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2006-072-RES-Tax Abatement Kimberely Clark Tax Abatement RESOLUTION NO. 2006-072 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PARIS, PARIS, TEXAS, APPROVING AND AUTHORIZING A TAX ABATEMENT AGREEMENT WITH KIMBERLY-CLARK CORPORATION; MAKING OTHER FINDINGS AND PROVISIONS RELATED TO THE SUBJECT; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City Council of the City of Paris has been presented a proposed agreement by and between the City of Paris, Paris, Texas, and Kimberly-Clark Corporation, providing for a commercial and industrial tax abatement for certain improvements, a copy of which is attached hereto and incorporated herein by reference hereinafter called "AGREEMENT"; and, WHEREAS, upon full review and consideration of the AGREEMENT, and all matters attendant and related thereto, the City Council is of the opinion that the terms and conditions thereof should be approved, and that the Mayor should be authorized to execute it on behalf of the City of Paris; NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PARIS, PARIS TEXAS: Section 1. That the findings set out in the preamble to this resolution are hereby in all things approved. Section 2. That the terms and conditions of the proposed AGREEMENT, having been reviewed by the City Council of the City of Paris and found to be acceptable and in the best interests of the City of Paris and its citizens, be, and the same are hereby, in all things, approved. Section 3. That the Mayor is hereby authorized to execute the AGREEMENT and all other documents in connection therewith on behalf of the City of Paris substantially according to the terms and conditions set forth in the AGREEMENT. Section 4. That the terms of the Tax Abatement Agreement and the property the subject thereof meet the Guidelines and Criteria heretofore adopted by the City of Paris by Resolution No. 2005-144 passed on December 12, 2005, as amended by Resolution No. 2006-042, dated March 13, 2006. Section 5. That, by hereby granting the tax abatement, there will be no substantial adverse effect on the provision of City services or on its tax base. Section 6. That the planned use of the property the subject of the tax abatement will not constitute a hazard to public safety, health, or morals. Section 7. That this approval and execution of the AGREEMENT on behalf ofthe City is not conditional upon approval and execution of any other tax abatement agreement by any other taxing entity. ATTEST: Section 8. That this resolution shall be effective from and after its date of passage. PASSED AND ADOPTED this the 8th day of May, 2006. '\ \i:~, APPROVED AS TO FORM: -~V\ ;J. ~ D. Lestock, Assistant City Attorney \ THE STATE OF TEXAS ) ) COUNTY OF LAMAR ) T AX ABATEMENT AGREEMENT This Tax Abatement Agreement (the "Agreement") is entered into by and between the CITY OF PARIS, PARIS, TEXAS, a municipal corporation, situated in Lamar County, Texas, acting by and through its authorized officer whose signature appears below (hereinafter called "City"), and KIMBERLY-CLARK CORPORATION, acting by and through its authorized officer whose signature appears below (hereinafter referred to as "Owner"). WITNESSETH: 'WHEREAS, the City Council of the City of Paris did heretofore, on the 22nd day of September, 2004, in Resolution No. 2004-164, elect to be eligible to participate in tax abatement agreements in order to maintain and enhance the commercial and industrial economic and employment base of the Paris area for the long term interest and benefit of the City and its citizens; and, WHEREAS, the City Council of the City of Paris did heretofore, on the 22nd day of September, 2004, in Resolution No. 2004-165, pass and adopt a policy on tax abatement incentives; and, WHEREAS, the City Council of the City of Paris did heretofore, on the 8th day of May, 2006, pass Ordinance No.2006- 020, (hereinafter referred to as the "ORDINANCE") establishing a Reinvestment Zone in the City of Paris, Texas (the"Reinvestment Zone"), for commercial and industrial tax abatement, as authorized by the Property Redevelopment and Tax Abatement Act, Chapter 312, Texas Property Tax Code, as amended (the "Act"); and, \VHEREAS, in accordance with the Act, with proper notice to the public, a public hearing to consider the Ordinance was held on May 8, 2006, during a regular meeting of the City Council, City Council Chambers, Central Fire Station, located at 107 East Kaufman Street, Paris, Texas, during which all interested persons were allowed to appear and be heard; and, \VHEREAS, the City Council of the City of Paris did heretofore, on the 1zth day of December, 2005, in Resolution No. 2005-144, as amended by Resolution No. 2006-042, dated March 13, 2006, pass and adopt appropriate guidelines and criteria governing tax abatement agreements to be entered into by the City as required by the Property Redevelopment and Tax Abatement Act, as amended; \VHEREAS, the Property, as hereinafter defined, is situated within and is identical in location and configuration with the Reinvestment Zone; and the contemplated use of the EXHIBIT A. Property, and the contemplated improvements to the Property in the amount as set forth in this Agreement, and the other terms hereof are consistent with encouraging development of said Reinvestment Zone in accordance with the purposes for which it was created and are in compliance with the City's policy on tax abatement incentives and the ordinance creating such Reinvestment Zone adopted by the City and all applicable laws; NOW, THEREFORE, The Parties hereto do mutually contract and agree as follows: I. Term 1.1 The term of this Agreement shall begin on the 8th day of May, 2006, with, as hereinafter provided, tax abatement granted herein beginning with the tax year beginning January 1, 2008, and expiring on December 31, 2014, subject to the right of the Owner to extend the term of this tax abatement for an additional three (3) years (i.e. until December 31,2017), as is provided for in Article VII, below. II. Area to be Improved 2.1 The Property to be the subject of this Agreement shall be that Property described in Exhibit A, attached hereto, which is made a part hereof and shall be hereinafter referred to as Property (which Property is the same property as that contained within the Reinvestment Zone). III. Improvements 3.1 The Owner's current facilities consist of land, buildings, and other structural improvements, all as shown on Exhibit B, attached hereto. The Owner shall make improvements to the Property in the locations shown on Exhibit A attached hereto, as follows: The Owner will provide for the construction of approximately 450,000 square feet of conventional warehouse space and a new truck lot. The expansion will include space required for Baby Care operations to support 2010 forecasted rate of operations, replacing the current storage capacity of the existing ASRS, and future space for potential Baby and Child Care robotic cells. The ASRS will be removed from the site and the footprint converted into conventional warehouse space (described by survey in Exhibit C attached hereto), all of which will be particularly described in City's Certificate of Completion prepared for City by Owner and verified by City after the completion and installation of the improvements herein described, which shall be furnished to and filed with the Chief Appraiser of the Lamar County Appraisal District. Said Certificate shall be duly executed by the Mayor of the City of Paris in the form attached hereto as Exhibit D. The purpose of the improvements is to improve the effectiveness of the Paris Operations and Distribution functions by removing the Automated Storage and Retrieval System (ASRS) and replacing it with conventional warehousing. The improvements described in this paragraph shall be 2 hereinafter referred to as the "Improvements", The Improvements will be at a cost equal to or in excess of $20,000,000.00, for building additions, for a total investment of $20,000,000.00, and shall be substantially completed on or about June 30, 2007; provided, that Owner shall have such additional time to complete the Improvements as may be required in the event of "force majeure" if Owner is diligently and faithfully pursuing completion of the Improvements. For this purpose, "force majeure" shall mean any contingency or cause beyond the reasonable control of Owner including, without limitation, acts of God, or the public enemy, any natural disaster, war, riot, civil commotion, insurrection, governmental or de facto governmental action, unless caused by acts or omissions of Owner, fires, explosions, accidents, floods, and labor disputes or strikes. The date of completion of the Improvements shall be defined as the date a Certificate of Occupancy is issued by the City of Paris, or as otherwise agreed in writing by the parties. IV. Consideration Improvements 4.1 The Owner agrees and covenants that it will diligently and faithfully, in a good and workmanlike manner, pursue the completion of the Improvements. As a good and valuable consideration of this Agreement, Owner further covenants and agrees that all construction of the Improvements will be in accordance with all applicable state and local laws, codes and regulations, or Owner will procure a valid waiver thereof. In further consideration, Owner shall thereafter, from the date a Certificate of Occupancy is issued or the Improvements are completed as agreed, until the expiration of this Agreement, continuously operate and maintain the Property and the Improvements, including the specific units of new equipment as identified herein, as a production and manufacturing plant. V. Consideration Jobs 5.1 The Owner currently has in excess of 800 permanent full-time employees at the existing site. The Owner does not anticipate creating additional jobs as a result of the addition of the Improvements described herein. 5.2 The Owner will retain sufficient employment levels to efficiently support its plant operations. VI. Default 6.1 In the event that (a) the Improvements for which an abatement has been granted are not completed in accordance with this Agreement or the expenditure for the Improvements does not meet the amount required herein; or (b) Owner allows its ad valorem taxes owed the City to become delinquent and fails to timely and properly follow 3 the legal procedures for protest or contest of any such ad valorem taxes; or (c) Owner materially breaches any of the other tenns and conditions of this Agreement, then this Agreement shall be in default. In the event the Owner defaults in its perfonnance of either (a), (b) or (c) above, then the City shall give the Owner written notice of such default and if the Owner has not cured such default within sixty (60) days of said written notice, this Agreement may be modified or tenninated by the City. Notice shall be in accordance with paragraph 13.3. As liquidated damages in the event of default, and in accordance with the requirements of Section 312.205 (a)( 4) of the Property Tax Code of the State of Texas, all taxes which otherwise would have been paid to the City without the benefit of abatement, together with interest to be charged at the statutory rate for delinquent taxes as detennined by Section 33.01 of the Property Tax Code of the State of Texas, with all penalties pennitted by the Property Redevelopment and Tax Abatement Act and the Property Tax Code of the State of Texas, shall be recaptured and will become a debt to the City and shall be due, owing, and paid to the City within sixty (60) days of the expiration of the above-mentioned applicable cure period as the sole remedy of the City, subject to any and all lawful offsets, settlements, deductions, or credits to which Owner may be entitled. The parties acknowledge that actual damages in the event of default and tennination would be speculative and difficult to detennine. VII. Tax Abatement 7.1 Subject to the tenns and conditions of this Agreement, and subject to the rights and