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<br />Potential Abatement Ramifications for PPG Project
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<br />The numbers shown belQw are for illustration purposes only. The actual amounts of value that
<br />will be on line each year are unknown. I have selected numbers that are realistic enough that a
<br />decision based on those l1umber is prudent.
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<br />Year Project Value Full Taxes Taxes Abated Tax City Receives
<br />1999 5,000,000 $ 35,500 $ 0 $ 35,500
<br />2000 30,000,000 213,000 106,500 106,500
<br />2001 35,000,000 248,500 124,250 124,250
<br />2002 35,000,000 248,500 124,250 124,250
<br />2003 45,000,000 319,500 151,762 167,738
<br />2004 45,000,000 319,500 151,762 167,738
<br />2005 55,000,000 390,500 151,762 238,738
<br />2006 55,000,000 390,500 151,762 238,738
<br />Totals $ 2,165,500 $ 962,048 $ 1,203,452
<br />Assumptions:
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<br />1. No abatement is being offered the for the first year since the project is under construction.
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<br />2 The minimum value for abatement is $21,000,000. Once the $21,000,000 is reached, the
<br />entire amount, including the base $21,000,000 is included in the abatement calculation.
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<br />3. The maximum amount of the abatement is set /11t $42,750,000. This limit is set in order to
<br />assist Harris County in the adoption of their abatement, which is limited to $750,000 per
<br />full time job created. This project is set to add 57 full time jobs.
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