Imperial County Municipal Code Ch. 4.28 Capital Investment Incentive Program

It is the intention of the board of supervisors in adopting the ordinance codified in this chapter to implement a capital investment incentive program in accordance with Government Code Section 51298. In adopting said ordinance, the board of supervisors finds as follows:

A. Imperial County has a continuing need to attract qualified manufacturing facilities (QMFs), as that term is defined in Government Code Section 51298, in order to:

1. Foster the employment of its residents;

2. Increase the tax base in order to provide and maintain needed services to the community; and

3. Create positive opportunities for growth.

B. There is increasing competition among counties throughout California and the United States to attract QMFs.

C. In order to be competitive with other counties it is sometimes necessary to provide incentives to QMFs to choose to locate in Imperial County.

D. Government Code Section 5l298 provides such an incentive program through the temporary rebating of real and personal property taxes.

(Ord. 1320 § 1 (part), 2000: prior code § 64200)

A. Any proponent of a request for payments of capital investment incentive amounts shall make written application as required herein. A written application shall provide all information required by this chapter.

B. An application for payments of capital investment incentive amounts shall include all of the following:

1. A detailed description of the purpose and operation together with a complete set of drawings and specifications for the proposed QMF. If the proposed QMF is for the recovery of minerals from geothermal resources, then such description shall include a description of the proportional amount of the geothermal electric generating plant that is integral to the recovery process by providing electricity to it;

2. A map showing the location of the qualified manufacturing facility, including a list of all assessor parcels, together with a set of assessor plats showing such assessor parcels, proposed for inclusion into the community services agreement;

3. Documents evidencing that the proponent meets the statutory requirements of a proponent;

4. A resolution from the proponent providing the name(s), address(es) and telephone number(s) of the person(s) vested with the full authority of the proponent to bind the proponent with respect to all matters relating to the proponent's request for capital investment incentive amounts, including the authority to execute the community services agreement;

5. A detailed statement of the capital costs (qualifying initial investment) to be incurred in the construction of the QMF;

6. A list of all public entities and county agencies entitled to share in the real and/or personal property taxes to be derived from the QMF and a list of those public entities and county agencies from which tax abatement is sought;

7. A list of procedures to be used to maximize the purchase of goods and services from local vendors;

8. A detailed statement of the benefits, as well as the anticipated term such benefits are expected to be provided, to the county. In addition to an analysis of the proportionality of such benefits in comparison to the anticipated tax abatement, such statement shall also include:

a. An analysis of the effects on each fund that may be affected by a payment of a capital investment incentive amount together with a summary of measures to address such effects,

b. An analysis of the proportional share of the benefits to each fund that may be affected by a payment of a capital investment incentive amount, and

c. A demonstration that the benefits to be derived will continue beyond the term of the tax abatement;

9. A proposed job creation plan identifying:

a. The number of jobs to be created,

b. The type/category of each job to be created,

c. The proposed compensation ranges to be paid for each job type/category to be created,

d. The most recently posted state average weekly wage for each job type/category to be created,

e. The name, address, telephone number and contact person for the health benefit plan covering the employees of at the QMF, and

f. Procedures to be used to maximize hiring from local work force;

10. A list of entitlements required for the construction and operation of the QMF;

11. A list of all federal, state and local entities having jurisdiction over the construction and operation of the QMF;

12. A certified copy of the compliance certification by the Trade and Commerce Agency approving the qualification of the facility as a QMF;

13. Such other information deemed necessary by the county for the proper processing of the application.

(Ord. 1320 § 1 (part), 2000: prior code § 64201)

(Ord. No. 1520, § 4, 10-24-17)

A. The proponent of a request for capital investment incentive amounts shall enter into a community services agreement.

B. Any community services agreement shall incorporate by reference the terms and requirements of Government Code Section 51298 and any amendments thereto, this chapter and the application submitted pursuant to this chapter.

C. No amendment or modification to a community services agreement shall be valid unless made in writing and approved by the county and the proponent.

