KEVIN O’HANLON Rio Grande Valley Office 426 W. Caffery Ave. [email protected] Pharr, Texas 78577

San Antonio Office 117 W. Craig Place San Antonio, Texas 78212

June 22, 2021

Local Government Assistance & Economic Analysis Texas Comptroller of Public Accounts P.O. Box 13528 Austin, Texas 78711-3528

RE: Application to the Danbury Independent School District from High Chaparral Solar Project, LLC

To the Local Government Assistance & Economic Analysis Division:

By copy of this letter transmitting the application for review to the Comptroller’s Office, the Danbury Independent School District is notifying High Chaparral Solar Project, LLC of its intent to consider the application for appraised value limitation on qualified property should a positive certificate be issued by the Comptroller. Please prepare the Economic Impact Report.

The Applicant submitted the Application to the school district on June 21, 2021. The Board voted to accept the application on June 21, 2021. The application has been determined complete as of June 22, 2021.

The Applicant has requested that a portion of Tab 11, specifically the detailed layout of the planned wind farm, be kept confidential until such time the Board votes to approve the application. In accordance with 34 TAC 9.1053, the information that is the subject of this request is segregated from the materials submitted contemporaneously with this application, that is, the proprietary commercial information regarding the competitive siting decisions for the possible project and proprietary information regarding the proposed layout of the project. The confidential materials are being submitted separately to protect against unintended disclosure. The maps depicting the planned location of the project display proprietary commercial information regarding the specific location of the possible project and the nature of the business that will be conducted at the site. The materials are protected by the trade secret exception set forth in Texas Government Code §552.110. The Confidential packet is password protected. The password is XXXXXXXXXX.

O’Hanlon, Demerath & Castillo | 808 West Avenue | Austin Texas 78701 Telephone (512) 494-9949 | Facsimile (512) 494-9919

A copy of the application will be submitted to the Brazoria County Appraisal District.

Sincerely,

Kevin O’Hanlon School District Consultant

Cc: Brazoria CAD High Chaparral Solar Project, LLC

O’Hanlon, Demerath & Castillo | 808 West Avenue | Austin Texas 78701 Telephone (512) 494-9949 | Facsimile (512) 494-9919 Application for Chapter 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD

June 21, 2021 Data Analysis and Texas Comptroller of Public Accounts Transparency Form 50-296-A

APPLICATION TAB ORDER FOR REQUESTED ATTACHMENTS

ATTACHMENT

1 Sections 1-16

2 Proof of Payment of Application Fee

3 Documentation of Combined Group membership under Texas Tax Code 171.0001(7), history of tax default, delinquencies and/or material litigation (if applicable)

4 Detailed description of the project

5 Documentation to assist in determining if limitation is a determining factor

6 Description of how project is located in more than one district, including list of percentage in each district and, if determined to be a single unified project, documentation from the Office of the Governor (if applicable)

7 Description of Qualified Investment

8 Description of Qualified Property

9 Description of Land

10 Description of all property not eligible to become qualified property (if applicable)

11 Maps that clearly show: a) Project boundary and project vicinity, including county and school district boundaries b) Qualified investment including location of tangible personal property to be placed in service during the qualifying time period and buildings to be constructed during the qualifying time period c) Qualified property including location of new buildings or new improvements d) Any existing property within the project area e) Any facilities owned or operated by the applicant having interconnections to the proposed project f) Location of project, and related nearby projects within vicinity map g) Reinvestment or Enterprise Zone within vicinity map, showing the actual or proposed boundaries and size Note: Maps should be high resolution files. Include map legends/markers.

12 Request for Waiver of Job Creation Requirement and supporting information (if applicable)

13 Calculation of non-qualifying wage target and two possible qualifying job wage requirements with TWC documentation

14 Schedules A1, A2, B, and C completed and signed Economic Impact (if applicable)

15 Economic Impact Analysis, other payments made in the state or other economic information (if applicable)

16 Description of Reinvestment or Enterprise Zone, including: a) evidence that the area qualifies as an enterprise zone as defined by the Governor’s Office b) legal description of reinvestment zone c) order, resolution or ordinance establishing the reinvestment zone d) guidelines and criteria for creating the zone

17 Signature and Certification page, signed and dated by School District Representative and Authorized Company Representative (applicant)

For more information, visit our website: comptroller.texas.gov/economy/local/ch313/ Page 10

50-296-A • 10-20/5 Tab 1 See executed application attached.

