Agenda 06/28/2016 Item #16F5 6/28/2016 16.F.5.
COLLIER COUNTY
Board of County Commissioners
Item Number: 16.16.F.16.F.5.
Item Summary: Recommendation to adopt a resolution approving the proposed Project
Ice as a qualified applicant to Florida's Qualified Target Industry(QTI)Tax Refund program,
providing up to$79,800 of local financial support for a corporate headquarters project which
will create 57 new quality jobs in Collier County, Florida.
Meeting Date: 6/28/2016
Prepared By
Approved By
Name:FinnEd
Title:Management/Budget Analyst,Senior,Office of Management&Budget
Date: 6/21/2016 11:04:03 AM
Name:KlatzkowJeff
Title: County Attorney,
Date: 6/21/2016 2:23:56 PM
Name: CasalanguidaNick
Title:Deputy County Manager, County Managers Office
Date: 6/21/2016 4:38:58 PM
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EXECUTIVE SUMMARY
Recommendation to adopt a resolution approving the proposed Project Ice as a qualified
applicant to Florida's Qualified Target Industry (QTI) Tax Refund program, providing up
to $79,800 of local financial support for a corporate headquarters project which will create
57 new quality jobs in Collier County,Florida.
OBJECTIVE: To obtain Board approval for the proposed Project Ice as a qualified applicant for the
Qualified Target Industry Tax Refund(QTI)program.
CONSIDERATIONS: Enterprise Florida, Inc. brought the proposed project to Collier County in
March 2016. The corporate headquarters project will create 57 new jobs in Collier County, Florida,
that will provide high-wage, value-added employment to Collier County citizens with an average
annual wage of$180,000 and benefits are valued at approximately 23% of salaries. The estimated
capital investment is $1,500,000 dollars. This prospect has an alternative site available and has made
participation in the QTI program a condition for further consideration of locating such a project at a
Collier County site.
In order to collect the annual tax refunds,the prospect must create the number of new jobs contracted
with the Florida Department of Economic Opportunity (DEO) and provide wages averaging at least
115% of the State's average wage for each year of the agreement. The state QTI program provides a
base incentive of $3,000 per job created plus an additional bonus $2,000 incentive because the
proposed jobs fall within one of the "high impact" sectors for a total possible incentive of$5,000 per
job created by Project Ice. An additional $2,000 per job is available for a company that commits to
paying at least 200% of the State's average wages, or $88,130. Under the state QTI program Project
Ice is eligible for up to $399,000 (57 jobs x $7,000).
The state program requires that the local community provide 20% of the total tax refunds and cash
funding. This local match is paid to the state, not the applicant. If Project Ice fulfills the contractual
obligations for quality job creation, the County would pay 100% of the local match for this
application which would be up to $79,800 local match spread over five years.
FISCAL IMPACT: The maximum cost to the County for this QTI applicant is $79,800 spread
over five years, anticipated to begin in FY 2018. Funding for Economic Development Incentives is
provided in the Economic Development Incentives budget within the General Fund(001).
GROWTH MANAGEMENT IMPACT:None.
LEGAL CONSIDERATIONS: This item has been reviewed by the County Attorney, is approved
as to form and legality, and requires majority vote for approval. -JAK
RECOMMENDATION: Adopt a resolution approving the proposed Project Ice as a qualified
applicant to Florida's Qualified Target Industry (QTI) Tax Refund program, providing up to $79,800
of local financial support for a corporate headquarters project which will create 57 new quality jobs
in Collier County,Florida.
�.. Prepared by: Jace Kentner,Interim Director, Office of Business &Economic Development
Attachment: Resolution
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6/28/2016 16.F.5.
RESOLUTION NO. -
A RESOLUTION OF THE BOARD OF COUNTY COMMISSIONERS OF
COLLIER COUNTY, FLORIDA, TO RECOMMEND THAT PROJECT
ICE BE APPROVED AS A QUALIFIED APPLICANT PURSUANT TO
SECTION 288.106 AND SECTION 288.108, FLORIDA STATUTES; AND
IDENTIFYING SOURCES OF LOCAL FINANCIAL SUPPORT IN AN
AMOUNT NOT TO EXCEED $79,800 AS LOCAL PARTICIPATION IN
THE QUALIFIED TARGET INDUSTRY TAX REFUND PROGRAM FOR
FISCAL YEAR(S) 2017-2021.
WHEREAS, the Legislature of the State of Florida has enacted Chapter 94-136, Laws of
Florida, creating Section 288.106, Florida Statutes, and 288.108, Florida Statutes, to encourage
the growth of Florida's high-value-added employment;and
WHEREAS, Section 288.106, Florida Statutes, authorizes the Florida Department of
Economic Opportunity to accept, review and approve applications for tax refunds to qualified
target industry businesses; and requires 20% local financial participation as tax refunds become
due; and
WHEREAS, the Company identified as Project Ice will create 57 new qualifying value-
added jobs in five phases in Collier County; and
WHEREAS, the Company identified as Project Ice, will provide high-wage, value-added
employment to Collier County citizens with average wages of$180,000 and exceeds 200% of
the State's average wage; and
WHEREAS, the Board of County Commissioners finds that providing tax refunds and
other tax incentives to Project Ice is vital to the public purpose of employing Collier County
citizens and ensuring the County's economic vitality; and
WHEREAS, Project Ice has been identified as a Florida Target Industry Business, falls
within one of the high impact sectors designated under Section 288.108, Florida Statutes, and
therefore is eligible for a $2,000 per job High Impact Bonus under the Qualified Target Industry
Program.
NOW, THEREFORE BE IT RESOLVED BY THE BOARD OF COUNTY
COMMISSIONERS OF COLLIER COUNTY, FLORIDA that the Board hereby recommends
that Project Ice be approved as a Qualified Target Industry Business pursuant to Section 288.106,
Florida Statutes and eligible for the High Impact Sector Bonus pursuant to Section 288.108.
This recommendation is based upon the creation of the specified jobs and is contingent upon
Collier County's review of Project Ice's final application to be a Qualified Target Industry
Business and confirmation of the information therein.
BE IT FURTHER RESOLVED that the necessary commitment of local financial support
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for the Qualified Target Industry Business for the Qualified Target Industry Tax Refund Program
has been identified in an amount not to exceed $79,800; consisting of 100% of the local
contribution coming from Collier County subject to annual appropriations; and will be paid to
the Florida Economic Development Trust Fund as tax refunds become due with the stipulation
that these funds are intended to represent the local financial support required by Section 288.106,
Florida Statutes and are conditional upon the applicant meeting all requirements of the program
and Collier County.
THIS RESOLUTION ADOPTED after motion, second, and majority vote favoring same
this 28th day of June, 2016.
ATTEST: BOARD OF COUNTY COMMISSIONERS
DWIGHT E. BROCK, Clerk COLLIER COUNTY, FLORIDA
By: By:
,Deputy Clerk DONNA FIALA, CHAIRMAN
Approved as to form and legality:
Jeffrey A. Klatzkow
County Attorney
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