CITY OF ORLANDO
COUNCIL AGENDA ITEM


Items Types:
Economic Development
For Meeting of:
November 9, 2020
District: 1 From:
Contract ID: Document Number:
Exhibits: Yes On File (City Clerk) : Yes Draft Only: No
Grant Received by City?: No

Subject:
Economic Development Incentive Agreement between the City of Orlando and Lilium Aviation, Inc.

Summary:
Lilium Aviation, Inc. (“Lilium”) is a private limited liability company registered in Germany. Lilium is a global aviation and mobility company.

Lilium is considering constructing and operating a 56,000 square foot transportation hub in the City of Orlando. At this location, Lilium anticipates creating 143 new jobs in the City by December 31, 2025 with an average salary of $66,451, excluding benefits, which is in excess of 125% of the Orange County average annual wage. The total capital investment for the project is estimated at $25 million.

The City of Orlando proposes to provide Lilium with a tax rebate in an amount not to exceed 50% of the City of Orlando real and tangible personal property taxes assessed on the property for a period of ten years, estimated to begin FY 2026/2027 through FY 2035/2036, with a maximum cumulative rebate amount over that time period not exceeding $831,250 and the maximum annual rebate not exceeding $83,125. It is estimated Lilium will generate, depending on final capital investment number, $166,250 annually to the City of Orlando General Fund and $1,662,500 over a period of ten years.

The Economic Development Incentive Agreement includes strict accountability requirements that Lilium must meet to remain eligible for the tax rebate. This is a performance-based incentive and no funds will be dispersed if Lilium does not meet performance requirements.

Fiscal & Efficiency Data: Fiscal impact statement is attached.

Recommended Action:
Approving the Economic Development Incentive Agreement between the City of Orlando and Lilium Aviation, Inc. and authorizing the Mayor or Mayor Pro Tem and City Clerk to execute the same, subject to review and approval by the City Attorney’s Office. 


Agenda Item attachment(s) on file in the City Clerks Office.

Note: All agenda items must be in the City Clerk's office by Noon Friday, six(6) business days prior to the regular Monday City Council meeting.

Contact: Sherry Gutch, 407.246.3346
Approved By:

Department Date and Time
Budget Outside Routing Approval 10/28/2020 1:50 PM
City Clerk 10/29/2020 1:32 PM

ATTACHMENTS:
Name: Description: Type:
FIS_Lilium.pdf FIS Fiscal Impact Statement
FinalTaxRebateAgreement_-_Lilium.pdf Agreement Backup Material

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