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RESOLUTION APPROVING PROJECT ATLANTIC SAPPHIRE AS A TARGETED JOBS INCENTIVE FUND PROGRAM BUSINESS PURSUANT TO CHAPTER 2, ARTICLE LXXXVI OF THE CODE OF MIAMI-DADE COUNTY, FLORIDA; CONFIRMING THAT THE COMMITMENT OF INCENTIVE AWARDS FOR PROJECT ATLANTIC SAPPHIRE EXISTS; PROVIDING AN APPROPRIATION OF UP TO $5,000,000.00 FROM COUNTYWIDE GENERAL FUND REVENUES FOR FISCAL YEARS 2021-22 THROUGH 2030-31; AUTHORIZING THE COUNTY MAYOR OR COUNTY MAYOR�S DESIGNEE TO MAKE NON-SUBSTANTIVE MODIFICATIONS OR TO MODIFY THE JOB CREATION AND DISBURSEMENT DATES TIMELINE, AND TO EXECUTE ALL CONTRACTS, AGREEMENTS AND AMENDMENTS, AND PROVIDING FOR AN EFFECTIVE DATE

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WHEREAS, this Board desires to accomplish the purposes outlined in the accompanying memorandum and Project Atlantic Sapphire�s Application and Agreement for Targeted Jobs Incentive Fund (TJIF), copies of which are incorporated herein by reference; and

WHEREAS, Project Atlantic Sapphire qualifies as a target industry business under Chapter 2, Article LXXXVI of the Code of Miami-Dade County, Florida (TJIF Ordinance),

NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF MIAMI-DADE COUNTY, FLORIDA, that this Board hereby:

Section 1. Adopts and ratifies the matters set forth in the foregoing recitals.

Section 2. Finds that attracting, retaining and providing favorable conditions for the growth of target industries provides quality employment opportunities for residents of the County and enhances the County�s economic foundations.

Section 3. Authorizes the County Mayor or County Mayor�s designee to execute the Application and Agreement for TJIF between Miami-Dade County and Project Atlantic Sapphire, as a TJIF program business pursuant to the TJIF Ordinance, in substantially the form attached hereto and incorporated herein by reference.

Section 4. Further authorizes the County Mayor or County Mayor�s designee to make non-substantive modifications, including modifications to the job creation and disbursement dates timeline, and to execute all contracts, agreements, and amendments necessary to further the purposes set forth in this resolution.

Section 5. Finds that the commitment of incentive awards for Project Atlantic Sapphire exists in an amount not to exceed $5,000,000.00, from Countywide General Fund revenues, and is conditioned on and subject to specific annual appropriations by the Board in the following increments:
Fiscal Year 2021-22 - $296,000.00
Fiscal Year 2022-23 - $296,000.00
Fiscal Year 2023-24 - $296,000.00
Fiscal Year 2024-25 - $296,000.00
Fiscal Year 2025-26 - $296,000.00
Fiscal Year 2026-27 - $296,000.00
Fiscal Year 2027-28 - $296,000.00
Fiscal Year 2028-29 - $296,000.00
Fiscal Year 2029-30 - $296,000.00
Fiscal Year 2030-31 - $2,336,000.00 (Job Creation Bonus)
TOTAL $5,000,000.00

with the provision that any tax abatement granted to Project Atlantic Sapphire under section 196.1995, Florida Statutes, reduces any TJIF incentive award granted by the amount of any such tax abatement granted, and will be paid to Project Atlantic Sapphire with the stipulation that Project Atlantic Sapphire is in compliance with the TJIF program as set forth in the TJIF Ordinance, including but not limited to the requirement that at least 237 jobs be created. In no event shall this resolution operate to obligate the County to make disbursements to Project Atlantic Sapphire in an amount that contradicts or violates the program requirements as set forth in the TJIF Ordinance.

Section 6. Requires that the commitment of incentive awards shall be contingent on Project Atlantic Sapphire maintaining the jobs during the life of the incentive and ensuring that its hiring practices are consistent with and reflect the diversity of the Miami-Dade County community. Project Atlantic Sapphire also agrees to a �good faith� effort to hire, to the maximum extent feasible, residents from Miami-Dade County.

