The Laker/Lutz News

Serving Pasco since 1981/Serving Lutz since 1964

David Engel

Former county spray field to become industrial park

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A 99-acre spray field on Old Pasco Road is poised to become an industrial park, which is expected to employ hundreds — under actions approved last week by the Pasco County Commission.

First, commissioners approved a staff recommendation to declare the property as surplus — making it available for sale.

Then, commissioners approved a proposed incentive package to encourage the Rooker Company, based in Atlanta, to create an industrial park on the land.

Commissioners also approved a purchase and sale agreement, providing a variety of conditions are met.

The property is about one-third mile south of the intersection with Overpass Road, which is where an interchange is planned with Interstate 75.

David Engel, Pasco County’s economic growth manager, briefed commissioners on the background of the deal at their Dec. 10 meeting.

Engel said the county received an unsolicited bid in the spring from the Rooker Company, to purchase the property for $2,850,000.

The company had calculated there would be 57 acres of developable land associated with this property, Engel said. Some of the remainder is needed for right of way for the I-75 interchange project and the widening of Old Pasco Road, while there’s also land needed for stormwater retention, there are hydrologic areas and there are designated wetlands.

“After an extensive amount of negotiation, the purchase price proposal has been increased to $3,596,500,” Engel said.

The purchase agreement is contingent upon compliance with the Master Planned Unit Development approved for the site in the spring of 2018, Engel added.

There are three conditions of sale:

  • The developer and the county must enter into a cooperative funding agreement for the first phase of development, which is 400,000 square feet. The total concept master plan is approximately 900,000 square feet of industrial construction.
  • Pasco County must remove the existing decommissioned wastewater infrastructure from the site. It also must regrade the property and install the basins.
  • The company must obtain all necessary land approvals for phase one.

Engel pointed out to commissioners: “The developer will be paying us for land that will be committed to road widening and also for the I-75 interchange.”

In a separate action, commissioners also approved an economic incentive to encourage the company to create new jobs.

County staff recommended $3.7 million in incentives.

“That amounts to $9.25 a square foot, which is the most economical incentive brought to the board so far, since the Penny (for Pasco, which supports economic incentives) was enacted in 2015,” Engel said.

The proposed first phase of the project calls for a 400,000-square-foot industrial park, which represents a $26.5 million investment, Engel said.

The first phase will create 427 direct and indirect jobs, and is expected to contribute to the gross county project, Engel added. “That’s a 13 to 1 ROI (Return on Investment),” he said.

Commissioners also agreed to an amendment to the agreement for sale and purchase that requires the county add to its five-year capital improvement plan — the widening of a section of Old Pasco Road to four lanes, from the south entrance of the property to Overpass Road, to four lanes.

Also, the financing — by a party other than the buyer —for the design, permitting and construction of the Old Pasco segment must be in place, such that the section of the Old Pasco be in place prior to the first certificate of occupancy for individual tenant premises for buildings within the project.

Commission Chairman Mike Moore said “We want to make sure that’s widened.”

Engel also noted that the design for the industrial park is “attractive, tilt-up industrial-style buildings. It’s a scale and prominence that has yet to be constructed here in Pasco.”
Commissioner Kathryn Starkey said  “I’m especially excited about the prospect for manufacturing at this site.”

Cason Bufe, vice president of real estate for Rooker, said the company is a family owned real estate business that began when Jack Rooker developed the company’s first industrial building in Atlanta.

Since then, it has developed and constructed more than 50 million square feet of industrial facilities across the Southeast United States, he said.

Rooker’s son, John, now manages the business and “has set a strategy that has led us to invest in pro-growth municipalities in Florida, South Carolina, Tennessee and Georgia,” Bufe said.

“We have a proven track record in developing business parks of this kind, and public-private partnerships with government entities, and I applaud Pasco County for having the vision to create the Penny for Pasco program, rezone this property and invest in the new interchange at Overpass Road and I-75. Each of those factors was critical to us. We look forward to working side-by-side with the county to attract quality jobs and grow the tax base for Pasco County and its citizens.”

