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IV. EX..-%3,IPLES OF APPLICATION OF THE GR.,MNT PROGP,.A~!
<br />
<br />Industry. XYZ buys a property that is currently paying annual property taxes to the court5, in the
<br />amount ors 5,000 per year.
<br />
<br />· Level I grant (based on a $ 5,000j)O0 qualifying investment at a 75% grant)
<br />
<br />Year I - property, taxes paid = $ 5,000
<br />Year 2 - property, taxes paid = $ 33,250
<br />Year 3 - property, taxes paid = $ 33.250
<br />Year 4 - property, taxes paid = $ 33,250
<br />Year 5 - property taxes paid = $ 33,250
<br />Year 6 - property taxes paid = S 33,250
<br />
<br />with an ID[ Grant ors 21,188
<br />with an ID[ Grant ors 21,188
<br />with an IDI Grant ors 21,188
<br />with an ID[ Grant ors 21,188
<br />with. an ID[ Grant ors 21,188
<br />
<br />Year 7 - property taxes paid = $ 33,250 ID[ Grant ceases
<br />The ID[ Grant would equal $ 105,940 at the current tax rate ors .565/$I00.
<br />Effective annual property mx payments equal $ 5,000 year I and $12,062 in years 2-6..
<br />
<br />· '.Level ii grant (based on $ 20,000,000 qualifying investment at a 80% ~ant)
<br />
<br />Year I - property taxes
<br />Ye~ 2 - properzy taxes
<br />Year 3 - propervy taxes
<br />Year 4 - properzy taxes
<br />Year 5 - property, taxes
<br />Year 6 - prope~,' taxes
<br />
<br />paid = $ 5,000
<br />paid = S I 18,000
<br />paid = $ l i 8,000
<br />paid = $ 1 l 8,000
<br />paid = $ I 18,000
<br />paid = $ l i 8,000
<br />
<br />with an ID[ Grant ors 90,400
<br />with an ID[ Grant ors 90,400
<br />with an IDI Grant ors 90,400
<br />with an ID[ Grant ors 90,400
<br />with an ID[ Grant ors 90,400
<br />
<br />Year 7 - property taxes paid = $ [ 18,000 ID[ Grant ceases
<br />The [DI Grant would equal S 452.000 at the current tax rate ors .565/5100.
<br />Ef:'ecrive av. nual property equal $ 5,000 year I and $ 27,600 in years 2-6.
<br />
<br />· Level [II grant (based on $ I00,000,000 quali~'ing investment at a 85% grant).
<br />
<br />Year I - property, taxes paid = $ 5,000
<br />5(e~ 2 - property, taxes paid = $ 570,000 with an ID[ Grant ors 480,250
<br />Ye?.r 3 - property taxes paid = $ 570,000 with an ID[ Grant ors 480,250
<br />"(ear 4 - property taxes paid = $ 570,000 with an ID[ Grant ors 480,250
<br />Year 5 - propert?' taxes paid -- $ 570,000 with an iD[ Grant ors 480,250
<br />Year 6 - property taxes paid = $ 570,000 with an ID[ Grant ors 480,250
<br />Year 7 - property taxes paid = $ 570,000 ID[ Orant ceases
<br />The iD[ Grant would equal $ 2,401,250 at the current tax rate ors .565/$100.
<br />Effective armual property tax pa.wnents equal $ 5,000 year 1 and $ 89,750 in years 2-6.
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