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Wednesday, December 11, 2024

Normal City Council discusses new use for vacant Mitsubishi facility

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Normal City Council met Monday, Dec. 12.

Town of Normal City Council is located at 11 Uptown Circle, Normal, IL 61761, USA.

Here are the minutes as provided by Normal:

MINUTES OF THE SPECIAL MEETING OF THE NORMAL TOWN COUNCIL HELD IN THE COUNCIL CHAMBERS, NORMAL CITY HALL, FOURTH FLOOR UPTOWN STATION, 11 UPTOWN CIRCLE, NORMAL, MCLEAN COUNTY, ILLINOIS – MONDAY, DECEMBER 12, 2016

1. CALL TO ORDER:

Mayor Chris Koos called the special meeting of the Normal Town Council to order at 7:00 p.m., Monday, December 12, 2016.

2. ROLL CALL:

The Clerk called the roll with the following persons physically PRESENT: Mayor Chris Koos and Councilmembers Jeff Fritzen, Scott Preston, R.C. McBride, Kathleen Lorenz, Kevin McCarthy, and Cheryl Gaines. Also present were City Manager Mark Peterson, Deputy City Manager Pamela Reece, Corporation Counsel Brian Day, and Town Clerk Wendy Briggs. ABSENT: None.

3. PLEDGE OF ALLEGIANCE:

Mayor Koos led the Pledge of Allegiance to the Flag.

PUBLIC COMMENT:

Mayor Koos announced there were several people that requested they be allowed to address the Council.

Mr. John Weaver, 1424 Ft. Jesse Road, Normal, Illinois, addressed the Council expressing concern for the future value of the property and indicated he did not feel it was in the citizen’s best interest to provide mowing services and snow plow services to one business in the community.

Mr. Christian Prenzler, 1909 E. Oakland Avenue, Bloomington, Illinois, addressed the Council and voiced his concern with the proposed deal. Mr. Prenzler suggested the vote on the item be postponed to further delve into the Rivian Automotive Company.

Mr. Jerry Berwanger, 1816 Chuck Murray Drive, Normal, Illinois, addressed the Council and encouraged the Council to approve the proposed agreement, indicating that people should not look at the short-term, but the long-term overall picture and the future employment of numerous area citizens, as well as the economic development for the community.

Mr. Jonathan Kuik, 2223 Bracebridge Road, Bloomington, Illinois, voiced concern with approving the proposed agreement with Rivian Automotive, indicating the car manufacturing business is a highly competitive market and questioned the funding behind the company. Mr. Kuik indicated if the company is not successful, this agreement would be a burden on the taxpayers.

Mr. Mark Tiritilli, 1212 Timber Ridge Court, Normal, Illinois, suggested the proposed agreement not be approved, as the Rivian Automotive company is not the right choice for this property. Mr. Tiritilli questioned who would have to maintain the building if Rivian failed.

Mr. Ralph Timan, 211 N. Minier Avenue, Minier, Illinois, addressed the Council and offered his support for the proposal. Mr. Timan indicated the factory needed to be brought up to the 21st century and Rivian has the opportunity to do that and offer substantial employment in the future.

Mr. Doug Fansler, 307 Carriage Hills Road, Normal, Illinois, questioned why the Town was in such a hurry to approve this agreement. Mr. Fansler questioned why the Town would tie up the plant with a company that has not been able to do anything in Florida and Michigan.

Mr. Mike Matejka, 800 N. School Street, Normal, Illinois, addressed the Council explaining he believed this was an incredible gift to the community, as there were approximately 31 vacant auto plants in the United States and Rivian has chosen to locate here. Mr. Matejka thanked the community leaders involved in taking this rare opportunity and making it work. Mr. Matejka indicated the idea of incentives is not new in making investments in the community.

Ms. Julie Hile, 306 W. Virginia Avenue, Normal, Illinois, spoke in favor of the deal and indicated this is a good opportunity for the community. Ms. Hile expressed her gratitude for the vision of the Council for the community.

4. OMNIBUS VOTE AGENDA:

There were no items to be considered under the Omnibus Vote Agenda.

