By: Zachary Lopez (ZachNews):
Source: City of Needles (Information and Agenda Packet):
Needles, California: Members of the Needles City Council approved preparing a resolution modifying the Economic Development Program.
Live Broadcast By ZachNews (Skip to 59:12 for Agenda Item #12):
The vote occurred during the regular meeting of the Needles City Council and Needles Public Utility Authority that was held on Tuesday, October 26th, 2021, which you can watch at ZachNews on Facebook.
According to documents from the City of Needles, on 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): ***
During discussions, Needles City Manager Rick Daniels spoke about this agenda item, saying that this is putting all of the concepts previously discussed about the Economic Development Program during the last meeting and putting all those concepts into pacific words, and if the Needles City Council agrees with this, this will be the bases of a resolution that would be brought back to you at your next meeting; and then we will amend the application and amend the rules for this program accordingly.
Needles City Manager Rick Daniels then told members of the Needles City Council that there was one change or addition to the list; that during those previous discussions, there was a request to add facades.
After short discussion and debate members of the Needles City Council, and with no public input, the motion to approve was announced and members of the Needles City Council voted unanimously approving the drafting of a resolution modifying the rules of the Economic Development Program.
The resolution will be brought back to the Needles City Council after the resolution has been prepared, and the Needles City Council will then discuss and take action; this could happen at their next first meeting in November 2021.
For more information, please contact Dale Jones, City Clerk at the City of Needles at: 1 (760) 326-2113.