Mayor Lenny Curry’s administration will ask City Council to approve $200,000 in taxpayer-back incentives for Hillman Group’s planned North Jacksonville distribution center expansion.
The Mayor’s Budget Review Committee voted 7-0 on Oct. 12 to file a resolution with Council to waive the city public investment policy and offer Hillman a five-year Recapture Enhanced Value Grant at 50% in return for 50 jobs.
The Cincinnati-based hardware products supplier intends to hire logisticians, warehouse receiving and shipping personnel, truck drivers and support staff, according to an Oct. 7 memo from city Office of Economic Development Committee Chair Brian Hughes.
The project’s $30,000 average annual wage plus benefits does not meet the city’s public investment policy criteria to offer pay equal or greater than the state average of $49,472, requiring the waiver.
The proposed expansion would add 90,000 square feet to Hillman’s distribution center at 3650 Port Jacksonville Parkway, doubling the square footage to 180,000.
The company provides hardware products to more than 25,000 customers, including Lowe’s, The Home Depot, Tractor Supply Co., Ace Hardware and Walmart.
The Hillman Group is considering several states for the expansion and noted that financial incentives are a material factor in its decision, the memo states.
It plans an $8.45 million investment at its facility.
The deal requires that the private capital investment exceed $7 million and that the company create at least 50 jobs by the end of 2023.
Kirk Wendland, city economic development director, told the MBRC on Oct. 12 that Duval County’s 6.5% unemployment rate, still rebounding from the COVID-19 pandemic, is a driver for the incentives.
“We expect there will be a long line applying for them,” Wendland said of the jobs.
The project meets the other three criteria, which are that the company must be in a targeted industry, it must create at least 10 jobs and the company needs to commit to $3 million in private capital investment.
Staff Writer Katie Garwood contributed to this report.