Published December 18, 2019

Encompass Health plans move to Land O’ Lakes

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Encompass Health Corporation has announced plans to bring 179 jobs to Central Pasco.

The company, based in Birmingham, plans to build a 37,000-square-foot facility on about 6 acres in the Bexley Community, off State Road 54, in Land O’ Lakes.

It plans to locate its Central Business Office there, to provide medical billing and collection services to the company’s hospitals in 25 states and Puerto Rico, according to a company statement.

This rendering depicts the planned office for Encompass Health Corporation, which plans to bring 179 jobs to Pasco County. (Courtesy of Pasco Economic Development Council Inc.)

News of the company’s plans was announced at the Pasco County Commission’s Dec. 10 meeting, where the board voted on an incentive package aimed at attracting the company, a publicly traded company, whose shares are sold on the New York Stock Exchange.

David Engel, Pasco County’s economic growth manager, told commissioners that the building will be single-story, with an architectural façade that’s consistent with the design standards for the Bexley master-planned community, Engel said.

“It’s a one-story administrative office building. It’s quite a substantial project. There’s over $15 million in capital investment; 220 direct and indirect jobs; 179 will be working at this facility, at a minimum,” Engel said.

The capital investment includes acquisition of the land, according to county documents.

Engel said the project “contributes more than $10 million a year to the gross county product,” which amounts to a return on investment of more than 10 to 1.

Commissioners approved a $983,000 incentive package to attract the company.

Various features of that package are:

  • A job creation incentive for 117 of the administrative jobs (amounting to $234,000)
  • The mobility fee waiver for Class A office construction (estimated at $329,000)
  • A 10-year ad valorem reimbursement (estimated at $290,000); the first five years will be 50% of their ad valorem payment; and 25% for the back end
  • An employee training grant ($50,000)
  • A waiver of building county permit fees (maximum of $80,000)

Also, because the company falls within the definition of a qualified targeted industry, the county is offering “rapid response team and expedited permitting,” Engel said.

Besides saving time, the expedited process is “a large financial incentive to the applicant,” Engel said.

Bill Cronin, CEO and president of the Pasco Economic Development Council Inc., said ”We’re really excited about this company coming in, right into Central Pasco, creating some wonderful jobs.”

The Pasco EDC executive also noted that this project indicates that master-planned communities, such as Bexley, are started to develop their employment entitlements, thus rounding out the developments.

“Now, this development has true live, work, play at their development. You’ve got residential. You’ve got jobs. You’ve got retail. That means less people, potentially, on the road,” Cronin said.

Diane Daerr, director of Encompass Heath’s Central Business Office, said “we’re really excited about our new operation. The new building will allow us to have a lot of amenities for our workforce. Fitness center. Walking trails.

“We really like the setting of Bexley, and the walking trails and bike trails in that general area.

“You can literally live across the street from where our building is going to be, so we’re very excited about that,”” Daerr said.

Pasco officials have been working to shed the county’s image as a bedroom community, where thousands commute daily to jobs in other places.

“I think there’s something to be said about having a publicly traded company choosing Pasco for location for this regional operation. They will be serving 25 states here, and Puerto Rico. So, this is a real regional footprint for them. And, these jobs are good jobs,” Cronin said.

“As you all know, we’ve been focusing on our life sciences cluster,” he said.

In fact, Moffitt Cancer Center is seeking to boost its share of the state’s annual cigarette tax money to support expanded cancer care and research, both in Hillsborough and Pasco counties.

If the proposal moves forward, the new location in Pasco County would be near the Suncoast Parkway and State Road 52. It is being viewed by local leaders as having the potential to be a catalyst that would transform the Central Pasco landscape.

Cronin said that attracting new companies to Pasco, such as Encompass Health, talent being developed in the life sciences industry will have a place to call home, Cronin added.

Cronin also emphasized the project’s strategic location, near State Road 54 and the Suncoast Parkway, with easy access to Tampa International Airport.

Pasco County Commission Chairman Mike Moore applauded the company’s decision to locate in Pasco, which he describe as “the fastest growing county in the region, if not the fastest growing in the state and one of the fastest growing in the nation.”

