Res 162-2017 12/5/2017Resolution No. _162-2017___
Resolution approving the programs and expenditures of the Wichita
Falls Economic Development Corporation (WFEDC) and amending
its budget to include up to $1,615,000 for Owens Corning Technical
Fabrics, to expand their technical fi berglass manufacturing process
in Wichita Falls
WHEREAS, Texas Local Gov’t. Code § 501.073(a) provides “The corporation's
authorizing unit will approve all programs and expenditures of a corporation and
annually review any financial state ments of the corporation”; and,
WHEREAS, on November 16, 2017, the WFEDC approved the Project listed
below and as stated in its agenda.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF WICHITA FALLS, TEXAS, THAT:
1. The Wichita Falls Economic Development Corporation’s approval and
funding of the following programs and expenditures as described below
and in said corporation’s agenda, are approved:
Owens Corning Technical Fabrics Project.
Forgivable Loan ($1,320,000). A $1,320,000, 0% interest,
forgivable loan for a period of ten years to assist with project . The
4A Corporation will require a first lien position on this equipment.
For each year that the company creates and maintains 90
employees (52 additional positions), the loan will be forgiven at the
rate of 10.00% per year. At the end of year ten, the company will
own the equipment outright. If the company is unable to create
and maintain the jobs specified, the amount of the loan not already
forgiven would be repayable to t he WFEDC.
Training Funds ($225,000). If training grant funds from the Texas
Workforce Commission for $1,200 per employee is not made by
Vernon College, or if the grant is not funded by the Texas
Workforce Commission, the WFEDC will provide this funding in an
amount up to $108,000. The WFEDC will commit an additional
$1,300 per employee to be trained in addition to the $1,200 per
employee outlined above for an additional amount of $117,000.
Total training funds for all 90 employees will be $225,000, which is
one-half of the training cost of $5,000 per employee. To qualify for
this incentive, new and retained employees must be trained on the
new equipment being transferred to Wichita Falls.
Purchase of 20 Acres of City-Owned Land ($70,000). The
preferable site includes 20 acres of City-owned land that is valued
at $70,000.
2. The current fiscal year budget of the WFEDC is amended to provide for the
aforementioned expenditures and changes thereto.
PASSED AND APPROVED this the 5th day of December, 2017.
______________________________
M A Y O R
ATTEST:
____________________
City Clerk