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IV. EX~a.)IPLES OF APPLICATION OF THE GRANT PROGR.a.i~i
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<br />Industry.' ×YZ buys a prope~y that is currently paying arm, ual properrf taxes to tko cotmr/in the
<br />mmcum ors 5.000 per yea:.
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<br />· Love! t grant (oase., on a $ 5,000,000 qualifying investment at a 75% grant)
<br />
<br />Year [ - propers, taxes paid = $ 5,000
<br />Year 2 - proper'D.' taxes paid = $ 33250
<br />5'ea.., .3 . propen.,,' ~a.xes paid = S 3.3.250
<br />\'ear ~' - property taxes paid = $ .33.250
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<br />with an IDI Grant ors 21.188
<br />with a.n ID[ Grant ors 21,188
<br />w(th an ID[ Grant ors
<br />
<br />N'e.~,- 5 - proper~y taxes paid = $ .33,250 with a.n ID[ Grant ors 21,[88
<br />Year 6 - property taxes paid = $ .33,250 with an iD[ Grant ors 21
<br />Year 7 - property ~a.xes paid: S 33,250 iD[ Grant ce~¢s
<br />Tae iD[ Grant would equal $ 105,94.0 at the current tax rare ors .565/$I00.
<br />Effectiv~ an.qua[ property, tax pa.wnents equal S 5,000 year l and $ I2,062 in years2-6.
<br />
<br />· Level Ir grant (based on $ 20,000.000 qualif?ing investment at a 80% grant)
<br />
<br />',,"ear I - propose
<br />Year 2 - proper'fy
<br />Y.e=_..: .3 - proper'r,/
<br />
<br />Ye=- 5 - prope.?
<br />Year 5 -
<br />
<br />tm:es'paid = S 5,000
<br />taxes paid = $ 118,000 wiOt an ID[ Grant ors 90,400
<br />
<br />taxes paid
<br />taxes paid
<br />~axes paid
<br />tm<es paid
<br />
<br />with an ID[ Grant ors 90,400
<br />wi~ a.n ID[ Grant als 90,400
<br />MC, an IDI Grant ors 90,400
<br />with an LDI Gram ors 90,400
<br />
<br />Yea: 7 - proper~y :axes paid = S 1 tS.000 ID[ Grant ceases
<br />The iD[ Or=_nt would equal $ 452.000 at the cu~enc ~ax r~e ors .585/S100.
<br />Eft%calve ~uaI prope~' e~u~t S 5,000 ye~ [ and S 27,500 in .'.'ears 2-6.
<br />
<br />· Lex'et iii grant (based on $ !00.000,000 qualifying investment ac a 85% grant)
<br />
<br />Year I ~ property ra.,tes .=aid= S 5,000
<br />Year 2 - property taxes paid = S 570.000
<br />Year 3 - property taxes Faid = S 570.000
<br />Year ¢ - properq,.' taxes paid = S 570.000
<br />Year 5 - property taxes paid = $ 570.000
<br />Year 5 - prop¢~y taxes paid = $ 570,000
<br />
<br />wi~h an IDI Grant ors 480,250
<br />with an IDI Grant ot'$ 480,250
<br />with an IDI Grant ors 480.250
<br />with an [DI Grant ors 480,250
<br />with an [DI Grant ors 480,250
<br />
<br /> property taxes paid = S 570,000 ID£ Grant ce~es
<br />Grant would equal $ 2,401,250 at the currem [ax rate of $ .565/5100.
<br />E,r,,.nve annual property tax payments equal S 5,000 year I and $ 89,750 in years 2-6.
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<br />C-1-4
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