Project Safety and Project Boomer Initial Review

In August of 2024 the Wakulla County Administrator and the EDC (Economic Development Council) pitched the construction of two 100,000(+) square foot buildings built to suit in order to attract one out of town business to Wakulla County and to grow one local business. Wakulla Reports found this interesting since our infrastructure is currently lacking and has been for some time while single family home building has not slowed.

When the project was originally pitched back in August, the Administrator contended that the taxpayers would have little to no out of pocket cost and that it was in the preliminary stages of grant applications. As of this past BOCC meeting, October 21, 2024, the process appears to be on a rapid increase of pace with intention to award a construction contract in December of this year (2024). With the October 21, 2024 agenda, the following information was included (screen shots).

The initial pitch to the BOCC in August indicated that the buildings would be leased at first with a goal to sell and begin generating property tax (ad valorem) revenue. This excerpt from the October 21, 2024 agenda item makes it appear that the building will be leased to future businesses. How? If this is built to suit, will it suit all business, or, will the taxpayers be stuck with two taxpayer funded buildings with no use? (It’s happened before)

In previous board meetings it was communicated that the county would need to seek financing to build the structures but then would recoup the money through grants (this seemingly said, "we will spend but we will get it all back"). This also appears to have been put to the wayside. This is from the agenda item document. .

The below begins to break down how the financing will work for this project. It is important to note that Triumph Gulf Coast is comprised of a board (more on who sits on that board and gets awarded county contracts later) to make decision on grant applications for BP Oil Spill funds. These funds were obtained through government litigation. Who do you think paid the attorneys? The taxpayers.

**It now appears that this project will require $12.9 Million dollars in public investment through the securing of bonds or additional grants (that we may or may not get). For those who don't understand what bond financing means, from the Tax Policy Center:

"State and local governments issue bonds to pay for large, expensive, and long-lived capital projects, such as roads, bridges, airports, schools, hospitals, water treatment facilities, power plants, courthouses, and other public buildings. Although states and localities can and sometimes do pay for capital investments with current revenues, borrowing allows them to spread the costs across multiple generations. Future project users bear some of the cost through higher taxes or tolls, fares, and other charges that help service the debts"

Just for Project Safety alone, our future generations could be on the hook for anywhere between 6.9 Million to 12.9 Million dollars. This does not include Project Boomer.

In August the county administration's persuasion was that this was in the wee beginning stages and nothing was being built or solidified yet. This recent application timeline says otherwise. Within 75 days, a contract for construction is projected to be executed. Land purchase by January 2025. We won't even know the status of one of the grants until February 2025.

The below outlines the estimated budget for the project. This shows that the taxpayers could be on the hook for anywhere between $6,900,000.00 and $12,900,000.00. If the construction costs increase with change orders (common), this could also increase the taxpayer impact. Since these are financed with bonds, it is our future generations that will pay the price. (The below budget is for Project Safety only)

The below excerpt from the Triumph Gulf Coast Application shows that the Florida Commerce Grant Program has not even commenced yet and will not until December of 2024. Therefore, the taxpayers should expect to be on the hook for $12,900,000.00 and, I guess, rejoice if this Grant program comes through and we are accepted?

We the People will pick up the bill for Maintenance.

The below states that our county (Wakulla) is eligible for 100% coverage of grants. This is still taxpayer money at the State and potentially Federal level but, if this is so, why are we financing construction costs ahead of grant acquisition?

This is the grant application excerpt from the agenda for Project Boomer. A smaller project but the taxpayers will also be on the hook for a portion of this.

The below outlines that Project Boomer will cost 23.5 Million dollars with the county ponying up $14.5 Million. This means you, and your children, through bond financing, will pay the price to subsidize two for profit businesses.

Below are the Budget details for Project Boomer:

Now that you've had a chance to review everything in Black and White let's do a little quick Math (rounding up for a clean view):

1. Total Cost of Project Safety: $36,400,000.00

2. Total Cost of Project Boomer: $23,900,000.00

3. Total Grant Anticipated from Triumph Gulf Coast:

   1. Project Safety: $13,500,000.00

   2. Project Boomer: $2,100,000.00

4. Total County Funding Project Safety: $12,900,000.00 (If no Florida Commerce Grant Received)

5. Total County Funding Project Boomer: $14,600,000.00

TOTAL POTENTIAL WAKULLA COUNTY TAXPAYER DEBT:

$27.5 MILLION DOLLARS

As a side note, each project shows a land acquisition cost of $400,000.00. How do you feel about taxpayers subsidizing business while our infrastructure suffers? Even grants are taxpayer money. The last time we checked we pay federal income tax and state sales tax. AS ALWAYS - YOU DECIDE!

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