City Council voted 18-0 to increase a tax incentive for United Parcel Service Inc. to expand at its West Jacksonville distribution hub.
Resolution 2020-423 amends a 2017 Economic Development Agreement between the city and UPS, increasing the company’s Recaptured Enhanced Value Grant from $4.3 million to $6.8 million.
UPS proposes to increase its $196 million investment to $334 over the next four years at its 4420 Imeson Road facility in Westside Industrial Park.
UPS also will add 240 full-time jobs by the end of 2024. Those jobs will have an average annual wage of $50,000 plus benefits.
The deal would retain at least 1,246 permanent jobs through the final installment payment of the REV grant, according to the agreement filed with the bill.
The $334 million investment would comprise the $173 million invested through last year and an additional $161 million in machinery, equipment, furniture and fixtures.
The terms of the five-year 50% ad valorem tax refund would remain unchanged from the 2017 deal.
A performance schedule in the agreement states UPS would create 60 jobs per year from Dec. 31, 2021, through Dec. 31, 2024.
UPS is considering several other sites for the expansion, according to a legislative fact sheet. It said financial incentives are a factor in the company’s decision to develop its Jacksonville logistics and distribution center.