holders of any outstanding bonds of the City, a portion of ad valorem Property taxes from the Property otherwise owed to the City shall be abated. Said abatement shall be an amount equal to one hundred percent (100%) of the taxes assessed upon the increased value of the Improvements made by Owner to the Property described in Section III of this Agreement, over the value in the year in which this Agreement is executed, in accordance with the tenns of this Agreement and all applicable state and local regulations or valid waivers thereof; provided that the Owner shall have the right to protest or contest any assessment of the Property and said abatement shall be applied to the amount of taxes finally detennined to be due as a result of any such protest or contest. For the purposes of this Agreement, the initial value of the existing real property (not subject to abatement) shall be deemed to be the value as shown on the tax rolls of the Lamar County Appraisal District as of January 1 of the year in which the Agreement is executed, said amount being $15,244,600 for Land and Buildings. The current abatement which is the subject of this Agreement shall extend for a period of seven (7) years beginning January 1, 2008. Notwithstanding the term of the tax abatement expressed in the foregoing sentence, this tax abatement by the City to the Owner with respect to the Property and the Improvements may be extended at the option of the Owner for an additional three (3) years in the following manner and upon the following condition: (i) Not later than July 1, 2014, the Owner requests an extension of this tax abatement by written notice to the City for the additional three year period; and (ii) In the foregoing written notice, the plant manager of the Paris, Texas, plant (or an officer of the Owner) certifies that the Paris, Texas, plant 4 still employs at least five hundred (500) persons working at such plant. Upon receipt of such written notice requesting the extension of the tax abatement from the Owner and certifying that the employment status at the plant is as is required in (ii) above, the City will permit the tax abatement described in this Agreement of 100% of the taxes assessed upon the increased value of the Improvements made by Owner to the Property described in Section III of this Agreement, over the value in the year in which this Agreement is executed, to continue for the calendar years, 2015, 2016 and 2017. Effective January 1, 2018, one hundred percent (100%) of the then current appraised value of the Property and the Improvements will be placed on the tax rolls for taxation. 7.2 The abatement granted herein shall be subject to and governed by the Guidelines and Criteria for Tax Abatements, a copy of which is attached hereto as Exhibit E, and Owner shall comply with the requirements of Exhibit E in the performance of this Agreement, save and except that, in the event of a conflict between the requirements of Exhibit E and this Agreemen~ this Agreement shall control. 7.3 Owner covenants and agrees that subsequent to the date 0 f this Agreement, any application by Owner for a new tax abatement for equipment or real property located within the Property and the Investment Zone applicable to this Agreement shall be subject to and governed by the City's Criteria and Guidelines for Tax Abatement in effect at the time of the new application. VIII. No Conflict of Interest 8.1 The Owner represents and warrants that the Property does not include any Property that is owned or leased by a member of the Planning and Zoning Commission of the City of Paris, nor by a member of the City Council approving, or having responsibility for the approval of, this Agreement. IX. Conditions 9,1 The terms and conditions of this Agreement are binding and enforceable upon and with respect to the successors and assigns of all parties hereto. 9.2 It is understood and agreed between the parties that the Owner, in performing its obligations hereunder, is acting independently, and the City assumes no responsibility or liability in connection therewith to third parties; and Owner agrees to indemnify and hold harmless the City therefrom. It is further understood and agreed among the parties that the City, in performing its obligations hereunder, is acting independently, and the Owner assumes no responsibility or liability in connection therewith to third parties and, to the extent permissible 5 by law, the City agrees to indemnify and hold harmless the Owner therefrom. X. Compliance Provisions 10.1 The Owner agrees that the City, its agents and employees, shall have the reasonable right of access to records concerning the Owner's investment in the Improvements for the purpose of conducting an audit of the project Improvements and project costs. Any such audit shall be made only after giving the Owner notice at least fourteen (14) days in advance and will be conducted in such a manner as to not unreasonably interfere with the operation of the facility. Upon request, the Owner will provide the City with a detailed Asset Report with an itemized list of assets placed into service from the date of execution of this Agreement to the date of completion. The Asset Report will provide for each asset a unique serial and/or other identification number (if available), the date on which the asset was capitalized, the acquisition amount, and the accumulated depreciation amount. At the City's request, the Owner will provide actual invoices to support the amounts shown on the Asset Report. 10.2 The Owner further agrees that the City, its agents and employees, shall have reasonable right of access to the Property to inspect the Improvements in order to insure that the construction of the Improvements are in accordance with this Agreement and all applicable state and local laws and regulations or valid waiver .thereof. After completion of the Improvements, the City shall have the continuing right to inspect the Property to insure that it is thereafter maintained and operated in accordance with this Agreement during the term of the Agreement. All inspections will be made only after giving the Owner notice at least seventy-two (72) hours in advance and such inspections shall be conducted in such a manner so as not to interfere with the operation of the facility. Representatives of the City inspecting the Property and Improvements shall be accompanied by one (1) or more representatives of the Owner and shall sign an Agreement promising to maintain the confidentiality of any information they obtain in connection therewith except for the purposes of assessing and collecting ad valorem taxes and verifying or enforcing compliance with this Agreement. Said representative shall also be required to observe any facility rule and regulation applicable to the Property. Nothing herein shall be construed as limiting the City's ability to perform inspections or to enter the Property the subject of this Agreement. XI. Initial and Annual Reporting 11.1 The Owner further agrees that it will, within thirty (30) days of completion of the Improvements, provide City with a sworn report, written on company letterhead and signed by a designated representative of Owner, which contains the following information: (a) Copy of the printout from the Lamar County Appraisal District showing the market value of the Property prior to the construction of the Improvements; (b) Detailed description of Improvements; 6 (c Copy of or identification of plans and specifications of constructed Improvements and the location of the same for inspection by City's certification team; (d) Actual cost of capital Improvements; and, (e) Date of substantial completion of the Improvements as defined in paragraph 3.1 hereof. 11.2 The Owner further agrees that it will provide City with an annual, sworn report which shall certify, in writing, that it is in compliance with each applicable term of this Agreement. Such annual report shall be furnished in such form as the City shall reqUIre. 11.3 In addition to the annual report required under Section 11.2 hereof, the Owner further agrees that it will provide City a copy of the Employer Reference summary page of its Texas Workforce Commission Employer's Quarterly Report within thirty (30) days of its filing of the same with the Texas Workforce Commission. The Owner will provide an affidavit signed by the Plant Manager or an Officer of the Company certifying that the information provided in the summary page is a true and valid report filed with the Texas Workforce Commission. XII. Authority to Contract 12.1. This Agreement was authorized by resolution of the City Council at its regularly scheduled meeting on the 8th day of May, 2006, authorizing the Mayor to execute the Agreement on behalf of the City. 12.2 This Agreement was entered into by KIMBERLY -CLARK CORPORATION pursuant to the authority granted to the authorized official whose signature appears below. 12.3. This Agreement shall constitute a valid and binding Agreement between the City and Owner when executed in accordance herewith, regardless of whether any other taxing unit executes a similar Agreement for tax abatement. XIII. Legal 13.1 No officer, official or agent of the City has the power to amend, modify or alter this Agreement or waive any of its conditions or to bind the City by making any promise or representation not contained herein. 13.2 This Agreement, except by operation of law, shall not be assigned or transferred by Owner, without the prior written consent of City, which consent shall be at 7 the sole discretion of the City. 13.3 Any written notice required or permitted under the terms of this Agreement shall be given and be deemed to have been duly served if either (1) delivered in person, or (2) deposited certified mail, return receipt requested, postage prepaid in the United States mail, addressed to the designated representative of the respective parties which are designated as follows: Owner KIMBERLY-CLARK CORPORATION Attn: Charles Lynch, Plant Manager 2466 F. M. 137 Paris, TX 75460 City City Manager City of Paris P. O. Box 9037 Paris, Texas 75461-9037 With a Copy To: Mr. Lester Rhodes Ryan & Company 13155 Noel Road, 12th Fl., LB-72 Dallas, Texas 75240 City Clerk City of Paris, Texas P. O. Box 9037 Paris, Texas 75461-9037 13.4 If any term or provision of this Agreement shall be declared unconstitutional or void by any court of competent jurisdiction, the constitutionality and validity of the remainder of said Agreement shall not be affected thereby, and to this end the terms and provisions of said Agreement are declared to be severable. 13.5 This Agreement sets forth the entire understanding between the parties, and any other understandings or Agreements shall be canceled and superseded by this Agreement upon the date of execution hereof. None of the terms of this Agreement shall be waived, discharged, altered or modified in any respect, except by an Agreement in writing signed by both parties and specifically referring to this Agreement. The captions in this Agreement are included for convenience only and shall not be taken into consideration in any construction or interpretation of this Agreement or any of its provisions. This Agreement is performable in Lamar County, Texas, and shall be governed by, construed and enforced in accordance with the laws of the State of Texas. The provisions of this Agreement shall apply to, bind and inure to the benefit of the City, Owner, and their respective successors, and permitted assigns, if any. 13.6 Venue for any actions arising under this Agreement shall lie exclusively in the courts of Lamar County, Texas, for any state court action, and in the U.S. District Court for the Eastern District of Texas for any Federal Court action. Witness our hands this 8th day of May, 2006. 8 ATTEST: Janis Ellis, City Clerk ATTEST: �%'����v Secretary By: 1.