Broward County Commission Regular Meeting
Director's Name: Sandy-Michael McDonald
Department: Economic and Small Business Development
Information
Requested Action
title
A. MOTION TO ADOPT Resolution approving Project Sawgrass for a Broward County Strategic Job Creation Incentive pursuant to Section 9½-52, Broward County Code of Ordinances, in the total amount of $61,600 for Fiscal Years 2025 through 2031, based on the creation of 88 new, high wage/high skill jobs.
ACTION: (T-10:40 AM) Approved Resolution No. 2024-319.
VOTE: 9-0.
B. MOTION TO AUTHORIZE County Administrator to execute all necessary documents, including agreements and associated amendments, to effectuate and administer Project Sawgrass’s participation in the Broward County Strategic Job Creation Incentive Program, including to approve any changes to the job creation schedule for Project Sawgrass, subject to review for legal sufficiency by the Office of the County Attorney and provided there is no increase in the County’s total financial commitment.
ACTION: (T-10:40 AM) Approved.
VOTE: 9-0.
body
Why Action is Necessary
A. Board approval is required for participation in any County economic incentive program.
B. Board approval is required to authorize the County Administrator to execute any documents necessary to implement and administer the approved economic development incentives.
What Action Accomplishes
A. This action will allow OESBD to offer economic incentives to Project Sawgrass to facilitate its expansion in Broward County.
B. This action authorizes the County Administrator to execute all the necessary documents to effectuate and administer Project Sawgrass ’s participation in the Broward County Strategic Job Creation Incentive Program.
Goal Related Icon(s)
☒County Commission
☐Go Green
☐MAP Broward
Previous Action Taken
None.
Summary Explanation/Background
THE OFFICE OF ECONOMIC AND SMALL BUSINESS DEVELOPMENT RECOMMENDS APPROVAL OF THE ABOVE MOTIONS.
This item supports the Board of County Commissioners Goal of “Ensuring economic opportunities and a sustainable economy, with an emphasis on Broward’s lower and middle class.”
Project Sawgrass is an international aviation company (aftermarket part servicing) that focuses on maintenance, repair, and overhaul of complex aviation and aerospace sub-systems and components. The company is currently located in California and North Carolina and is considering expanding its current operations into Broward County by locating a regional headquarters in the City of Miramar, Florida. The project would result in the creation of 88 new high-wage/high-skill jobs in the City of Miramar, Florida. Locations in North Carolina and Miami-Dade County are also under consideration for this project.
If Project Sawgrass chooses to locate its facility in the City of Miramar, an additional $218,299 in taxable value would be added to the Broward County tax roll. The new job average annual wage would be $75,993. This average wage amount equals 115% of the average annual wage in Broward County. The new job median wage would be $75,993.
The Strategic Job Creation Incentive Program is available for companies, on a performance-driven basis, that create high-wage jobs in targeted, high value-added industries. As an approved participant in the Strategic Job Creation Incentive Program, Project Sawgrass will continue to provide target industry services to meet growing industry demand. As a regional headquarters of an aviation/aerospace company, Project Sawgrass is part of a Broward County targeted industry group and meets the County’s targeted industry strategy.
In an effort to ensure inclusion of Broward County’s certified small businesses in opportunities that may be created as a result of this project, the Alliance has committed to: 1) distributing information on the County’s small business program to Project Sawgrass; 2) providing Project Sawgrass with information on accessing the County’s small business database; 3) assessing the needs of Project Sawgrass as the project develops; and 4) communicating to OESBD any potential opportunities for County-certified small businesses to meet those needs.
The accompanying Tax Revenue/Incentive Payout Analysis memorandum and spreadsheet (Exhibit 2) indicates that the anticipated tax revenue generated from the project meets Broward County’s threshold for positive net return, based on the creation of 88 new, high-wage/high-skill jobs with an average annual wage of 115% of the average annual wage in Broward County, a total capital investment of $10,000,000, new taxable value of $218,299, and a positive net return on investment of approximately 65%. Therefore, approval is recommended.
All recommended incentives are pay-for-performance incentives calculated on the basis of $700 per qualifying job created, with the City of Miramar committing to appropriate an additional $300 per qualifying job created.
Based on the creation of 88 high-wage/high-skill jobs, the total proposed incentive amount is as follows:
Strategic Job Creation Incentive - County - $61,600
Strategic Job Creation Incentive - City of Miramar - $26,400
Source of Additional Information
Sandy-Michael McDonald, Director OESBD, (954) 357-6400.
Fiscal Impact
Fiscal Impact/Cost Summary
The total cost to Broward County would not exceed $61,600 (calculated at $700 per qualifying job). Incentive payments would be paid from the County’s General Fund and correlate to revenues generated by Project Sawgrass’ expansion in Broward County.