Title
Mallard Creek Church Infrastructure Reimbursement Agreement
Action
Action:
Authorize the City Manager to negotiate and execute an infrastructure reimbursement agreement with Centene Management Company, LLC in an amount not to exceed $6,500,000 for municipal infrastructure improvements, which are expected to be reimbursed to the developer in two payments of $3 million and $3.5 million split between the 2022 and 2024 Bond Referendum.
Body
Staff Resource(s):
Tracy Dodson, City Manager’s Office
Explanation
§ Centene Management Company, LLC (Centene) announced a new East Coast Headquarters and Technology Hub in Charlotte in July 2020. Centene will invest $1 billion dollars and create 3,237 new jobs.
§ On August 10, 2020, City Council approved a Business Investment Grant in an amount not to exceed $31,588,352 over twelve years with Centene to bring these jobs to the City of Charlotte.
§ Centene is currently developing 80 acres in the University Research Park and will provide required offsite municipal improvements as a part of their development permitting.
§ In addition to, and a part of, the business recruitment efforts to bring Centene to Charlotte, Centene agreed to partner with the City to construct regional transportation improvements along Mallard Creek Church Road that will improve overall traffic flow in the University City area located in Council District 4.
§ These improvements advance the City’s goals of providing future road capacity, maximizing network connections and traffic mitigation, and increasing economic development and the local tax base.
§ Under the terms of this agreement, the Developer would build the municipal infrastructure improvements recommended by the Charlotte Department of Transportation and be reimbursed 50 percent of the total project cost upon acceptance of the infrastructure, dedication of right-of-way, and approval of the 2022 and 2024 bonds.
§ Municipal infrastructure improvements include design and construction of improvements at the intersection at West Mallard Creek Church Road and Claude Freeman Drive with the intention to address the findings of the University Research Park Mobility Study Traffic Analysis prepared by Kittelson & Associates on behalf of the City of Charlotte.
§ A planned multi-use path adjacent to Centene’s development will also be installed as a part of this reimbursement.
Charlotte Business INClusion
Prior to the City Manager executing the infrastructure reimbursement agreement, Charlotte Business INClusion will work with the Developer to negotiate and incorporate an approved MWSBE participation plan with subcontracting goals on all work tied to all phases of the agreement. (Part G, Section 2.6 of the Charlotte Business INClusion Policy).
Fiscal Note
Funding: General Capital Investment Plan or in a combination of payments from other municipal funding sources.
Attachments
Attachment(s)
August 10, 2020 Centene Corporation Business Investment Grant Approved by City Council