05-24-21 Regular Meeting of the La Porte Development Corporation Board

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REQUEST FOR LA PORTE DEVELOPMENT CORPORATION BOARD AGENDA ITEM Agenda Date Requested: May 24„ 2021 Requested By: Corby D. Alexander Department: Administration/CMO Report i' Resolution i' Ordinance Exhibits: New Amended Development Agreement, Redline New Amended Development Agreement, & Incentive Application Appropriation Source of Funds: Special Programs Account Number: 038-6030-565-9997 Amount Budgeted: $135,000 Amount Requested: N/A Budgeted Item: Yes ir' No SUMMARY & RECOMMENDATION The La Porte Development Corporation (LPDC) Board has approved an original and amended & restated development agreement related to the project at 100 W. Main Street. The applicant Marion (Marty) and Vicki Campise have purchased the Main Street bank building located at 100 W. Main Street.. The initial investment of the applicant was increased from $500,000 to $700,000, with the total investment of $850,000, including land and building at $150,000 and the total renovations. However, the development agreement states the applicant must invest a minimum of $650,000 exclusive of the cost to purchase the land and building. On February 24th, the LPDC Board discussed the project and approved to move forward with an incentive package for this project in an amount not to exceed of $85,000. The development original agreement provided the below benchmarks: • Total cash incentive of $85,000 with following payment schedule: two payments of $40,000 and $45,000 o First payment of $40,000, within 30 days of substantial completion of construction/ renovations. This payment is estimated to occur around January 2021. o Second payment of $45,000 when building is occupied with four (4) full- time jobs (confirmed by documentation from each business stating such). The applicant will be responsible for maintaining jobs 5 years after 2nd payment. This payment is estimated to occur around June 2021.