Agenda Information Sheet
DEPARTMENT: Development Services/Economic Development
CM/ ACM: Jon Fortune
Date: September 20, 2016
SUBJECT
Title
Consider adoption of an ordinance establishing an Economic Development Program under Chapter 380 of the Local Government Code for making grants of public money to promote economic development and to stimulate business activity in the city of Denton; approving an economic development program grant agreement with Sally Beauty Supply, LLC, setting forth the various conditions precedent to Sally Beauty Supply, LLC receiving the program grant; providing for a severability clause; and providing an effective date.
Body
BACKGROUND
Sally Beauty moved its corporate headquarters from New Orleans to Denton in 1982. At that time, the company had 119 stores in the United States. Today, Sally Beauty Holdings is a leading international specialty retailer and distributor of professional beauty supplies, with more than 5,000 company stores and ten distribution centers world-wide and with revenues of $3.8 billion dollars annually. Sally Beauty is one of Denton's top 10 private employers, with close to 1,000 full-time employees based in Denton; the company also manages 27,000 employees worldwide. The company is involved in the Denton community, supporting the American Heart Association's Go Red for Women, Giving HOPE, Inc., the Denton Community Food Center, and the Denton Chamber of Commerce's Women in Commerce Committee. Sally Beauty also is a founding member of UNT's Global Digital Retailing Research Center.
In 2003, Sally Beauty received a Chapter 380 Program Grant for its international headquarters facility at 3001 Colorado Boulevard. The agreement rebated 40% of the property taxes paid on new valuation created by the construction and equipping of the new facility for a ten-year period. The final tax year of that agreement was 2014. Sally Beauty received a total tax rebate of $662,730 under that agreement; the return on investment t...
Click here for full text