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Subject: A request by the Executive Director of the Redevelopment Authority to consider RDA resolution 17-06 recommending an economic development incentive in the form of a property tax reimbursement (TRIP - Tax Re-Investment Program) to Fischer USA, Inc. to renovate and expand its current location at 3715 Blue River Avenue and to create at least 20 full-time jobs. The assistance request is to share 75% of City portion of the property taxes over a 10-year term. (Res No. 0050-17)
Recommendation of the Redevelopment Authority on 2-6-17: That the request to provide financial assistance in the form of a tax reimbursement incentive (TRIP) of 75% of the City portion on property taxes to Fischer USA be approved. Further that the Mayor and City Clerk be authorized and directed to execute a finanicial assistance agreement with Fischer USA, Inc. in substantially the same form as outlined in the Memorandum from the Racine County Economic Development Corporation (RCEDC) attached to this file.
Recommendation of the Finance & Personnel Committee on 2/13/17: That the request to provide financial assistance in the form of a tax reimbursement incentive (TRIP) of 75% of the City portion on property taxes to Fischer USA be approved. Further that the Mayor and City Clerk be authorized and directed to execute a financial assistance agreement with Fischer USA, Inc. in substantially the same form as outlined in the Memorandum from the Racine County Economic Development Corporation (RCEDC) attached to this file.
Fiscal Note: The total assistance provided, based upon the 2016 property tax bill, will be approximately $11,600 per year or $116,200 over a ten-year period. RCEDC would assist the City in tracking the jobs created and the City hiring preference ratios. The assistance agreement requires (1) that Fischer retain its existing full time workforce; and (2) create 20 full-time positions, if job creation falls below estimated levels in any year of the agreement the incentive ...
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