HomeMy WebLinkAbout1198 Industrial Development Plan Yanfeng USA Automotive Trim SystemsBILL NO. 2013 -021
ORDINANCE NO. 1198
AN ORDINANCE APPROVING A PLAN FOR AN INDUSTRIAL DEVELOPMENT PROJECT
FOR YANFENG USA AUTOMOTIVE TRIM SYSTEMS, INC.
WHEREAS, the City of Riverside, Missouri, a fourth -class city and political subdivision of
the State of Missouri (the "City "), is authorized and empowered pursuant to the provisions of
Article VI, Section 27(b) of the Missouri Constitution, as amended, and Sections 100.010 through
100.200, inclusive, of the Revised Statutes of Missouri, as amended (RSMo) (collectively, the
"Act'), to purchase, construct, extend and improve certain projects (as defined in Section 100.010
RSMo) and to issue industrial development revenue bonds for the purpose of providing funds to
pay the costs of such projects and to lease or otherwise dispose of such projects to private
persons or corporations for manufacturing, commercial, warehousing and industrial development
purposes upon such terms and conditions as the City shall deem advisable; and
WHEREAS, Section 100.050 RSMo requires the City to prepare a plan in connection
with any industrial development project undertaken pursuant to the Act; and
WHEREAS, a Plan for an Industrial Development Project dated March 19, 2013 (the
"Plan ") for Yanfeng USA Automotive Trim Systems, Inc., a Michigan corporation (the
"Company "), was prepared and distributed to the taxing jurisdictions along with notice of a public
hearing to be held by the City on April 16, 2013; and
WHEREAS, on April 16, 2013 the public hearing on the Plan was held by the City; and
WHEREAS, the Board of Aldermen hereby finds and determines that it is desirable for
the improvement of the economic welfare and development of the City and within the public
purposes of the Act that the City approve the Plan pursuant to the Act; and
NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF ALDERMEN OF THE
CITY OF RIVERSIDE, MISSOURI, AS FOLLOWS:
SECTION 1 — APPROVAL OF THE PLAN. The Board of Aldermen hereby finds that:
(a) proper notice as required by the Act was properly given to all taxing jurisdictions regarding
the proposed Plan and (b) it has fairly and duly considered all comments submitted to the Board
of Aldermen regarding the proposed Plan. The Board of Aldermen hereby approve the Plan in
the form of Exhibit A attached hereto.
SECTION 2 - FURTHER AUTHORITY. The City shall, and the officials, agents and
employees of the City are hereby authorized to, take such further action, and execute such
other documents, certificates and instruments as may be necessary or desirable to carry out
and comply with the intent of this Ordinance.
SECTION 3 - EFFECTIVE DATE. This Ordinance shall be in full force and effect from
and after its passage and approval.
BE IT REMEMBERED that the above was read two times by heading only, passed and
approved by a majority of the Board of Aldermen and APPROVED by the Mayor of the City of
Riverside, Missouri, this 16th day of April, 2013.
ATTEST:
Robin Littrell, City Clerk
-2-
EXHIBIT A
-3-
RECEIVED
MAR 19 2013
BEFORE THE
BOARD OFALDERMEN
OF
5
CITY OF RIVERSIDE, MISSOURI
PLAN FOR AN INDUSTRIAL DEVELOPMENT PROJECT
FOR
YANFENG USAAUTOMOTTVE TRIM SYSTEMS, INC.
MARCH 19, 2013
PLAN FORAN INDUSTRIALDEVELOPMENT PROJECT FOR
VANFENG USAAUTOMOTIVE TRIM SYSTEMS, INC.
TO: BOARD OF ALDERMEN OF THE CITY OF RIVERSIDE, MISSOURI
Yanfeng USAAutomotive'IYim Systems Inc. (YF -USA), a Michigan corporation (the "Company ")
has proposed this plan for an industrial development project as described herein to City of Riverside,
Missouri (the "City"), for approval, to be carried out pursuant to Article Vl, Section 27(b) of the Missouri
Constitution, as amended, Sections 100.010 to 100.200, inclusive, of the Missouri Revised Statutes, as
amended, and in support of said application submits the following:
1. Description of the Project. The Project consists of acquiring, constructing, improving
purchasing, equipping and installing an approximately 260,000 square feet of industrial
building consisting of approximately 240,000 square feet of manufacturing space and
approximately 20,000 square feet of office space to be located on approximately 21.81 acres
generally located west ' Rf Mattox Road, south of 43 Street in the City of Riverside,
Missouri, for industrial development purposes (the "Project').
