1a. Tax exemption application-Tharaldson Ethanol Plant

SUBJECT: TAX INCENTIVE POLICY 34.00 PAGE30F3 Applicant Cateqorv D $25,000,000 or greater $4,500,000 or greater Year 1: 100% Year 2: 90% Year 3: 90% Year 4: 90% Year 5: 90% Year 6: 80% Year 7: 80% Year 8: 80% Year 9: 70% Year 10: 70% 7) Annual Reports - Effective January 1, 2006, political subdivision grantor reporting requirements must follow state law. (See NDCC 54-60.1-08). This includes a statement of public purpose and a business incentive agreement for each public project valued at $25,000 or more. 8) In those cases where an application for tax exemption involves new construction, an exemption which has been granted will be considered lapsed and invalid if construction has not begun in 1 year and/or completed in 2 years. Notice will be sent to the project operator 90 days prior to the exemption lapsing. If, however, the business submits information prior to the exemption lapsing outlining circumstances which necessitate a longer construction schedule, the County Commission can vote to extend the construction period. 9) If an exemption has been granted and the project operator wishes to locate the operation in another facility, the exemption may be transferred to the new building if the value of the new building is no more than 15% higher than that of the building for which the exemption was originally granted or if the capital investment in the project does not increase by more than 20%. If the new building is more than 15% greater in estimated value or the capital investment in the project increases by more than 20%, the County Commission will reconsider the exemption. 10) 100% exemption in years 6 through 10 for projects manufacturing or processing a product from an agricultural commodity may be available in unique or special circumstances and will be evaluated on a case by case basis. HISTORICAL REFERENCE DATE: JUNE 5, 1995 AUGUST 3, 1998 DECEMBER 18, 2006