Title
Consider/Discuss/Act on an Amendment to an Existing Tax Abatement Agreement with Traxxas, L.P.
Summary
MEETING DATE: July 19, 2011
DEPARTMENT: City Manager
CONTACT: Jason Gray
RECOMMENDED CITY COUNCIL ACTION:
• Approval
ITEM SUMMARY:
• Traxxas, L.P. desires an amendment to its existing tax abatement agreement with the City of McKinney whereby the date for obtaining a Certificate of Occupancy would be extended from February 3, 2012 to February 3, 2013. All other terms would remain unchanged.
BACKGROUND INFORMATION:
• The City entered into a tax abatement agreement with Traxxas, L.P. on June 14, 2010 allowing for a 50% ad valorem abatement for up to 8 years upon the satisfaction of certain conditions. No other taxing entities are participating in this agreement.
FINANCIAL SUMMARY:
• The Company actually anticipates higher values than were anticipated in 2010 for the project.
BOARD OR COMMISSION RECOMMENDATION:
• N/A