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD Data Analysis and Texas Comptroller of Public Accounts Transparency Form 50-296-A Application for Appraised Value Limitation on Qualified Property (Tax Code, Chapter 313, Subchapter B or C) INSTRUCTIONS: 7KLVDSSOLFDWLRQPXVWEHFRPSOHWHGDQGILOHGZLWKWKHVFKRROGLVWULFW,QRUGHUIRUDQDSSOLFDWLRQWREHSURFHVVHGWKHJRYHUQLQJERG\ VFKRROERDUG PXVWHOHFWWRFRQVLGHUDQDSSOLFDWLRQEXW²E\&RPSWUROOHUUXOH²WKHVFKRROERDUGPD\HOHFWWRFRQVLGHUWKHDSSOLFDWLRQRQO\DIWHUWKH VFKRROGLVWULFWKDVUHFHLYHGDFRPSOHWHGDSSOLFDWLRQ7H[DV7D[&RGH6HFWLRQUHTXLUHVWKDWDQ\FRPSOHWHGDSSOLFDWLRQDQGDQ\VXSSOHPHQWDO PDWHULDOVUHFHLYHGE\WKHVFKRROGLVWULFWPXVWEHIRUZDUGHGZLWKLQVHYHQGD\VWRWKH7H[DV&RPSWUROOHURI3XEOLF$FFRXQWV ,IWKHVFKRROERDUGHOHFWVWRFRQVLGHUWKHDSSOLFDWLRQWKHVFKRROGLVWULFWPXVW ‡ QRWLI\WKH&RPSWUROOHUWKDWWKHVFKRROERDUGKDVHOHFWHGWRFRQVLGHUWKHDSSOLFDWLRQ7KLVQRWLFHPXVWLQFOXGH ± WKHGDWHRQZKLFKWKHVFKRROGLVWULFWUHFHLYHGWKHDSSOLFDWLRQ ± WKHGDWHWKHVFKRROGLVWULFWGHWHUPLQHGWKDWWKHDSSOLFDWLRQZDVFRPSOHWH ± WKHGDWHWKHVFKRROERDUGGHFLGHGWRFRQVLGHUWKHDSSOLFDWLRQDQG ± DUHTXHVWWKDWWKH&RPSWUROOHUSUHSDUHDQHFRQRPLFLPSDFWDQDO\VLVRIWKHDSSOLFDWLRQ ‡ SURYLGHDFRS\RIWKHQRWLFHWRWKHDSSUDLVDOGLVWULFW ‡ PXVWFRPSOHWHWKHVHFWLRQVRIWKHDSSOLFDWLRQUHVHUYHGIRUWKHVFKRROGLVWULFWDQGSURYLGHLQIRUPDWLRQUHTXLUHGLQWKH&RPSWUROOHUUXOHVORFDWHG DW7H[DV$GPLQLVWUDWLYH&RGH 7$& 6HFWLRQDQG ‡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¶VUXOHV)RUPRUHLQIRUPDWLRQVHHJXLGHOLQHVRQ&RPSWUROOHU¶VZHEVLWH 7KH&RPSWUROOHUZLOOLQGHSHQGHQWO\GHWHUPLQHZKHWKHUWKHDSSOLFDWLRQKDVEHHQFRPSOHWHGDFFRUGLQJWRWKH&RPSWUROOHU¶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²DV GHWHUPLQHGE\WKH&RPSWUROOHU 7KHVFKRROERDUGPXVWDSSURYHRUGLVDSSURYHWKHDSSOLFDWLRQQRWODWHUWKDQWKHWKGD\DIWHUWKHDSSOLFDWLRQUHYLHZVWDUWGDWH WKHGDWHWKHDSSOLFDWLRQLV ILQDOO\GHWHUPLQHGWREHFRPSOHWHE\WKH&RPSWUROOHU XQOHVVDQH[WHQVLRQLVJUDQWHG7KH&RPSWUROOHUDQGVFKRROGLVWULFWDUHDXWKRUL]HGWRUHTXHVWDGGLWLRQDO LQIRUPDWLRQIURPWKHDSSOLFDQWWKDWLVUHDVRQDEO\QHFHVVDU\WRLVVXHDFHUWLILFDWHFRPSOHWHWKHHFRQRPLFLPSDFWHYDOXDWLRQRUFRQVLGHUWKHDSSOLFDWLRQDWDQ\ WLPHGXULQJWKHDSSOLFDWLRQUHYLHZSHULRG 3OHDVHYLVLWWKH&RPSWUROOHU¶VZHEVLWHWRILQGRXWPRUHDERXWWKHSURJUDPDWFRPSWUROOHUWH[DVJRYHFRQRP\ORFDOFK7KHUHDUHOLQNVWRWKH&KDSWHU VWDWXWHUXOHVJXLGHOLQHVDQGIRUPV,QIRUPDWLRQDERXWPLQLPXPOLPLWDWLRQYDOXHVIRUSDUWLFXODUGLVWULFWVDQGZDJHVWDQGDUGVPD\DOVREHIRXQGDWWKDWVLWH SECTION 1: School District Information 1. Authorized School District Representative BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBJune 21, 2021 'DWH$SSOLFDWLRQ5HFHLYHGE\'LVWULFW BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBNancy BBBBBBBBBBBBBBSandlin BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB )LUVW1DPH /DVW1DPH BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBSuperintendent BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB 7LWOH BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBDanbury Independent School District BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB 6FKRRO'LVWULFW1DPH BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB55611 Panther Dr BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB 6WUHHW$GGUHVV BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBPO Box 378 BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB 0DLOLQJ$GGUHVV BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBDanbury BBBBBBBBBBBBBBTX BBBBBBBBBBBBBB BBBBBBBBBBBBBBBBB77534 &LW\ 6WDWH =,3 BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB979-922-1218 BBBBBBBBBBBBBB979-922-8246 BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB 3KRQH1XPEHU )D[1XPEHU BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBN/A BBBBBBBBBBBBBBnancy.sandlin@danburBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBByisd.org 0RELOH1XPEHU RSWLRQDO  (PDLO$GGUHVV  'RHVWKHGLVWULFWDXWKRUL]HWKHFRQVXOWDQWWRSURYLGHDQGREWDLQLQIRUPDWLRQUHODWHGWRWKLVDSSOLFDWLRQ" ✔

