HomeMy WebLinkAbout04/28/2008 (2)INDEX TO MINUTES OF
BOARD OF COUNTY COMMISSIONERS
SPECIAL CALL MEETING
APRIL 28, 2008
1. CALL TO ORDER........................................................................1
2. INVOCATION...............................................................................1
3. PLEDGE OF ALLEGIANCE......................................................1
4. COUNTY ADMINISTRATOR MATTERS ..............................2
A. CL oSING FUND AGREEMENT WITH PIPER AIRCRAFT, INC .............................................. 2
5. DEPARTMENTAL MATTERS..................................................5
A. OFFICE OF MANAGEMENT AND B UDGET..................................................................... S
I. PIPER RETENTIONAGREEMENT................................................................................... S
MISCELLANEOUS B UDGET AMENDMENT 010........................................................................ S
6. ADJOURNMENT..........................................................................5
1
April 28, 2008
Special Call Meeting
April 28, 2008
BOARD OF COUNTY COMMISSIONERS
SPECIAL CALL MEETING
APRIL 28, 2008
The Board of County Commissioners of Indian River County, Florida, met in a
Special Session at the County Commission Chambers, 1801 27th St., Vero Beach, Florida, on
Monday, April 28, 2008, to discuss the proposed Closing Fund and Piper Retention Agreements
with Piper Aircraft, Inc. Present were Chairman Sandra L. Bowden, Commissioners Joseph E.
Flescher, Peter D. O'Bryan, and Gary C. Wheeler. Vice Chairman Wesley S. Davis was absent.
Also present were County Administrator Joseph A. Baird, County Attorney William G. Collins
II, and Deputy Clerk Maureen Gelfo.
1. CALL TO ORDER
Chairman Bowden called the meeting to order at 9:02 a.m.
2. INVOCATION
Vie-Clhairman Wes�° E. Davi y Commissioner Gary C. Wheeler delivered the
Invocation.
3. PLEDGE OF ALLEGIANCE
County Attorney William G. Collins II led the Pledge of Allegiance to the Flag.
April 28, 2008 1
4. COUNTY ADMINISTRATOR MATTERS
A. CLOSING FUND AGREEMENT wimPIPER AIRCRAFT, INC.
County Administrator Joseph Baird introduced this item, which purpose was to
help retain Piper in Indian River County. He invited County Budget Director Jason Brown to
outline the specifications of the Closing Fund Agreement with Piper Aircraft, Inc.
Budget Director Jason Brown, through a PowerPoint Presentation (copy on file),
outlined the Piper Agreement payment schedule, as follows: I st $4 million payment at
inception; 2nd $4 million payment by December 31, 2008; and 3rd $4 million payment by
December 31, 2009. He informed the Board that the term of the Agreement runs through
January 31, 2016.
Director Brown outlined the requirements with which Piper must comply to
receive the payments, as follows:
FIRST PAYMENT REQUIREMENTS:
• Public Announcement that Piper Aircraft will remain in Vero Beach
• Affidavit of 75 confirmed PiperJet orders, and deposits of $5 million
• Retention of 963 Full -Time Equivalent (FTE) jobs
• $15 million in product development in Indian River County
• Creation of 51 new Full Time Equivalent jobs - total 1,014
SECOND PAYMENT REQUIREMENTS:
• $10.7 million investment in capital equipment at Indian River County
facility
• Public announcement of proof of concept for PiperJet or alternate project
April 28, 2008 2
• Creation of 152 new Full -Time Equivalent jobs -total 1,166
• Commitment to invest $10.7 million in additional capital equipment
THIRD PAYMENT REQUIREMENTS:
• $21.3 million investment in capital equipment
• $20 million investment in product development
• Creation of 19 new Full -Time Equivalent jobs -total 1,185
Director Brown responded in the affirmative to Commissioner O'Bryan's inquiries
regarding whether staff was comfortable with the methodology used to define full-time
equivalent jobs and average wage calculations, and whether the job locations must be within
Indian River County.
Commissioner O'Bryan's query regarding a time delay between the submittal of
supporting documentation and the meeting of any performance requirements, was addressed by
Director Brown, Administrator Baird, and a representative from Duff and Phelps.
Commissioner O'Bryan received confirmation from Director Brown that if Piper
failed to meet 80% of the job creation requirement in one year, they would be penalized one-
seventh of the Closing Fund Award payments received, plus accrued interest. Director Brown
also confirmed that if this happened again the following year, Piper would be penalized another
one-seventh of the award payments.
Commissioner Flescher posed questions to Mr. Jim Bass, CEO of Piper Aircraft, of
whether Piper was comfortable with the specifications in the Closing Fund Agreement, and
regarding Piper's commitment to hiring people within the community.
April 28, 2008 3
Mr. Bass provided reassurance of Piper's ability to meet the County's
performance conditions. He declared that Piper would always try to recruit for job openings
locally first; if a need arises for some specialized or rare skill, it might become necessary to go to
a broader search. He emphasized that it was good business sense and good for the community to
obtain local talent.
MOTION WAS MADE by Commissioner Wheeler,
SECONDED by Chairman Bowden for discussion, to
accept the Piper Retention Agreement.
Chairman Bowden expressed her pleasure at seeing the agreement with Piper come
to fruition, and wished Piper well.
Commissioner Wheeler felt that Piper's presence in the community would make
for a brighter future. In light of some misunderstandings which have occurred in the community,
he affirmed that manufacturing companies and businesses like Piper help "pay the bills", so the
County can afford to hire public employees to provide the services needed by the community.
The Chairman CALLED THE QUESTION and the
Motion carried by a 4-0 vote (Vice Chairman Davis
absent). The Board approved the Closing Fund
Agreement with Piper Aircraft, Inc.
Clerk's Note: Vice Chairman Davis attempted to join the meeting via phone, but
was unable to secure a clear connection.
April 28, 2008 4
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Administrator Baird extended his thanks and appreciation to Piper Aircraft, the
Chambers of Commerce, the Municipalities, and the many people who have helped in the
process of retaining Piper in Indian River County.
AGREEMENT IS ON FILE IN THE OFFICE OF THE CLERK TO THE BOARD
5. DEPARTMENTAL MATTERS
A. OFFICE OF MANAGEMENT AND BUDGET
1. PIPER RETENTIONAGREEMENT
MISCELLANEO US B UDGET AMENDMENT 010
ON MOTION by Commissioner Wheeler, SECONDED
by Chairman Bowden, the Board, by a 4-0 vote (Vice
Chairman Davis absent) approved Resolution 2008-045,
amending the fiscal year 2007-2008 Budget.
6. ADJOURNMENT
There being no further business, on Motion duly made, seconded and carried, the
Board adjourned at 9:19 a.m.
ATTEST:
Jeffr�r arton, Clerk
JUN 0 3 2008
Minutes Approved:
BCC Special Call/MG/2008
Lwsxv--�
L. Bowden, Chairman
1K 135 M,908
April 28, 2008 5