Pima County Public Meetings on Monsanto Greenhouse Project Scheduled

PIMA COUNTY – Pima County has scheduled five community meetings to provide information and receive comments on the proposed Monsanto greenhouse facility.

The Pima County Board of Supervisors has tasked County administration with holding public meetings in each supervisors’ district in order to provide the public more information about the Monsanto proposal and the county’s role in the proposal, and to receive feedback from the public.

Pima County Economic Development Deputy Director Patrick Cavanaugh, a Monsanto company representative and recommended subject matter experts plan to attend the meetings.

The schedule of meetings follows:

  • District 1: 5 p.m., Jan., 9, Oro Valley Public Library, 1305 W. Naranja Drive
  • District 2: 6 p.m., Jan. 19; Quincie Douglas Center, 1575 E. 36th Street
  • District 3: 5 p.m., Jan. 17; Ellie Towne Community Center, 1660 W. Ruthrauff Road
  • District 4: 11 a.m., Jan. 13; Green Valley Recreation Center – Las Companas Room, 565 W. Belltower Drive
  • District 5: 6 p.m., Jan. 18; Pima County Housing Center, 801 W. Congress Street

The Board of Supervisors plans to discuss two pending agreements with Monsanto at the Feb. 21 Board meeting.  Pima County also has created a Monsanto information web page.

Monsanto recently purchased a 155-acre unused agricultural site near Twin Peaks and Sanders roads. The company plans to invest nearly $100 million in a seven-acre greenhouse facility where it would develop and grow corn seed.

A pair of agreements between the County and Monsanto before the Board of Supervisors include consideration of providing County support for Monsanto’s pursuit of inclusion in the regional federally-approved Foreign Trade Zone (FTZ). Under state and federal laws, inclusion in the Foreign Trade Zone would provide Monsanto with a reduced property tax assessment ratio, among other benefits.

Per state law, agricultural property already receives a lowered assessment ratio of 15 percent. If FTZ designation is approved, per federal and state law, the property would be subject to a 5-percent assessment ratio.

Under existing property tax assessment ratios, the property generated $1,956 in total property taxes in 2015. After the planned site improvements, even with the lower tax assessment ratio, County, fire and school districts would receive $694,416 at the fifth year of the agreement.

While the agreements before the Board of Supervisors would enumerate County support for Monsanto’s inclusion in the Foreign Trade Zone, they do not themselves grant the designation nor provide the company with any Pima County specific incentives or special property tax considerations, which are granted under state and federal laws.

Under the terms of the agreements, Monsanto would agree to meet with and report quarterly to Pima County about the use of type and quantity of pesticides used at the site; annual water usage; wastewater volumes; and reports about any hazardous spills at the site. The company also would comply with all federal, state and local laws regarding use, handling and disposal of pesticides and hazardous materials.

Pima County plans to establish a community-based advisory body – Pima County Agricultural Science Advisory Commission – that will meet at least quarterly to discuss Monsanto operations. The advisory Commission will monitor the Monsanto site and evaluate the effectiveness of agricultural technology in meeting food sustainability objectives and any adverse effects of operations at the site.

 

 

 




Pima County Pushes Monsanto Tax Incentives into Next Year

no-to-monsantoTUCSON, ARIZONA — The Pima County Board of Supervisors meeting Tuesday was far more emotional than typical board meetings. Several hours were spent listening to comments from the public in opposition to the biotech, seed giant Monsanto coming to Pima County. The room showed mostly opposition with people holding yellow signs with the message, “Stand Up to Monsanto” as shown in the photo.

On the agenda was whether the Board would approve a tax incentive for Monsanto.

Instead it was agreed to establish two commissions, an Agricultural Science Advisory Commission to provide a science-based forum for discussion of issues raised by the speakers at the meeting and a Agricultural Community Advisory Committee to address issues and concerns brought forth by members to enable an open discussion and allow Monsanto to inform the public regarding its technology and standards used in Pima County

The specific task of the Agricultural Science Advisory Commission will be to monitor the Monsanto site on a quarterly basis and to evaluate the effectiveness of the proposed agricultural technology. Should the Commission determine research and/or technical analysis be required, such work is to be performed by the University of Arizona College of Agriculture and Life Sciences. The cost associated with this work is to be reimbursed by Monsanto in an amount not to exceed $50,000 per year.

With this, the Board voted unanimously 5-0 to delay a vote on any potential tax breaks to Monsanto until Feb. 21.

