News Alert: Needles, CA: Needles City Council will be reviewing on Tuesday the Economic Development Program funded by 10% of tax revenues received from cannabis businesses.

By: Zachary Lopez (ZachNews):

Source: City of Needles (Information):

Needles, California: Members of the Needles City Council will be reviewing on Tuesday the Economic Development Program funded by 10% of tax revenues received from cannabis businesses during their upcoming regular meeting being held at 6:00 p.m. PT on Tuesday, October 26th, 2021 inside the Needles City Council Chambers located at 1111 Bailey Avenue near J Street.

According to documents from the City of Needles, 0n October 12, 2021 the City Council reviewed the Economic Development Program and provided the following recommended changes to the Program:

  • Incentives or grants from the Economic Development Fund may be requested by any homebuilder, business or person proposing to open a new non-cannabis business or significantly expand an existing non-cannabis business with a physical location in the City. The incentive/grant will stay with the project;
  • For businesses to be eligible to apply for an incentive or grant, the proposed new or expanded business must create two new sustainable full-time positions located in the City of Needles and will provide a description of the jobs in the application;
  • For individual homebuilders to be eligible to apply for an incentive or grant, the construction of a new home must be within the City of Needles, be their permanent residence, and must live in the home for 5 years after it receives a Certificate of Occupancy;
  • For homebuilder developers to be eligible to apply for an incentive or grant, the developer must construct 2 or more homes within the City of Needles;
  • A minimum private investment of at least twice the amount of the requested incentive or grant. The incentive or grant will expire after a period of 12 months or at the expiration of the entitlement issued for the project;
  • A business must allow public access; and
  • Prior to the awarding of the incentive or grant, the applicant must enter into a contract with the City in form and substance acceptable to and approved by the City Council;
  • Incentive or grant will not be eligible for preliminary planning, engineering, or advertising activities and will only be eligible for projects with an entitlement (Zoning Permit, Special Use or Conditional Use Permit, Developer Agreement) and/or building permit;
  • Incentive or grant will be paid after entire project is completed and a Certificate of Occupancy is issued;

To-date the Economic Development Fund has allocated a total of $343,567:

  • December 10, 2019, Greens Needles LLC (Hampton) $104,543
  • September 22, 2020, Water asset replacement transfer $200,000
  • September 22, 2020, Scott Goodman remodel Chevron $4,524
  • March 8, 2021, Greg Yeager remodel The Filter Change $10,000
  • April 12, 2021, Needles Marina Resort $24,500

As for the fiscal impact, the City of Needles said in the documents that since the establishment of the Economic Development Program in 2019, there has been a total of $830,985 collected from the ten (10) percent of tax revenues received from cannabis businesses.

The recommended action to members of the Needles City Council is to provide direction to staff.

*** Agenda Packet for Agenda Item #12 (Unless otherwise noted, all downloadable agenda packets that are posted here are in a PDF file format so please make sure to have a PDF file reader or viewer): ***

cc-12-102621-econ dev program

The regular meeting of the Needles City Council will be broadcasted live at ZachNews on Facebook:

https://www.facebook.com/ZachNews/

For more information, please contact Dale Jones, City Clerk at the City of Needles at: 1 (760) 326-2113.

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