The Data Analysis and Transparency Division at the Texas Comptroller of Public Accounts For more information, visit our website: provides information and resources for taxpayers and local taxing entities. comptroller.texas.gov/economy/local/ch313/ 50-296-A • -20/5 Data Analysis and Texas Comptroller of Public Accounts Transparency Form 50-296-A SECTION 1: School District Information (continued) 3. Authorized School District Consultant (If Applicable)

BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBKevin BBBBBBBBBBBBBB O'Hanlon BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB )LUVW1DPH /DVW1DPH Attorney BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB 7LWOH O'Hanlon, Demerath & Castillo BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB )LUP1DPH 512-494-9949 N/A BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB 3KRQH1XPEHU )D[1XPEHU N/A [email protected] BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB 0RELOH1XPEHU (optional) (PDLO$GGUHVV

 2QZKDWGDWHGLGWKHGLVWULFWGHWHUPLQHWKLVDSSOLFDWLRQFRPSOHWH" BBBBBBBBBBBBBBBBBBBJune 22, 2021

SECTION 2: Applicant Information 1. Authorized Company Representative (Applicant) Benjamin Branch BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB )LUVW1DPH /DVW1DPH Head of Development Strategy & Analytics Enel Green Power North America, Inc. BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB 7LWOH 2UJDQL]DWLRQ 16105 W. 113th St. BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB 6WUHHW$GGUHVV N/A BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB 0DLOLQJ$GGUHVV Lenexa KS 66219 BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB BBBBBBBBBBBBBBBBBBBBBBBBBBBB BBBBBBBBBBBBBBBBB &LW\ 6WDWH =,3 978-296-6893 N/A BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB 3KRQH1XPEHU )D[1XPEHU N/A [email protected] BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB 0RELOH1XPEHU (optional) %XVLQHVV(PDLO$GGUHVV  :LOODFRPSDQ\RIILFLDORWKHUWKDQWKHDXWKRUL]HGFRPSDQ\UHSUHVHQWDWLYHEHUHVSRQVLEOHIRUUHVSRQGLQJWRIXWXUH ✔ LQIRUPDWLRQUHTXHVWV"

BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBZach BBBBBBBBBBBBBB Precopia BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB )LUVW1DPH /DVW1DPH BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBProject Manager BBBBBBBBBBBBBB Enel Green PowerBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB North America, Inc. 7LWOH 2UJDQL]DWLRQ BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB16105 W. 113th St. BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB 6WUHHW$GGUHVV BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBN/A BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB 0DLOLQJ$GGUHVV BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBLenexa BBBBBBBBBBBBBB KS BBBBBBBBBBBBBB BBBBBBBBBBBBBBBBB66219 &LW\ 6WDWH =,3 BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB816-401-9337 BBBBBBBBBBBBBB N/A BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB 3KRQH1XPEHU )D[1XPEHU BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBN/A BBBBBBBBBBBBBB [email protected] 0RELOH1XPEHU (optional) %XVLQHVV(PDLO$GGUHVV  'RHVWKHDSSOLFDQWDXWKRUL]HWKHFRQVXOWDQWWRSURYLGHDQGREWDLQLQIRUPDWLRQUHODWHGWRWKLVDSSOLFDWLRQ"  ✔

For more information, visit our website: comptroller.texas.gov/economy/local/ch313/ Page 2

50-296-A • -20/5 Data Analysis and Texas Comptroller of Public Accounts Transparency Form 50-296-A SECTION 2: Applicant Information (continued) 4. Authorized Company Consultant (If Applicable)

BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBRobert BBBBBBBBBBBBBB Pena BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB )LUVW1DPH /DVW1DPH BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBN/A BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB 7LWOH BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBEnel Green Power North America, Inc. BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB )LUP1DPH BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB956-386-9387 BBBBBBBBBBBBBB 877-341-4474 BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB 3KRQH1XPEHU )D[1XPEHU BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB[email protected] %XVLQHVV(PDLO$GGUHVV

SECTION 3: Fees and Payments  +DVDQDSSOLFDWLRQIHHEHHQSDLGWRWKHVFKRROGLVWULFW"  ✔

)RUWKHSXUSRVHRITXHVWLRQVDQG³SD\PHQWVWRWKHVFKRROGLVWULFW´LQFOXGHDQ\DQGDOOSD\PHQWVRUWUDQVIHUVRIWKLQJVRIYDOXHPDGHWRWKHVFKRRO GLVWULFWRUWRDQ\SHUVRQRUSHUVRQVLQDQ\IRUPLIVXFKSD\PHQWRUWUDQVIHURIWKLQJRIYDOXHEHLQJSURYLGHGLVLQUHFRJQLWLRQRIDQWLFLSDWLRQRIRUFRQVLGHU DWLRQIRUWKHDJUHHPHQWIRUOLPLWDWLRQRQDSSUDLVHGYDOXH  :LOODQ\³SD\PHQWVWRWKHVFKRROGLVWULFW´WKDW\RXPD\PDNHLQRUGHUWRUHFHLYHDSURSHUW\WD[YDOXHOLPLWDWLRQ ✔ DJUHHPHQWUHVXOWLQSD\PHQWVWKDWDUHQRWLQFRPSOLDQFHZLWK7D[&RGH† L " 

 :KDWLVWKHOHJDOQDPHRIWKHDSSOLFDQWXQGHUZKLFKWKLVDSSOLFDWLRQLVPDGH" BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBHigh Chaparral Solar Project, LLC

 7H[DV7D[SD\HU,'QXPEHURIHQWLW\VXEMHFWWR7D[&RGH&KDSWHU (11 digits)  BBBBBBBBBBBBBBBBBBB32074128300

 3DUHQW&RPSDQ\1DPH BBBBBBBBBBBBBBBBBBBEnel Green Power N.

