HomeMy WebLinkAboutAgenda - 09-29-1999 - 8oORANGE COUNTY
BOARD OF COMMISSIONERS
Action Agenda
Item No. 8 - pr
ACTION AGENDA ITEM ABSTRACT
Meeting Date: September 21, 1999
SUBJECT: NC Industrial Recruitment Competitive Fund Nomination for Barber and Ross
DEPARTMENT: Economic Development Commission PUBLIC HEARING: (Y/N) 1Vo
ATTACHMENT(S): INFORMATION CONTACT:
Guidelines and Application Dianne Reid
TELEPHONE NUMBERS: - -ext. 2325
Hillsborough 732-8181
Chapel Hill 968-4501
Durham 688-7331
Mebane 227-2031
PURPOSE:
The North Carolina Department of Commerce is nominating Barber and Ross Company for a
$50,000 grant from the North Carolina Industrial Recruitment Competitive Fund. The grant will
come from the Department of Commerce, will match the County's Utility Fund Extension grant,
and will come through Orange County for disbursement.
BACKGROUND:
At its September 7, 1999 meeting, the Orange County Board of County Commissioners approved a
grant of $50,000 from the Utility Extension Fund for Barber & Ross Company to connect the
sanitary waste stream from their renovated facility in the Buckhorn Road Economic Development
District to the existing sanitary sewer line located on Route 70,
Barber & Ross is applying for a matching grant from the Governor's Industrial Recruitment
Competitive Fund in the amount of $50,000. This fund is intended to be used in the form of
challenge grants to foster public/private partnerships and must be matched by local units of
government. The $50,000 jJtility Fund Extension Grant will be used to supply the match for the
Industrial Recruitment Competitive Fund application. In accordance with the guidelines for
application for an Industrial Recruitment Grant, the grant will be used for the construction of or
improvement to, new or existing publicly owned water, sewer, gas, or electric systems owned and
operated by regulated private utility companies.
Companies that are awarded funding will receive the funds in four increments as each 25% of the
total jobs promised are created. The NC Department of Commerce will issue payments from the
fund to the local unit of government, which will then disburse the funds in a timely fashion and in
line with the requirements of the Local Government Budget and Fiscal Control Act.
FINANCIAL IMPACT:
There should be no financial impact to the County as a result of this application; the Board of
County Commissioners has already approved the. Utility Extension Fund Grant which will be used
to match the Industrial Recruitment Competitive Fund Grant.
RECOMMENDATON(S):
The Manager recommends that the Board approve and execute the application.
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;uideIines for the North Carolina Industrial Recruitment Comvetitiv
L In order for a company to be considered for assistance from the NC Industrial
Recruitment Competitive Fund, local units of government must have agreed to provide
matching financial assistance to the. company. This fund is intended to be used in the
form of challenge grants to foster public/private partnerships.
2. Funds will be used as follows:
a) for the installation or purchase of new production equipment; the renovation of,
improvement to, or repair of existing buildings; or the construction of utility
service distribution lines in existing or new buildings; and
b) the construction of, or improvement to, new or existing publicly owned water,
sewer, gas, or electric systems owned and operated by regulated private utility
companies.
3. Each project considered will be assigned to a developer in the Business/Industry
Development Division within the N.C. Department of Commerce. That developer will
be responsible for the completion of the application form and obtaining signatory
commitments from the company and the community seeking the grant.
4. The application will provide data on investment, job creation and weighted hourly
average wage for the jobs created.
5. The company will guarantee that new jobs will not be due to the transfer of jobs from
existing North Carolina operations. If the company has previously announced the
closing of a facility that is still in operation but scheduled to close in the near future,
details regarding how these plants are related should be included.
6_ The company will provide information about its environmental history. Industrial
Recruitment Competitive Fund money will be released after the N.C. Department of
Commerce receives verification from the company that the project has all of its required
environmental permits. An endorsement of this project's application by the N.C.
