Economic Incentive Agreement – VantagePoint AI, LLC, March Street, LLC, & 2319 Oak Myrtle Lane, LLC – Job Creation and Economic Incentives - $331,047.00

1:21:15to someone. This clock is an hour off. It's been throwing me off. Then I have to remember. Um, but it says it's twelve twenty two and it's eleven twenty two. Okay, so we are on to R fifty five.

1:21:29Good morning, David Engel, Planning and Economic Development Director. Today I'm very happy to present to you a economic incentive agreement It's uh it's always a happy experience to bring these projects to the board, but this is extra special because Vantage Point AI is an existing business in Pasco County. They've been here for decades, and as well as a happy opportunity to present an agenda item, it's also a celebratory agenda item. So I'm gonna go through the uh

1:21:59project very quickly, outline the economic Incentives that we are proposing for the project. Then Turner Arbor of the Pasco Economic Development Council will speak giving you some history regarding the project. And Mr. Lane Mendelson, the president and CEO of Vantage Point AI, will be wrapping up to answer questions and just give you a little bit of history on the business. The property in question is located in Wesley Chapel. It's just due east of I-75 in a business area. And

1:22:30uh Fanish Point AI is purchasing this building and going to renovate it and inside and create an opportunity here for um 60 new full-time jobs coming in into this uh facility. This those jobs will be high paying at 150% of the average uh Pasco average wage. And uh the total employment, that's the direct of the 60 people, is direct, indirect is business

1:23:00to business, induced is um businesses have to expand when demand is expanding here in the county. It totals 85 jobs uh here in the county. The annual contribution to the gross county product, this will be every year once it's built out. twenty-three point four million dollars to our local economy. And this is a very standardized economic incentive deal, $331,047 total. The predominant

1:23:31amount of the incentive will be $240,000 for the four-year payout of the job creation incentive. And mind I add that all of these incentives are maximums and are all performance-based. You have to produce the jobs, show us the W. and we pay out twenty-five percent a year for four years. Because it is a enormous uh high-paying opportunity here for the county, we're giving a high impact fee bonus of $61,047. That's

1:24:01a break on the ad valorem taxes, paid out over 10 years, 50% of the ad valorem rebate in years one through five, and then 25% six through ten. And lastly, we have a A $30,000 max grant training incentive to allow these new employees to be in uh brought in here and um and trained properly. This is a target industry, it's a um it's a software service.

1:24:32They have um uh market capital market forecasting algorithms and artificial intelligence which they train people to use and benefit for for for their businesses and portfolios. So I'd like to introduce uh Pasco EDC, Mr. Arbor.

1:24:55Good morning, Commissioners, Chair, Turner Rupert of Pasco EDC. It's great to be with you on this uh Wednesday morning, uh cold Wednesday morning. Uh Bandage Point AI is exactly the kind of project that Pasco County uh sets out to attract in our high industry or high technology industries. And most people don't know that we have quite a few high-tech companies here in Pasco, and we're excited to highlight one today. This company is investing over $4 million in purchasing and renovating a 10,000 square foot building in Wesley Chapel, and they're going to create 60

1:25:25new jobs over the next three years in disciplines like AI programming, customer support in AI, and in the finance industry. While artificial intelligence is often viewed as replacing jobs, this is a great example of a company that's creating jobs through AI. So we're really excited to see that. And technology is something that flows throughout all of our target industries, so that we're gonna hopefully have more companies like this in the future. And this is a great testament to Pasco County's environment for these companies to grow

1:25:55and expand, and helps us on the front of recruiting more companies like this. like this to the region, hopefully not your competitors, but others in the same industry.

1:26:05We're really excited for the project. They've already begun to hire some of the jobs. And with that, I'd like to bring up Lane to talk a little bit about the company, multi-generational company here in Pasco County.

1:26:19Right turn, right?

1:26:23Good morning everybody. Um we're really glad to be here. This is a very exciting time because we're growing and uh growth can be sometimes a little uh Scary when you're stepping out doing something new and expanding. We're also at the same time as we're growing, we're really making a push towards having in-office staff again.

1:26:43Yeah, because

1:26:44yeah, we're we're doing it in a little bit of a unique way. We're not requiring anybody who's remote. We do have quite a few people remote. None of them are gonna be required to come in office. So we're saying, hey, if you're if you're productive and you're doing well in your remote position. We're gonna allow you to stay remote, but we're going to start hiring in office. And it's just we found it to be better from a teamwork perspective, from communication perspective, accountability, and that is part of our growth plan. So part of it is growing the numbers, but also growing

1:27:14the numbers in an environment where we can all collaborate and have better teamwork and communication. I want to start by By saying that uh thank you to my dad. My dad is here. Um if it wasn't for him I literally would not be here today. So thank you for for For everything, for being a great father. And uh he's taught me a lot about business. He's taught me a lot about integrity, a lot about how to communicate with people and have good relationships with people. And uh and that's what I I've learned and I'm passing on to my daughters

