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E . STATUTORY COMPLIANCE : The Company understands that the County' s participation is <br /> contingent upon authority found in North Carolina General Statute 158 - 7 . 1 and other relevant <br /> North Carolina General Statutes and that should such statutory authority be withdrawn by the <br /> North Carolina General Assembly County may terminate this Agreement without penalty to <br /> County and without further compliance with this Agreement . <br /> 3 . INDUCEMENT PACKAGE <br /> A . COUNTY INDUCEMENT GRANT : Subject to the limitations set out herein the County, <br /> upon execution of this Agreement , shall provide to the Company an Inducement Grant to offset <br /> Facility development, expansion , and acquisition costs in an amount estimated at Eighty Six <br /> Thousand Two Hundred Sixty One Dollars ( $ 86 , 261 . 00 ) payable in five installments . The <br /> estimated annual amount of each year ' s grant payment is shown in Exhibit A . The first <br /> installment shall occur on January 31 , 2021 upon receipt of proof, as described in Section 5 of <br /> this Agreement , that the minimum employment and investment numbers referenced in Section 2 <br /> of this Agreement have been met and proof that all outstanding local property taxes on the real <br /> and business personal property owned by the Company and located within Orange County, for <br /> which a bill for such taxes has been issued to the Company, have been paid . Subsequent annual <br /> installments will occur during the month of January for the term of this Agreement with the final <br /> installment occurring in January 2025 . No installment shall be required to be paid until such <br /> time as County receives proof of the payment of all outstanding property taxes and verification <br /> of employment and investment levels has been submitted to the County . Subject to Section 3C <br /> the final Inducement Grant amount shall be determined based on the Company ' s Total Taxable <br /> Investment at the time of the final inducement installment and according to the formula in 3B . <br /> B . TOTAL COUNTY COMMITMENT : The maximum amount of the Inducement Grant <br /> payment is based on the Total Taxable Investment by Company in an amount of Four Million <br /> One Hundred Fifty Thousand Dollars ( $ 4 , 150 , 000 . 00 ) . The Inducement Grant payments shall <br /> be calculated based on the Company ' s Minimum Taxable Investment for the time period <br /> preceding the current Inducement Grant payment . County shall adjust the Inducement Grant <br /> payment amount according to the following formula : Amount of investment divided by 100 <br /> multiplied by the current ad valorem tax rate (currently $ 0 . 8679 per $ 100 of valuation) <br /> multiplied by 0 . 75 (percentage of inducement) multiplied by 5 (number of years) . Utilizing this <br /> formula , and an estimate of depreciation as outlined in Exhibit A , a taxable investment currently <br /> estimated at Four Million One Hundred Fifty Thousand Dollars ( $ 4 , 150 , 000 . 00 ) would result in <br /> an Inducement Grant in the amount of Eighty Six Thousand Two Hundred Sixty One Dollars <br /> ( $ 86 , 261 . 00) , payable in 5 installments . Subject to 3C below, in the event the amount of <br /> taxable investment increases or decreases , the amount of inducement shall increase or decrease <br /> based on the formula specified herein , however the total amount of inducement shall not exceed <br /> Eight Six Thousand Two Hundred Sixty One Dollars ( $ 86 , 261 . 00) . Further, this example <br /> assumes a static Total Taxable Investment of Four Million One Hundred Fifty Thousand Dollars <br /> ( $ 4 , 150 , 000 . 00 ) throughout the 5 year term . The formula specified herein shall be applied to the <br /> taxable investment annually during the term to determine the actual amount of the 5 inducement <br /> installments . <br /> Page 5 of 14 <br />