(Ord. 1320 § 1 (part), 2000: prior code § 64202)

On or before April 1st of each year, the proponent of a request for capital investment incentive amounts shall submit to the county executive officer a written report for the immediately preceding year containing all of the following:

A. A certification of compliance with all laws and regulations pertaining to a capital investment incentive program;

B. A certification of compliance with the terms and conditions of the community services agreement, including the job creation plan and the employer sponsored health benefits plan;

C. A certification of compliance with the terms and conditions of all entitlements pertaining to the QMF;

D. A detailed statement analyzing the realization of the benefits to the county described in the application;

E. A summary statement of the status of construction and/or operation of the QMF and an assessment of its continued viability;

F. A detailed statement of actual capital costs attributable to the QMF;

G. A summary statement of expenditures, exclusive of capital cost expenditures, for goods and services purchased during the year reviewed, including the percentage amount of such purchases from vendors within the county;

H. A summary statement of the number of people hired, and the job type/category of each person hired, including a percentage allocation of such hiring from within the county;

I. With respect to the first annual review only, a complete set of as-built drawings of the QMF or in lieu thereof a statement of lodgment identifying the county agency where such drawings are located. With respect to any subsequent annual review, as-built drawings showing any changes to the QMF made during the review period or in lieu thereof a statement of lodgment identifying the county agency where such drawings are located.

(Ord. 1320 § 1 (part), 2000: prior code § 64203)

A. Default by Proponent.

1. If at any time the proponent fails to comply with the requirements of the capital investment incentive program statute, the requirements of this chapter or the terms and conditions of the community services agreement, the county executive officer shall give notice of noncompliance, and the basis thereof, to the person(s) designated in the application of the nature of the noncompliance.

2. The proponent shall have ten (10) working days in which to respond to such notice by either contesting the matters contained therein or commencing, and thereafter diligently prosecuting, such actions necessary to cure such noncompliance.

3. If proponent contests such notice, proponent shall provide the county executive officer with a detailed written response providing all information upon which proponent bases its contest, within the ten working days set out in subsection (A)(2) of this section.

4. Upon receipt of proponent's notice of contest, the county executive officer shall propose at least two dates within the next succeeding fifteen (15) working days for the purpose of meeting with proponent and resolving the matter.

5. If the county executive officer and the proponent are unable to resolve the matter to the mutual satisfaction of both the county executive officer and the proponent within twenty (20) working days after the meeting set out in subsection (A)(4) of this section, then, upon the written request of the proponent, the matter shall be placed on the agenda of the board of supervisors within ten (10) working days of receipt by the county executive officer of such request.

6. No less than five working days prior to the date the matter is to be heard by the board of supervisors, the proponent and county executive officer shall exchange all written information not previously exchanged. No written information shall be allowed into the record of the proceedings that has not been exchanged pursuant to this requirement.

7. The decision of the board of supervisors on the matter shall be final.

B. Default by County.

1. If at any time the county fails to comply with the requirements of the capital investment incentive program statute, the requirements of this chapter or the terms and conditions of the community services agreement, the proponent shall give notice of noncompliance, and the basis thereof, to the county executive officer.

2. Upon receipt of proponent's notice of noncompliance, the county executive officer shall propose at least two dates within the next succeeding ten (10) working days for the purpose of meeting with proponent and resolving the matter.

3. If the county executive officer and the proponent are unable to resolve the matter to the mutual satisfaction of both the county executive officer and the proponent then, upon the written request of the proponent, the matter shall be placed on the agenda of the board of supervisors within ten (10) working days of receipt by the county executive officer of such request.

4. No less than five working days prior to the date the matter is to be heard by the board of supervisors, the proponent and county executive officer shall exchange all written information not previously exchanged. No written information shall be allowed into the record of the proceedings that has not been exchanged pursuant to this requirement.

5. The decision of the board of supervisors on the matter shall be final.

(Ord. 1320 § 1 (part), 2000: prior code § 64204)

A. A proponent shall provide thirty days advance written notice to county of intent to transfer any interest in a QMF.

B. No rights, obligations or benefits conferred or bestowed upon the proponent may be sold, assigned or otherwise transferred, in whole or in part, unless:

1. Such transfer is done in conjunction with a transfer of a like interest in the ownership of the QMF; and

2. The transferor is not in default with respect to any provision of the community services agreement or in violation of any law or regulation or entitlement pertaining to the QMF. It is not the intent of this provision to expand or limit in any way the jurisdiction of the county.

C. Notwithstanding the foregoing, subsection B this section shall not apply to any transfer of interest to any division, subsidiary or affiliate which is fifty percent (50%) or more owned by the proponent.

D. Any transfer, other than a transfer under subsection B of this section, shall terminate the community services agreement as to the interest transferred. The county shall have the right, but not the obligation, upon such terms it deems appropriate, to continue the community services agreement with the transferee.

(Ord. 1320 § 1 (part), 2000: prior code § 64205)