1:27:44as well. Um and thank you for um having the the the insight and the foresight and the innovation to start a a software company in nineteen seventy nine. Um I wasn't around in nineteen seventy nine, I was b I came on the scene in nineteen eighty. But my dad said that when he told his father in law, my grandfather, Yeah, I'm gonna start a software company. I'm gonna leave my job as a hospital administrator and I'm gonna start a software company My grandfather said, um, nobody has computers. Who is going to want your software? And

1:28:15uh my father said, they will, they will come, you'll see. And uh and we we can see how things have progressed. So uh over the past 46 years that we've had the the family business, uh we've been here in Pasco since 1987. And you can imagine as as running a family business, there's ups, there's downs, not always easy, but um we've persevered and um We I think are in the best position now, more so than ever. We've learned so much about how to operate in different environments and different generations of

1:28:45of of of employment and staffing and with technology and like Turner said, we are not using AI to replace people. We're using AI to take people who are talented and help them to better leverage their talent. And I think that's going to be another key to our growth. So I'm very excited about that. I want to thank uh Mr. Mike Corbala. When I reached out to him and said we want to grow and we, you know, want to see what we can do to grow in Pasco. He was kind enough to direct me over to David Ingall, who was uh very helpful and put me in

1:29:15touch with Turner. And Turner and and Bill Cronin did a great job helping to package everything up and helping uh me to Communicate to them what our growth strategy and growth plans are and get us to this point. And I just want to say thank you to all of you for your support of me personally and my family and our business and also to all of you. I know all of you and I appreciate all of you and thank you for what you do, not just for me, my family, for our business, but for all the things that

1:29:45you do in the county. Very proud to be here. I love being here. Um moved here when I was seven. First thing I did when it was time for me to move out of my mom and dad's house, I bought the property behind them. And um and I have enough property around me now that I would love it if both of my daughters would say, Dad, I'd love to live right there, right near you. And and I think I think the plan is working. I think we're there. Um, you know, 15 and 12, they're not making those. decisions yet but they're they're definitely talking about the future and being here

1:30:15and being productive members uh here in Pasco County and uh and I assure you that Um as our company continues to grow and flourish, we'll continue our charitable giving and continue to invest back in the community that has invested in us. And um I don't take Any of this that uh that is that has been put together, I don't take any of this for granted. Uh I take it very seriously. I know it's a responsibility that I have to lead and grow the company, and I don't take that lightly, and I will give 110%

1:30:46to make sure that we not only hit these numbers of growth and and help to employ people at these higher levels uh of salary, but but even exceed that. So thank you so much.

1:30:57Thank you. Yes, Commissioner. Okay.

1:31:00I've known Lane for a long time. I um I think the first time I ever ran for election I Lane had me come to his office there on uh Fasco Road and I I spoke to his employees there. That was pretty exciting for me. But we've been friends forever s ever since and family friends. Uh been out to dinner, celebrate a lot of different things. Celebrated his kids doing a lot of different things 'cause one of I think Rachel had her had a steer and I happened to buy that steer last year. That's

1:31:30right. So uh his name was Johnny Cash. I can eat the steaks but my wife can't 'cause it had a name. So Um but the fact of it is is a lot of different things they're involved in really are things that children aren't to grow up in and Abbeys especially all the Abbey's done with the two good souls, the monies that have come from that through through his children and through his family of all they're doing, working with the county and citizens of the county to

1:32:00to make things better and also to bring up young young future adults and citizens that will care about the county and the citizens in this county and and those two girls will really go a long ways because they're they certainly appreciate all that they've been able to do. So we're very thankful for all that you do.

1:32:21Thank you.

1:32:21Mr

1:32:22Wayton what's what's this year's steer's name? Uh

1:32:26Toby Beef.

1:32:27Toby Beef. Tob Toby Beef. He's his name all day comes from January, February time frame. No, that's something we talked with Mike Brawley yesterday and whenever we s you know we see these uh we have these votes from time to time, uh the conversation came up that Out of out of all the all the the projects that have been approved, the return on investment with you all is probably What would you say, Turner? Best

1:32:58best out there?

1:32:59I know the organization previous years was about two hundred and forty to one.

1:33:04So

1:33:04from the organization standpoint included.

1:33:05So yeah, and it just shows and it's not just not just with your with your business acumen but but what you guys do, you know, with your philanthropy and and just giving back and all in your all-in investment. from family to your business to helping others in need throughout our our county and um just makes me very proud and honored to know you all and watch your girls grow up and see what they're involved in and hopefully have uh a couple of young girls that you know Jamie will be eight Thanksgiving. somebody

1:33:36to look up to as she continues to to grow and and and be involved in our community. So very glad that you all here today. Thank you for your continued investment and your growth here in the county and we're proud to help you where we can.