Department of Commerce does not override any of this facility's obligations under
existing environmental statutes.
7. The application will provide detailed financial data about the company. A Commerce
Department Review Comrruttee (made up of the Assistant Secretary of Administration,
the Assistant Secretary of Economic Development and the Director of the Commerce
Finance Center) will review each application to determine whether the financial strength
of the company involved is sufficient to manage the project.
8. The completed application must be submitted to the N.C. Department of Commerce at
least 30 days prior to the time a decision is needed. A full application must be submitted
and approved prior to a formal project announcement.
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9. All firms will be evaluated according to the following six measures: local impact, job
quality, industry quality, economic impact, environmental impact and fnancial stability.
Special considerations may be given to small firms and companies locating in viral areas.
10. Existing North Carolina companies will be considered in the same manner and will have
the same access to the funds as new firms.
11. After a favorable review and an approval signature from at least three members of the
Commerce Department Review Committee, the Governor will convey the commitment to
the company and the community that will benefit.
12. The company must commit to implement the project within 180 days from the date of the
Govemor's letter that approves the grant.
13. The N.C. Department of Commerce will obligate these funds in amounts of
approximately $1,000 per job. The jobs must be created within three years of the date of
the Governor's letter that approves the grant. A Grant Agreement must be signed
between the Company and the Department of Commerce before funds are disbursed.
14. Companies that are awarded funding will receive the funds in four increments as each 25
percent of the total jobs promised are created. A company with one plant in North.
Carolina must provide the N.C. Department of Commerce with a copy of its Employer's
Quarterly Tax and Wage Report (Form NCUI 101), which must be filed with the N.C.
Employment Security Commission, A company with multiple plants in North Carolina
must provide the N.C. Department of Commerce with a copy of its Multiple Worksite
Report (Form BLS 3020), which must be filed with the N_C. Employment Security
Commission. The appropriate form will be used to verify job creation over time. An
existing North Carolina company that is expanding must provide the N.C. Department of
Commerce with a copy of its most recent quarterly N.C. Employment Security
Commission report prior to the expansion in addition to quarterly reports thereafter.
When job creation is verified, the N.C. Department of Commerce will issue payments
from the fund to the local units of government. That unit of government will then
disburse the funds in a timely fashion and in line with the requirements of the Local
Government Budget and Fiscal Control Act.
Revised 6/99
5
GOVERNOR'S INDUSTRIAL RECRUITMENT COMPETITIVE FUND
Check-0,~f Sheet for Applications
Company Name Barber g Ross Oranap~ (`nunt:y
Project Number
State Developer Name ,_g~ ~AndrewG Phone Number 919-7~~_a9gg
State Developer Signat~e 1 szsu~
~-
Date ~ [Z, ~ t 9 9~
The following information is essential for an application to be considered complete. Only
completed applications will be reviewed by the Competitive Fund Committee. A check below
indicates that the item is included in the application.
~_ Name of County
X Four-Digit SIC Code
X Product Description
X Value of Company Investment in the Project Over Three Years
X Job Creation Over Three Years
~_ Weighted Hourly Average Wage for New Jobs
X Company Financial Statements for Previous Three Years
X Pro Forma Balance Sheet Showing the Project's Financial Impact
X Signatory Statements Regarding Bankruptcies
X Environmental Checklist
-~ Signature of Company Office on Performance Agreement
Once an application is complete, it is sent with the check-off sheet to the Division Director and
Commerce Finance Center for evaluation according to the Competitive Fund evaluation system.