`� Curtis Fendle3; Mayor �� APPROVED AS TO FO �� � � n D. Lestock, Asst. City Attorney HIMBERLY-CLARK CO ORATION By: � �, David L. Bernard, Vice President-Taxes APPLICATION FOR TAX ABATEMENT AGREEMENT (Follows this Page) CI1Y OF P ARI8, PARIs, TEXAS TAX ABATEMENT AND REINVESTMENT WNE DESIGNATION APPUCATION 11DSAPPUC4110N MUSTBE RECEIVEDBY 1HECIfY NOTLESS 11lAN SIXIY(6O)DAYSPRlORTO THE DATE THAT CONSTRUCTION OF THE IMPROVEMENTS lSEXPECfEDTOCOMMENCE 1. NAME OF APPUCANT FIRM: Kimberly-Clark Corporation 2. ADDRESS: Kimberly-Clark Corporation P.O. Box 349 Neeanh, WI 54957.r049 3. TELEPHONE: 920.721.2000 4. PROJECf ADDRESS (If different from above): 2200 lcJh Streft SW Paris, TX 75460-6871 5. lYPE OF BUSINESS ORGANIZATION (corporaoon, etc.): Corooration In the state of Delaware 6. NAME(S) OF PRINCIPAL OWNERS OR OFFICERS: See attached sheet titled "Elected Officers" 7. IS TIllS BUSINFSS SEASONAL IN NATURE YES X NO 8. NUMBER OF CURRENT EMPWYEES: (in Enterprise Zone) ffll (mQtvofPam) 441 (m Ulmar Countv) WI 9. CURRENT PAYROLL (in City of Palis): $ 26,000,000 to. NUMBER OF NEW JOBS PROPOSED: .0. It. LIST THE TYPE AND NUMBER OF NEW JOBS TO BE CREATED AND THE PROJECTED SALARY FOR EACH JOB: N/A 12. PLEASE PROVIDE INFORMA T10N PERTAINING TO THE TRANSFER OF JOBS RELATED TO THE IMPROVEMENTS OR EXPANSION: N/A 13. TOTAL IMP ACT ON PAYROLL FROM NEW JOBS: $ N/A 14. PRE.PROJECT MARKET VALUES, AS DETERMINED FOR LOCAL PROPERTY TAXATION, OF THE EXISTING FACILITY, SITE, TANGIBLE PERSONAL PROPERTY, AND INVENTORY: A. REAL PROPERTY: $ 15,244,600 107,783,134 $ B. T ANGmLE PERSONAL PROPERTY 15. GIVE A DETAILED DESCRIPTION OF THE PROPOSED IMPROVEMENTS OR EXPANSION (A TT ACH ADDITIONAL SHEETS, IF NECESSARY): See attached sheet titled "Description of the Proposed Improvements" 16. THE ESTIMATED DATE OF COMPLETION OF THE MPROVEMENTS: Second Quarter 2007 17. THE ESTIMATED DATE OF OPERATION OF THE IMPROVEMENTS OR EXPANSION: Second Quarter 2007 18. ESTIMATES OF AMOUNTS TO BE INVESTED: A. PURCHASE OF LANDIBUILDING: $ B. NEW BUILDING CONSTRUCTION: $ C. BUILDING ADDITIONS: $ D. IMPROVEMENTS TO EXISTING BLDG. $ E. MAcmNERY & EQUIPMENT: $ F. FURNITURE & FIXTURES: $ TOTAL INVESTMENT AMOUNT $ 19. TOTAL INVESTMENT EUGmLE FOR ABATEMENT: $ 20,000,000 from item 17 (please circle) ABC D E F 20,000,000 20,000,000 20. UST THE TYPE AND VALUE OF ECONOMIC DEVELOPMENT INCENTMS REQUESTED (LE., TAX ABATEMENT, LOCAL SALES TAX REFUND, SALE OF CITY OWNED PROPERTY, ETq: Tax Abatement $ 20,000,000 $ $ 21. FOR TOTAL PERSONAL PROPERTY INVESTMENT INDICATED ABOVE IN ITEM 19, LINES E & F, SHOW PROJECTED DOLLAR VALUE IN EACH DEPRECIATION SCHEDULE. V. (16yr) (18yr) (20yr) I. (7yr) II. (10yr) III. (12yr) IV. VI. 22. STANDARD INDUSTRIAL CLASSIFICATION (Slq NUMBER 267 23. NAME, ADDRESS, AND PHONE NUMBER OF CONT ACf FOR THE PURPOSES OF TIllS APPLICATION: Lester Rhodes, 13155 Noel Road 12th Floor LB-72 Dallas, Texas 75240, 972.934.0022 24. INDICATE THE DATE AND TIME THAT CITY ,OFFICIALS MAY INSPECT THE CURRENT FACILITIES PRIOR TO THE COMMENCEMENT OF CONSTRUCTION: Any time during the month of April 25. IF APPLICABLE, THE NAME, ADDRESS, AND PHONE NUMBER OF ANY CONSULTANTI FINANCIAL ADVISOR ASSISI1NG YOU WITH THIS APPLICATION: Ryan & Company,131SS Noel Road 12th Floor LB-72 Dallas, Texas 75240, 972.934.0022 26. NAME AND TITLE OF PERSON WHO WILL HAVE AUTHORITY TO SIGN ANY AGREEMENTS RELATED TO THIS APPLICA nON: David L. Bernard, Vice President. Taxes 27. DO YOU INTEND TO SUBMIT AN ENTERPRISE PROJECT APPLICATION? no 28. PLEASE ATTACH THE FOLLOWING: 1. A PLAT SHOWING, THE PRECISE LOCATION OF THE PROPERTY, ALL ROADWAYS WITHIN 200 FEET OF THE SITE, AND ALL EXISTING ZONING AND LAND USES WITHIN 200 FEET TO THE SITE. 2. IF THE PROPERTY IS DESCRIBED BY METES AND BOUNDS, A COMPLETE LEGAL DESCRIPTION. 3. IF A RECENT APPRAISAL HAS BEEN DONE, A TT ACH THE SAME HERETO. OTHERWISE, ATIACH A COPY OF THE PRINTOUT FROM THE LAMAR COUNTY APPRAISAL DISTRICT WHICH SHOWS THE VALUE OF THE PROPERTY. THIS PRINTOUT SHOULD BE A V AILABLE UPON REQUEST. CERTIFICATIONS A. THE APPLICANT BELIEVES THE INFORMATION CONTAINED HEREIN AND SUBMI1TED HEREWITH IS COMPLETE AND CORRECf TO THE BEST OF HlS OR HER KNOWLEDGE. B. THE APPLICANT HEREBY CERTIFIES THAT THE EXPANSION OR CONSTRUCTION OF IMPROVEMENTS THE SUBJECT OF THIS APPLICATION HAS NOT BEEN COMMENCED. C. THE APPLICANT UNDERSTANDS THAT INITIATION OF THE PROJECT PRIOR, TO RECEIVING FINAL WCAL APPROVAL MAY RESULT IN THE LOSS OF THE ABATEMENT. D. THE APPLICANT UNDERSTANDS THAT, IF APPROVED, THE INFORMATION CONTAINED IN THIS APPLICATION WILL FORM THE BASIS FOR A SIGNED AGREEMENT BETWEEN THE APPLICANT FIRM AND THE CITY. STATE LAW AND LOCAL POLICY REQUIRE ANNUAL MONITORING FOR COMPLIANCE TO THAT AGREEMENT. FAILURE TO COMPLY MAY RESULT IN LOSS OF INCENTIVES. E. THE APPLICANT HEREBY CERTIFIES THAT THE FIRM IS CURRENT IN ALL TAX OBLlGA nONS TO THE CITY OF PARIS. COMPANY: By: (signature) Name: Title: Date: KIMBERLY-ClARK CORPORATION Officers Elected by the Board of Directors ELECTED OFFICERS Name Robert Eo Abernathy nle Group President Addre~ 1400 Holcomb Bridge Road Roswell, Georgia 30076.2199 Llzanne C. Gottung Senior VICe President . Human Resources 1400 HOlcomb Bridge Road Roswell, GeorgIa 30076--2199 Mark A. Buthman Senior \lice President and 351 Phelps Drive Chief Financial Officer Irving, Texas 75038 Ronald D. McCray Senior Vice President. 351 Phelps Drlve Law and Government Affal1'8 Irving, Texas 76038 Thomas J. Falk Chairman of the Board i1nd 351 Phelps Drive Chief Executive OffIcer Irving, Texas 75038 Jolene L. Varney Vice President and Treasurer 351 Phelps Drive Irving, Texas 76038 W, Dudley Lehman Group President - 1400 Holcomb Bddge Road Business to Business Roswell, Georgia 30076-2199 Cheryl Perkins Senior Vice President & 401 North Lake Street Technical Officer Neenah, WISconsin 54956 Timothy O. Everett Vice President, and 351 Phelps Drive Secretary Innng,Texas 75038 Randy J, Vest VIce President and Controller 351 Phelps Drive Irving, Texas 75038 .-27-2004 KIMBERLY-CLARK CORPORATION Officers and Assistant Officers Elected or Appointed by the Board of Directors ~ Name Title ~ Terence N. Asslnk Vice PresIdent- Management Information Systems 401 North Lake Street Neenah, Wisconsin 54956 Steve A Harmon Vice Presldent..corporate Transportation 520 West Summ~ Hill Drive KnoxvIlle, Tennessee 37902 Raymond J van Eperen Vice Pr~sident-Rlsk Management 351 Phelps Drtve Irving, Texa$ 75038 Bruce Veldman Assistant Controller 520 West SummIt Hili Drive Knoxville, Tennessee 31902 Paul F. McGuire Assistant Controller-Taxes 401 North Lake Street Neenah, WI 54955 Michael T. Azbell Assistant Controller 351 Phelps Drive IrvIng, Texas 75038 Jackie A. Bates Asslstant Secretary 351 Phelps Drive IrvinQ, Texas 75038 Nancy Lee Carter Assistant Secretary 401 North Lake Street Neenah, Wisconsin 54956 L Robert Frazier Assistant Treasurer 351 Phelps Drive Irving, Texas 75038 Gary Tonies Vice President 401 North Lake Street Neenah. Wisconsin 54956 David L. Bernard Vice President - Taxes 401 North LaKe Street Neenah, Wisconsin 54956 Mark R. Hunsader Vice President - Audit, 401 North Lake Street Financial Reporting Neenah, Wisconsin 54956 4-2'-2004 Description of the Proposed Investment The project objective is to improve the effectiveness of Paris Operations and Distribution functions by removing the Automated Storage and Retrieval System (ASRS) and replacing it with conventional warehousing. This project will provide for the construction of approximately 450,000 square feet of conventional warehouse space and a new truck lot. The expansion will include space required for Baby Care operations to support 2010 forecasted rate of operations, replacing the current storage capacity of the existing ASRS, and future space for potential Baby and Child Care robotic cells. The ASRS will be removed from the site and the footprint converted into conventional warehouse space. ~~~~ ~_Z[ll O(/)Cm c.n. 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(t.: SOll'.1t .alllfp'. 30 It,... bst. ~u'nJ bit 1& ;"s rt. ~utllr jlut Southtut.col'lllr 01 uld CMU Survt,)' 0114 ,..'bllt., ~ a'.t'l 1 .,' 0 '01 ))'4~S n.. 10 .n froll pill for '01'lNt; . " ' ts,Ift' lIol"l~ ~ ltt~ 30 Kf.. [ut "01" lho ~U eoun4uy UN. .r;fa.. ....131' ~11~'f 844.1 ft. La 'u frCA pin fot torflC' .~ UIe .oIl nsur1,1 IlotUlt.~, COI"l 't. IIcr.'cf ~la ~1'1 .t .l. 'r~c' Dr lad And -UIt SOll~tll\ ~or or · li'lCl ., ~jll4 lOlW~ lflt Path, Tblls.1nlvstrlfl F~II4~UOl by dt~ r,~.d I..VG~. ~. ,.'51. 01 pU DH4 _ecorcll,' . '. ,'. '.I,., 1l.Jc. '.'\0., II.. South 1ou1l4,ry UlIt of U'" f'.~tfGIl and t~ ~:'~Af7 . , 'll.. Ir ~~14 JOAf$ flll ,rut.r ,.114 .s f.l1CiltlI Soulh ~~ DtI. Urn )~11M ~ ' ' , '1)0 3) .ll_. PaL 31n 'ft. \0 . ~,.t tor corACf't In a p:ool . L ~ ,SoIi~t COI'III' = ~f4 roue4JU", lract .r 1IH aN' .. e1",o"I" D' uf4 "oau ..t'~) trICl,~)~JII). . , ~ Sou~ 4._- 13 ~'". 'rad ~ .un;",. III 74Z !t,' Lo, u.t I~ue .'~~iMf" " ."..'......... I,'. ,.;.-.... ,.. . .' ., .: .' . 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II.. ,oa. .f's.I~ OeM Rlcords, ,..lei porilt btlnt Vtst I dl~l.-ct .r 2<<' ft. ,,. tIIt'Nst, CU\arl,y So6IUlNlt COl'nL'f or safd .)Of\f$ p~ 11 tRCL.r h.t , ' lNa" par,u. 34 '~,. tlsl . c11'h.lCt Dr 150 ft. to '" lroD ,pl. tar co...... '1' Ott. .rl/lllt$l u""r or "II' 'm,f~ trlcL of ~lIldl ". t... . lllIAC' $Gulli .,"~. U .RIII. Cut a Ibtam .r 200 ft. 10 II Ir.. pI, (or COrMI' at' ib't.1Iortknt corNr of la'd r.rtrf~.. lract or '''Ms The"" Ih'", u.. \loil JWll'1 L{NI or ,.,. INd J37 '$ 10111142 h'OVM I (\l1'V~ 10 tJIt hft 1t4 n.s ~u is DfQ. IS ~In. tul 76 n.; Uorl) :12 ~. 30 ~I". tu~ 6" '1't. tI all fro. p'b. for forlltrl ' , L-~Vr.t. a .4~.t~' of 1126 ft. h.the ,Plac, .r \CSI,!,!ll~'''.',~ ,~,;.: I, I . . /\,u,_ i....A~ ,to oU lni ,It 1.... 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SolI,"" 10\11I'.11 U.. .r t1li.T"Af"~ r1cltic ,.n"," at lhl lllIr,U,,,,,t u!'1\C'r or 1.1. rOll~Llon tr~!.!!..'I... ."t~.I'''' :. 1It,itt ~ ~,\. PorUlel'lj!ltrt"''' \ (01'111I" or , tr.eL of "... Clll1JC'l"" D,IiaI'~ ..l.. . . by *",r;~'tn~.:J. Vo'. ~, I'.,t $7S, .r u1. Dted Prtor.... · .' .'. .; '. 'T~e $oill' It 51_ fl. III 1rOll p\n on , pDOl ~ 1M -lOllu.,J_f.. · ,.lil. ..' ... . '611" .f 101 n. lo . pollll (1M' '(.rllt" II ulll fI!Ol ~t Uwt SOllllilril.C".....t .tIl' . ' r~U" li.,t..' hl\4 ~lId all e1'cOl'ilcr: .r fll' .lOlln ~L .".Lr.a..., '~f": ....'. .' . . ~"t .l~ LM SauLh 1)OuA1ul LIPt .r ul4 (..UOll \l'ut .,t t'f1 ..:.~. ~e' Oct. [,.n'n tin. tlJt ))It It,~ lIirLb'U~. Cut ml CC; '(I.',~~ ,lA' i I rot ..", II 1M I..L....I _ " ..14 r-la II", IrKI.I ,,~ '11I IJt ","","' , . comer of said JOlIIII IL Illt.t\ cf 1,r.4: . '. . . ' . TbtllC' Ilor\1I 31 Oet. 30 ''In. Cut .10'" ,he ~t'~ OqOo4a1)' "'.. Dr AJI .......37.1. .bl.nc. Ir :no ft. to . collcrtLt !luh" for (or/llr$ 0 .' .TNnca .1G11f ,.. Soulhtrl1louDd'1'1llllt or to., 11lot1. 2" II' rallM111otQ" 01. )$ 14t11. Wlst 114 ft.; ~DI'lh ), Dos. U HI.. II,.. lS4 (M Ilortb ., 0cI~ 1$.111.. 1In~' )02 1M JIor\h .. Ot.. \lt$L U5 Ct. ~O't ODertt. __,ht (or cor..,..I\ .tlle...n~' e"1 Jtot\1ItlS\ eViler .r nil ,r~uo" VKt ., ,.ndl' '. . . ,-., k.,U. 11 Det.. "f5L .111II\I lh. Sovu I~'. tfl U...t sat, Ttu, 'M '.cIHe ~nTO'" I C1hUIIU,f un n. to \he pl", 01 '~lll\'" , . . . '. .' ,.' . o . Co... $Met to .~ 011 aM'"'' l' ~- '" . . . of C01. ."Udll, ot 'tm-d ~ Ioak~" ~t... ~1I.t 13, l'n, fob oil 7'lClJ;iJ::~rh t.::~:t:....uoad.r~'~r~t 'l~n, a:.:=. ~...~!~~ f~. PNll' lAd UEht ,..........' Aile. Uu SIlIl 01 eo.p4A'I .. tll. ." r.lI'... ..~.. OeUbt, 30 uu...........,y.t DaU.. 1M $O\lcl\W.t kIt ro:oc::.to . . {'1~'rQ~ ~ Iil ~dl~CItO~d'. Ln loOk'.". f.lC' uS. ~ e:yC""'~ ..... ~.. baiAa , OM lIaU DI\...htl'lIr~ ....'ntic'lI.till {; ~. ca. on 'M," &ad'..; to o!t. ~lll'lI.il .....labt rG)'llt)'J ~~to. ctun.~ rllISV" &.11.11 "1" &ad aU loMf ..lluau CIJI UMfl~ !nca 'dM" · =.i;.r~.:s..tu;.::~:::l'.f:.rsl'::t o..~ .8l:ttf t:i:~ __II ~.~, SA lOok ~. ;~"'~ rwo"'. I.a iU M4 ........ .f " ~ I' . " i1 'I o' M .~ ., . I .~ 'C'':- · t . ., .ita. 647 W1249 ....-.. ~..'