TOWN OF STOKESDALE COUNCIL MEETING 8325. Angel Parduel Road STOKESDALE, NC 27357 Executive Session June 21,2012  Anl Executive Session of the Stokesdale Town Council was held on Thursday, June 21, 2012 at the Town Hall at The following members of Council were present at the Executive Session: Mayor Randle L. Jones, Mickie Others present included: William B. Trevorrow, Town Attorney; Robin Rhyne, Greensboro Economic Development  8325 Angel Pardue. Road.  Halbrook, Randy Braswell, William Nolan (Bill). Jones, Jr., and] Frank Bruno. Alliance; and Carolyn Joyner, Town Clerk/Finance Officer. Mayor Jones opened the session at 7:36] pm. County except for High Point.  Ms. Robin Rhyne, Vice President, Greensboro Economic Development Alliance, addressed Council after being introduçed by Mayor Jones. She said that the Greensboro Economic Development Alliance serves all of Guilford She said that a company has requested some assistance from the town and the Chairman of the Guilford County Commissioners had asked that the Town be contacted as well. She said that she needs to get a sense of whether Council would consider taking this matter to aj public hearing. Noi incentive would be approved at this meeting and would not be approved until aj public hearing was held. Culp Home Furnishing employs 237 people now. here att the Stokesdale plant and their main focus is mattress coverings. They are considering adding a cut and sew operation to sew knit fabric into a cover with a: zipper that can be used on foam mattresses. This would involve an expansion of their facility. They have looked ati real estate within at thirty mile radius which included High Point, Stokesdale, and Henry County Virginia. They are considering the old) Lowes Home Distribution (Burlington Industries) building for an expansion of their business to include a cut and sew operation which would use about 70,000 square feet oft the building. They also found suitable real estate in Virginia. Virginia has put together cash and tax incentives totaling The cut and sew operation will create 129 jobs paying an average of $25,843 per year. According to Guilford County guidelines, at tax incentive would only be offered on jobs that pay 110% ofthe county average wage whichis is now: $40,196: so these jobs would pay less. Since the Town does not have an ad valorem tax, this expansion would be 856,000 in machinery and $75,000 in building improvements but this would not generate any revenue for the Town. The State of NC would give a One NC Fund Grant of $100,000 which would have to be matched locally. The County Commissioners would pay $82,560 in incentives leaving $17,440 needed to match the $100,000 grant which would be $135 per job created. Chairman Skip Alston asked that the Town be approached to see if they The grant would bej performance based with thej jobs remaining inj place for a certain period oft time. Ifthe company does not perform, they do not get thei incentive. Itis probatedi ifthey do1 notl keept thej jobs fort the specific amount of Shes said that Culp was candid in saying that they would like to remain in Stokesdale. There is a possibility that part or all of the operation could be moved to Virginia. They would have tol hire 25% oft the jobs before receiving any Ms. Rhyne said that she is staff at this point and will answer any questions or assist in making preparation for the public hearing. Mayor. Jones said that this is executive session and the information should bel kept confidential. Ms.  $460,000.  would be interested inj providing those funds.  time.  incentives.    Rhyne said that the decision tos stay here or move would be up to Culp's Board of] Directors. She said that good benefits for employees. She said that Council could advertise al Public Hearing with a ten day notice. Culp has Mayor. Jones said that a $17,000 investment would bring in 129. jobs that are needed and he would think aj Ms. Halbrook said that thej jobs are badly needed and ifit can be worked out, we should doi it. Bill Jones said that if there is a time constraint and the County Commissioners meet at the same time, a special meeting may be needed. Mr. Trevorrow said that it would be best to hold a public hearing at the Mr. Braswell said there are lots of reasons such as no taxes and I-73 being built that makes Stokesdale location for Culp and he does not think the owner will move. He also said that Pete Goria needs to lease a good his building. He also said that Guilford County should come up with the $17,000 andi not Stokesdale. He asked were any otheri incentives rather than cash that could be offered since the Town has cuti its budget. Ms. Rhyne said that aj public hearing would have to be held regardless oft the type ofi incentive and holding a public hearing does not mean that Council will givet them cash or any other incentive. She will provide the text for an ad.  hearing would be appropriate.  public  Council regular  meeting so that thej public could bei informed.  ifthere  The Executive Session returned to regular session at 8:05 pm.  Clerk  Cuerfners  Approved:  Aeyg  June 21,2 20121 Executive Session