 3DUHQW&RPSDQ\7D[,' BBBBBBBBBBBBBBBBBBB32049469615

 1$,&6FRGH BBBBBBBBBBBBBBBBBBB221114  ,VWKHDSSOLFDQWDSDUW\WRDQ\RWKHUSHQGLQJRUDFWLYH&KDSWHUDJUHHPHQWV" 

 %XVLQHVV2UJDQL]DWLRQRI$SSOLFDQW(corporation, limited liability corporation, etc) BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBLimited Liability Corporation  ,VDSSOLFDQWDFRPELQHGJURXSRUFRPSULVHGRIPHPEHUVRIDFRPELQHGJURXSDVGHILQHGE\7D[&RGH†  " 

50-296-A • -20/5 Data Analysis and Texas Comptroller of Public Accounts Transparency Form 50-296-A SECTION 5: Applicant Business Structure (continued)

E 7H[DV)UDQFKLVH7D[5HSRUWLQJ(QWLW\7D[SD\HU1DPH BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBN/A BBBBBBBBBBBBBBBBBBBBBBBBBBBB

F 5HSRUWLQJ(QWLW\7D[SD\HU1XPEHU BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBN/A BBBBBBBBBBBBBBBBBBBBBBBBBBBB

 ,VWKHDSSOLFDQWFXUUHQWRQDOOWD[SD\PHQWVGXHWRWKH6WDWHRI7H[DV" ✔

SECTION 7: Project Description

 ,Q Tab 4DWWDFKDGHWDLOHGGHVFULSWLRQRIWKHVFRSHRIWKHSURSRVHGSURMHFWLQFOXGLQJDWDPLQLPXPWKHW\SHDQGSODQQHGXVHRIUHDODQGWDQJLEOH SHUVRQDOSURSHUW\WKHQDWXUHRIWKHEXVLQHVVDWLPHOLQHIRUSURSHUW\FRQVWUXFWLRQRULQVWDOODWLRQDQGDQ\RWKHUUHOHYDQWLQIRUPDWLRQ,IWKHSURMHFWLVDQ DPHQGPHQWRUDUHDSSOLFDWLRQSOHDVHVSHFLI\DQGSURYLGHGHWDLOVUHJDUGLQJWKHRULJLQDOSURMHFW  &KHFNWKHSURMHFWFKDUDFWHULVWLFVWKDWDSSO\WRWKHSURSRVHGSURMHFW ✔ /DQGKDVQRH[LVWLQJLPSURYHPHQWV /DQGKDVH[LVWLQJLPSURYHPHQWV (complete Section 13) ([SDQVLRQRIH[LVWLQJRSHUDWLRQRQWKHODQG(complete Section 13) 5HORFDWLRQZLWKLQ7H[DV

For more information, visit our website: comptroller.texas.gov/economy/local/ch313/ Page 4

50-296-A • -20/5 Data Analysis and Texas Comptroller of Public Accounts Transparency Form 50-296-A SECTION 8: Limitation as Determining Factor  'RHVWKHDSSOLFDQWFXUUHQWO\RZQWKHODQGRQZKLFKWKHSURSRVHGSURMHFWZLOORFFXU" 

NOTE2QO\FRQVWUXFWLRQEHJLQQLQJDIWHUWKHDSSOLFDWLRQUHYLHZVWDUWGDWH WKHGDWHWKH7H[DV&RPSWUROOHURI3XEOLF$FFRXQWVGHHPVWKHDSSOLFDWLRQ FRPSOHWH FDQEHFRQVLGHUHGTXDOLILHGSURSHUW\DQGRUTXDOLILHGLQYHVWPHQW Q 4 2021  (VWLPDWHGVFKRROERDUGUDWLILFDWLRQRIILQDODJUHHPHQW BBBBBBBBBBBBBBBBBBBB Q 4 2022  (VWLPDWHGFRPPHQFHPHQWRIFRQVWUXFWLRQBBBBBBBBBBBBBBBBBBBB 01/01/2022  %HJLQQLQJRITXDOLI\LQJWLPHSHULRG 00''<<<< BBBBBBBBBBBBBBBBBBBB 2024  )LUVW\HDURIOLPLWDWLRQ <<<<  BBBBBBBBBBBBBBBBBBBB