GENERAL ORDERS:

5. RESOLUTION AUTHORIZING EXECUTION OF A PROPERTY TAX ABATEMENT AND ECONOMIC INCENTIVE AGREEMENT WITH RIVIAN AUTOMOTIVE IN CONNECTION WITH THE LOCATION AND OPERATION OF AN AUTOMOBILE MANUFACTURING FACILITY AT THE FORMER MITSUBISHI PROPERTY IN NORMAL, ILLINOIS: Resolution No. 5353:

MOTION:

Councilmember Preston moved, seconded by Councilmember McBride, the Council Adopt the Resolution Authorizing Execution of a Property Tax Abatement and Economic Incentive Agreement with Rivian Automotive in Connection with the Location and Operation of an Automobile Manufacturing Facility at the Former Mitsubishi Property in Normal, Illinois.

Mr. Kyle Hamm, CEO of the Economic Development Council, addressed the Council and provided a short background of the history of the vacant Mitsubishi plant and the task force that was developed to explore opportunities for this property. Mr. Hamm indicated the task force had communicated with several possible purchasers of the facility. Mr. Hamm stated the task force was impressed with Rivian and their background.

Mr. R. J. Scaringe, President and CEO of Rivian Automotive, provided an extensive history of Rivian Automotive. Mr. Scaringe explained Rivian Automotive was in a position to take over the vacant facility and bring the facility into the future.

Mr. Hamm provided Council with a brief overview of the proposed Agreement.

Councilmember Fritzen posed questions concerning the company’s previous grants from Florida and Michigan. Mr. Scaringe explained the grants from the Florida Department of Energy and indicated the research resulting from the opportunities the grants had provided had been extremely valuable to the company. Mr. Scaringe indicated the company moved from Florida to Michigan to be closer to automotive suppliers. Mr. Scaringe indicated Normal was an attractive location for a combination of reasons; those being the state of the facility, the quality of the workforce, the location of suppliers, and the overall economics of the area.

In response to concerns raised by Councilmember Fritzen, Mr. Hamm indicated the task force had done considerable research on the company, including the company’s financial status and condition.

Councilmember McBride offered his welcome to the community and posed questions concerning the incentives included in the agreement. Mr. Hamm explained the urgency of acting on this agreement, as the current owner of the vacant facility, Maynards, intended to offer the facility and the contents up for auction, and the task force had persuaded Maynards to delay the auction for a short period of time.

Councilmember Preston posed questions concerning the status of the conversations with the State of Illinois and any incentives offered by the state. Mr. Scaringe indicated he hoped to finalize his agreement with the State of Illinois in the near future.

Mr. Scaringe responded to questions posed by Councilmember Lorenz concerning the grants obtained in Florida

Councilmember McCarthy expressed his excitement with the prospect of new jobs coming to the community. Councilmember McCarthy thanked Maynards for being willing to delay the auction for the Town to explore this opportunity. Mr. Scaringe responded to questions posed by Councilmember McCarthy on the company’s tenure in Florida.

Councilmember Gaines posed questions concerning the transparency of the company, which questions were addressed by Mr. Scaringe.

Councilmember Gaines posed questions for clarification concerning the difference in the assessed value of the land between a factory and farmland. City Manager Mark Peterson responded to the questions from Councilmember Gaines. Councilmember Gaines commented there did not seem to be a burden to the town if the company was not successful, the plant would again be vacant and the property would be facing the same future as it currently is experiencing.

Councilmember McBride indicated it is important to recognize the other taxing bodies at the table. Mr. McBride indicated there seems to be a great potential to gain a producing plant with a number of jobs for the residents of the area and there does not seem to be much to lose.

Councilmember McCarthy indicated he could not see the downside of this agreement and the long-term implications are strong. Considerable discussion ensued between the Council members.

Mayor Koos thanked the Council for their thoughts and comments. Mayor Koos further thanked the numerous individuals that assisted in bringing this agreement to fruition, commenting on the time and efforts spent in the prospect of bringing life back to this vacant facility. Mayor Koos also indicated it is his opinion this agreement has a very low risk factor for the town, but has a potentially high reward for the community.

AYES: Fritzen, Preston, McBride, Lorenz, McCarthy, Gaines, Koos. NAYS: None. Motion declared carried.

6. NEW BUSINESS:

There were no items to be considered under New Business.

7. ADJOURNMENT:

There being no further business to come before the Council, Mayor Koos called for a Motion to Adjourn.

MOTION:

Councilmember McCarthy moved, seconded by Councilmember Gaines, the Special Meeting of the Normal Town Council be Adjourned.

AYES: Preston, McBride, Lorenz, McCarthy, Gaines, Fritzen, Koos. NAYS: None. Motion declared carried.

Mayor Chris Koos adjourned the special meeting of the Normal Town Council at 9:25 p.m., Monday, December 12, 2016.

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