1:33:49Thank you. Good, Commissioner.

1:33:51Yeah, I wanna say just I I've been on your calls with your staff and just shout out to your staff that obviously it starts at the top, but with your leadership, how excited they are to get back. And that is just like I said comes comes from you guys and um we are blessed to have you in our community and our community looks different because you guys are in it. So thank you so much for everything. I look forward to working with you on Grace's Food Pantry this next quarter. I'm very, very excited. So great

1:34:21job.

1:34:22Thank you. Thank you. I would say Mr. Mendelssohn, you did a great job raising a great son. Who was raising a great family, you mean Mandy and the girls, what you got going on is just amazing. It's a it's storybooks as as as great as it is. So thanks for what you do on that end. And all the all you do with good souls and all your other things to help out the community. We greatly appreciate it. You're always always giving back, look into what you can do to better the community and you're teaching your girls along the way to do the same, which is phenomenal. So I know you I know they're gonna do great. Um Just like to highlight for the board.

1:34:52This company is phenomenal. And COVID affected him dramatically. The building he had on Old Pasco Road, all of a sudden the people didn't want to come in. uh didn't want to come back in obviously with COVID they couldn't didn't want to come back in ends up having a great situation financially to have someone else take over the building. But then he's looking to op come back in, he can't find a place nearby. Like he wanted to be in the same area. Like we looked at that place out Overpass Road and Old Pasco, we said there's office space there. And I was telling you guys

1:35:22that there's people out there and told the developer that people need fee simple office space that they can go invest in and bring the company in. They don't want to just come in and rent from somebody and do something. So I'm gonna tell you what he had to go through to get to this building shouldn't have happened in a sense. We've got to make sure we get a little bit of a good thing. keep on wush helping gentlemen like this to have opportunities to be able to land their business where they want to land it and not just convert things to apartments because we're getting pressure or other things that you know would go on. We need to make sure with

1:35:52these office things come in because this target industry, as Commissioner Weightman was just mentioning, it sets up a base for economics where you get the core, you get the high income people coming in, and that leads to other great All around between demographics of homes they can buy and want to buy, between businesses who want to locate here and help this kind of grow in a strong way. And that's been uh something I've been proud of to that we've great work we've done, but there's more we can do because right now, with what you just went through, shouldn't have happened. We should have had some more space available. So I think we keep that focused

1:36:23that the opportunities are there. Don't listen to developers looking trying to make the quick buck. We get to help guys like this. Guy and the great companies get going on. So I'm I'm very excited that this is coming forward. Uh I think it's gonna be great that you're gonna bring people in and you're gonna you're gonna actually double the size of your business in a sense because you get the people gonna still work remote, but now you get people coming in too. And again, I think it's it's kind of like helping you, almost like they cut the head of the snake too, come back. Well, that's what that's what's going on here. So I think what you're gonna do is gonna be phenomenal. I I have no doubt you're going to meet the

1:36:53expectations here, and you'll probably look for another building. So good luck and thank you for being in Pasco County. You're a great man.

1:36:59Thank you.

1:37:00Well uh I'm gonna say I think I was the first commissioner to meet you. Do you think? Because it would've been before Oakley. I know it was before Oakley. But he was been here longer than me. But I think you called me and said, Hey, I'm a friend of Will Weatherford's. I need to talk to you and want you to come to my business. I And um anyway. Then we did

1:37:18the commi the commissioner's baby shower.

1:37:20Yes, and you did the com Commissioner's baby shower for a number of years at our at our market where we we raised uh uh money and um supplies for the um Sunshine group that works with foster kids and uh you know when they were taken out of their homes lots of times the foster parents didn't have any supplies to take care of these babies so we we were helping them. Um well I I can't say anything more than my fellow commissioners have said. I think you set the bar for how to help your community to be a better Place

1:37:51and um generationally I'm excited to watch your family. Um you've done you've just you're just the shining star really. You are you have set the example for others to follow, and it'll be hard to follow in your family's footsteps. So I'm excited for you and um let's take a motion and get this project going.

1:38:13So um ma'am just looked housekeeping the Office of Economic Uh Growth recommends approval of this economic incentive We do

1:38:23too. Okay, we had a motion and a second. So all in favor? Aye. Opposed. Nay. No no pressure. No nays. No pressure. Um so great job. Congratulations.

1:38:34Thank thank you all.

1:38:36Okay, no I'm gonna keep moving 'cause we're we're we're going late here. Uh share. Yeah.

1:38:40I'd like to take

1:38:40a

1:38:40picture.

1:38:43All right, we'll do a quick thing. This is a big deal. Down

1:39:20I wanted everyone's extra.

1:39:26Yeah, but

1:39:57Okay, let's go over this contract. Who's presenting? Mike?

1:40:03It's this afternoon. I think originally they wanted to hear this this afternoon. Yes, since uh the board would have to adopt the surcharges in order to