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<br />" <br /> <br />-} . ~ <br /> <br />, <br /> <br />. <br /> <br />m <br /> <br />" '. <br /> <br />PPG Industries, Inc., 1901 Avenue H & 16th 51., P.O. Box 995, La Porte, Texas 77572-0995 <br /> <br />John A, Weihrich, Plant Manager <br />Fine Chemicals <br />281-471-0943 <br /> <br />May 19, 1998 <br /> <br />Mr. Robert T. Herrera, City Manager <br />City of La Porte <br />P.O. Box 1115 <br />La Porte, TX 77572-1115 <br /> <br />CITY ~t4\NAGeR <br />q - ()-()- - C;q <br /> <br />Re: Property Tax Relief -La Porte Plant <br /> <br />Dear Mr. Herrera, <br /> <br />Thank you very much for meeting with Hansen Gilan and myself in regards to <br />the City of La Porte providing property tax abatement for our major capital improvement <br />projects that may be constructed at the La Porte, Texas plant site. <br /> <br />As we discussed, PPG Industries is currently considering the construction of a <br />new Pharmaceutical Intermediates production unit, a new Isocyanates production unit, <br />and an accompanying thermal oxidizer for pollution control. We estimate that the total <br />cost of building these three units will be in the range of $40 million to $50 million. <br /> <br />We would expect these three projects to require a permanent workforce of a <br />minimum of 30 to a maximum of 42 highly skilled chemical plant operators and <br />maintenance mechanics. It is expected that construction of these two units will take <br />eighteen to twenty months and will employ upwards of 150 local construction workers. <br /> <br />As I'm sure you are aware, there are several facilities with-in the PPG <br />organization that would like to acquire these three units at their plant sites. As you also <br />know, the current property tax rate on the La Porte plant is one of the highest rates paid <br />by PPG. These three units, if built at our Lake Charles, LA plant, would enjoy a ten <br />year 100% tax abatement and a low value and low tax rate when they finally enter the <br />tax rolls in ten years. <br /> <br />Any assistance that the City of La Porte can provide in making the La Porte plant <br />more competitive, through property tax abatement, would be viewed very favorably by <br />PPG's management and would provide additional incentive for PPG to locate these <br />three units at the La Porte plant site. <br /> <br />Sincerely, <br />PPG Industries '. <br />9 rL CcJ ..<.~' <br /> <br />John A. Weihrich, <br />Plant Manager <br />