In exchange for commitments to spend at least $90 million on the development of a 7-acre greenhouse facility and hire 25 full-time and 25 part-time employees, the supervisors were considering the company’s application for a foreign trade zone status (FTZ), which would substantially reduce property taxes over the next 10 years for Monsanto.

Monsanto has already purchased a 155-acre parcel in Marana, at the intersection of Twin Peaks and Sanders Roads and is ready to break ground on corn-growing greenhouses before the end of 2016, according to County Administrator, Chuck Huckelberry.

The FTZ designation would drop the property’s assessment ratio from 15 percent to 5 percent as established by Washington. In the memo on Foreign Trade Zones from County Administrator Chuck Huckelberry, he points out that if the land were to remain undeveloped, it would bring in roughly $2,000 in property taxes, and $649,000 if the development proceeds with an FTZ designation.

Additionally, the company’s move is estimated to bring about roughly $90 to $100 million in capital investment, new construction and $284 million in economic impact between 2016 and 2025.

Marana Unified School District also approves of the project and recently approved an arrangement with Monsanto in which the company will give a one-time donation of $500,000 to a foundation affiliated with the district and pay a smaller annual property tax bill.

Citing those benefits, as well as what he described as Monsanto’s “demonstrated history of innovation, Tucson Metro Chamber CEO Michael Varney was one of a handful to speak in support of approval.

Click here to read the full memo FTZ in lieu of taxes Agreement-Monsanto




TREO to Open office in Eloy’s New Foreign Trade Zone in Pinal County

TREO-LogoTucson Regional Economic Opportunities, Inc., City of Eloy Partner to Bring Economic Development, Jobs to Sun Corridor and State of Arizona

(PRESS RELEASE) – Eloy, Arizona — Tucson Regional Economic Opportunities, Inc. (TREO), in partnership with the City of Eloy, announced Thursday that the United States Department of Commerce has approved its application to establish new Foreign Trade Zone (“FTZ”) magnet sites in Pinal County. The U.S. Dept. of Commerce approved two new sites, one in the city of Eloy and one in the county. Located within the strategic north-south distribution corridor known as the CANAMEX Corridor, the new FTZ magnet sites will play an important role in helping the State of Arizona improve cross border trade with both Canada and Mexico and attract manufacturing jobs to the state.

Under federal law, any business located within an activated FTZ will receive relief from trade barriers, including certain taxes and interventions from customs authorities. The magnet sites, which span more than 640 acres, include two industrial properties within Pinal County’s economic development and employment zone, Red Rock Industrial Park and Sunshine Industrial Park. The sites are enhanced by their proximity to rail, ground and air transportation as well as having the size and entitlement infrastructure to accommodate large scale industrial users. Both sites are owned and/or managed by the Walton Group of Companies of Scottsdale, Arizona.

“Combined with our strategic location along the east-west trade route between Texas and California and the north-south CANAMEX Corridor, these two FTZ industrial sites represent a significant addition to our competitive assets,” said Joe Snell, president & CEO, TREO. “The new magnet sites will expand TREO’s involvement in the Sun Corridor and help bring even more jobs, businesses and economic development to the region. We want to thank the City of Eloy and Walton for partnering with us to achieve this great win for the Sun Corridor and the State of Arizona.”

“With our prime location along Interstate 10, the City of Eloy is poised for tremendous economic development and growth and these new FTZ sites will help us attract even more businesses and quality jobs to our city,” said Mayor Joel Belloc. “We appreciate the State, TREO and Walton’s work to get these sites designated and look forward to continuing to work together to achieve even more great wins for our city, region and state.”

Sunshine Industrial is a partially developed, 277 acre site with water and sewer access, located in the city of Eloy. The property includes multiple access points to key infrastructure that make it well positioned for freight distribution to major markets by both truck and rail. Red Rock Industrial is a 367 acre property located adjacent to the Red Rock Interchange with approximately two miles of frontage along Interstate 10. It also fronts the Union Pacific Railroad’s Sunset Route and is adjacent to a proposed rail classification yard.

“Walton is proud to partner with TREO and the City of Eloy to bring economic development opportunities to the Sun Corridor and the State of Arizona,” said Rob Leinbach, Chief Operating Officer for Walton’s U.S. operations. “We thank TREO, the City of Eloy and the Foreign Trade Zone administrative team for their leadership. We are also grateful to Arizona’s entire congressional delegation, especially Congresswoman Ann Kirkpatrick, for helping make this FTZ a reality.”