. ,'t" , -----..................... ,'" ..,~ ~ . .,' ., I ~ ,. ,I. " ' , , .. IJ " 14 Inl :.. \111 jP ~I , _I~ ~~ " ',',lll~11 'j 1111 ~II!!I J I 'Ii~~ II I i I I w I I I J "'" a II "", I /1' . . . .. ~ ~,! l./"'hllmlflrll' .... U ~. ,~"'I""..J.HI " ,.1' I~ ~ II~~~ ~. : t ~ --+--,1'" . !I'll .:'~. III ~ I ' True Automation Page 1 of2 Lamar CAD - 20'05 Prop IDI Ownerl 70760 KIMBERLY-CLARK CORP Legall CITY OF PARIS, BLOCK 357, LOT 1, ACRES 231.7 . CVo Ownership exemption. M.p ID (fw1mb: 'lI[D1u:ovemen~r.!.lml~ROII HI.tOryXoeed HI.to~XSUmmary) Name, Address and Property Information Owner 10 70760 Property 10 KIMBERLY-CLARK CORP AlTN TAX DEFT Name' Address POBOX 349 Legal Description NEENAH, WI 54957. 0349 100% n/a H-U,185 70760 (Real) Geo ID 139-2-000500-000010 CITY OF PARIS, BLOCK 357, LOT 1, ACRES 231.7 Situs Neighborhood FM 137 SCPA (SCPA) Property Value and Taxing Jurisdiction Information Property Valu.. (+)Improvement Homesite Value: + $0 (+ )Improvement Non-Homellte Value: + $14/770,200 (+)Llnd Homlllte Value: + $0 e + )Land Non-Home.lte Value: + $474,400 Ag / Timber Use Value e + )Agrlcultural Market Valuation: + $0 $0 (+ )T1mber Market Valuation: + $0 $0 ... ........................ (=)Mlrket Value: . $15,244,600 (- )Ag or Timber Use Value ReductiOn! $0 ...... ...........-.........o. (-}Appralsed Value: a $15,244,600 (.) HS Cap: $0 .......... ..... ............ (.)A"Uled Valull . $15,244,600 Owner Percent Ownership Tot.1 Value KIMBERLY'CLARK CORP 100% $15,244,600 Entity Description Tax Rate Appraised Value CPA em OF PARIS 0.692250 $15,244,600 GLA LAMAR COUNTY 0.435400 $15/244,600 JCP PJC 0.192200 $15/244/600 SCH CHISUM ISO 1.668000 $15,244,600 Total Tax Rate: 2.98785 Taxable Value Estimated Tax $15,244,600 $105,530,74 $15,244,600 $66,374.99 $15,244,600 $29/300,12 $15,244,600 $254,279.93 Taxes w/Current Exemptions: Taxes w/o Exemptions: $455,485.78 $455,485.78 rproDerty) rImprovements} (l.wll [Roll History] [Deed HlstoryllSJ,1mmary] [Searth' IHomtl This Data Is for Lamar CAD QutJtlon. Pllln CIU903.785.7822. Last Restore:3/15/2006 3:31:11 PM "2004 True Automation. Inc., AU Rights Reserved. Privacy Notice http://clientdb.trueautomation.comlclientdb/propertydetails.asp ?prop=70760 3/2812006 True Automation Page 1 of2 . Lamar CAD - 2005 Prop ID: Owner: 105339 kIMBERLY.CLARK CORP Legall MACHINERY/EQUIPMENT/TAXABLE INVENTORY (P.~ 'lImProYIlments Xl.Imt:(ROII HlstOryXUeed Hlltolll.lYJnn1lrx) Name, Address and Prpperty Information 70760 Owner 10 Name a. Address KIMBERLY.CLARK CORP ATTN TAX DEPT POBOX 349 NEENAH, WI 54957.0349 100% Oft Ownel'lhlp Exemptions Mlp ID n/a Property ID Legal Description Situs Neighborhood 105339 (Personal) Geo 139-2-000500. ID 0000203050 MACHINERY/EQUIPMENT,TAXABLE INVENTORY LOOP 286 &. FM 137 PARIS, TX 75460 NONE (NONE) Property Value and Taxing JurIsdiction Information (+ )Improvement Homesite Value: (+)Improvement Non-Homesite Value: (+ )lInd Homulte Value: (+)Land Non-Homesite Value: (+ )Agrlcultural Market Vlluatl on: (+ )Tlmber Market Valuation: . (=)Market V.lue: HAg or nmber Use Value Reduction: (-)Appralsed Value: (-) HS Cap: (II)Assessed Value: + + + + + + II II . Property ValulI $0 $0 $0 $0 Alii Timber Use Value $0 $0 $0 $0 $107,783,130 $0 $107,783,130 $0 $107,,783,130 Owner Percent Ownership Total Value KIMBERLY.CLARK CORP 100% $107,783,130 Entity Desalptlon Tax Rate Appnlsed Value CPA CITY OF PARIS 0.692250 $107,783,130 GLA LAMAR COUNTY 0.435400 $107,783,130 JCP PJC 0.192200 $107,783,130 5CH CHISUM ISO 1.668000 $107,783,130 Total Tax Rate: 2.98785 Taxable Value Estimated Tax $107,783,130 $746,128.72 $107,763,130 $469,287.7S $107,783/130. $207,159.18 $107,783,130 $1,797,822.61 Taxes w/Current Exemptions: $3,220,398.25 Taxes wlo Exemptions: $3,220,398.25 rPrODerty] rImprovementJ] [UruIl (Roll History] [Oeed Hlstorv) [S~mmlryJ [Searchl!!WlJl http://clientdb.trueautomation.comlclientdb/propertydetails.asp?prop= 105339 3/2812006 END OF APPLICATION FOR TAX ABATEMENT AGREEMENT Exhibit A (Reinvestment Zone Property) ~~~~ ~liiClD lJl. ."m ~-i~~ -i~ ~~ G)'" ~O 00 _:0 r'tJ ~ "l-ir" ~~S~ :PO '" O-l - COIMR~C :0 Z m"" G) ~~~~~m~ en n I~ DlSTIlI8U11lH CtNTrR [J HHH~i ~ 'l:lM11[S 1Il0 I'j I'j I'j ~ r;wo BUI.D.IlG PI PI P1i S/ollU. n n n ~ "'~r" l1tlRES rt I't I't ID . 0 :P ~ l;; -l~ ~~~~~ ~ I't r ~Q z o 0 0 g ~ en ill'" G'l . . . I> " lD ~ C :0 en :- W 1-1 1:1 ~ ~~~~~~~~~~ I I I rt ~ N II lJ1C"-lQ n ""~CD · · · 1:1 0 '" c 1t)I-I:-tD~ ""'tJ- N:-C o,:pr 8zE It) IIIllO 2l!a~ I> 1>1-11'1 n I> n \.I) ~ N~ IJNUw.HO, I'j n I'f I't tD 1'1 lD ~ III lD III Q III 1:1 :"'-lr" ~~S~ )>0 " o-l Z ill'" G) en V1-ir'tJ ~~S~ )0 '" O-l Z ~A G> en Exhibit B (Kimberly-Clark Property) .. t::., ,..... .... . /. ,',': .o),.\.f.....~~.l.~~."..I~.. """ ,';...f..,..!'" ~ .' .... I' ...~ '. "0" '., ~..", .'l,' . ,I t. . . .','.; of' ',;.', ~I....' ,t'O ~;..: . ~"~'~ "', ':;"''''1l,.lO':'.~.~-.:i'' ~:/~~,' "'.:" ~,~~C~~~I I. I,...: ':1" I "i,I\:' ~ :',' It,' " . .,...... '.l~J"""''I''''<'~''.I'''''.''''(I'' .~~:~... ....... .... ". ,I ". I .'. .:. ,',...j ':'~""":~f..~/.'J"\J',,,,,,,,":'i:' ,to ..i,!(:i"I..:........h.;~r...~~.. 1:"';"'f''II:'':'~' ........:.I..~...'. - '.. to "", ~ ,.-/.:.....:.1,.:.:-:, r.l.....'!,."'. .~.':(~~:.,~I....t. :'~i :." "."\'~.:. 'ot ..... ,,'. , . I . . t. .', I" t, . I ".. .'. , . 1~'7. :.~ .,~::, ;:::b, :?{.. o. . OCT ~ ~ l. ~- ;.~'? . :...., . . . ',' . I . . '. ' SHaut~4 a~D\lL 21 ,dles Soulh SO CeD. k'l's't or. Uirr Cfly ~( rArls,"EClUlI\y Dr.I.~"r' - ....,. 5l 1l: Df Tt'JIS, a ~rL or thG IslllC Crvh~ Survey tJ6~ "n~ UI~ l"~II~l [uer Sunl:1 ., 0 .. '.0'.. ~~d ~ d b 'n9 . ~rt or I 2G8.q5 Icr~ \rlCt. of 'hnd convQccf nonn. ~one. d 11 b" .. f.)13" ,In ~4 in'Vol. 50.. ".get.57S, of th'a Ilce4 'Rrcords or sllef Counl1.na StiLe. .0 U~cd >>:;inn,ng at .ll Iron'pfh for corner at the Jlor.tbl'uL corner of. Ole ".H. 'C~urltlncS. .. '. ~. 71 tan e1 corner or uld Jones et &1 tract or-lInd. . . , urvCl I ',Oft the so.rUl Dol/II4ll)' Uno of slid ~oncs ct.' \r~ct of hnd as fdl.. , :' '. , .~Il:/lCC I DeS. JS Hln. ['s~ 644 .ft. ~ South 8' ~.' 30 Hln. East 3Sa ft.l rut at :'. '. '~i, · 'O\IS.~or~' =S$i~ the SouUle~$L corner of sa1d en/bet Survc,y Gnd conUllUl~ on I, to~ "'~":.' 136S. . · r 3J'4 5 ft. to In itOll "Sldor corller;. ' .,' .. . .Ist.;~ 00 NOI.tb 31 Deg. 301,ln. (ut .10ng 'he "\'sl.Ooul,duy' Unct of.t;... RoIUn . . dl' (lC or 864.'5 ft. to In iron pln'for (orner at U"C'lllOst ll'sterl,y Jrof.t1If~s\:COt'l I s a~~ of sdel .1ones ~t I'. trut or lAnd ud ,tha Southl'ut (prncr of . trleL or . 'e! O~Y~cd the I'olrh. Ti:xlS 'ndustrl!\. rO~n~UoA by d~~d recorded in V~l.. ~S4., . 1111 ~79 or SII" De!!4 Rccords; '. '. '. ,.j ".: " r,gl: 11 ' cc: .1oli~ the $l)uth 80und'1111na of said found.tfon artd the Jlorth Boundar.)' . 11 r:ald "on~1 et 11 lrtlct or 1lnd.s rOllOlIU .South 89 Des. lIast JSS1: ft.lllol'th ., lie 0 33 Hln. lk$l 3JBZ ft. to. Jlotnt for corller.l". pool .l'lhe ~utJ\l~st (or~r 8~ Ocfd hun4a HOft tr>>ct of 1In4 IIlld III c:1 COI'lItI!. of slid "ones ct 11 l~'ct or 1Ind: o salhen~e Sou:~ . ~g~ !~ mn. t.lJt t. cl(S.l~nce of 742 f~. .to tbe pl.,ce of begfMrn, . ...;.:',';:,:';', ':., , . . , . ',,-AAC'J' XI I . '. . Situated 2% .!les South 50 Dcg. Vest of th~'ttt,y of ruls, County Dr l4lQt. . and $tate. of Tc:lCJS. I piTt or thl: l('lIIucl (wer Survey 1313, and bc:tlt9 I plrt ~r . . ~ ~6a~O' ierf ,tr"t or llnd conv"yed Donn. Jones, It .1 by deed rcrord~.d fn Vol. . ~., "91579, of lhe Deed Records or safd COlln~ .nd ,Stlte. 1~9'nllfn9 It ,n 1Ton pIn tor cO~cr in tbe Wast 'oun~1)' UM of said t~~r' . . SUI'YO' .t an I:l corl1Cr of slfd "OntS ell',l tract or 1I/'Id,' sa rd polllt. lIel"g tlae' . $ouUl('ut eorller or the hue Crulsct Survc,)' fJS'llnd the 'Iorthrut cot~r or lhe~ . . )i.e.'I J P.R:'R,'Co. $urv!!y 1637. '., . .' Tbtn~t Soulb 0 Ilcf.'JHlln. ~cst a dIstance or 92.. ft. 10.'" f,'oll pIn for' eOl'lIer at 1~ ,"",st Cas ~rl.)' SoullK1CSt (orner or hl~ "onw c.t .1 Ir,et Df l~nd; Th1'11C~ rut a dlstance'of J06~ ft. to 'n Sron pin for (orner at .th~ SOlllhwell . cor~r' Dr a ll"ct or hnd confllytd BU1,)' J. r~r~rtdgc "1 dcrd rtcord"d In \101.. . . ... '-'" "Sa]' . "jilC' 2OJ"llf"S11d :Om"":~tOTds'o said-poInt. bclnnllet~""""cHslln<<-O~-1t:"._._'.. . '..' . , .. . o rr~ th~ lIost ruterl.)' Southeut corl\(.'r or said ,JonQS et .1 tract or .1l1ldj . lhtncc I/orlb 34 Ilcg. rut a dlsh;"o or .)~o (t. to an iron pin (or. corllcr It l11c Jlor~$t 'corllllr of satd ,.,trldpe tracl or 1.n.d: . '. '. : , .Thence SOl/lb 8' Dc9. '45 mn. [1St a dbhnCl of roo ft. \0 all iroll pin {or (orne'r It the Jlorthcut corner. of. Slid' rartrhlgc tracl orland; . . n.CIlcc: ..\~~ Lho .'cst eouild~r.r lftle 'of FIrA ROld 13.7 IS 1'011011': /.ro'ulld a curVe to thr 1rft U4 ft.; Uorth 25 Clr~. )$ mil. [ast 76 ft.1 ':orth 31 Deg. 30 . .:In. ru~ 676 ft. to In 'ron pIn for (orllcr; , .' . . Thence l'~Jt a db hnter of J82& (!. 10 tbe p)ICC! of Leglnnln9 . . . . . '. I IUDJZCT to1oil and VI' lea.. dated ~ugult 1, 1'12, to Ch.l~r. ,Op~rlt1n9 (0Illp,n1, apptlldDg of record .1"lIoo~ 12, plge ta, On and C.. 1.tUD A.cord. or tallllX COUllt)', Texas, and as .":\d.,, on o1\11y ,,. UUi. . betw.en bOllnl JOGI. .t 11 ~d.Dow Ch.~1c:,1 ~Iny. (.uccI..or to Cha1abl' OJl:tntin9 C:OIIIp.ny), 1M 'lI"'n~' 1n lavor of f.xlI Powlr , 1J9ht CO.~ny.1 appear. of r.cord, "4 .. .how on .UIV.,. uel. by J' H H.l',oA":' b&htnecl MUc SUtVo)'o,t ot 'rIU., No. 4025' c1&tci!-Apnl 22 '19b ad ~ 0 . ~ I:'4ry!~~Q of 1/16tb aO~.flftlclpltla3 :~1:;~~~~Gtl:"C lOf lS't.~r. J.ta · ~ ~.4 c!ltd H9 211 19711 trOCl JacK ad S1UlitAI .t .1 to '. · n. HcU\I&hliD r.cor44d 111 lOok '~7, '.J' 735, .taul' Colmty Dc'.c! ,..coriS.. . 0 . . '~n'~r' . ,. uu 647.n<<241 .0 , , ': I o . I ,,' .1 .' I I,' '. ,\ . '.' I II I . ''': '" I' ,,', ,I I' I, ' I 1 " . . " . I I , , , I' , " I' ", ' ",. 1 ',/ I,:. , ,. 0' , " : ' , . ',. o . . '. . . . . . . o' , . .. , " , " I . , ; . ,. . " , :~I:". "":, :.~.,,"I : :, ,,'.. '. ,. . . , ". '" ":.,,-.,",, " . ../ ...., I " I I,. " " ", 0 " ", . .' o I,' . . . . . '" 't' " .'. .' . . . . , .' ' . 0 , . , .. o , . . , I' It , , I I '~It,: 't '. ;. \': ,0 , ,.. """ o o' ':,', 0 00 '..:. . '. .. ' . ,..I ~ I ,', t.' ,'.,' S ".' '.. t ", . , .. :,. fII' .\, tf, " " ~, ' i I , \,'.. , . ,. ,', . . .'. . . . .. .'. ,'. . : rf.q,i, . " . . SHlIJ\cd ~bovl Z\ Illncs $ol/lb 50 Dc,. \f~st or tbe (flY or r.rh: Count: of l&l~r .. , ':' nd $\~\a or TCkU. a p,rt of the hue: Cruhe Survey 1)62, :1~a "arcolA Sutv~ tot. I , nd lM lCl:Il!Cl'(IIcr Su,'vey 1313. and bt1ns I tract of land' ~onv~)'"d t~a r~rh. Tcx.s , Ildllslrhl roud.UOQ by deed recorded, 11\ Vol. $50, ,igc 8SG~ or the, n~c4 ~tcords or dd Count,)' .nd,Shtc., , " , .':, , Deslr",'n, ~t u Iron ,I" (or corner In the. SO\Ilh ,SOlln4111lhe or Lbo T~xas '1114 , 'ulric ~Inro~d It lhClI:OI'th"~st corl\Cr or ntd roun~Uon tract orh{l'. nld "otnt Icing the JIOit lIor,lMr1,y Horlhen L corl1cr of . tr.ct or Hnd ,conveyed ~nI ~Qncs tt , 11 de~d, rc(ord~d Sn Yo1., S~4'1 r'fG S79 or s. id ~ed Pecot'd,..' , '. . Tllellc. Soutb at 635 ft, an ron IIrn 0" I pool bM\ .nd {onUnulns 04 a tdhl drs (lACe or 708 n. \0 a poh\t (or eotller in Slid ~1 at Ullr SOUUMCSt corller of uld .cund~Uo" lr~ct ~r 1.1l1cf .nd j)1I c, corner or said Jon~s ct a1 '''rAct of Und; , , .' 'Th<<nce a1o~g the SOlllh Boundiry LIne 'or ufd rOUIIM LIon trAct u' ronolfS: Seu\' ~89 Dc~. Eut 33 tlttt, ['It 3J8% ft.: lIorth 89 Dcg. rut 15S1 ft. to, 1ft Iroll pin, ' ,ror eornor at the So~\~ut corner or ,aid FOU/l~l'on ttlet -of land an6,lhc r:orLhe.ut ;omcr, of ul4 ~nes ct .1 t,.~ct orland) , " ~ ' Thence rldr~b 31 Dcg. 30."t". rut along thl,ll~st Ool/II~J',1l"'c or Fara ao.d'I31' 'db\AIIce,ol 310 (t. ,to a (olltrett .uker for corn",I, ,', '. . ':, ,TfwACt 1101\9 tM Soulherly tOl/Marl line of lcop"\oo'. 2" 1S'{ollO'odl Uot~' 2 Do: :1'S IUn~ ~st ~1. '1M llol1h 39 Def. 15 HI". West 6S~ 1t.; Jrortb 0 ~. J5 Hr.: -':rst .. . m ft.; I:otLk ~4 ~~, \Jcs't 276 ft. 'to.. COIICTote ....rier for corl\er It, tho ~t UorL)) crl,)',norlhtUt cor/lF.r.~f n1d f'o~n~Uon tract-of l1M~ ! ..,. , .:,. , , Thence Soulhi' Dc9. ~st .10/19 lhe South .ound. .', ar,)' Una o,r sU4 TeJu and p"nfc Jl.tilroad: .. . Ibtance, of 3154 (t. to Ute p'acl of. . '~t1\ll'1\lI1 ' · . ' , I .. . , . txJlIUr "A- , , " ,'I , .o' , " , , " : .. ' I{t) ~47 Ha2~. " " , " , " 0" . , ' . I ".' t'. \' to ,t..., .::....::.,..