CBD product manufacturer considering site in northern Kannapolis
Published 12:00 am Sunday, November 17, 2019
SALISBURY – County Commissioners on Monday will consider hear details of a company’s proposal to build a cannabidiol (CBD) product manufacturing facility in northern Kannapolis and create 161 jobs over four years.
The company is seeking tax incentives for its $21.4 million investment, which is going by the codename “Project Bay.” A summary of the project included with commissioners’ agenda says all CBD used in product manufacturing at the site will be derived from hemp plants. CBD is an increasingly frequent addition to health-focused products. It is a chemical derived from cannabis plants, but it does not cause a “high” like the chemical tetrahydrocannabinol (THC).
While the company remains unnamed, the Rowan County Economic Development Commission says Project Bay is considering a facility at 2865 North Cannon Boulevard along with sites in South Carolina and Kentucky.
If tax incentives are approved for the company, Rowan County would retain $142,185 during the five-year incentive period. It would collect $568.738 and provide incentive grants of $426,553.
The EDC estimates the project would generate about $140,705 of annual tax revenue for the county after the incentive period concludes.
The EDC says in its summary that it’s working with the developers of Project Bay to pursue a building reuse grant through the state to help finance electrical, heating and air conditioning as well as roof improvements.
Additionally, EDC is pursuing a One North Carolina Fund grant.
The required local matches for the grants would be satisfied through the county’s Level One grant.
If Rowan County is chosen, developers of Project Bay would begin installing equipment in early 2020. Most new construction and infrastructure improvements would be complete by Dec. 31, 2021, and additional equipment installations would come through 2024.
The draft incentive agreement shows that the company would create 31 jobs in the 2021-2022 fiscal year. It would top 100 employees by 2023-2024 fiscal year and reach its full projected number by the 2025-2026 fiscal year.
The board will meet at 6 p.m. Monday in the Rowan County Administration Building, 130 W. Innes St.
In other business:
• On the consent agenda, commissioners will consider approving the Public Health Department’s application for a Delta Dental Smiles for Kids grant to assist pregnant women with dental care and treatment. The department is requesting an additional $5,000 for 2020 to continue outreach to residents in need of the service.
• The board will consider a draft survey for Shelter Guardians’ new dog adoption center.
• The commissioners will discuss scheduling their annual planning retreat for 2020. The timeframe is usually in January or February.
• The board will receive a financial report for fiscal years 2017 through 2020 with cumulative property tax, sales tax, revenue, and expenditure comparisons. The report will be presented by the Finance Department.
• The board will consider a resolution in support of the 2020 Census.