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Recently,staff reviewed INEOS's annual report and verified INEOS's compliance with tax exemption requirements, including representations made in its tax abatement application. At this time, staff is bringing the annual report and its analysis to the Board for consideration, and requests that the Board find INEOS currently in compliance with its tax exemption requirements. ANALYSIS Over the last 3 years, INEOS obtained approval of economic development incentives, developed a bioenergy production facility at the southwest corner of Oslo Road/74th Avenue(former Ocean Spray site), and hired facility personnel as follows: • Spring/summer 2010: coordinated with staff on local jobs grant and tax abatement incentives; obtained BCC approval of local jobs grant. • September 2010: obtained project site plan approval. • March-November 2011: submitted tax abatement application and related information. • December 2011: obtained BCC tax abatement approval (ordinance, agreement). • March 2012: reported 41 employees • June 2012: reported 49 employees • September 2012: reported 53 employees • December 2012: reported 56 employees • January 2013: obtained C.O. (Certificate of Occupancy) for plant site work and associated permits, filed first tax abatement annual report. In its annual report, INEOS (see attachment#5)provides all the information required by INEOS's tax abatement agreement, including information on the number of jobs, average wage, and capital investment in the plant. Staff has verified that the reported jobs and wage information provided in the report is consistent with information reported to the Florida Department of Revenue. With respect to project capital investment(improvements to real property and tangible personal property), it appears that the project has involved tens of millions of dollars in improvements and equipment,as anticipated. Based upon that report, staff determined that INEOS has met applicable project-related and tax abatement-related time frames and deadlines. Recently,Property Appraiser's staff inspected the project INEOS facility and estimated that,for local ad valorem tax assessment purposes,the project has an estimated real property improvements value of approximately $1,000,000. That figure is comparable to staff's 2011 estimate of$1,500,000 for the value of real property improvements for local tax assessment purposes. According to the INEOS tax exemption application, the majority of the project's assessed value will consist of tangible personal property in the form of plant equipment. Later this year, INEOS will file tangible personal property information with the state, and Property Appraiser's staff will use that information to determine the project's total assessed value. Staff's conclusion is that the capital investment amount of $52,500,000 provided in INEOS's annual report is reasonably accurate and consistent with INEOS's tax abatement application. FACommunity Deve1opment\CurDev\BCC\2013 BCC\INEOSAdValreport.doc 2 129