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October 20, 2003 Page 271 (G-2) Industrial Development Incentive Grants - Public Hearing - 6:30 p.m. (G-2a) Philip Morris USA Mr. Maurice Ewing, President/CEO of the Cabarrus Economic Development Corporation, reported that Philip Morris USA has decided to purchase $124,552,000.00 (net value) of new manufacturing equipment to be located either in its plant in Richmond, Virginia or its facility in Cabarrus County. He stated the Economic Development Board has reviewed the project and determined that the request meets the industrial grant guidelines as established by the Board of Commissioners, and recommends Board approval of the inducement request. The project would qualify for a Level III grant of the County's Industrial Incentive Grant Program, or approximately 85 percent of the value of the personal property tax revenue anticipated to be generated by the project over a period of three years. Mr. Brian Corde, Director Location Strategies MinTax International Group (Consultant for Philip Morris), reviewed the company's plans to purchase new equipment for either the Cabarrus County or Richmond facility. He stated the new equipment valued at $140,000,000.00 (net value of $124,552,000.00) would not create any new jobs in Cabarrus County, but jobs could be lost if the new equipment does not come to the local facility. The City of Concord has approved an incentive grant of approximately $1.2 million and incentive packages are anticipated from the State of North Carolina and Duke Power to encourage the installation of the new equipment at the local facility. At 8:16 p.m., Chairman Freeman opened the public hearing on the proposed incentive grant for Philip Morris USA and asked if anyone wished to speak either for or against the grant proposal. The Public. Hearing Notice was published in THE INDEPENDENT TRIBUNE on October 10, 2003. Ms. Marilyn Barnhardt, resident of 5800 Wabash Lane, Concord, opposed incentives. She stated in her opinion that Philip Morris does not need the money and complained the incentive program is a scam for taxpayers and that no one monitors the incentives. There was no one else present to address the Board, and Chairman Freeman closed the public hearing at 8:20 p.m. UPON MOTION of Vice Chairman Suggs, seconded by Chairman Freeman and unanimously carried, the Board approved the incentive grant for Philip Morris USA, consistent with the Cabarrus County Industrial Development Grant Program, and subject to the negotiation and execution of a definitive agreement between Philip Morris USA and Cabarrus County. Chip Ganassi Racing with Felix Sabates Mr. Maurice Ewing, President/CEO of the Cabarrus Economic Development Corporation, reported that Chip Ganassi Racing with Felix Sabates is considering the relocation of its race team from Iredell County to a Concord site on Poplar Tent Road at Derita Road adjacent to the airport. The project will involve a real property investment of approximately $15.5 million and a personal property investment estimated at approximately $5 million. Mr. Ewing stated the Economic Development Board has reviewed the project and recommends approval of the inducement request. The company would qualify for a Level I incentive grant, or 75 percent of the value of the real and personal property tax revenue value anticipated to be generated by the project over a period of five years for the real property and three years for the personal property. Mr. Dan Griffis, Director of Business Development for Chip Ganassi Racing in Mooresville, requested support of the incentive grant request. He stated the company is now located in Iredell County and has narrowed a decision for a new location to two sites, including the site adjacent to the Concord airport. The company's move to Cabarrus County would involve approximately 150 jobs. At 8:32 p.m., Chairman Freeman opened the public hearing on the incentive grant proposal for Chip Ganassi Racing with Felix Sabates and asked if anyone wished to address the Board regarding the grant proposal. The Public Hearing Notice was published in THE INDEPENDENT TRIBUNE on October 10, 2003. Ms. Marilyn Barnhardt, resident of 5800 Wabash Lane, Concord, stated general opposition to incentives. She objected to the incentives for Ganassi Racing, stating the company does not hire workers over the age of 50. She complained that no one is monitoring incentives or the hiring practices of those companies receiving incentives. There was no one else present to address the Board, and Chairman Freeman closed the public hearing. UPON MOTION of Vice Chairman Suggs, seconded by Commissioner Carruth and unanimously carried, the Board approved the industrial development incentive