Title
Qualified Target Industry (QTI) Refund Resolution - MindTree, Ltd (B)
This item seeks City Commission approval for a QTI contribution for the prospective location of computer software and systems design jobs associated with MindTree, Ltd., an information technology and software development firm, within the City of Gainesville.
Explanation
MindTree, Ltd., an information technology and software development firm, is currently considering the location of up to 400 computer software and systems design jobs to the City limits. If the firm chooses to select Gainesville/Alachua County for this particular project, site location will take place at 720 SW 2nd Avenue, Gainesville, FL 32601.
The QTI incentive is a state tool available to Florida communities to encourage job growth in targeted, high value added businesses. Pre-approved applicants creating jobs in Florida receive refunds on the various taxes they pay including corporate, sales, ad-valorem, insurance premium and other taxes. The QTI incentive is performance based and the firm will only receive funds based upon jobs created and meeting other criteria as required by Florida statute.
Eligible QTI applicants must pay an average annual wage that is at least 115% of the State Metropolitan Statistical Area's average annual wage rate. In order to apply, the applicant works with Enterprise Florida prior to making a decision to locate (or expand). The local community normally provides a Resolution to indicate that the commitments of local financial support exist, namely up to 20% of the total tax refund.
In this particular case, MindTree, Ltd., is indicating that it will create up to 400 net new jobs at an average wage of approximately $80,000 at the proposed location. This firm has pledged a capital investment of approximately $2,925,000 regarding the proposed location in addition to the proposed job creation.
Due to the incentive calculated per job ($3,000 per job for location in an Enterpr...
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