Speaker 6: Thank you, Mayor. I'm 25. It's communication from the city manager and financial management with the recommendation to execute all documents necessary to implement a 15 year sales tax incentive agreement with Hunan Toyota of Long Beach.
Speaker 3: Mr. West.
Speaker 12: Mayor Council were pleased.
Speaker 0: To present this item tonight. For whom? And Toyoda Mike Conaway will walk us through it.
Speaker 8: Mayor Garcia, members of the city council, this item brings forward the first sales tax incentive agreement from the Department of Economic and Property Development. Human Toyota, formerly Beech. Toyota intends to relocate its car sales operations from 4401 Pacific Coast Highway to 3399 Willow Street at Redondo Avenue, human to Saudi, intends to significantly expand and renovate the new site at a cost of $4.2 million, not including acquisition cost. Beach Toyota, which human acquired in 2008, enjoyed a sales tax incentive agreement that was originally entered into in 1996 and which expired in September 2013. Mr. Nathani requested that the expired sales tax sharing agreement be renewed and the sales tax basis of that agreement was $135,000, above which sales tax revenues were shared equally. To facilitate discussion, Mr. Nathani agreed to double the sales tax base to $270,000 and requesting to equally share sales tax revenue above that amount until the earlier of reimbursement of the $4.2 million renovation costs for 15 years. Kizer Marsden reviewed the request and concluded that based on prior sales and conservative projections or the 15 year period, the facility should generate nearly $12 million in local sales tax to the city, of which approximately 4 million will be shared, with whom Toyota and approximately 8 million will be retained by the city. This amount is nearly 4 million more than the sales tax base staff believes. The sales tax incentive agreement is a persuasive economic development tool and is widely used by other cities. Staff recommends that City Council authorize the proposed sales tax incentive agreement and Mr. Human Assadi is in the audience this evening and is available to respond to counsel if requested. And additionally, I'm available to answer your questions.
Speaker 4: May.
Speaker 5: Move.
Speaker 3: Again. Okay. There's been a motion and a second. Councilmember Price, I mean Councilmember Mongo.
Speaker 10: Thank you. This is going to be the first of many sales tax agreements that are going to come before this council. I'm really excited that we're going to attack increasing our sales base here in Long Beach so that we can afford the important things that we need streets, sidewalks, trees, public safety and all of those things cost money. And to do that, we need Long Beach residents to purchase their cars, purchase their groceries, purchase their gas inside the city limits of Long Beach. We're really proud that Hooman has chosen to stay in Long Beach. We know there are a lot of potential areas he could have moved to and we are thankful to have you as a partner and we look forward to doing more deals like this in the future. So bring us some more business. Thank you.
Speaker 3: Thank you. Scott Trumbo.
Speaker 1: O'DONNELL Yes, thank you. And I just want to congratulate Mr. Herrmann. He's a good man. He does well for our city. He's a volume dealer. That means he sells a lot of cars and that tax comes back, back into our coffers and pays for our streets, sidewalks, libraries, etc.. And I thank him for his commitment to our city. You just mentioned it. He could have gone to a number of other cities, but he chose to stay in Long Beach, cost him a little bit of money to do it, and it took him a couple of years to do it. Not not on the fault of the city, just in tact on matters with regard to how dealerships are located. But he was very committed to moving inside the city limits of Long Beach, and we look forward to more good stuff from him. So thank you.
Speaker 3: Thank you. Councilor Andrews? Yes?
Speaker 2: It's Mr. Herman here. I'd like to congratulate him, but I've never seen him before. Oh, you don't have to sit that far in the back, young man. Okay. Congratulations. And thank you for coming to our city. Yes.
Speaker 3: Councilor Rice.
Speaker 7: Thank you. I wanted to take a moment to acknowledge that one of the items on our agenda tonight is going to be talking about economic development and sales use, sales and tax to use. And there is a report in here that I'm sure we'll talk about later, but it was developed by John GROSS and Mike Conway. And they do talk about the importance of the city of Long Beach, focusing on three premier areas of sales and one of those is auto sales for new vehicles. So this is really a great thing for us to continue to incentivize and work with businesses to bring in this particular industry to the city of Long Beach. And I want to thank staff for their report, and I think it ties in with this agenda item. So thank you.
Speaker 3: Thank you. Any public comment on the item? Say no seeing, no public comment. There's Councilman Richardson.
Speaker 1: Thanks. I just want to get in and say congratulations and looking forward to seeing you grow and expand. And I've seen your commute commercials for a while. So this is this is pretty awesome. Congratulations.
Speaker 3: Thank you. With that, there's emotion on the floor. Please cast your vote.
Speaker 6: Councilmember Andrews. Motion carries nine votes. Yes.
Speaker 3: Excellent. Now we're moving on to item number 20, Mr. Clark.
Speaker 6: Item 20 is a report from Parks, Recreation, Marine and the city manager's office with the recommendation to authorize city manager to proceed with revised requirements for the proposed Belmont Shore Beach and Aquatic Center for additional estimated cost for estimated cost of $1.3 million.
Recommendation to authorize City Manager to execute all documents necessary to implement a 15-year Sales Tax Incentive Agreement with HTL Automotive, Inc., dba Hooman Toyota of Long Beach, for the relocation and development of a Toyota dealership to be located at 3399 East Willow Street.  (District 5)