Published December 18, 2019

Incentives add jobs, boost economy

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When Pasco County spends money from its Jobs and Economic Opportunity Trust Fund, it’s getting a healthy return on investment, according to David Engel, manager of the Pasco County Office of Economic Growth.

Engel recently gave the Pasco County Commission an update on the county’s primary incentive programs.

Between 2015 and 2025, the county expects to collect $60 million for its Jobs and Economic Opportunity Trust Fund, through its Penny for Pasco tax revenues. Those projections are based on a 3.5 percent annual increase, Engel said.

So far, the county has spent $22 million of those funds — on a variety of programs aimed at boosting job opportunities and increasing the county’s economy.

Programs include job skills programs and incentives for targeted industries that are investing in Pasco County and expanding the number of jobs in Pasco.

Industries that have received incentives include Touchpoint, Welbilt, Mettler Toledo and others, Engel said.

Job skills programs include AmSkills, the Pasco-Hernando Work Force Board and various programs through Pasco EDC, Engel said.

“For every (incentive) dollar that the board awards, we’ve gotten $10 back in gains to the county,” Engel said.

With the jobs creation incentive, which has been around since 2011, the Pasco County Commission, awards incentives to industries that create high-paying jobs. High-paying jobs are defined as jobs paying at least 115 percent of the median pay in Pasco County,

“This is one of our most highly successful programs. We’ve created almost 1,300 jobs since 2011. For every job we create, it costs the county around $3,800. We’ve look at other JCI programs across the state,” Engel said.

By comparison, the incentives cost $5,000 to $9,000 a job in other counties they looked at, Engel said.

Pasco’s return on investment in this program “is extremely high,” Engel said, noting for every dollar the county has spent, it has received $30 in benefit.

He also noted that the future is looking bright, too.

“Our pipeline is robust and growing,” Engel said.

The master-planned unit developments approved by the board, particularly along the State Road 54 corridor, are beginning to focus on their employment centers, the economic growth manager said.

“So, we have a number of big projects coming in, consisting of hundreds of thousands of square feet of Class A office buildings. Right now, we have three to four Class A office buildings we are processing for incentive awards now. We’ll make recommendations to the board of County Commissioners in the next several months,” he said.

Projected revenue: $59.65 million in the Jobs and Economic Opportunities Trust Fund, over the life of the Penny for Pasco (2015 to 2025), assuming a 3.5 percent annual increase.
Expenditures to date: $21.8 million, includes operating expenses
Encumbrances to date: $34.7 million: Board-approved awards, excludes operating expenses

Published April 24, 2019

State grant supports Pasco business park

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Pasco County has announced the receipt of a $3 million state grant to support the development of the Overpass Business Park.

The business park is intended to promote economic development in Pasco County.

The county received a grant for $3,088,580 from the Florida Job Growth Grant Fund, according to a news release from the county.

The grant will support the creation of the Overpass Business Park project.

At its completion, the project will be home to 2.2 million square feet of industrial and office development, and will support between 4,000 and 5,000 jobs, the news release says.

“Overpass Business Park represents another realization of Pasco County’s ongoing commitment to strategic, robust economic growth, and we sincerely thank the State for its partnership in moving this critical initiative forward,” Pasco County Economic Growth Manager David Engel said, in the release.

The 100-acre, shovel-ready economic development site overlooks Interstate 75 and is 1.5 miles north of State Road 54. It is just south of the proposed new connection at Overpass Road and I-75.

The project design is in its final stages.

By 2022-2023, the site improvements will be completed and Overpass Business Park will be ready for development, the release says.

The Florida Job Growth Grant Fund was established in 2017 by Gov. Rick Scott and the Florida Legislature. It provides $85 million for improving public infrastructure and enhancing workforce training in Florida, the release says.

For more information about the Pasco County Office of Economic Growth, visit bit.ly/PascoEconomicGrowth.

To stay abreast of the Overpass Business Park Project progress, visit bit.ly/OverpassBusinessPark.

Published January 30, 2019