Title
Resolution - A Resolution of the City Council of the City of Mansfield, Texas, Approving an Economic Development and Performance Agreement by and Between the Mansfield Economic Development Corporation (“MEDC”) and Mexus Plastics, LLC a Texas Limited Liability Corporation (MEXUS) and Authorizing its Execution by the President of the MEDC; and Providing an Effective Date
Requested Action
Consider the Mexus Plastics Economic Development Agreement.
Recommendation
The MEDC Board has recommended reimbursement to Mexus Plastics, LLC for an amount not to exceed $20,000 for an upgrade to an ESFR fire suppression system in the industrial building located at 167 Sentry Drive.
Description/History
At the July 7th Board meeting, the Board approved an amount not to exceed $40,000 in assistance for REL Enterprise LLC (Linda Cooper) for reimbursement of eligible items, including the installation of a basic fire suppression system at 167 Sentry Drive. The $40,000 was contingent upon Ms. Cooper signing a tenant to a minimum 5 year lease with at least 10 employees and a minimum business personal property investment of $250,000. This agreement is also on tonight’s agenda.
Ms. Cooper has now found a tenant, Mexus Plastic, LLC., a manufacturer of sheet plastic using plastic pellet resin raw material. The sheet is extruded in custom sizes, colors and finishes and sold to fabricators to produce products for a wide variety of industries.
They have been told by the Fire Marshall that their operation will require an upgraded ESFR fire suppression system in the building. The estimated cost of upgrading the basic fire suppression system to an ESFR system is $20,000.
Mexus will make a minimum capital investment in equipment in the facility of $250,000 and create a minimum of 10 jobs.
Justification
Mexus will make a capital investment in equipment in the facility of at least $250,000 in the first year and create a minimum of 10 jobs.
Funding Source
4A
Prepared By
Scott Welmaker, Mansfield Economic Development Corporation
817-266-5890