Title
A Resolution approving an Economic Development Agreement between the City Of Colorado Springs and Project Lightspeed
Presenter:
Jessie Kimber, Economic Development Officer
Shawna Lippert, Economic Development Manager
Body
Summary:
Project Lightspeed is a designer and manufacturer of custom electronic equipment. This has been a competitive project as the company was considering other U.S. locations for expansion. Project Lightspeed is a Primary Employer, as they generate more than 50% of their revenue from outside of El Paso County. Project Lightspeed plans to remodel a 15,000-20,000 square foot facility for design and manufacturing. Additionally, the company plans to hire 120 employees over the next eight years. With the creation of these new full-time jobs, Project Lightspeed plans to invest in business personal property, including furniture, fixtures, machinery, equipment, and construction materials for its facilities remodel. The Executive Branch is recommending that the City provide certain performance-based incentives for the company investment and job growth.
Background:
Project Lightspeed has investment plans for business personal property, construction materials, and job creation for its Colorado Springs facilities. The company estimates that it will invest $1.3 million in purchases of construction materials, furniture, fixtures, machinery, and equipment. The company expects to hire 120 new full-time employees over the next 8 years at an average wage of $68,500. The Executive Branch is recommending that the City enter into an Economic Development Agreement to provide certain performance-based incentives for the company to invest in business personal property, construction materials, and job creation. The proposed City incentives are:
Sales and Use Tax Rebate on Annual Purchases of Business Personal Property (50% of the City's 2% General Fund Rate, or a 1% Total Rebate).
Sales and Use Tax Rebate on Purchases of Construction Materi...
Click here for full text