Minutes 01/27/2015 - Laserfiche WebLink

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January 27, 2015 Discussion:  Formal action is required by City Council to enter into a Funding Agreement with EDA to allow EDA to serve as the conduit for delivering the Business Personal Property Investment Grants, the Machinery & Tool Investment Grants, and the Real Estate Investment Grants for this second Zone.  The amendment to Chapter 35 will expand the tax exemption for environmental restoration sites in the second Zone. Financial Impact:  The funds for the Business Personal Property Investment Grants, the Machinery & Tool Investment Grants, and the Real Estate Investment Grants will be paid from the increase in the tax revenue from Business Personal Property taxes, Machinery & Tool taxes, and Real Estate taxes from the firms and/or property owners qualifying for the grants. Recommended Action:  Adoption of a resolution authorizing the City Manager to execute a Funding Agreement.  Adoption of the ordinance amending Chapter 35 pertaining to Environmental Restoration Sites. Vision principal: A Robust Economy for Working Men and Women. Next Steps Following Council Action:  Present the Funding Agreement to the EDA. 15-48 (a): Motion by Mr. Moody, and seconded by Mr. Meeks, to adopt the following ordinance, and was adopted by the following vote: “ORDINANCE TO AMEND CHAPTER 35 OF THE CODE OF THE CITY OF PORTSMOUTH, VIRGINIA (2006), BY AMENDING SECTION 35-135 THEREOF TO PROVIDE AN INCREASED TAX EXEMPTION FOR ENVIRONMENTAL RESTORATION SITES LOCATED WITHIN THE ENTERPRISE ZONE DESIGNATED BY THE GOVERNOR OF THE COMMONWEALTH OF VIRGINIA ON JANUARY 1, 2014.” Ayes: Cherry, Edmonds, Meeks, Moody, Psimas, Whitaker, Wright Nays: None 15-48 (b): Motion by Mr. Meeks, and seconded by Ms. Psimas, to adopt the following resolution, and was adopted by the following vote: “RESOLUTION AUTHORIZING THE CITY MANAGER TO EXECUTE AN AMENDED AND RESTATED PORTSMOUTH VIRGINIA ENTERPRISE ZONE LOCAL INCENTIVES GRANTS FUNDING AGREEMENT WITH THE ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF PORTSMOUTH, VIRGINIA. WHEREAS, on January 1, 2010 certain areas within the City of Portsmouth were designated by the Commonwealth of Virginia as an Enterprise Zone under Section 59.1- 538, et seq., of the Code of Virginia; and WHEREAS, the Enterprise Zone designation provides certain development and employment incentives within the Zone; and WHEREAS, the Economic Development Authority of the City of Portsmouth, Virginia (“EDA”) administers several of the incentive programs (the “Incentives”); and WHEREAS, by Resolution R-11-29 adopted on September 13, 2011 City Council authorized the City Manager to execute an Enterprise Zone Local Incentives Grants Funding Agreement between the City and EDA to provide funding for the Incentives (the “Original Agreement”), and the Original Agreement was subsequently executed; and