~ : 0, . . .' '.' " . . \. . . . . . . . .... \. " . t I. "t.:' ~ ~ - ._._-~ . . ~., =.- i.: :..~:.._.,-_..:. '--i----.-,----- . . , .. ...... ~~~!Cm~~,:,,' ~~QiiU'l~ii1;~ *fW~~" rr::jC.{1lJ1~"" r:Il!.~,u.~,\,~\:, I ~.f'JlJJ'naur.~!l!~ ~"IUUl.lNIt~\I'U ~~B>>:rb~ .lI!!J~~~_ '. ~..e:aF""G.' .' --.... .... I "'Ia"no&'.r.~ """ . , . .' I . '. '-\& !~Yim;Q1I'.-'i! ~Tdi<<"~ . II$ir='AIU',:U'~~ .._...._..-.... .~ " ..1::.IU.r.1_1Ae.I........ -ftI:rL.h .&llUI:,....... , " .', ~JltiHn. li:'~DL &lQ . -- ""- -,.. -- , 0'''' ....... .'O_IIW ,..:. ::::..----- -- - -... .... ...... . ....... ............... . ... . .... ..:... ---.. . -....... !"""- , .J:. :.. -=.::...._... .,---:- ". ISSUED Fa CONSTRUCR . ',.~...,_. . ','.' = . - "~r~,.. ,. /' I r' ...-. I.- I I .:~I~t~..I~~11 . ...~. Ir-.-,I...~-- I.i-,. ~ .~;. ~...u;r.:: . ~-,-. ,!\I'f tl J . ..l '. I I . ) .J . - c . ,\:' .' .... Exhibit C (Real Property Improvements) 4- 6-06: 9: 1SAM; I I ., ;903 737 5282 # 41 9 FIELD NOTES KIMBERLY-CLARK CORPORATION LEMUEL EWER SURVEY AND ISAAC CRUSE SURVEY TRACT NO. 1-7.40 ACRES CIry OF PARIS COUNTY OF LAMAR MARCH 2006 Being 7.40 acres ofland, situated within the Corporate Limits of the City of Paris, County of Lamar, State of Texas, also being a part of the Lemuel Ewer Survey, Abstract Number 313 and the Isaac Cruse Survey, Abstract Number 162, also being a part of a tract of land conveyed from the Paris, Texas Industrial Foundation, Inc. to Kimberly- Clark Corporation on March 22, 1982, recorded in Vol. 647, Page 247 of the Deed Records of said County. The said 7.40 acre tract of land being described more particularly in metes and bounds as follows: Beginning at a set nail at the Northwest corner of the said 7.40 acre tract of land, said nail being N 60 04' 50" W, a distance of 1734. 78 feet from a found iron rod at the Southeast comer of the said Isaac Cruse Survey (Reference Bearing is from said found iron rod, S 000 45' 00" W, a distance of 924.63 feet to the Southwest comer of Tract II, conveyed from Donna Jones, Anne Hutto and Brenda Biard to Kimberly-Clark Corporation on July 19, ,1982, recorded in Vol. 647, Page 239 of the Deed Records of said County); , Thence N 76034'18" E, with the North boundary line oft~e said 7.40 acre tract of land, a distance of 538.91 feet to a building corner at the Northeast corner of the said 7.40 acre tract of land; Thence S 13030' 46" E, with the East boundary line of the said 7.40 acre tract of land, a distance of315.47 feet to a building corner; Thence S 76023' 29" W, a distance of89.96 feet to a building corner; Thence S 13021' 33" E, a distance of91.30 feet to a building corner; Thence N 76028' 21" E, a distance of 92.59 feet to a building corner on the East boundary line of the said 7.40 acre tract ofland; Thence S 13023' 57" E, with the East boundary line of the said 7.40 acre tract of land, a distance of204.75 feet to a building corner at the Southeast corner of the said 7.40 acre tract of land; Thence S 76032' 5511 W, with the South boundary line of the said 7.40 acre tract of land, a distance of 542.27 feet to a building corner at the Southwest corner of the sa~d 7.40 acre tract ofland; 04106/2006 THU 09: 28 [TX/RX NO 6048] ~ 004 4- 6-06; 9: 15AM; J . , , ; 903 737 5ZeZ # 5/ 9 Thence N 13023' 5611 W, with the West boundary line of the said 7.40 acre tract of land, a distance of611.86 feet to the point of beginning, containing 7.40 acres of land. I, KENNETH RAY JONES, REGISTERED PROFESSIONAL LAND SURVEYOR, #3332, STATE OF TEXAS, HEREBY CERTIFY THE ABOVE WAS T~N FROM MEASUREMENTS MADE UPON THE GROUND. MAR 2 9 2D06 '~r"-'-. "- ,..:~ f /. \:' ".11 , (':, Q .\ ............... ....r., \ ~,\':.< \5 T t: /....:.~!~l \ V' . ...... I ~... '." .I . J, f' \\ I .. '.I ,..,. ...... \ .' a;. :,:~.lc. v'~ . I.. .II'~ 11'.''::':':"';:' ,"\~" ~'.:::\'I'I:':'~~.J; I(EI'lr'it;) 1:..I.:::!.,,'~.::~:..:.~ \....\...~"..~.;'7:0 ../ ,: . "'., ,""vv&;. t.... ./'"~ ... I~ ~\:' ... ~.. ( . . 0... .' Ii . C ..1 ", l'E~5'-.." . '7A I,.. 'oJ... ....1 'ile s'U'r.'-1'Y"'\ 04106/2006 THU 09: 28 [TX/RX NO 6048) ~ 005 4- 6-06; s: 1SAM; ;903 737 5282 # 81 S FIELD NOTES KIMBERLY-CLARK CORPORATION LEMUEL EWER SURVEY A-313 TRACT 3 - 0.149 ACRES CITY OF PARlS COUNTY OF LAMAR March 2006 Being 0.149 acres of land, situated within the Corporate Limits of the City of Paris, County of Lamar, State of Texas, also being a part of the Lemuel Ewer 'Survey, Abstract Number 313, also being a part of Tract I conveyed from DOMa Jones, Anne Hutto and Brenda Biard to K.imberly-Clark Corporation on July 19, 1982, recorded in Vol. 647, Page 239 of the Deed Records of said County. The said 0.149 acre tract ofland being described more particularly in metes and bounds: . Beginning at a set nail at the Southwest corner of the said 0.149 acre tract ofland, said nail being N 480 04'.26" E, a distance of 788.56 feet from a found iron rod at .the Southeast corner of the Isaac Cruse Survey, Abstract No. 162, the said found iron rod also being the Northwest comer afTract il, conveyed from Donna Jones, Anne Hutto and Brenda Biard to Kimberly-Clark Corporation on July 19, 1982, recorded in Vol. 647, Page 239 of the Deed Records of said County, the said found iron rod also being in the South boundary of said Tract I (Reference Bearing is from said found iron rod, S 000 45' 00" W, a distance of 924.63 feet from a found iron rod at the Southwest comer ofEaid Tract II); Thence N 130 II' 21" W, with the West boundary line of the said 0.149 acre tract of land, a distance of 92.86 feet to a building line at the Northwest comer of the said 0.149 acre tract ofIand; Thence N 760 48' 39" E, with the North boundary line of the said 0.149 acre tract of land, a distance of 70.00 feet to the face of a retaining wall at the Northeast corner of the said 0.149 acre tract of land; Thence S 130 II' 21" E, with the East boundary line of the said 0.149 acre tract of land, a distance of 92.86 feet to a set nail at the Southeast comer of the said D.149 acre tract of land; , Thence S 76048' 39" W, with the South b(mndary line of the said 0.149 acre tract ofland, a distance of70.00 feet to the point of beginning, containing 0.149 acres ofland. I, KENNETIi RAY JONES, REGISTERED PROFESSIONAL LAND SURVEYOR, #3332, STATE OF TEXAS, HEREBY CERTIFY THE ABOVE W AS TAKEN FROM MEASUREMENTS MADE UPON THE GROUND. <:r;>~-::<::,\ I' '... ,...... ".' I .' yt....,....;.I.. Of '0 :>.,'.",: -~ \. I' .... .' ,.. ... . I.. " .'. \.' " c:~,.. ,,~.;:-" "./_!I" "~>.\ \~l .. ,., . ',' ...J. \ /' ... /, >1....'. ,J>. ..:'..:~.. I,:.:.~ ;.::'~~ ~;..~ .1 .,....... I '1"" d I ,."v , t I!:-':'~:-"l":;'-r r.,:",. \i....,........ \...:::..:::..::........:...........: I \. f)...'..,....J . '. "; '- .;: .:~ I~ ,':,',' r.. , .'. '~:,.. ,...i:.... .: :"<... \< .....\,,:1::'1:...<':.\.),...0 ",' "t..... '....:.... .... -.I.. 'Ille ......... ,(~ . ~ SUn\j v MAR 2 S 2006 04/0612006 THU 09: 28 (TX/RX NO 6048) ~ 008 4- 6-06; 9: 1SAM; ;803 737 5282 # 91 9 FIELD NOTES KIMBERLY -CLARK CORPORATION LEMUEL EWER SURVEY A-313 TRACT NO.4 - 5.92 ACRES CITY OF P ARlS COUNTY OF LAMAR MARCH 2006 Being 5.92 acres of land, situated within the Corporate Limits of the City of Paris, County of Lamar, State of Texas, also being a part of the Lemuel Ewer Survey, Abstract Number 313, also being a part of Tract II conveyed from Donna Jones, Anne Hutto and Brenda Biard to Kimberly-Clark Corporation on July 19, 1982, recorded in Vol. 647, Page 239 of the Deed Records of said County. The said 5.92 acre tract of land being described more particularly in metes and bounds as follows: . Beginning at a set iron rod at the Northwest comer of the said 5.92 acre tract of land, said rod also being S 820 02' 51" E, a distance of 426.11 feet from a found iron rod at the Southeast comer of the Isaac Cruse Survey, Abstract NUmber 162, the said found iron rod also being the Northwest comer of said Tract II, the said found iron rod also being in the South boundary line of Tract L conveyed from Donna Jones, Anne Hutto and Brenda Biart to Kimberly-Clark Corporation on July 19, 1982, recorded in Vol. 647, Page 239 of the Deed Records of said County (Reference Bearing is from said found iron rod, S 00045' 00" W, a distance of 924.63 feet to a found iron rod at the Southwest comer of said Tract II); Thence N 76049' 12" E, with the North boundary line of the said 5.92 acre tract of land, a distance of 515.61 feet to a set iron rod at the Northeast corner of the said 5.92 acre tract of land; Thence S 130 10' 48" E, with the East boundary line of the said 5.92 acre tract of land, a distance of 500.00 feet to a set iron rod at the Southeast corner of the said 5.92 acre tract ofIand; Thence S 76049' 12" W, with the South boundary line of the said 5.92 acre tract ofland, a distance of515.61 feet to a set iron rod at the Southwest comer of the said 5.92 acre tract ofJand; Thence N 130 10' 48" W, with the West boundary line of the said 5.92 acre tract of land, a distance of500.00 feet to the point of beginning, containing 5.92 acres of land. I, KENNETH RAY JONES, REGISTERED PROFESSIONAL LAND SURVEYOR, #3332, STATE OF TEXAS, HEREBY CERTIFY THE ABOVE WAS TAKEN FRO MEASUREMENTS MADE UPON THE GROUND. . ~~ .9.r....7'S..j.. , ~~...~.\ & T E ~....t~') \ MAR 2 9 2006 . f7J/~<<;v 1r ..l.~~~\....\ 'KE'Nt~'E'TirRAY JO~:'~'S7'" ..,.......... .............. .0: .... "''''~2 .....': ...~,. i;lJ.... ..;1"':0" ",' '7'. '" " ~..t!\. OI:E~5\O:....V.O . TAr ", ".., ,', v.,., .... ..... I...... ,I..J S 'U,r'J\. '" . ~./ 04/06/2006 THU 09: 28 [TX/RX NO 6048) ~ 009 END OF EXHIBIT C (Description of Land Upon Which Improvements Will Be Constructed) Exhibit D (Certificate of Completion) CERTIFICATE OF COMPLETION STATE OF TEXAS } COUNTY OF LAMAR } CITY OF PARIS } The City of Paris has included the Property described in Exhibit A attached hereto into Reinvestment Zone Number 15 and executed a tax abatement Agreement with KIMBERLY-CLARK CORPORATION for certain Improvements or repairs. KIMBERLY-CLARK CORPORATION has complied with all terms of the tax abatement Agreement and the City of Paris herein verifies that the Improvements agreed to be built or used were in fact completed, as provided. NOW, THEREFORE, the City of Paris authorizes that the Property described herein shall receive a tax abatement for a term of seven (7) years, consisting of (a) an abatement of 100% of the taxes assessed upon the increased value of the Improvements over the value in the year in which the tax abatement Agreement was executed for a duration of four (4) years, beginning January, 1, 2008; (b) an abatement of 80% of the taxes assessed upon the increased value of the Improvements over the value in the year in which the tax abatement Agreement was executed for a duration of one (1) year, occurring in the fifth year of the seven year term; (c) an abatement of 60% of the taxes assessed upon the increased value of the Improvements over the value in the year in which the tax abatement Agreement was executed for a duration of one (1) year, occurring in the sixth year of the seven year term; and (d) an abatement of 40% of the taxes assessed upon the increased value of the Improvements over the value in the year in which the tax abatement Agreement was executed for a duration of one (1) year, occurring in the seventh year of the seven year term. Commencing January 1,2015, the Property will be taxed at its then existing market value without any tax abatement. APPROVED this _ day of ,2006. MAYOR, CITY OF PARIS, TEXAS ATTEST: By: City Clerk Exhibit E (Guidelines and Criteria for Tax Abatement) EXHIBIT E CITY OF PARIS, TEXAS POLICY STATEMENT CRITERIA AND GUIDELINES FOR TAX ABATEMENT I. General Purpose and Objectives. The City of Paris, Texas (herein called the "City") is committed to enhancing the competitiveness and the expansion potential of the City's manufacturing industry; to attracting and encouraging new manufacturing industry and inveshnent; to improving the City and its