Title
Consider a resolution authorizing the Mayor to execute a Property Tax Abatement Agreement with Medistar Round Rock Rehab, LLC and PAM Squared at Round Rock.
Body
Medistar Corporation ("Medistar") and Post Acute Medical, LLC ("PAM") will develop the PAM Rehabilitation Hospital of Round Rock. Operated by PAM, this 48,000-square-foot inpatient rehabilitation hospital will provide comprehensive inpatient and outpatient therapy services for families in Round Rock and surrounding communities. The state-of-the art, 40-bed facility will be located near the intersection of Medical Center Way and North A.W. Grimes Boulevard and neighboring the campuses of Texas A&M Health Science Center, Texas State University, and Austin Community College. The hospital will feature a specially designed unit for the treatment needs of individuals who have suffered traumatic brain injury, stroke or neurodegenerative disorders, such as Parkinson's disease.
This Property Tax Abatement Agreement requires Medistar to spend $17,000,000 on the construction of the hospital and lease it to PAM, who is then obligated to provide 75 full-time jobs each with an average annual salary of at least $55,000, plus industry standard benefits. The City agrees to an abatement on the taxable value of the facility for five years, at 100% for the first two years, 50% for the third and fourth years and 24% for the fifth year. In addition, the City agrees to waive up to $100,000 of site preparation, construction permit, and inspection fees for the hospital.