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HomeMy WebLinkAbout17008 1 RESOLUTION NO. 17,008 2 3 A RESOLUTION TO CERTIFY LOCAL GOVERNMENT ENDORSEMENT 4 OF J.A. RIGGS TRACTOR COMPANY, A WHOLLY OWNED 5 SUBSIDIARY OF JARTCO HOLDINGS, INC., LOCATED AT 9125 I-30, 6 LITTLE ROCK, 72209, TO PARTICIPATE IN THE ARKANSAS TAX 7 BACK PROGRAM, AS AUTHORIZED BY ARK. CODE ANN. § 15-4- 8 2706(D) OF THE CONSOLIDATED INCENTIVE ACT OF 2003; AND FOR 9 OTHER PURPOSES. 10 11 WHEREAS, the regulations of the Arkansas Tax Back Program (the "ATBP") require local 12 government endorsement of businesses or enterprises that wish to participate in and take advantage of the 13 program; and, 14 WHEREAS, J.A. Rigs Tractor Company is a wholly owned subsidiary of JARTCO Holdings, Inc., 15 and, 16 WHEREAS,J.A. Riggs Tractor Company wishes to participate in the program,to construct a rebuild 17 facility to rebuild and recondition heavy construction equipment, gas compression engines, generator 18 engines,transmissions,and related components;and, 19 WHEREAS,J.A.Riggs Tractor Company has been declared by the management of the ATBP to be an 20 appropriate applicant to benefit from the features of the program in its creation of twenty-six(26)new jobs 21 and a total investment of at least Forty-Three Million Dollars($43,000,000.00). See Incentive Application 22 as Exhibit A;and, 23 WHEREAS, J.A. Riggs Tractor Company and JARTCO Holdings, Inc. have agreed to furnish the 24 management of the ATBP all information necessary to ensure compliance with the terms and conditions of 25 the program. 26 NOW,THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE CITY 27 OF LITTLE ROCK,ARKANSAS; 28 Section 1.The City of Little Rock(the"City")endorses J.A. Riggs Tractor Company, and the Mayor 29 with the City Clerk's attestation, is authorized to execute any required Certificate of Local Government 30 Endorsement of J.A. Riggs Tractor Company,to participate in the ATBP and to be eligible to benefit from 31 any refunds and tax credits including City Gross Receipts and Compensating Use Tax Credits, in 32 accordance with the regulations of the ATBP. [Page 1 of 8] 1 Section 2. To the extent the City is authorized to grant such authority the Department of Finance and 2 Administration is authorized to refund any City Sales and Compensating Tax Credits collected from J.A. 3 Riggs Tractor Company, in accordance with the regulations of the ATBP. 4 Section 3. Severability. In the event any title, section, paragraph, item, sentence, clause, phrase, or 5 word of this resolution is declared or adjudged to be invalid or unconstitutional, such declaration or 6 adjudication shall not affect the remaining portions of the resolution which shall remain in full force and 7 effect as if the portion so declared or adjudged invalid or unconstitutional were not originally a part of the 8 resolution. 9 Section 4.Repealer. All laws, ordinances, resolutions,or parts of the same,that are inconsistent with 10 the provisions of this resolution,are hereby repealed to the extent of such inconsistency. 11 ADOPTED:April 7,2026 12 ATTEST: APPROVED: 13 14 15 -14 16 Allison Segars,Ci rk Frank Scott,Jr., or 17 APPROVED AS TO LEGAL FORM: 18 19 M 20 Thomas M.Carpenter,City Attor ey 21 // 22 // 23 // 24 // 25 // 26 // 27 // 28 // 29 // 30 // 31 // 32 // 33 // 34 // [Page 2 of 8] EXHIBIT A OFFICE USE ONLY ARKASSAS Project# Incentive Application Project Manager Consolidated Incentive Act of 2003 io/jno-s Date Received Incentive Please select which of the following program(s)are applicable to this application: Program Job Creation: 0✓ Advantage Arkansas(Income Tax Credit program) Requires a minimum net,new payroll for new full-time permanent employees based on the tier in which the project locates. Investment:(construction,expansion,modernization) ©Tax Back(Sales and Use Tax Refund program) For new or expanding businesses with a minimum required investment based on the tier in which the company locates.Tax Back must be combined with a job creation agreement. Applicant JARTCO Holdings.Inc. Complete Company Name Filing for Advantage Arkansas Income Tax Credit 5415 S Shackleford Rd., Little Rock, AR 72204, Pulaski County Physical Location of Project-City/State/Zip County Denny Upton 501-570-3226 Name and Title of Local Company Contact Phone Number dennyu@riggscat.com riggscat.com Company Contact E-mail Address Company Website Consolidated Incentive Act of 2003 Ark.Code Ann.§15-4-2705,§15-4-2706(d) (Revised 9/25) Page 1 of 7 [Page 3 of 8] r Information Employer's Federal Tax ID Number for Advantage Arkansas Income Tax ID Number Arkansas- Income Tax Credit Ownership of Company (Please check the appropriate box) Individual []Partnership ELLC CTaxable Corporation []Small Business Corporation (C Corporatlor) (Sub 5 Corporation) If ownership of company is Individual,Partnership,LLC or Small Business Corporation,please provide the following information(a separate attachment may be submitted if necessary): Name(s) I Percent Social Security Number of Owner(s) Ownership Number Robert Lamar Cress Trust 32.1% Cress Family Trust 32.3% Riggs Family Trust 16.5% George Cress Revocable Ti 11.5% When does your tax year end? 12 31 Month Date Information Arkansas Sales and Use Tax ID Number for Tax Back- If sales and use tax refund will be issued to an entity other than the applicant,please provide the following information and attach a description of the two entities and their relationship: Sales and Use Tax Refund J.A. Riggs Tractor Company Complete Company Name Filing for Tax Back Sales and Use Tax Refund 100% owned subsidiary of JARTCO Holdings, Inc. Relationship to Applicant 9125 1-30, Little Rock, AR 72209 Mailing Address of Company Filing for Tax Back-City/State/Zip Consolidated Incentive Act of 2003 Application§15-4-2706(c),§15-4-2706(d) (Revised 6/24) Page 2of6 [Page 4 of 8] Employment Present employment: 597 Number of new employees resulting from this project: 26 Average hourly wage of new