infrastructure which attracts and supports development; and, to expanding the tax base, employment opportunities, and the overall quality of life for its citizenry. Therefore, the City will give consideration, on a case-by-case basis, to providing tax abatement according to state law to the owners of real property for projects which stimulate economic growth and diversification in the City. Tax abatement benefits may be made available to industrial, manufacturing, distribution, and service facilities currently in the City or locating in the City if located in a designated Enterprise Zone or Reinvestment Zone. New facilities and structures as well as the expansion and modernization of existing facilities and structures, will be considered. .. Evaluation of a tax abatement request will be based on the information provided in the tax abatement application. However, the City is under no obligation to provide tax abatement to any applicant. II. Definitions a) "Abatement" or "abatement" means "tax abatement", which is the full or partial exemption from ad valorem taxes of certain real and tangible personal property in a Reinveshnent Zone designated for economic development purposes. b)" Agreement" means the written agreement for tax abatement between a property owner and/ or lessee and the City. c) "Authorized Facility". A facility may be eligible for abatement if it is a Manufacturing Facility, a Research Facility, a Regional Distribution Facility, a Regional Tourist Entertainment Facility or Other Basic Industry (all of which terms are defined below); or if the facility is a Historic Property defined in Section IV (b) below within a City of Paris Historical District. d) "Base Year Value" means the assessed value of eligible property as of January 1, preceding the date of execution of the agreement plus the agreed upon value of eligible property improvements made after January 1, but before the execution of the agreement. The Base Year Value may be adjusted either up or down from year to year as per renditions by the Lamar County Appraisal District. e) "Employer" means the owner or lessee of Property who provides Jobs within the Reinvestment Zone or within the Enterprise Zone, applying for tax abatement. ~ "Enterprise Zone" means an area of land designated as such under Chapter 2303 of the Texas Government Code. g) "Jobs" or "a Job" as used herein means a position of full-time employment for an individual to work 32 hours or more per week for an Employer, in which position the individual is provided the benefits normally offered by the Employer, such as health insurance, vacation time and some form of retirement benefit. A Job is not a position filled for the Employer as a worker or employee of an employment agency or service. "Jobs" as used herein includes "Full-time Equivalent Jobs", as defined below. . h) "Full-time Equivalent Jobs".means a number of part-time jobs where the hours worked in each such job is less than 32 hours per week, made available by one Employer and added together. Par example, sixteen (16) part-time jobs made available by one Employer where all such part-time jobs added together require a total of 352 hours of work per week (but no such part-time job requires 32 hours of work or more per week), will equal eleven (11) Full- time Equivalent Jobs (352 hours divided by 32 hours per week equal 11 ). Full-time Equivalent Jobs do not require the employee to receive benefits from the Employer. i) "Manufacturing Facility" means buildings and structures, including fixed machinery and equipment, the purpose of which is or will be the manufacture of tangible goods or materials or the processing of such goods or materials by physical or chemical change. Facilities primarily engaged in assembling component parts of manufactured products are also considered manufacturing facilities. j) "Modernization" means the replacement and upgrading of existing facilities which increases the productive input or output, updates the technology, or substantially lowers the unit cost of operation. Modernization may result from the construction, alteration or installation of buildings, structures, fixed machinery or equipment, but shall not be for the purpose of reconditioning, refurbishing, repairing, or deferred maintenance. k) "Other Basic Industry" means buildings and structures, including fixed machinery and equipment, not elsewhere described, used, or to be used for the production of products or services which result in the creation of new Jobs and bring new wealth into the City. 1) "Personal Property" means machinery, equipment, tools, shelving or materials eligible under applicable law for tax abatement, which can be removed from an authorized facility described in Section IV (a) below. m) "Property" means Real Property or Personal Property defined herein, as is applicable according to the context where used herein, that is eligible for tax abatement. n) "Real Property" means the land within an Enterprise Zone or a Reinvesbnent Zone, together with all improvements and fixtures constructed or otherwise situated thereon. 2 0) IJRegional Distribution FacilitylJ means buildings and structures, including fixed machinery and equipment, used or to be used primarily to receive, store, service, or distribute goods or materials where a majority of the goods or services are distributed to points at least 100 miles from its location in the City. p) IJRegional Tourist Entertainment FacilitylJ means buildings and structures, including fixed machinery and equipment, used or to be used in providing amusement/ entertainment through the admission of the general public where the majority of users reside at least 100 miles from the City and where the majority of users are likely to stay in the City for more than one day and will therefore likely utilize local restaurants and hotel/motel accommodations. q) IJReinvesbnent Zone" is an area where the City or County has decided to influence development patterns and attract major investments that will contribute to the development of the area through the use of tax abatement for specified improvements. r) "Research Facility" means buildings and structures, including fixed machinery and equipment, used or to be used primarily for research or experimentation to improve or develop new tangible goods or materials or to improve or develop the production processes thereto. s) "Tax Abatement Committee" means the committee of persons designated from time to time by the Paris Economic Development Corporation to study, review and recommend tax abatement to the applicable taxing entities in the community. The Tax Abatement Committee will be composed of one person from each of the City (the City Manager or designee), the County of Lamar (the County Judge or designee), Paris Junior College (the President or designee), the Chief Appraiser of the Lamar County Appraisal District, and the Executive Director of the Paris Economic Development Corporation. III. Designation of a Reinvestment Zone. The City or County may designate an area as a Reinvestment Zone in accordance with the criteria and procedural requirements set forth in the Property Redevelopment & Tax Abatement Act, as amended (Texas Tax Code Sec. 312.401 (b)). For any area within the jurisdiction of the City to be eligible for tax abatement it must meet the criteria for designation as a tax abatement Reinvestment Zone as set forth in the Property Redevelopment and Tax Abatement Act, Texas Tax Code Chapter 312. IV. Tax Abatement Authorized. The City, through its Council, may agree in writing with the owner and/ or lessee of taxable Real Property that is located in a Reinvestment Zone, but that is not in an improvement project financed by tax increment bonds, to exempt from taxation a portion of the value of the Real Property, or of Personal Property located on the Real Property, or both. The period of the abatement granted under the agreement shall not exceed the term authorized by law. Such agreement will be based on the condition that the owner or lessee of the Property makes specific improvements or repairs to the Property. An agreement may provide for the exemption of the 3 Real Property in each year covered by the agreement only to the extent its value for that year exceeds the Base Year Value. An agreemerit may provide for the exemption of Personal Property located on the Real Property in each year covered by the agreement other than Personal Property that was located on the Real Property at any time before the period covered by the agreement. Inventory or supplies cannot be abated as Personal Property. Tax abatement may only be granted for additional value of eligible Property improvements made subsequent to and specified in an abatement agreement between the City and the Property owner or lessee subject to such limitation as the City may require. The additional value must exceed any reduction in the fair market value of other property of the owner already on the tax role with the jurisdiction of the City. Change in appraised value does not qualify for abatement except in an instance where a previously vacant Authorized Facility is utilized. Value added to the tax rolls plust come from actual capital expenditures. The negotiation of tax abatement contracts will be conducted by the Paris Economic Development Corporation, in conjunction with the City Manager or designee to the Tax Abatement Committee. In determining where and how tax abatement will be utilized, the Tax Abatement Committee will examine the potential return on the public's investment. Return on public investment will be measured in terms of (i) Jobs created, (ii) Jobs retained in cases of existing Employers within the City, and (iii) broadening of the tax base, and expansion of the economic base. A property owner and/ or lessee shall be eligible for tax abatement only upon the following terms and conditions: a) If the Property involved is an Authorized Facility. b) If the Property involved is a Historic Property. In the City Historic Districts there are certain commercial and residential tax exemptions allowed. Exterior improvements in the historic districts are allowed at 100% for seven (7) years with a minimum invesbnent of $5,000 for residential property and $10,000 for commercial property. New residential construction requires a minimum investment of $100,000 to be considered for a three (3) year 100% exemption. New commercial construction requires a minimum investment of $200,000, for a 100% tax exemption for three (3) years. c) If there will be the creation of new value. Abatements may only be granted for the additional value of eligible Real and Personal Property improvements, subject to such limitations as the City may require. Real Property tax abatement may be granted only to the extent that its value for each year of the agreement exceeds its value for the year in which the agreement is executed. d) If there will be new Authorized Facilities created, or if existing Authorized Facilities will be improved for purposes of modernization or expansion. e) Eligible Property. Abatement may be extended to the value of buildings, structures, fixed machinery and equipment, site improvements, tangible personal property, and that office space and related fixed improvements necessary to the operation and administration of the 4 Authorized Facility; provided, however, that inventory or supplies shall not be eligible for abatement. Eligible property for which abatement may be granted includes nonresidential real property and/ or tangible personal property not located on the real property at any time before the abatement agreement becomes effective. D Leased Authorized Facilities. If a leased Authorized Facility is granted abatement, the agreement may be executed with the lessor and/ or lessee, depending upon the particular circumstances of the proposed project. If the agreement is with the lessor, lessor shall demonstrate binding contracts with the lessee to guarantee compliance with the terms of the agreement. g) Value and Term of