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Date: To: Honorable Chairwoman Audrey M. Edmonson
and Members, Board of County Commissioners From: Carlos A. Gimenez
Mayor
Subject: Resolution Approving Targeted Jobs Incentive Fund Tax Refund for Atlantic Sapphire

STAFF RECOMMENDATION
Recommendation
The Beacon Council, on behalf of Project Atlantic Sapphire, has submitted an application for economic development incentives under the County�s Targeted Jobs Incentive Fund (TJIF) Program, Article LXXXVI of the Miami-Dade County Code. It is recommended that the Board of County Commissioners (Board) approve the request for Project Atlantic Sapphire to participate in the TJIF Program. It is also recommended that the Board make available $5,000,000.00 in TJIF assistance from Countywide General Fund Revenues.

Scope
Project Atlantic Sapphire is a land-based salmon farm company seeking to expand its operations in Miami-Dade County. As a result of the expansion, the company will create 237 new full-time equivalent jobs and retain 54 existing jobs, as defined in Florida Statutes Section 288.106, in Commission District 9, which is represented by Commissioner Dennis C. Moss. The jobs will have a positive Countywide impact through indirect employment and an economic multiplier effect.

Fiscal Impact/Funding Source
Based on a total capital investment of $340,000,000.00 as stated in the attached application, Project Atlantic Sapphire is projected to generate $11,203,728.00 over a ten-year period, in incremental property tax revenues to the Countywide General Fund. As a result, the business is eligible to receive $5,000,000.00 in TJIF assistance, to be paid over a ten-year period. The TJIF disbursements will be paid evenly over nine years in the amount of $296,000.00 annually. However, the surplus jobs creation bonus (every 50 jobs) will be disbursed in the tenth year. For every 50 jobs created, an additional .15 percent of the total capital investment will be added for a surplus jobs bonus totaling $2,040,000.00. Thus, the total payment in the tenth year will be $2,336,000.00. Therefore, The Beacon Council projects that the County will realize a positive fiscal impact of $6,203,728.00 over the ten-year period of the TJIF award.

The actual disbursement of the TJIF Program award is contingent upon verifying creation of the new jobs and the capital investment appearing on the tax roll. The TJIF Program award may equal up to 2.140 percent of the total real property capital investment and 1.440 percent of the tangible personal property capital investment to remain in compliance with the TJIF Program. Disbursements of the TJIF Program award is capped to not exceed the amount of incremental Countywide General Fund revenues the County generates by the capital investment.

Track Record/Monitor
The TJIF Program specifies that a Board approved TJIF Program project must create at least 10 new jobs, retain those jobs in accordance with the program�s retention criteria and make a significant capital investment to receive the incentive. Project Atlantic Sapphire is promising to make a capital investment of $340,000,000.00, create 237 new jobs, and retain 54 existing jobs.

Upon the company�s request for incentive payment, staff from the Research and Planning Section for the Department of Regulatory and Economic Resources will verify that it has met the required number of new jobs created, at the required wage rate and all current employees are being paid the living wage rate in accordance with the TJIF Program agreement. Staff will also confirm that the ad valorem and/or the tangible personal property taxes are sufficient to cover the TJIF Program payment.

Background
Project Atlantic Sapphire is an existing land-based salmon farming company planning to expand its operations to include building a new 1.1 million square foot facility to house its manufacturing/fish processing plant, world headquarters and engineer services (North American Industry Classification System Code #112511, #311712, #551114, and #541330). The company currently employs 54 workers at its current Miami-Dade County location and is committing to create an additional 237 jobs over a three-year period as a condition of the TJIF Program award. Alternative locations are being considered in Georgia, Texas and Maine.

As a condition of the TJIF award, Project Atlantic Sapphire agrees that the 237 new workers hired will have an average annual salary of $60,000.00 (excluding benefits) and the existing employees earn at least the County�s Living Wage Rate as defined in Section 2-8.9 of the Code of Miami-Dade County, as adjusted annually by the Internal Services Department, Small Business Development Division or its successor department.

The anticipated dates for job creation and incentive award disbursements are set forth in the resolution but are subject to change upon the approval of the County Mayor or the County Mayor�s designee so long as they remain consistent with the TJIF Program.

The attached documents relating to the application of the incentive have been prepared by The Beacon Council and reviewed by the Department of Regulatory and Economic Resources.

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Jack Osterholt
Deputy Mayor