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County Attorney's Report 12. 2.

BCC Regular Meeting

Discussion

Meeting Date:	02/07/2019
Issue: VT Mobile Aerospace and Engineering, Inc.
From:	Kristin Hual
Department:	County Attorney's Office
CAO Approval:

RECOMMENDATION:

Recommendation Concerning Second Amended and Restated Interlocal Agreement Relating to VT Mobile Aerospace and Engineering, Inc. at the Pensacola International Airport.

That the Board consider the Second Amended and Restated Interlocal Agreement Relating to VT Mobile Aerospace and Engineering, Inc. at the Pensacola International Airport as proposed by the City of Pensacola.

BACKGROUND:

On March 6, 2014, the County entered into an Interlocal Agreement with the City of Pensacola relating to the funding of the VT Mobile Aerospace and Engineering, Inc. f/k/a ST Aerospace of Mobile, Inc. ("Company") for the location of a new Aircraft MRO business operation, to include the construction of one (1) hangar ("Hangar 1") that would create and maintain 300 FTE jobs at the Pensacola International Airport ("Airport"). Per the terms of the Agreement, the County agreed to contribute 8M to pay a portion of the project cost for Hangar 1, of which the City agreed to repay the County 3.2M on or before December 31, 2019.

On November 1, 2018, the County entered into an Amended Interlocal Agreement with the City of Pensacola relating to the additional funding for the Company's proposed expansion of the existing business operation, to include the construction of three (3) additional hangars, an administrative office building, a warehouse, shops and support facilities building, with associated aprons, taxiways, and automobile parking, that would create and maintain an additional 1,325 FTE jobs at the Airport ("Expansion Project"). Per the terms of the First Amended Agreement, the County agreed to contribute an additional 10M to pay a portion of the Expansion Project cost, to include the 3.2M previously contributed to the City, which would be paid by the City in lieu of repayment to the County.

As proposed by the City under the terms of the Second Amended and Restated Interlocal Agreement, the County would agree to increase its additional funding for the Expansion Project cost from 10M to 15M.

BUDGETARY IMPACT:

LOST IV Fund 353, LOST Economic Development Cost Center 110277.

LEGAL CONSIDERATIONS/SIGN-OFF:

The Second Amended and Restated Interlocal Agreement was reviewed and approved by Senior Assistant County Attorney Kristin D. Hual.

PERSONNEL:

N/A

POLICY/REQUIREMENT FOR BOARD ACTION:

N/A

IMPLEMENTATION/COORDINATION:

N/A

Attachments
2014 Interlocal Agreement
2018 Amended Interlocal Agreement