2. Estimate of the Cost of the Project The total aggregate cost of the Project is estimated to
be $52,0()0,000 (excluding infrastructure and site development costs).
3. Source of Funds to be Expended for the Protect The source of funds to be expended for
the Project will be the proceeds of $52,000,000 estimated aggregate principal amount of
Taxable Industrial Revenue Bonds (the `Bonds ") to be issued by the City for the Project.
4.
Disposed of by the City The land and building portion of the Project will be leased (with
an option to purchase) to the Company, its affiliate or an assignee. The personal property
portion of the Project will be leased (with an option to purchase) to the Company, its affiliate
or the Company's equipment lender. The lease payments collectively will equal the
principal and interest on the Bonds plus the payments in lieu of taxes. The Bonds will be
payable solely from the revenues derived by the City from the leases or other disposition of
the Project and the Bonds will not be an indebtedness or general obligation, debt or liability
of the City.
S. General Information Concerning the Company The Company is a Michigan
corporation. The principal business of the Company is the msnufact wing of automotive trim
systems.
6. Bond Purchase Arrangements. It is expected that the Company, an affiliate of the
Company or the Company's tender will purchase the Bonds.
7. Affected School District. Community College District. County and City The Park ]fill,
Missouri R -V School District, the Metropolitan Junior College District of Kansas City,
Platte County, Missouri and the City will be affected by the Project.
8. Equalized Assessed Valuation. The most recent equalized assessed valuation of all of the
real property to be included in the Project is $0 The ettimated total equalized assessed
valuation after construction of the Project for real property to be included in the Project is
$5,440,000 and for personal property is $11,655,000.
9. Co"eneflt Analysis. Attached hereto as Exhibit A is the cosNbenefit analysis on each
affected school district, Platte County, Missouri, the City and the other affected taxing
jurisdictions, which assumes no tax abatement for real property since the Company.will
make payments in lieu of taxes and such payments in lieu of taxes will be captured and
applied in accordance with the 1,385 Levee Redevelopment Plan thin 2029.
10. Payments in Lieu of Taxes. It is anticipated that the Company will make payments in lieu
of taxes for each year that any real property is owned by the City in amount equal to 100%
of the property taxes that otherwise would have been payable on such real property and such
payments in lieu of taxes will be captured and applied in accordance with the 1-385 Levee
Redevelopment Plan thm 2029.
It is anticipated that the Company or the lessee of the personal property will make payments
in lieu of taxes for each year that any personal property is owned by the City in an amount
equal to 25% of the property taxes that otherwise would have been payable on such personal
property.
11. Sales Tax Exemption on Construction Materials and Personal Property It is anticipated
that the construction materials used to construct the Project and personal property
constituting a part of the Project will be exempt from state and local sales taxes.
-2-
• rn;
City of Riverside, Missouri
(Yanfeng USA Automotive Trim Systems, Inc.)
COST BENEFIT ANALYSIS
PLAN FOR INDUSTRIAL DEVELOPMENT PROJECT
GILMOkEBELL
Table of Contents
I
Project Assumptions
1
11
'Summary of Tax Impact Analysis (Real & Personal Property)
2
III
Projected Tax Revenues Without Abatement (Real Property)
3 -4
IV
Projected Tax Abatement (Real Property)
5-6
V
Projected Tax Revenues Without Abatement (Personal Property)
7 -8
VI
Projected Tax Abatement (Personal Property)
9 -10
VII
Present Value of Abatement for Real & Personal Property
11
VIII
Projected PILOT Amount (Real and Personal Property)
12 -13
Qty ofRlrersld4 M4soarl
Yonfeng USA Automedw TrimAystem4 I=
Cost RenefltAnolysts 3494013
Project Assumptions
• Initial year taxes assessed
• Appraised value of commercial real property
Appraised value of personal property
• Bia annual growth rate of appraised value of commercial real property
Annual growth rate of appraised value of personal property
• Assessed value as a percentage of appraised value commercial real property
Assessed value as a percentage of appraised value personid property
• No abatement on commercial real property. Company will pay 100% PXOTs.
