Subject:
Title
Employment Sites Program Funding Agreement for a sum of not-to-exceed $2,802,000.00 to MicroLumen Corporation for the rehabilitation of an existing 101,000 square foot industrial manufacturing building.
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Recommended Action:
Recommended Action
Approval and execution by the County Administrator of an Employment Sites Program (ESP) Funding Agreement for a sum of not-to-exceed $2,802,000.00 to MicroLumen Corporation for the rehabilitation of an existing 101,000 square foot industrial manufacturing building located in Oldsmar.
• Funding for the renovation of the 101,000 square foot industrial manufacturing building in the amount of $2,800,000.00 was approved by the Board at its June 11, 2024 meeting, and delegated authority was given to the County Administrator to negotiate and execute all agreements and documentation (Granicus Item 24-0875A).
• This agreement will fund the demolition of existing office space, including the removal of drop ceilings, an existing sprinkler system, and HVAC ducting. The back wall of the building will be removed, and new dock doors installed and instillation of a new fire wall to meet building code requirements between manufacturing space and warehousing.
• Total project budget is estimated to be $19,835,000.00 million. The total requested County portion of this project is a not-to-exceed amount of $2,802,000.00. The $2,000.00 increase from the recommended amount of $2,800,000.00 is due to the cost of ESP Financial Reviews, which will cover some or all of the cost associated with a third-party review.
• The redevelopment of the industrial manufacturing building will provide Pinellas County with an upgraded facility that should provide employment opportunities to the county residents and to bring in new revenue opportunities.
• The business intends to add 150 new manufacturing jobs with the project completion.
• Funding is budgeted in the FY24-FY29 Capital Improvement Program plan under Economic Development Capital Projects (Project 004149A). This project is funded by Local Infrastructure Sales Surtax (Penny for Pinellas), as part of the 8.3% countywide investment for Economic Development and Housing.
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Strategic Plan:
Foster Continual Economic Growth and Vitality
4.1 Proactively attract, expand, and retain businesses with targeted jobs to the county and the region
4.4 Invest in infrastructure to meet current and future needs
Deliver First Class Services to the Public and Our Customers
5.1 Maximize partner relationships and public outreach
5.2 Be responsible stewards of the public’s resources
Summary:
MicroLumen is a clean manufacturer, with no negative effects to the local environment, and uses common carrier to ship products, so there is negligible impact to the roads and infrastructure from its manufacturing processes. Economic Development’s Business Development team has been assisting this company since 2000, helping them locate to the market, expand and assist in international activities.
Background/Explanation:
The sixth application cycle for the County’s Employment Sites Program opened on December 11, 2023, and closed on February 16, 2024. MicroLumen Corporation, applied for funding to assist in renovating a former call center space into industrial manufacturing space for their future expansion. Significant updates include demolition of the entire indoor structures including walls, drop ceilings and a sprinkler system. The back wall of the building will be removed in order to construct new dock doors and a new fire wall will be installed to meet compliance to codes and insurance regulations.
The Agreement has a termination date of twenty (20) years from the Effective Date and has a single payment following the owner’s receipt of a Certificate of Completion of the industrial manufacturing building. For a period of the first ten (10) years of the Agreement, the owner will provide an annual report to Pinellas County identifying the total commercial square footage used and the total number of jobs with their average wages for the structure.
The owner will be responsible for maintaining and operating the industrial manufacturing building for the term of the Agreement. If the owner defaults on the Agreement, there is a process identified for the repayment of grant funds based on the time of the default.
Fiscal Impact:
Funding is budgeted in the FY24-FY29 Capital Improvement Program plan under Economic Development Capital Projects (Project 004149A). This project is funded by Local Infrastructure Sales Surtax (Penny for Pinellas), as part of the 8.3% countywide investment for Economic Development and Housing.
Delegated Authority:
Funding for the renovation of the 101,000 square foot industrial manufacturing building was approved by the Board at its June 11, 2024 meeting, and delegated authority was given to the County Administrator to negotiate and execute all agreements and documentation.
Staff Member Responsible:
Cynthia Johnson, Director, Economic Development
Teresa Brydon, Business Development Manager, Economic Development
Partners:
City of Oldsmar
Attachments:
Employment Sites Program Funding Agreement
Applicant Overview Page