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Incentive Value Allowed by Tax Abatement Policy <br />Data in this column shows the value of incentive recommended for each project type, according <br />to the La Porte's current Tax Abatement Policy. The percentage (%) of tax abatement allowed for each project <br />type is shown in the next column called `O/o Allowed by Tax Abatement Policy". <br />Please note that La Porte's current tax abatement policy is enclosed. <br />Staff Comments <br />Tax Abatement Policies, generally speaking, do not sufficiently address the following: <br />. Large costs often associated with retail projects such as subsidizing the cost of land, subsidizing the cost <br />of necessary infrastructure, and offering sales tax rebates to attract retail anchors, <br />. Expensive removal of blighted structures, and/or re -development expenses, <br />. "Home -Run" industrial projects like INEOS ($1 billion) or a Tesla Gigafactory (est. $6 billion), which could, <br />at least theoretically speaking, place a facility on industrial -zoned land in La Porte. (Note: The City needs <br />high value, high paying industrial development to go in industrial -zoned areas of La Porte, but a tax <br />abatement rate of 10% won't come close to attracting a "home -run" industrial project to a location within <br />La Porte's city limits.), <br />. The lack of parity between the 37% tax abatement and lack of city regulation in La Porte's two (2) <br />industrial districts, versus the restricted opportunity for industrial development within La Porte's incorporate <br />city limits, <br />. The high value of industrial advance manufacturing jobs. (Note: Tax Abatement only considers the taxable <br />value of a project's personal and business personal property), <br />