering. The executive summary of the SWOT analysis (see link below) affirmed these areas' good marketability, development potential and overall strengths that can further diversify Orange County's local economy. The SWOT Analysis Final Report can be located here: https://www.orangecountync.gov/DocumentCenter/View/17070/SWOT-Analysis-Overview-of- the-Final-Report-PDF FINANCIAL IMPACT: The CIP supports some additional utility upgrades in the area. SOCIAL JUSTICE IMPACT: The following Orange County Social Justice Goals are applicable to this item: • GOAL: ESTABLISH SUSTAINABLE AND EQUITABLE LAND-USE AND ENVIRONMENTAL POLICIES The fair treatment and meaningful involvement of people of all races, cultures, incomes and educational levels with respect to the development and enforcement of environmental laws, regulations, policies, and decisions. Fair treatment means that no group of people 4 should bear a disproportionate share of the negative environmental consequences resulting from industrial, governmental and commercial operations or policies. • 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 this item. RECOMMENDATION(S): The Manager recommends that the Board receive this information and provide comments and questions as necessary. ORANGE COUNTY NORTH CAROLINA Efland Area Water and Sewer and Possibilities for Economic Development BOCC Virtual Work Session February 8 , 2022 6 Efland Water and Sewer Presentation ORANGE COUNTY 2 NORTH CAROLINA 7 Future Land Use - Buckhorn EDD & Hillsborough EDD IY • ! � z rn L 70 a wEsp ` 1 N � Z Z W TRYON ST f WEST TEN RD IP i 6 L h 74A I Q I M _ 4J r 1i O OA �' �. �µ��GNR� � m ■• ,'amu r� , ' � I �� . 1 � • � f � tztl j. ti ° 410 Ar 1 r_ County Boundary Resource Protection Areas ETJ Streams Future Land Use Activity Nodes t +� - Water Bodies - 10 Year Transition Rural Neighborhood 4 Q Water Supply Watersheds 20 Year Transition - Commercial-Industrial Transition u � Q Watershed Critical Areas Rural Residential Economic Development Transition �} Z rtoPEc�J _ Township Boundary Rural Buffer Rural Industrial n ORANGF OCICHlCA Joint Planning Area _ Agricultural Residential ' MUNTY Mile _ PublicInterest Areas - City Limits - Plannin�andlnspectionaDepartment(BC) I+ 1• ��d^ :.ar • �1�►�f{l1�ti11F•••.. 1.,'11P k if �I� %�'�y'r� �s y�w�C ■fes 11 '�n1 ��I�� r�� �i� �� ��/���Dilftp11111 i11r ��RXdo Was �M Rig rig, FBI � r� -.. 1s _ 40 85 \ �� � Q _ IILT� ' a � i' • *fir alEN 1 in=4,ODO feet s2y 4,000 . .1111111 '; .� .y - --- a [{ ,�_' • soonIN ��,� • ► IIII i � 1� 40 Upper Eno Lower Enom. `:�IIII • �I� � �� 1f j• �" rs+` •jam �L �� �� mull �.� la tersheds NA, rotected ritical io Status Report on Interstate Properties in the Efland Area and Possibilities for Development/Economic Development ORANGE COUNTY 6 NORTH CAROLINA 11 Summary of New & Expanding Industrial Activity in the Buckhorn Economic Development District -�Rll -qv Company 01 New Investment New Jobs • • Morinaga America Foods $48 Million 90 100,000 sq. ft. ABB $40 Million 400 200,000 sq. ft. Medline Industries $80 Million 250 1 .2 Million sq. ft. Piedmont Metalworks $4.5 Million 35 40,000 sq. ft. Thermo Fisher Scientific $192.5 Million 200 375,000 sq. ft. Total $365 Million 975 1 ,915,000 sq. ft. • Morinaga currently employs 215 • Medline Industries expects to employ 500-600 in 5 years. • ABB's growth is an expansion of existing manufacturing operations. ABB is Orange County's largest private employer. ORANGE COUNTY NORTH CAROLINA 12 Hillsborough EDD & Buckhorn EDD - Large Sites 9 '7 z Efland Business Park 1 �- (Oppidan) AAMImo,i MORINAGA Mebane .� 1 .1■ 4 m *� + �i` 2 Hillsborough Mebane Business Centre Buckhorn Industrial Park (Neyer) (Neyer) Thermofisher ` SCIENTIFIC e 1 j 1 U S If' Research Triangle Logistics Park -71 (Barrister) City Limits Developer Activity ETJ 1. Barrister Commercial-Developer, already approved by Orange County to develop up to 2.4 million sq. ft. , Orange County Boundary 2. Oppidan-Developer, seeking Orange County approval EDD to develop up to 918,000 sq.ft. - CITAN 3.Al. Neyer-Developer, already approved by City of Development Categories Mebane to develop up to 580,000 sq.ft. Approved industrial development activity that has received 4.Al. Neyer-Developer, already approved by City of Orezoning and/or annexation authorization by Orange Mebane to develop up to 1 million sq. ft. County or the City of Mebane, and is now public iin 1mile knowledge =GE A COUNTY n © 4rge acreage sites that are receiving active review by Planning and m5pescioo,saei>arzmelll(nc) prospective investors ahlaaaz