Abatement. The City will decide whether to grant tax abatement to an applicant, and the amount, if any, of such abatement, on a case-by-case basis and in accordance with these Criteria and Guidelines. The term of abatement granted under any agreement may not exceed that permitted by applicable state law. The amount of the abatement shall be based upon a percentage (0 to 100%) of all or a portion of the eligible property within the Authorized Facility. Abatement may only be granted for the additional value of eligible property improvements made pursuant to and listed in the agreement between the City and property owner and/ or lessee subject to such limitations as the City may require. If a modernization project includes the replacement of improvements within an Authorized Facility, the value eligible for abatement shall be the value of the new unit(s), less the value of the replaced unit(s). The criteria that will be used in evaluating a particular application for abatement will include, but not be limited to: 1) The dollar amount of the increase in the tax roll for the proposed project; 2) The number of Jobs created or retained by the Employer involved; 3) The possible effect the proposed project will have on attracting other taxable improvements into the City; 4) The nature of the proposed project and its overall effect on the City; 5) The proposed project's effect on the safety, health, and morals of the City's residents; 6) Whether the proposed project will have any substantial long-term adverse effect on the provision of City services or its tax base; 7) Whether the project meets all relevant zoning requirements; 8) Whether the project is consistent with the comprehensive plan of the City or County of Lamar; and 9) The types and cost of public improvements and services (water and sewer main extensions, streets and roads, etc.) re.quired of the City and the types and values of public improvements to be furnished by the applicant. 5 h) Economic Qualification. In order to be eligible to receive tax abatement, the planned improvements: 1) Must be reasonably expected to increase the appraised value of the Property; 2) Must be expected to prevent the loss of employment, or the retention or creation of Jobs in the City during the term of the agreement; 3) Should not be expected to solely or primarily have the effect of merely transferring existing employment from one part of the City to another without demonstration of increased future investment (Dollars or Jobs) or unusual circumstances whereby without such a move employment is likely to be reduced; 4) Must be necessary because capacity cannot be provided efficiently utilizing existing improved Property when reasonable allowance is made necessary improvements or relevant governmental actions. i) Taxability. During the term of the agreement, taxes shall be payable as follows: 1) The Base Year of eligible property as determined each year by the Lamar County Appraisal District shall be fully taxable; and 2) The additional value of eligible property above the Base Year Value shall be taxable in the manner described in the agreement. The Chief Appraiser of the Lamar County Appraisal District shall annually determine an assessment of the Real and Personal Property comprising the Reinvestment Zone. Each year, the Employer, the company or individual receiving abatement pursuant to an agreement shall furnish the assessor with such information as may be necessary to determine the amount of any abatement. Once such value has been established, the Chief Appraiser shall notify the affected jurisdictions which levy taxes on such Property and the Paris Economic Development Corporation. The Employer, owner or lessee of eligible Property requesting tax abatement within a Reinvestment Zone shall, prior to the commencement of eligible property improvements, agree to expend a designated sum of money and to create or retain a certain number of Jobs, or annual payroll as further defined below. V. Tax Abatement for Real Property; Creation of Jobs: Tax abatement may be made available to Employers creating Jobs with respect to an Authorized Facility located anywhere within the City or its extra territorial jurisdiction based on the following: 6 a) To be eligible for any tax abatement, there must be a minimum capital investment in the Authorized Facility of $250,000 and at least ten (10) new Jobs added to the Employer's labor force. b) When an abatement percentage has been agreed upon it shall be granted for years one (1) through three (3); thereafter, there will be a 20% reduction in the origina1.percentage abated beginning with year four (4) and a similar reduction of 20% in each of the next three years until 100% of the Real Property valuation is added to the tax rolls. This formula is exemplified in Exhibit II A ", attached to this document. c) Criteria for qualification for tax abatement are as follows: Capital Investment and Newly Created Minimum Annual Payroll $125,000 $325,000 $635,000 $945,000 $1,260,000 $1,570,000 $t880,000 $2,190,000 $2,500,000 $250,000-$500,000 $500,001-$750,000 $750,001-$1,000,000 $1,000,001-$1,500,000 $1,500,001-$2,000,000 $2,000,001-$3,000,000 $3,000,001-$4,000,000 $4,000,001-$5,000,000 $5,000,001-$10,000,000 or Jobs Created 10-25 26-50 51-75 76-100 101-125 126-150 151-175 176-200 201-225 Possible Abatement (1st 3 Years Only) 20% 30% 40% 50% 60% 70% 80% 90% 100% d) Any project with a capital investment of more than ten million dollars ($10,000,000), accompanied by a newly created minimum annual payroll of two and one-half million dollars ($2,500,000), or creating more than two hundred twenty-five (225) Jobs will be individually negotiated. No abatement will be granted for more than specified in state law. e) If a newly created business is located or will locate within an Enterprise Zone, an additional 10 to 20% abatement may be available as individually negotiated, with total abatement not to exceed 100%. VI. Tax Abatement for Personal Property; Creation of Jobs: The City recognizes a significant difference in the valuation of real property and personal property. Because of depreciation schedules, often the abatement of personal property is basically a tax exemption. For this reason, the abatement schedule for personal property versus real property is significantly different. If personal property should become obsolete and be replaced while under an abatement agreement, the replacement personal property is not eligible for abatement. a) To be eligible for any tax abatement on Personal Property, there must be a minimum capital investment of $250,000 in Personal Property and at least ten (10) new Jobs added to the Employer's labor force. 7 b) When an abatement percentage has been agreed upon it shall be granted for years one (1) through three (3); thereafter, there will be a 20% reduction in the original percentage abated beginning with year four (4) and a similar reduction of 20% in each of the next three years until 100% of the Personal Property valuation is added to the tax rolls. This formula is exemplified in Exhibit "B", attached to this document. c) Criteria for qualification for, tax abatement are as follows: Capital Investment Newly Created Minimum Annual Payroll $125,000 $325,000 $635,000 $945,000 $1,260,000 $1,570,000 $1,880,000 $2,190,000 $2,500,000 or Jobs Created 10-25 26-50 51-75 76-100 101-125 126-150 151-175 176-200 201-225 $250,000-$350,000 $350,001-$500,000 $500,001-$750,000 $750,001-$1,000,000 $1,000,001-$1,250,000 $1,250,001-$1,500,000 . $1,500,001-$1,750,000 $1,750,001-$2,000,000 $2,000,001-$3,000,000 Possible Abatement (1st 3 Years Only) 20% 30% 40% 50% 60% 70% 80% 90% 100% d) Any project with a capital investment in personal property of more than three million dollars ($3,000,000), accompanied by a newly created minimum annual payroll of two and one- half million dollars ($2,500,000), or creating more than two hundred twenty-five (225) new Jobs will be individually negotiated. No abatement will be granted for more than specified in state law. e) If a newly created business is located or will locate within an Enterprise Zone, an additional 10 to 20% abatement may be available as individually negotiated, with total abatement not to exceed 100%. VII. Tax Abatement for Existing Employers Regarding Real or Personal Property. The City recognizes the value of its existing Employers to the well-being of the community and desires to encourage existing Employers to remain in the City and to improve their respective businesses and industries, as well as their profitability. Accordingly, if an existing Employer (as opposed to a newly created business or industry moving into the City), owns or leases an Authorized Facility and has plans to improve such Property by constructing new improvements on its Real Property and/ or adding new Personal Property to its Authorized Facility which qualify for tax abatement under these Criteria and Guidelines, such Employer may be eligible for tax abatement with respect to such improvements to its Real Property or its new Personal Property under the provisions of Article V and VI above, even if 8 no new Jobs or Newly Created Minimum Annual Payroll are created. In these cases involving existing Employers, the criteria for tax abatement for improvements to Real Property at Authorized Facilities are identical to that set forth in Article V above (except that no new Jobs or Newly Created Minimum Annual Payroll are required); and the criteria for tax abatement for new Personal Property added to Authorized Facilities are identical to that set forth in Article VI above (except that no new Jobs or Newly Created Minimum Annual Payroll are required). In this regard, however, the City encourages existing Employers to retain as many Jobs and as much existing Annual Payroll as is economically feasible for the existing Employer to do and remain competitive in its industry. VIII. Application. a) Eligibility. Any present or potential owner of taxable property in the City may request tax abatement by filing a written request with the City Manager or County Judge, with a copy of the said application to be forwarded by the applicant to the Executive Director of the Paris Economic Development Corporation. b) Form. The application shall consist of a completed application form accompanied by the following items: 1) A general description of the improvements to be undertaken together with the projected new value to the Property and the type of business operation proposed; 2) A detailed descriptive list of the improvements for which abatement is requested; 3) A list of the kind, number, and location of all proposed improvements of the Property; 4) A list of the number and type of Jobs created, including information pertaining to anticipated job transfers; 5) A metes and bounds description and plat of the proposed Reinvestment Zone that shows all roadways within 200 feet of the Reinvestment Zone and all existing zoning and land uses within 200 feet of the Reinvestment Zone; 6) A time schedule for undertaking and completing the proposed improvements; 7) The type and value of any economic development incentives requested; and 8) Any other information about the proposed project as may be required by the City or as deemed desirable by the City. c) Review. Once the application has been received, the information submitted will be reviewed by the Tax Abatement Committee for completeness and accuracy. The Committee 9 will then distribute the application to the appropriate department heads and taxing entities for review and comment. In addition, no tax abatement application shall be considered for further processing by the governmental entities unless first approved by the governing board of the Paris Economic Development Corporation. d) Public Hearing. The City will comply with certain public notices and hearings required as mandated by state law under the Property Redevelopment and Tax Abatement Act prior to the designation of a Reinvestment Zone and execution of a tax abatement agreement. The