SUBJECT
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APPROVE Resolution and First Amendment to Performance Agreement to amend Exemption Period of Economic Development Ad Valorem Tax Exemption for Banana George, LLC. (No fiscal impact)
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DESCRIPTION
On January 17, 2023, the Board adopted Ordinance No. 2023-010 establishing an exemption from certain ad valorem taxation for a new business, Banana George, LLC, in Polk County. The County and the company also entered into a related Ad Valorem Tax Exemption Performance Agreement on the same date to ensure the company’s fulfillment of its obligations under the Ordinance. The Exemption Period, as defined in both the Ordinance and the Performance Agreement, was to run for ten (10) years, from Tax Year 2026 through Tax Year 2035.
Due to unforeseen circumstances and complexities of the development process, the company does not anticipate completing its real property improvements and equipment purchases until the end of 2027. Accordingly, Banana George has requested that its Exemption Period be rolled forward by two (2) years, to commence in Tax Year 2028 and run through Tax Year 2037.
Pursuant to Resolution 2022-128, the Board has sole discretion whether to grant a one-time request of a Qualified Business to modify the start date of its Exemption Period. If granted, such modification may be approved by Board resolution.
RECOMMENDATION
(1) Adopt resolution amending the Exemption Period for Banana George in connection with its Ad Valorem Tax Exemption under Ordinance 2023-010; and (2) approve, and authorize the Chair to execute, the related first amendment to the performance agreement between the parties.
FISCAL IMPACT
None.
CONTACT INFORMATION
Sandra Howard, Deputy County Attorney
863-534-6437