D)RUWKHEHJLQQLQJRIWKHOLPLWDWLRQSHULRGQRWDWHZKLFKone of the followingZLOODSSO\DFFRUGLQJWRSURYLVLRQRI D   $-DQXDU\IROORZLQJWKHDSSOLFDWLRQGDWH %-DQXDU\IROORZLQJWKHHQGRI473 ✔ & -DQXDU\IROORZLQJWKHFRPPHQFHPHQWRIFRPPHUFLDORSHUDWLRQV Q 4 2023  &RPPHQFHPHQWRIFRPPHUFLDORSHUDWLRQV BBBBBBBBBBBBBBBBBBBB SECTION 10: The Property

Brazoria County, Texas  &RXQW\RUFRXQWLHVLQZKLFKWKHSURSRVHGSURMHFWZLOOEHORFDWHG BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB Brazoria CAD  &HQWUDO$SSUDLVDO'LVWULFW &$' WKDWZLOOEHUHVSRQVLEOHIRUDSSUDLVLQJWKHSURSHUW\ BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB  :LOOWKLV&$'EHDFWLQJRQEHKDOIRIDQRWKHU&$'WRDSSUDLVHWKLVSURSHUW\" 

+RVSLWDO'LVWULFW BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBAngleton-Danbury Hosp., 0.206,100 :DWHU'LVWULFW BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBN/A (Name, tax rate and percent of project) (Name, tax rate and percent of project)

2WKHU (describe) BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBDanbury Drainage Dist 8, 0.20938, 100 2WKHU (describe) BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBN/A (Name, tax rate and percent of project) (Name, tax rate and percent of project)

For more information, visit our website: comptroller.texas.gov/economy/local/ch313/ Page 5

50-296-A • -20/5 Data Analysis and Texas Comptroller of Public Accounts Transparency Form 50-296-A

SECTION 10: The Property (continued)

 /LVWDOOVWDWHDQGORFDOLQFHQWLYHVDVDQDQQXDOSHUFHQWDJH,QFOXGHWKHHVWLPDWHGVWDUWDQGHQG\HDURIWKHLQFHQWLYH 312, 80%, 2024-2033 N/A &RXQW\ BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB &LW\ BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB (Incentive type, percentage, start and end year) (Incentive type, percentage, start and end year) N/A +RVSLWDO'LVWULFW BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBN/A :DWHU'LVWULFW BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB (Incentive type, percentage, start and end year) (Incentive type, percentage, start and end yeart) N/A 2WKHU (describe) BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBN/A 2WKHU (describe) BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB (Incentive type, percentage, start and end year) (Incentive type, percentage, start and end year)

✔  ,VWKHSURMHFWORFDWHGHQWLUHO\ZLWKLQWKH,6'OLVWHGLQ6HFWLRQ" 

SECTION 11: Texas Tax Code 313.021(1) Qualified Investment NOTE: 7KHPLQLPXPDPRXQWRITXDOLILHGLQYHVWPHQWUHTXLUHGWRTXDOLI\IRUDQDSSUDLVHGYDOXHOLPLWDWLRQDQGWKHPLQLPXPDPRXQWRIDSSUDLVHGYDOXH OLPLWDWLRQYDU\GHSHQGLQJRQZKHWKHUWKHVFKRROGLVWULFWLVFODVVLILHGDV6XEFKDSWHU%RU6XEFKDSWHU&DQGWKHWD[DEOHYDOXHRIWKHSURSHUW\ZLWKLQWKHVFKRRO GLVWULFW)RUDVVLVWDQFHLQGHWHUPLQLQJHVWLPDWHVRIWKHVHPLQLPXPVDFFHVVWKH&RPSWUROOHU¶VZHEVLWHDWcomptroller.texas.gov/economy/local/ch313/

 $WWKHWLPHRIDSSOLFDWLRQZKDWLVWKHHVWLPDWHGPLQLPXPTXDOLILHGLQYHVWPHQWUHTXLUHGIRUWKLVVFKRROGLVWULFW"BBBBBBBBBBBBBBBBBBBB$ 10,000,000.00

