Title
Resolution - A Resolution of the City Council of the City of Mansfield, Texas, Approving an Economic Development Agreement between the Mansfield Economic Development Corporation, and SCSD-Finnell a Limited Company; Authorizing the MEDC President to Execute Said Agreement; Finding that the Meeting at Which this Resolution is Passed is Open to the Public as Required by Law; And Providing an Effective Date (MEDC)
Requested Action
To Consider the Resolution
Recommendation
To Approve the Resolution
Description/History
SCSD-Finnell will plan, design, and construct a new 7,500 square foot commercial building at 1741 East Debbie Lane. The commercial building will be privately owned and operated by the developer. SCSD-Finnell will make a capital investment of no less than $3,000,000 and must receive a Certificate of Occupancy no later than December 31, 2026. The developer will create or retain a minimum of fifty (50) full-time employees during the construction of the commercial building.
Key Terms of the Agreement:
• Funding Mechanism: The project will benefit from MEDC funds used to repay obligations tied to the installation of a sanitary sewer line. The payment to be made by the corporation pursuant to the Economic Development Agreement shall be calculated as follows: The lessor of (i) 100% of the actual cost of the Improvements, or (ii) Seventy-Eight Thousand Six Hundred Dollars ($78,600).
• City Contributions: The City will not provide any additional funding.
• Developer Responsibilities: The developer is responsible for privately funding the construction of the 7,500 square foot commercial building and install a sanitary sewer line.
• Duration: The economic development agreement has a term of six (6) years, or until all terms have been satisfied, whichever comes first.
Financial Implications:
The City will use sales taxes generated by the project to cover public infrastructure costs. The developer will make the capital investment and install the sanitary sewer.
Benefits to the City:
This project will boost Mansfield's retail and restaurant industry and provide a location for unique dining and shopping.
Justification
The new 7,500 square foot commercial building will provide new opportunities to attract retail, restaurants, and entertainment options in Mansfield. The sanitary sewer installation is beneficial for the development as the site currently does not have access to sanitary sewer.
Funding Source
MEDC
Prepared By
Natalie Phelps, Economic Development Manager, MEDC