BACKGROUND:

City Council approved the Economic Revitalization Community Improvement Plan (CIP) at its January 31, 2011 meeting via CR 50/2011. The adopting By-law 30-2011 was passed by Council at its February 14, 2011 meeting.

The Economic Revitalization CIP provides financial incentives to encourage new investment in targeted economic sectors for the purposes of diversifying the local economy and creating/retaining jobs. The CIP allows the City to take a variety of measures to further the objectives of the Economic Revitalization CIP that would otherwise be prohibited by Ontario's Municipal Act. This includes the acquisition and preparation of land; construction, repair, rehabilitation or improvement of buildings; the sale, lease or disposal of land and buildings; and the provision of grants to owners or tenants of land—all of which must conform with the objectives and policies contained within the CIP.

To date, City Council has approved 35 applications made under the CIP representing a range of targeted economic sectors including manufacturing, research and development, creative industries, logistics, health & life sciences, and tourism.

Ventra Group Inc./Flex-N-Gate Howard, LLC has applied for financial incentives under the Business Retention and Expansion Grant Program to offset proposed investments in the existing building and property located at 309 Ellis Street East (see Location Map).

Flex-N-Gate is a global automotive manufacturing company headquartered in Urbana, Illinois. The company has 48 manufacturing and nine product development facilities throughout US, Canada, Argentina, Brazil, Mexico, China, and Spain. The product portfolio includes large body and chassis structural assemblies, full bumper and fascia systems, brackets, receiver hitches and interior plastic panels and pillars. Flex-N-Gate has 14 facilities in Ontario and employs over 3,000 people within the Province.

The subject property is 4.3 hectares (10.6 acres) is size and contains a 23,597 square metre (253,996 square foot) building. The property is designated 'Industrial' in the City's Official Plan and zoned Manufacturing District 2.1 (MD 2.1), which permits a range of industrial uses.

DISCUSSION:

Business Retention and Expansion Grant Program

The Business Retention and Expansion Grant Program is intended to stimulate investment in targeted economic sectors for the purpose of retaining and encouraging