Flagler County IDA approves inducement resolution for $9 million asphalt plant project
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Summary
The Flagler County Industrial Development Authority adopted an inducement resolution allowing up to $9 million in industrial development revenue bonds for Project SteelWheel, after questioning about applicant financial disclosures and assurances that a local bank will underwrite the loan.
The Flagler County Industrial Development Authority on Tuesday voted to adopt an inducement resolution for Project SteelWheel, expressing the IDA’s intent to finance up to $9,000,000 in industrial development revenue bonds for a proposed asphalt production facility.
Staff member (S2) presented the project and recommended approval of inducement for a $9 million bond. A company representative (Presenter S3) described plans for an on-site asphalt plant, expanded office and maintenance shop space, short-term storage silos and a construction timeline aiming to start before the end of the year, subject to remaining permits and a silo-height variance.
“We’re looking to do an asphalt plant…we currently sub out the asphalt to other companies, and we'd like to start doing that…in-house,” Presenter (S3) said, describing local work and the intent to sell to nearby customers. Presenter (S3) estimated the project could add roughly 55 employees, with salary ranges of about $50,000 to $75,000 in initial estimates.
Board members questioned the project’s underwriting and operational capacity. Committee member (S7) pressed for confidential financial materials and warned, “I will vote no on every future item coming to this board if we don't get basic information,” underscoring concern among some members about approving inducement without seeing more detailed financials.
Legal/administrative comment (Staff member S8) explained statutory confidentiality options: certain project details can be protected if requested in writing for periods typically up to 12 months, and some protections can extend approximately 180 days after a memorandum of agreement is executed, but complete public disclosure can follow depending on statutory timelines.
Rick Wells (S9), identifying himself as chief lending officer at Intercoastal Bank, said his bank had issued a term sheet and would perform a full underwriting if the applicant moves forward. “We would go through full underwriting of this deal,” Wells said, adding that the bank is locally owned and has reviewed some historical financials for the company.
After discussion, Committee member (S5) moved and the board approved an inducement resolution expressing the IDA’s intent to finance the project through industrial development revenue bonds in an amount not to exceed $9,000,000, approve a memorandum of agreement and authorize the chair to execute documents subject to required approvals by the Flagler County Board of County Commissioners. The motion was seconded and adopted by voice vote.
Chair (S1) opened the item for public comment; no one spoke. The board congratulated the applicant and closed the presentation. Staff and legal counsel said they would pursue options to balance requester confidentiality with board oversight and report back.
The motion passed by voice vote with members present voting in the affirmative. The inducement resolution expresses intent and does not itself obligate the county; final bond issuance and any MOU execution remain subject to later approvals.
