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HomeMy WebLinkAboutAgenda Packet 11-04-2002 AGENDA REQUEST ITEM NO. 4 DATE: November 4.2002 TO: BOARD OF COUNTY COMMISSIONERS REGULAR: (X) PUBLIC HEARING: ( ) CONSENT: ( ) PRESENTED BY: SUBMITTED BY (DEPT): ADMINISTRATION Douglas M. Anderson County Administrator SUBJECT: Memorandum of Understanding with Wal-Mart Stores East, LP to construct a 1,200,000 square foot Distribution Center in St. Lucie County BACKGROUND: See Attached Memorandum FUNDS AVAILABLE: See Attachment PREVIOUS ACTION: N/A RECOMMENDATION: Staff recommends the approval of the attached Memorandum of Understanding with Wal-Mart Stores East, LP. COMMISSION ACTION: CONCURRENCE: o APPROVED o OTHER: o DENIED Douglas Anderson County Administrator Review and ADDrovals º- County Attorney: º- Management and BUdget: º- Purchasing: Q Originating Dept: º- Other: Q Other: º- Finance: Check for copy only, if applicable: Anyone with a disability requiring accommodations to attend this meeting should contact the St. Lucie County CommunIty Services Manager at 561-462-1777 or TTD 561-462-1428, at least 48 hours (48) prior to the meeting. H:IWINIWPIAGENOAIWalmartMmoUndstndg.wpd COUNTY ADMINISTRATION MEMORANDUM 02-139 ""-"'''_'l_''"'''~'.,~@''"".&~_~_!¡___.,,,.,_.._.__._...._._____.m........ ..........._..__._ om_ .... TO: Board of County Commissioners FROM: Douglas M. Anderson, County Administrator DATE: November 1, 2002 RE: Wal-Mart Memorandum of Understanding BACKGROUND: Since last September, staff has been working on attracting a 1,200,000 square foot Wal-Mart Distribution Center to St. Lucie County. At full operation, this facility will employ 1,200 people at an average hourly wage of $15 per hour. This includes warehouse workers, mechanics, supervisors and truck drivers. Attached is a Memorandum of Understanding negotiated with Wal-Mart officials that outlines the project and the responsibilities of both parties. Also attached are two other documents, "The Financing of the Deal" and "The Making of the Deal". ''The Financing of the Deal" breaks down the funding sources for the estimated $8,265,000 in required infrastructure improvements. These improvements are an acceleration of the road improvements already planned for that area. This report also breaks down the $1,200,000 incentive program the County has offered Wal-Mart to locate here. The last document, "The Making of the Deal," is a chronology of events that has lead up to today. RECOMMENDA TlON: Staff recommends that you approve the Memorandum of Understanding. H:IWIN\WPlAGENOAIWalmartMmoUndstndg.wpd ,II August 28, 2002 COUNTY ADMINISTRATOR BOARD OF COUNTY COMMISSIONERS DOUGLAS M. ANDERSON Ruden, McClosky, °Smith, Schuster, & Russell, P.A. Susan P. Motley, P.A. 200 East Broward Boulevard Fort Lauderdale, FL., 33301 Dear Susan: This is a followup to our telephone conversation suggesting a plan of action to resolve the pending Project P (Wal-Mart) issues: - 1. County staff and our consultants will review the existing eagle "management plan to determine the best course of action 2. The County, if requested by Wal-Mart, will intervene with the proposed project site's owners to see if we can help facilitate the closing of this project's transaction 3. The County will, with Wat-Mart's approval, contact Governor Bush, as well as representatives of Flagler Development's parent company, to ask for their assistance in bringing a successful conclusion to this project 4. The County will, with Wal-Mart's approval, enlist the support of Federal and State legislators to contact the appropriate officials at US Fish and Wildlife, to assist with the development of an acceptable wildlife management plan for the proposed site As we discussed, the County will not proceed with items 2, 3, or 4, until we have a concurrenée from Waf-Mart. If you have any questions or suggestions on how else we may help this project, please let me know. c: Dan Mcintyre, County Attorney Terry Lewis, P.A., Lewis Longman & Walker, P.A. JOHN Do ßI\UHN. Disrricr No.1· DOUG COWARD. Disrricr No.2· PAULA A. LEWIS. Dlsrricr No..3 . FRANNIE HUTCHll'6ON. Oisrrícr No.4. CLIFF ßARNE5. Oisrricr NO.5 Counry Adminisrrcror . Douglos M. Anderson 2300 Virginia Avenue · Fort Pierce. FL .34982-5652 · Phone (772) 462-1450 . TOD (772) 462-1428 FAX (772) 462-1648 · emoil: dougo@co.st-lucie.f1.us .. -'.. - 'h h . _ _ _A. I.. _t _ .ll .". THE FINANCING OF THE DEAL Accelerated Roadwav Improvement Program: · Widening of Midway Road to four lanes from Torino Parkway to 1-95 · Intersection improvements to Glades Cut-Off Road and Midway Road · Widening of Glades Cut-Off Road to three lanes to Florida Turnpike and improvements of existing two lanes from Turnpike to new Jenkins Road · Extension of Jenkins Road to Project P site · Provide water and sewer service to property · Estimated Cost - $11,870,000 Funding Sources: · Zone IV Impact Fees . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. $ 220,000 · St. Lucie County Transportation Budget ...................... $2,500,000 · St. Lucie County Landfill Reserves. . . . . . . . . . . . . . . . . . . . . . . . .. $1,000,000 · Road Impact Fees - paid by Wal-Mart ....................... $ 937,000 · Bank Loan - debt service paid by St. Lucie County ............. $5,213,000 · Port St. Lucie Contribution. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. $2,000,000 TOTAL. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. $11,870,000 Economic Incentives: · 100,000 cubic yards of dirt contributed by St. Lucie County Landfill ... $200,000 · Job growth investment: 1st 1000 jobs reimbursed ............... $1,000,000 (at $1,000 per jOb) TOTAL ..................... . . . . . . . . . . . . . . .. $1,200,000 THE MAKING OF THE DEAL Seotember. 2001 - County first contacted by Enterprise Florida about Project Prairie (P) October- December 2001 - Various meetings with County staff and Project P officials January 11. 2002 - County received request of confidentiality from Project P officials January 2002 - Various meetings with County staff and Project P officials February 15. 2002 - Preliminary letter of intent sent to Project P March 5. 2002 - Representatives from County government, City governments, Fire District, School District, Sheriff's Office, local colleges, Chamber of Commerce, clergy, Workforce Development Board, Economic Development Council and community business leaders meet at FAU campus in St. Lucie West with Project P representatives to discuss the greatness of St. Lucie County and why they should locate here March 19. 2002 - County sent hypothetical time line to Project P officials April 2002 - Various meetings with County staff and Project P officials May 2002 - Various meetings with County staff and Project P officials June 14. 2002 - Met on site with US Fish and Wildlife, Project P officials, and the property owner to discuss bald eagle situation July 16. 2002 - News media breaks story on Wal-Mart discussions with County July 23. 2002 - Board of County Commissioners approves Glades Cut-Off Road Intersection improvements design contract July 24. 2002 - Met with Project P officials to negotiate agreement to be presented to Project P Board of Directors July 292002 - County hand delivered letter to Fort Pierce Utilities Authority and the City of Port St. Lucie requesting proposals for water and sewer service to serve Project P August 9. 2002 - Proposals are opened for water and sewer service to the project. Only one proposal is received - Port St. Lucie August 13. 2002 - Board of County Commissioners postpone for one week on authorizing staff to negotiate an agreement with Port St. Lucie for bulk water and sewer service to the County at City of Fort Pierce's/Fort Pierce Utilities Authority's request Page 2 The Making of the Deal August 15. 2002 - Conference call held with Project P officials at City of Fort Pierce's/Fort Pierce Utilities Authority's request to discuss annexation issue. Participating parties included City of Fort Pierce, Fort Pierce Utilities Authority, St. Lucie County and Project P officials August 20. 2002 - Board of County Commissioners authorize staff to initiate negotiations with the City of Port St. Lucie to provide bulk water and sewer service to the project August 28. 2002 - Wal-Mart notifies County that this project will not be presented to the Wal-Mart Executive Board on August 29th as previously scheduled due to concerns about the proposed Eagle Management Plan September 12. 2002 - Meeting held at US Fish and Wildlife offices to resolve outstanding Eagle Management Plan issues. Those in attendance included consultants for Wal-Mart and the property owner. The Governor's Office and County staff were also represented September 13. 2002 - Wal-Mart and Carter Burgess representatives called County to inform us that the September 12th meeting with US Fish and Wildlife went well and that Wal-Mart is now moving at "Lightning Speed" October 2. 2002 - County met with Wal-Mart and their consultants to establish permitting and construction time frames October 2002 - Numerous telephone conversations are held with Wal-Mart and Carter Burgess officials to finalize Memorandum of Understanding October 30-31. 2002 - County staff, Wal-Mart consultants and Wal-Mart officials conclude discussions on Memorandum of Understanding November 1. 2002 - Project presented to Wal-Mart Executive Board. Executive Board votes to proceed with distribution center S :\Shared\Anne\WIN\WP\MISC\dealmaking. wpd