• Abatement period for personal property only
Percentage abatement for personal property
• Total abatement (Personal Property)
• Present Value toI2/ V2013of Personal Property Abatement
• Depreciation Schedule
Class Life
i
2
3
4
5
6
7
8
9
2014
$17,000,000
$35,000,000
2.0%
0.0%
32.0%
33.3°/
Years I - 10
75%
$ 2,007,131.36
$ 1,886,075.56
CW ofRiversidq Mtsaarl
Yagfeng USA Awomodve 3Yim Syram; lna
Cast Bmt#7IAaa(vSk -1- M912013
Summary of Tax Impact Analysts
(Real & Personal Property)
Tax
$9,086
$20,184
Revenue for
3,029
6,728
Real &
24,229
53,825
Personal
Value of
Revenue
Property
Abatement
Generated
Without
for Personal
from PILOT
Taxing Jurisdiction Abatement
Property
Paymen
State of Missouri
Platte County, Missouri
Health Center
Board of Services for the Developmentally Disabled
Clay Platte -Ray Mental Health
Mid - Continent Public Library District
Senior Citizens Services Fund
Park Hill R -V
Parkville Special Road District
Metropolitan Junior Cpllege District of K.C,
M&M Replacement Surcharge
$29,270
$9,086
$20,184
9,757
3,029
6,728
78,054
24,229
53,825
126,837
39,372
87,466
97,567
30,286
67,281
312,215
96,915
215,301
48,784
15,143
33,641
5,281, 607
1,639,462
. 3,642,145
254,163
78,895
175,268
227,820
70,717
157,102
205,8
-
2 05,870
$6,671,943
$2,007,131
$4,664,812
-Real and p« al pmpetyPU.oTe
City ofRiverdde, Mtuourl
Ywens USA,Intomodve Min 43tem8 Ina
Cosi DenepAna&Js
2- 31192613
0
W
R
W'
N �
G
ug x 9
A�
C
0
a
a
F
a
� gQ
Vr
r
HI N
N
� O
N
a
N
V1
64
O �
N
N
�g
N
G3
NBC N V OO�
M
CA
.+ d'n NOO MMO
69
N h M m� h n r h w h
.. vrv�ti
M
f9
M
6%
N �
O O O O p O 6 O M O M O
OOO �-+H NjO tf fy f�tl
0 0 0 0 0 0 o h o 0 0
o
M
N
R
C
w
C
a+
O
A
ai
h
R _
P1
C-1
h M — N W M 0 0% 0\ w
�0 00 Vl W lT h <�1 � Q
ti H h �O W Ca o�
M
!A
C ( M q r N 0 F r' 0 0 0 W
t
.+ •er h v� ao N .. -i. ti N
� m
p M n w O 1� r W O M W O n V
fA H
A8l 008800 M "M�
f W O O C) O G O O 6 0 0 6
O
0
�oa�E
gM
l� Vf h �f t� N 00 h 00 M V1
V1
«1
cM
a
cs
•n
'
pp
M
'tl
G9
G9
N
R
C
w
C
a+
O
A
ai
h
R _
P1
C-1
h M — N W M 0 0% 0\ w
�0 00 Vl W lT h <�1 � Q
ti H h �O W Ca o�
M
!A
C ( M q r N 0 F r' 0 0 0 W
t
.+ •er h v� ao N .. -i. ti N
� m
p M n w O 1� r W O M W O n V
fA H
A8l 008800 M "M�
f W O O C) O G O O 6 0 0 6
O
0
�oa�E
gM
m
h
a
M
N
o . . . . . .
N
O.
b
h
GA 69 (A
O �
h
fA fA 69
kn
S O
c9 N ,
h
to 64 64
p . .
O
0
.n
si fn an
S S S S S S S M O M O n
O
a. 000ddodvi000 ,o
v
m
�w
N
0
8 4 F
h
19
y"
° a
be
e��
q �
6
H
� QQ
�i
O o
�o
0
0
e
cs
m
v
oo"
m
ao
vi
as
.. o
M O
e0
to
DD
ul
69 '
O
n
n
h
69
N e
l� 4
v
cs
�i
a
•° 1 1 � 1 1 1 � 1 1 1 1 1
F � v
b9 �K
i r 1 9. I i
69
N
T
N
fA
es
i r 1 9. I i
69
N
T
N
ey c5
1 9
• p, Cj
M � C
X11 �
°�
J � ° W
CIO
0
A
F
s ha,
a
fA
ey c5
1 9
• p, Cj
M � C
X11 �
°�
J � ° W
CIO
0
A
F
s ha,
a
r b .-• o vi .•� b r r o
nl K1
di 4i
e� Vf � 7 O� D\ � vi O b �'•�
�••� M b 7 � N 0 .Mi ti M T r .
