O-2001-2523 - Laserfiche WebLink

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. . e e REQUEST FOR CITY COUNCIL AGENDA ITEM Agenda Date Requested: October 22.2001 Appropriation Requested By: Robert T. Herrera Source of Funds: Department: Administration Account Number:_ Report: Resolution: Ordinance: XX Amount Budgeted: _ Exhibits: Amount Requested: Exhibits: Budgeted Item: YES NO Exhibits: SUMMARY & RECOMMENDATION Please be advised that I have asked our City Attorney to prepare an amendment to the Tax Abatement Agreement the City entered with PPG Industries on October 1, 1998. ' The request comes to us from Michael H. McGarry, General Manager of Fine Chemicals for PPG. The amendment will simply address the definition of permanent employees as defined on page two of the Agreement to language recommended by Harris County Office of Economic Development. This language will mirror what HalTis County' uses now in its definition of what constitutes a permanent employee iF certain requirements are met. ' The requested change will not alter the spirit of the Agreement entered on October I, 1998. The contract the City approved on October 1, 1998 laid out the following elements: , o The project as proposed by PPG is for a pharmaceutical unit, to be built in three stages which, when completed, is estimated to add $55 million in taxable value to the tax roll. The project will also add 57 permanent full time jobs. o The City offered PPG tax abatement on their project, for a: seven-year period (from January 2000 to December 2006) for the value of the additions to their property as long as the additions exceed $21 million but no more than a maximum of $42,750.00. We limited the abatement amount to $750,000 per job created. In my opinion, PPG has been a good corporate neighbor. They have donated over 80% of the right-oF-way needed for the extension of Bay Area Boulevard and have supported the City in other ways. I would hope you would support their request for contract modifications. Action Required bv Council: Approve Ordinance No. 2001- authorizing the City Manager to execute a modification to the Tax Abatement Agreement with PPG Industries. Approved for City Council A~enda ~J~{' -(. \-\~~ Robert T. Herrera, City Manager J" Ho"DI Date