Nassau County Board of County Commissioners Workshop Session, May 3, 2016, 9:00 a.m.

Nassau County Board of County Commissioners
Workshop Session, May 3, 2016, 9:00 a.m.
Commission Chambers, 96135 Nassau Place, Yulee, Florida

Call to Order, Invocation and Pledge of Allegiance to the American Flag

Commissioners:
Present: Chairman Walter J. Boatright, Commissioners Daniel B. Leeper, Steve W. Kelley, Pat Edwards and George Spicer.

Other Official Present: Michael S. Mullin, County Attorney; and Ted Selby, County Manager.

Staff Present: Shanea Jones, Office of Management and Budget Director, and representing the Clerk’s office Brenda Linville, Deputy Clerk.

Official Agenda Summary:

Audience Input:
None.

EXPANSION ITEMS:
WS160503 – 9:02:48
None.

PRESENTATION:
WS160503 – 09:02:38 (Tab A) Continue discussion of the LignoTech, Florida Project under the Economic Development Grant Program.

Discussion: Mr. Mullin distributed Ordinance 2015-02 related to the Economic Development Grant Program as well as the Economic Development Grant Incentive Agreement with Dayspring Health, LLC. He noted that the Ordinance was originally adopted in 2012 and later amended to add specific target industries.

Mr. Mullin reviewed the following portions of the Ordinance: Section 2, Definitions, Paragraph 5, Economic Development Grant (EDG) Agreement; Section 3, Thresholds for Qualification, Paragraph 2 Existing/Expanding Businesses and Table One, Economic Development Grant Schedule for Existing/Expanding Businesses; Section 3, Thresholds for Qualification, Paragraph 6 Table Two, Economic Development Grant Schedule for New Businesses; Section 4, Procedures for application, Paragraphs 1, 2, 6, and 7; and Exhibit “A”. He then reviewed the following portions of the agreement with Dayspring Health, LLC: Section 5.0 Project Description and Award Conditions, Section 8.0 Termination; and General Project Overview.

Michael Hickox, Property Appraiser, came forward to review his spreadsheet regarding the estimated potential value of LignoTech. Mr. Selby briefly addressed the pie charts. Discussion followed.

Commissioner Kelley suggested slowing down the process and preforming a cost benefit analysis. Mr. Selby inquired as to what benefits Commissioner Kelley is looking for the taxpayers. If the County is getting $105,000.00 a year, what the Board should be looking for is whether that amount is going to cover the additional services that are going to be required by the County to support the addition of this new entity.

The group discussed how the 75/25 percentage split was established and whether there was a cost analysis conducted in 2012.

Laura DeBella, Nassau County Economic Development Council Director, came forward to reiterate that this is a self-generated incentive. She clarified that the increment is provided by the company itself. It is a refund on future taxes that LignoTech will be generating for Nassau County. She is very concerned about the message that is being delivered to the business community regarding this matter. Ms. DeBella hopes that all parties comes to a resolution/compromise or an understanding on how to handle this moving forward, as it is affecting other deals. Discussion followed.

Mr. Mullin advised that he does not expect that at the May 9, 2016 meeting, there will be adequate time for the NCEDB to provide a draft contract with LignoTech for the Board’s to review.

DISCUSSION ITEMS:
WS160503 – 9:58:47 None.

There being no further business, the workshop session of the Nassau County Board of County Commissioners adjourned at 9:59 a.m.

_____________________________
Walter J. Boatright, Chairman

Attest:

____________________________
John A. Crawford, Ex-Officio Clerk