employees hired for this project: 1111111111111 Total annual payroll of new employees hired for this project: 1.1.11. NOTE: To qualify for the income tax credits provided by the Advantage Arkansas program,the company must be an eligible business and meet the minimum payroll requirements for the Tier(county)in which the project is located. The Tier Map is available online at www.ArkansasEDC.com. NAICS Classification 333120 Code Construction Machinery Manufacturing Description of principal business activity,products manufactured,etc. If the applicant is a computer-related company,motion picture company,scientific and technical services business,or deemed a non-retail business at the discretion of the Executive Director,51% of the applicant's sales revenue must be derived from out of state. If the applicant is a distribution center,office sector business,or air or rail transportation support company,75%of their sales revenue must come from out- of-state customers. What percentage of the applicant's sales is derived from out of state? 5 % NOTE:Information contained in this appication is subject to audit by the Arkansas Department Finance and Administration. If any of the above information is found to be inaccurate andf does not qualify,the business will be decertified and shall not receive any benefits and may be required to repay any benefits received,plus penalty. Consultant 1 Mike Preston 501-377-2023 Information Name of Consultant filing this application Phone Number (If Applicable) Stephens Inc. Consultant Firm Name 111 Center Street,Suite 100, Little Rock, AR 72201 Mailing Address City/State/Zip Mike.Preston@stephens.com Consultant E-mail Address Consolidated incentive Act of 2003 Application§15-4-2706(c).§15-4-2706(d)(Revised 6/24) Page 3 of 6 [Page 5 of 8] Project Plan Please indicate the activity planned by the company associated with this application. (Check all that apply) QNew Construction ❑ Expansion of existing business ❑ Modernization 9/112025 3/1/2027 Estimated Start Date of Project: Estimated Completion Date of Project: Project Description: We are constructing a Rebuild Facility where we will rebuild and recondition heavy construction equipment,gas compression engines,generator engines,transmissions,and related components. Project Cost Estimates: Description:38 acres on Shackleford Road 1,350,000 Land: Land Total: $1,350,000 New construction:New facility 32,000,000 Building: Expansion or Purchase of existing facility: Building Total: $32,000,000 New Square Footage: 121,000 Description:Dynamometer S3,000,000 Machinery and Cranes 52.000.000 Parts Washer S1,000,000 Equipment: Forklifts S750,000 Paint Booth $7.00.000 Rail System S700,000 Track Press S500,000 Warehouse Racking,Tooling&Other $S 1.000,000 Machinery&Equipment Total: $9,650,000 Total Estimated Project Cost: $43,000,000 Consolidated Incentive Act of 2003 Application§15-4-2706(c),§15-4-2706(d)(Revised 6/24) Page 4 of 6 [Page 6 of 8] Certification The undersigned authority, Denny Upton acknowledges that he/she is Company Official(Printed Name) the owner or authorized official of the applicant company that has the authority to act on behalf of the applicant. This affidavit is made for the specific purpose of verifying that the information contained in this application is true and correct. The applicant acknowledges that only those eligible project costs incurred and/or employees hired after the date this application is received by the Commission will be considered for refund or credit. The Advantage Arkansas program requires a separate financial incentive agreement,signed by the applicant company and the Commission,before hiring any new,full-time,permanent employees. The applicant company does hereby agree to report new job creation and investment figures annually to the Arkansas Department of Finance and Administration for the term of the incentive agreement and to the Arkansas Economic Dev ment Commission upon request. EVP & CFO Q 1-8 I2.o-G Signature of Coornpar Official Title Date Contract Disclosure Any individual contracting with the State of Arkansas must make full disclosure if he or she is a current or former:member of the General Assembly,Constitutional Officer,Board or Commission member,State employee,or the spouse or immediate family member of any of the persons described herein;or if such persons having any position of control or any ownership interest of ten percent(10%)or greater in the entity currently applying to contract with the State. Please indicate if this disclosure is required for this application. Failure to disclose such information is a criminal offense and shall render any contract with the State of Arkansas null and void. Disclosure Required?: Yes or Q No Press Release Disclosure I Lido E do not authorize the Arkansas Economic Development Commission to release to the press the new job creation and investment figures. (Signing this authorization to release job creation and investment numbers is not mandatory. However,information about benefits received is public information and may be obtained through a Freedom of Information request filed with the Arkansas Department of Finance and Administration.) Signature of Company Official Title Date Consolidated Incentive Act of 2003 Application§15-42706(c),§15-4-2706(d)(Revised 6/24) Page 5 of 6 [Page 7 of 8] If you have questions about the incentive programs included in this application,please call the Arkansas Economic Development Commission at 501-682-7675 or visit the Commission's website at www.ArkansasEDC.com. Submit this application to: Business Development Division Arkansas Economic Development Commission 1 Commerce Way,Suite 601 Little Rock,AR 72202 AEDC APPROVAL The Commission's approval of this application is based upon its content. The eligibility provisions of the individual incentive programs will be administered by the Arkansas Department of Finance and Administration upon audit at a later date. Signature of AEDC Incentives Manager [Page 8 of 8]