Subject:
Title
Employment Sites Program Funding Agreement for a sum of not-to-exceed $1,903,500.00 to AlloCyte LLC for the rehabilitation of an existing 25,560 square foot medical manufacturing building.
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Recommended Action:
Recommended Action
Approval and execution by the County Administrator of an Employment Sites Program Funding Agreement for a sum of not-to-exceed $1,903,500.00 to AlloCyte LLC for the rehabilitation of an existing 25,560 square foot medical manufacturing building located Palm Harbor.
• Funding for the renovation of the 25,560 square foot medical manufacturing building in the amount of $1,901,500.00 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).
• The redevelopment of the medical manufacturing building will provide Pinellas County with an upgraded facility that should provide employment opportunities to county residents and to bring in new revenue opportunities.
• Total project budget is estimated to be $9,065,200.00. The total requested County portion of this project is a not to exceed amount of $1,903,500.00. The $2,000.00 increase from the originally recommended amount of $1,901,500.00 is due to the cost of ESP Financial Reviews, which will cover some or all of the cost associated with third party review.
• The business intends to add 60 new manufacturing jobs with the completion of the project.
• The grant will fund retrofits to the existing cleanrooms for re-certification, installation of a water injection system, new refrigeration storage, and property updates to comply with building code.
• Funding for this project is included in the Fiscal Year 2024-2029 Capital Improvement Program plan under the 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, half of which, or 4.15%, is set aside for Economic Capital Projects specifically.
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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:
The founders of AlloCyte and 34 Lives have extensive medical careers and are well positioned for the manufacturing process of liquids and the “rescuing” of donated kidneys. They have selected experienced organizations - Atkins Fick Group and Nelson to rehabilitate the facility. Both have worldwide recognition on medical structures in order to rehabilitate the 25,560 square foot building.
Background/Explanation:
The sixth application cycle for the County’s Employment Sites Program opened on December 11, 2023, and closed on February 16, 2024. AlloCyte, LLC, applied for funding to assist in bringing the outdated facility into compliance and suitable for manufacturing organ preservation liquids. Significant updates include retrofitting cleanrooms to ISO 7 re-certification, installation of a water injection system and compliance to codes and insurance regulations.
The Agreement has a termination date of twenty (20) years from the Effective Date and has three payments based on benchmarks on obtaining two mid-point permit approvals and the owner’s receipt of an approved permit for the construction of the water treatment structure and system. 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 medical 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 for this project is included in the FY24-FY29 Capital Improvement Program plan under the 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, half of which, or 4.15%, is set aside for Economic Capital Projects specifically.
Delegated Authority:
Funding for the renovation of the 25,560 square foot medical manufacturing building in the amount of $1,903,500.00 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.
Staff Member Responsible:
Cynthia Johnson, Director, Economic Development
Teresa Brydon, Business Development Manager, Economic Development
Partners:
N/A
Attachments:
Employment Sites Program Funding Agreement
Applicant Overview Page