City may adopt an ordinance designating a tax abatement Reinvestment Zone only after notice of a public hearing has been published at least seven (7) days before the date of the hearing, and all other procedural requirements of Chapter 312 of the Texas Tax Code have been satisfied. . e) Findings. In order to enter into an agreement, the City must find that the terms of the proposed agreement comply with these Guidelines and Criteria, that there will be no substantial adverse affect on the provision of City services or tax base, and that the planned use of the Property will not constitute a hazard to public safety, health or morals. Incident to approval of any ordinance designating a Reinvestment Zone, the City shall find that the improvements sought are feasible and practical and would be a benefit to the land to be included in the Reinvestment Zone and to the City after the expiration of the agreement. ~ Variances. Requests for variance from the provisions of these Guidelines may be made in writing to the City; provided, however, that in no event shall the term of any abatement exceed the period authorized by applicable state law. Such request shall include a complete description of the circumstances requiring a variance. Approval of a request for variance shall require the affirmative vote of three-fourths (3/4) of the members of the City Council. IX. Agreement. After approval, the City shall formally pass an order or resolution and authorize the execution of an agreement with the owner and/ or lessee of the Authorized Facility which shall include, but not be limited to the following terms: a) The Base Year Value; b) Percent of increased value to be abated each year; c) The commencement date and the termination date of abatement; d) Amount of investment and average number of jobs involved during the term of the agreement; e) The proposed use of the Authorized Facility, nature of construction, time schedule, plat, property description, and improvement list, as provided in the application; ~ A listing of the kind, number,location, and costs of all proposed improvements of the 10 Property; g) A statement limiting the uses of the property consistent with the general purpose of encouraging development or redevelopment of the Reinvestment Zone during the period that property tax abatement is in effect; h) That access to the project is provided to allow for the inspection by City inspectors and officials in order to ensure that the improvements or repairs are made according to the specifications and conditions of the agreement; i) That property tax revenue lost as a result of the tax abatement agreement will be recaptured by the City if the owner of the Property fails to make the improvements or repairs as provided by the agreement; j) Each term agreed to by the owner of the Property; k) A requirement that the owner of the Property shall certify annually to the City that the owner is in compliance with each applicable term of the agreement; 1) Contractual obligations in the event of default, violation of terms or conditions, delinquent taxes, recapture, administration and assignment, or other provisions that may be required by state law, or in the discretion of the City Council; and m) That the City may cancel or modify the agreement if the Property owner fails to comply with the agreement. X. Default. If the City determines that the person or entity receiving an abatement is in default according to the terms and conditions of its agreement, the City shall notify the company or individual in writing at the address stated in the agreement, and if such default is not cured within a reasonable time specified in such notice ("Cure Period"), then the agreement may be modified or terminated without further notice. In the event the company or individual allows its ad valorem taxes owed to the City to become delinquent and fails to timely and properly follow the legal procedures for their protest and/ or contest, or violates any of the terms and conditions of the agreement and fails to cure during the Cure Period, the agreement then may be modified or terminated without further notice, and the agreement may provide a formula for recapture of all or part of the taxes abated. At any time before the expiration, any tax abatement agreement may be terminated by mutual consent of all parties involved in the same manner that the agreement was executed. XI. Confidentiality of Proprietary Information. Information that is provided to a taxing unit in connection with an application or request for tax abatement under these Guidelines and that describes the specific processes or business activities to be conducted or the equipment or other property to be located on the Property for which tax abatement is sought is confidential and not subject to public disclosure until the agreement is executed. Such information in the custody of the City after the agreement is executed is not confidential under these Guidelines. 11 XII. Proposed Tax Abatement Agreements to be decided on an Individual Basis. The adoption of these Guidelines by the City does not limit the discretion of the City Council to decide whether to enter into a specific tax abatement agreement, or limit the discretion of the City Council to delegate to its employees the authority to determine whether or not the City should consider a particular application or request for tax abatement, or create any property, contract, or other legal right in any person or entity to have the City Council consider or grant a specified application or request for tax abatement. XIII. Inspections. The agreement shall stipulate that employees and/ or designated representatives of the City will have access to the Reinvestment Zone during the term of the agreement to inspect the Authorized Facility to determine if the terms and conditions of the agreement are being met. All inspections will be made only after the giving of at least twenty- four (24) hours' prior notice and will only be conducted in such a manner as to not unreasonably interfere with the construction and/ or operation of the Authorized Facility. All inspections will be made with one or more representatives of the company or individual and in accordance with its safety standards. Upon completion of construction, the City shall annually evaluate each Authorized Facility receiving abatement to ensure compliance with the agreement and report possible violations of the agreement to the City Council. XIV. Modifications of Agreement. At any time before the expiration of an agreement made under these Guidelines, the agreement may be modified by the parties to the agreement to include other provisions that could have been included in original agreement or to delete provisions that were contained in the original agreement. The modification must be made by the same procedure by which the original agreement was approved and executed. The original agreement, however, may not be modified to extend the term of the agreement or the term of the abatement granted therein beyond the time permitted by state law. XV. Assignment. An agreement may be assigned to a new owner or lessee of the Authorized Facility only with the prior written consent of the City. Any assignment shall provide that the assignee shall irrevocably and unconditionally assume all the duties and obligations of the assignor upon the same terms and conditions as set out in the agreement, and the City's approval shall be subject to the determination of the financial capability of such assignee. Any assignment of an agreement shall be to an entity that contemplates the same improvements or repairs to the Property, except to the extent such improvements or repairs have been completed. No assignment shall be approved if the assignor or the assignee is indebted to the City for ad valorem taxes or other obligations, or if any event of default under the agreement remains uncured. XVI. Administration, Contract Review and Monitoring, and Reporting. a) The Paris Economic Development Corporation shall be primarily responsible for the administration, review, and monitoring of tax abatement agreements authorized by the City under these Guidelines. These responsibilities shall include verifying that participants in tax abatement agreements are in full compliance with the term~ of the agreement. 12 b) The Paris Economic Development Corporation shall expeditiously advise the City in writing of any instances of contract non-compliance by tax abatement participants. In addition, the Paris Economic Development Corporation shall, on an annual basis, conduct a performance review of the activities of each tax abatement participant and report the findings of such review to the City Council. c) The City shall retain the right to independently review and audit the activities of tax abatement participants. d) The City shall be responsible for enforcement of the terms of any tax abatement agreement authorized hereunder. XVII. Amendments. These Guidelin~s are effective for a two (2) year period from the date of their adoption, unless amended or repealed by the affirmative vote of three-fourths (3/4) of the members of the City Council. For a tax abatement application or additional information contact: Paris Economic Development Corporation 1125 Bonham Street Paris, Texas 75460 903-784-2501 800-727-4789 Fax 903-784-2503 Email pedc@paristexas.com 13 EXHIBIT A TO GUIDELINES AND CRITERIA (Follows this Page) Exhibit A Tax Abatement for Real Property; Creation of Jobs Annual Year Abatement Abatement % Appraised Valuc Abatcment Amount Schedule** 1 100% 80.0% $ 3,150,000.00 $ 2,520,000.00 2 100% 80.0% $ 3,150,000.00 $ 2,520,000.00 3 100% 80.0% $ 3,150,000.00 $ 2,520,000.00 4 80% 64.0% $ 3,150,000.00 $ 2,016,000.00 5 60% 48.0% $ 3,150,000.00 $ 1,512,000.00 6 40% 32.0% $ 3,150,000.00 $ 1,008,000.00 7 20% 16.0% $ 3,150,000.00 $ 504,000.00 8* 0% 0.0% $ 3,150,000.00 $ . * Starting the 8th year the company will pay 100% of their taxes. ** This schedule shows how the original abatement % Is affected for a specific year. (Example: During the first 3 years the company will receive 100% of the original abatement percentage. In year 4 the company will receive 80% of the original abatement percentage.) . , EXHIBIT B TO GUIDELINES AND CRITERIA (Follows this Page) Exhibit B Tax Abatement for Personal Property; Creation of Jobs -" ---- Annual Year Abatement Abatement % Appraised Vallie Abatement Amount Schedule *' 1 100% 100.0% $ 17,700,000.00 $ 17,700,000.00 2 100% 100.0% $ 17,700,000.00 $ 17,700,000.00 3 100% 100.0% $ 17,700,000.00 $ 17,700,000.00 4 80% 80.0% $ 17,700,000.00 $ 14,160,000.00 5 60% 60.0% $ 17.700,000.00 $ 10,620,000.00 6 40% 40.0% $ 17,700,000.00 $ 7,080,000.00 7 20% 20.0% $ 17,700,000.00 $ 3,540,000.00 8* 0% 0.0% $ 17,700,000.00 $ - * Starting the 8th year the company will pay 100% of their taxes. *' This schedule shows how the original abatement % is affected for a specific year. (Example: During the first 3 years the company will receive 100% of the original abatement percentage. In year 4 the company will receive 80% of the original abatement percentage.) EXHIBIT F (To Tax Abatement Agreement) Example of this Tax Abatement Follows Exhibit F Tax Abatement for Real Property; Creation of Jobs Kimberly Clark Annual Year Abatement Abatement % Appraised Value Abatement Amount Schedule** 1 100% 100.0% $ 20,000,000.00 $ 20,000,000.00 2 100% 100.0% $ 17,700,000.00 $ 17,700,000.00 3 100% 100.0% $ 17,700,000.00 $ 17,700,000.00 4 100% 100.0% $ 17,700,000.00 $ 17,700,000.00 5 80% 80.0% $ 17,700,000.00 $ 14,160,000.00 6 60% 60.0% $ 17,700,000.00 $ 10,620,000.00 7 40% 40.0% $ 17,700,000.00 $ 7,080,000.00 8* 0% 0.0% $ 17,700,000.00 $ - 9 0% 0.0% $ 17,700,000.00 $ - 10 0% 0.0% $ 17,700,000.00 $ - 11 0% 0.0% $ 17,700,000.00 $ - t Starting the 8th year the company will pay 100% of their taxes. tt This schedule shows how the original abatement % is affected for a specific year. (Example: During the first 4 years the company will receive 100% of the original abatement percentage.)