Authorized Signature Date
Authorized Signature Date
The application is evaluated The check-off sheet, application and results are sent to the Director
of the Business/Industry Development Division:
Director's Signature Date
Revised 6/99
6
GOVERNOR'S INDUSTRIAI. RECRUITMENT COMPETITIVE FUND
Local Go~ernrrient Partrtership Application
(To be completed by state developer and local government)
1. Company Name:___ Barber & Ross Orange County
2. Amount Requested: _~50 , n00
3. State Developer: __ Souce W _ Andr .w~
4. Date: 09/08/99
5. Project Number.
6. County: Wrong . .o in .y
7. New or Expanding Industry: New
8. Four-Digit SIC Code Representing Plant's.Primary Product Line: ~d'~1
(Do not list more than one)
9. Product Description:
Windows , Doom, and aacnri atnd~1.L11etoTk
10. Describe Local Financial Involvement In The Project (Infrastructure, Land
Acquisition, Building, Capital, Etc.) Itemize.the funds by Source And Use:
$50.000 from Utility Extension Fund To aid Barber & Ross
in connecting sanitary waste stream from their plant to the
existing sanitary sewer line
2 ..
Revised 6/99
7
11. Local Government (City or County) To Whom Check Should Be Disbursed:
Name: John Link
Title: r~n„~tT~a~er
Organization: f:rninty of Qrsge
Address: P.0. Box 8181
City: Hi l l shnrnunh State: NC Zip: 77278
Phone: 919-732-8181 Fax: 919-644-3008
The following people should sign below:
Project Developer/N.C. Department of Commerce
Date:
Local Government Officials
Date
Revised 6/991
3
8
Governor's Industrial Recruitment Competitive Fund
Company Application
(To be completed by company official authorized to assume financial responsibility for
employment and investment factors used to justify the Governor's decision.)
SECTION I
1. Complete Company Name RarhPr ~,..Roc~ nranIIe Count; , DSA Barbee ~ Ross
North Carolina
2. Company's Investment in This Project Within Three Years:
Land and Building: ~',1 r5II0, t]i10 Equipment: $,~; 000
Total: ~2 , 0(L., 000
3. Number of Jobs To be Created by This Project Within Three Years: 190
NOTE: The time period for measurement of investment and job creation stares on the date of the
Governor's letter that approves the grant.
4. Weighted Average Hourly Wage for All Jobs
Created By This Project Within three Years $11.00
NOTE: The wage definition is the one used by the N.C. Employment Security Commission. It
includes all cash payments, including bonuses, commissions and incentive earnings. It does not
include fringe benefits such as employer provided health insurance and employer-provided
pension contributions. The weighted hourly average wage is for all jobs created by this project,
including management, support and production jobs.
5. The Competitive Fund money will be used for:
Installation or purchase of new equipment.
Structural repairs, improvements or renovation of existing buildings to be used
for expansion.
X Construction of or improvement to new or existing water, sewer, gas or electric
utility distribution lines or equipment for existing buildings and/or new buildings.
6. List other states being considered and the incentives they are offering:
f;PnT~i a T Mi r___„_I~t~an ~ '~pr-,nE,cca,~ ,_
4
Revised 6/99
SECTION II
1. Does the facility have a pollution prevention program or recycling policy?
x Yes No
2. Will your facility require permits for air emissions? Yes 1Vo
3. Will your facility require permits to discharge wastewater? Yes ~_No
4. Will your facility produce any Resource Conservation and Recovery Act Hazardous
Waste? Yes x No
5. If yes, will you be a large, small or exempt facility under RCRA?
6. Within the last two years, have any of your facilities, in North Carolina or elsewhere,
received any Notice of Violations for non-compliance with any federal or state
environmental regulations Yes ~_ No
7. If yes, please list any fines in excess of $10,0(X):
8. Within the last two years, has your company or any of its officers
agents or employees
,
been convicted of criminal actions with respect to non-compliance with environmental
regulations? Yes X No
9. If yes, please explain:
10. I understand that endorsement of this project's application by the N.C. Department of
Commerce does not ovemde any of this facility's obligations under existing environmental
statutes_ X. Yes No
11 _ Has any facility owned or operated by you in the state of North Carolina had a permanent
layoff in excess of 100 employees in the last (12) twelve months? Yes _~ No
12. Has any facility owned or operated by you in the state of North Carolina been closed or
given notice of closure in the last (12) twelve months? Yes X No
13_ If yes to #11 or #12, please explain:
5
Revised 6/99
10
SECTION III
PERFORMANCE AGREEMENT
Without this challenge grant from the Competitive Fund, our company would not have been able
to site this project in North Carolina.