N M Oy S,
d' •t
f9 69
q e�.� • v v c�o o
.+ N 00 b N M ter• . .�-i
M
M
M a0 N q r v w w
p v
O9 N V ti
as os
_ � � b O co N V N� .Q-i �• ti ff .
h
y p Vi 69 f9
Y �.
4 tl nN�MV C'i nk crl,b r r
N N O O
W f/! 69 69 1� it
C
0
a� g
qH 00000 K ' o
• oao�4�ovryc 'R vi
} y
W iy
o 5
v w V
b
AN Y
I
V
E
clr 'I M N d N N W O O
N
H
b
fA c9
pp p V'1 ti M� b M 00 p� M
!fil
V l I 44
Vi c9 f9
e
0
M W M O N h .y
g] 000.+. -iMO ry`c� fc M
w o000000vioo �o
1 II h
w�xtAf3a t n
�n
e
A
s
Mw
F 8
w
K H H
o,
H H H
1 � Ot Q
GD
H H H
O fV a fV
H H H
�S SSOSSSO�Ot�II �
000� °�ogry��
�H o000000v�oo .ri
B
w
A
a�a
■,
j�
!�
ƒ`
F4 k } § § §k }7§ §)
/( �� ( K§
q *c
}K § §-Cis � \\(
� ® /
V, §2 §R7` \((k§k
� ae /aaGRa -}
)
ƒ �
.f
a ,]
} ƒa
! 34§ %) \'�!
2k k)/! \;/!7 {/
\�
4
i
|�
|
f
% §!
$I|
M
h
O
P
M
W ,
q
o
o
wp ry
A
d ' M
o W
d
p M Vl M o0 M M O� 00 �O (V
o 00
r ad O O , O� O M �D O� Yl d' V' tl'
00 Vl M M fV e-�
� �nOM(Y S�OOnN
p O ti M ul n O M r O h N
[� J. W b V N o . rn w b W N 09
J. as a C . 000 00 w
W w o 0 0 oc c o 0 o c
H
0 C. 0 0 0 0 0 0 p 0G
n O 0b v1 c��O
o
W!. O
a"
�a
m ooqp 7 rn rn rn rn
0 0 0 0 0 0 0
Q N Q 0 N N H Q
p
ai
R,
F
O
n
4
Cl4 U°
C
8 0 8
as
PI
AI
b L- e -t r
r
hoo"b N M Vi��N
V1 M
V3 69 Vi
W O O h M
l l b O CC77 N O V N O� o� .� •7 O
N
69 69 of
N Vt 0 h N M 00 a
eq
cv vs �
00 a eyye� 00 ON
S:� -ESN N rhl.r OnIr ri �Or
N M
M H
Vi f9
mN1 h
V y'
hO
69 Vf 4Y
u O S O S S S O S M Q M S
Co
M M CO
W y O O O C+ 6 M O a 0 0 M
Y O G C C G O C h 0 0 0
iJ
U
0 0
u3 t
gN H w P, w cC
a
0
A
N
k
ti
aa t
D��
G
Y rQ
W
1 u
d P
y R
O S o N
ry
^
69 i9
M S S 41
00 t ti
w
� rl
V1 69
O O
w WY
CO
(9 69
l� ti
ti
H
` O
r-I
v1 N
69 iA
I�
P.
P4
0 0
4� FF
F q
a
N a0 b ti M b 'C O Oo
N 7�.• w N M
M 7
O S SSSS SS MO c n
y M^ 07 M O N Yl � b M b 00
0 0 0 0 0 0 0 VI 0 0 0 �C
pp 0
u
F
P 'T g RA w�k . S
N b h o b� a c h� O
W
q
b9
i9
M M M 60 O V1 ^ � O ryry
oobo N�
CO
ox
.
„�j,e
M
<1'
69
64
N^
� Q
�y
a b O� o � O V O V
h
V ao b ch
N
M
•
.�•. .
M
d'
og
N
.y69
M
�
H
69
p
. po
r-i h
b
p
00 �D w 0 V OCIL
M ^ ^ N
V
N a0 b ti M b 'C O Oo
N 7�.• w N M
M 7
O S SSSS SS MO c n
y M^ 07 M O N Yl � b M b 00
0 0 0 0 0 0 0 VI 0 0 0 �C
pp 0
u