• I understand that no Norih Carolina operation owned by this company or a related company
is to curtail operations as a result of this challenge grant.
• I understand that grant funds will be released in four increments as each 25 percent of the
total jobs promised in Section I, No. 3, of this application is created.
• I understand that release of grant funds is contingent on the company providing the N.C.
Department of Commerce with copies of the appropriate quarterly N.C. Employment
Security Conunission forms described in Fund Guideline No. 14 and on these forms
providing verification of job creation.
• I understand that release of any grant funds is contingent on the company providing
verification that the project has all of its required environmental permits.
• I understand that this is a challenge grant and that my company will retain current
employment of _~ jobs existing on this date and CREATE A MINIMUM of 120
(goal) jobs within three years from this date (total number of jobs three years from this date
will be ~Q~; and to immediately repay the grant if the number of jobs created does not
equal 90% of said goal at the end of the third year.
• I understand that this is a challenge grant and that my company may be responsible for
refunding part or this entire grant if my company's plans change for any reason. I have read
and understand the attached guidelines for the Competitive Fund. I certify that all
information included on this application is correct to the best of my knowledge.
• I have attached all documents described in Section IV.
Company Officer. R. Douglas Roland
Title: PTP_Rl riPnt
Phone Number: ZC13-47g-147n
Date: Sept . 8 . 1999
All information in Sections 1, II and III of this application becomes public record once a grant is
awarded.
6 Revised 6/99
11
SECTION IV
1
wAtvE~t o~ cox~$rnsAtnY
9UARTERLY ~ NT Il~ISURANCE TAR RECORDS
i
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ADDRESS:
PHONE: 3Q3-~7A-1A70
FEDERAL ?AX IDENT1FiCATION ~ 53-003SBOQ
U11~1V4PIAYMENT IKS~JRANCB ACCOUNT ~ nnn~s~2
WAIVIIt
I hsr+~by ~+rrivc tbt rl~it to tatiry. asjood in N.~G S 96-~(r~ jor6ijonnatlon
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Atpartnrent of Conaircrcc to rge such i~»r:xrttian st pubtlc retard
OF C'~3~ OR trl~'.R OFF4CIAL
Revieod N99
12
SFL"T~QN V i
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S"cu'a. e~loee all fmapcid stat~ttawc.)
~. Pro forma balance ~ shoa-ing t!u fi~dd impact of the P~~ ~ by ~
N.C. Departateat of
3. Sipatos~- s4ocatcats to wLetita ~- naaobet of a~,pterat or any principal has
bees iawlwd In a fmgm4iai morptttatiaa a 6t~nTarnpccy. or otbec siatation tDU led to
losses by ert:ditosa. bdnd bays, or W env~atar lawmits slkgigs fraud or ittrp~peiay.
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s_ ~e iafot~don regvimd ua secaoo lV a~lrtxt~sin cotttfdaatia! as attlmed is the N_C
Garrrat Staatee I321~2 if the caapaay iadiedes its is coafideatial ai the titae of is
ietibal dissloatva: to tbp N,C. Dq~atttttseaR of C.ot~aare. Pbasc sip below if you want
the iufoltiOtatiOt~ yaa ~~ a ~ILbS~ttilt$ IZi SaCllOtl ~ LO t!a kGQ[ GOO~fiil.
$1~OatatO-
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IMtc' SwY -1 ~,~~A.1
8 Rtrited bJ99
TUTAL P.03
TOTAL P.03