 :KDWLVWKHDPRXQWRIDSSUDLVHGYDOXHOLPLWDWLRQIRUZKLFK\RXDUHDSSO\LQJ" BBBBBBBBBBBBBBBBBBBB$ 20,000,000.00 Note: 7KHSURSHUW\YDOXHOLPLWDWLRQDPRXQWLVEDVHGRQSURSHUW\YDOXHVDYDLODEOHDWWKHWLPHRIDSSOLFDWLRQDQGPD\FKDQJHSULRUWRWKHH[HFXWLRQRI DQ\ILQDODJUHHPHQW ✔  'RHVWKHTXDOLILHGLQYHVWPHQWPHHWWKHUHTXLUHPHQWVRI7D[&RGH†  " 6HH†  @7KHGHVFULSWLRQPXVWLQFOXGH D DVSHFLILFDQGGHWDLOHGGHVFULSWLRQRIWKHTXDOLILHGLQYHVWPHQW\RXSURSRVHWRPDNHZLWKLQWKHSURMHFWERXQGDU\IRUZKLFK\RXDUHUHTXHVWLQJDQ DSSUDLVHGYDOXHOLPLWDWLRQDVGHILQHGE\7D[&RGH† Tab 7  E DGHVFULSWLRQRIDQ\QHZEXLOGLQJVSURSRVHGQHZLPSURYHPHQWVRUSHUVRQDOSURSHUW\ZKLFK\RXLQWHQGWRLQFOXGHDVSDUWRI\RXUPLQLPXP TXDOLILHGLQYHVWPHQW Tab 7 DQG F DGHWDLOHGPDSRIWKHTXDOLILHGLQYHVWPHQWVKRZLQJORFDWLRQRIWDQJLEOHSHUVRQDOSURSHUW\WREHSODFHGLQVHUYLFHGXULQJWKHTXDOLI\LQJWLPH SHULRGDQGEXLOGLQJVWREHFRQVWUXFWHGGXULQJWKHTXDOLI\LQJWLPHSHULRGZLWKYLFLQLW\PDS Tab 11 

 'R\RXLQWHQGWRPDNHDWOHDVWWKHPLQLPXPTXDOLILHGLQYHVWPHQWUHTXLUHGE\7D[&RGH† RU†IRU6XEFKDSWHU&VFKRROGLVWULFWV ✔ IRUWKHUHOHYDQWVFKRROGLVWULFWFDWHJRU\GXULQJWKHTXDOLI\LQJWLPHSHULRG" 

 $WWDFKDGHWDLOHGGHVFULSWLRQRIWKHTXDOLILHGSURSHUW\>6HH†  @7KHGHVFULSWLRQPXVWLQFOXGH D DVSHFLILFDQGGHWDLOHGGHVFULSWLRQRIWKHTXDOLILHGSURSHUW\IRUZKLFK\RXDUHUHTXHVWLQJDQDSSUDLVHGYDOXHOLPLWDWLRQDVGHILQHGE\7D[&RGH † Tab 8  E DGHVFULSWLRQRIDQ\QHZEXLOGLQJVSURSRVHGQHZLPSURYHPHQWVRUSHUVRQDOSURSHUW\ZKLFK\RXLQWHQGWRLQFOXGHDVSDUWRI\RXUTXDOLILHG SURSHUW\ Tab 8  F DPDSRUVLWHSODQRIWKHSURSRVHGTXDOLILHGSURSHUW\VKRZLQJWKHORFDWLRQRIWKHQHZEXLOGLQJVRUQHZLPSURYHPHQWVLQVLGHWKHSURMHFWDUHD ERXQGDULHVZLWKLQDYLFLQLW\PDSWKDWLQFOXGHVVFKRROGLVWULFWFRXQW\DQGUHLQYHVWPHQW]RQHERXQGDULHV Tab 11 DQG G :LOODQ\RIWKHSURSRVHGTXDOLILHGSURSHUW\EHXVHGWRUHQRYDWHUHIXUELVKXSJUDGHPDLQWDLQPRGLI\LPSURYHRUIXQFWLRQDOO\ ✔ UHSODFHH[LVWLQJEXLOGLQJVRUH[LVWLQJLPSURYHPHQWVLQVLGHRURXWVLGHWKHSURMHFWDUHD" 

For more information, visit our website: comptroller.texas.gov/economy/local/ch313/ Page 6

50-296-A • -20/5 Data Analysis and Texas Comptroller of Public Accounts Transparency Form 50-296-A

SECTION 12: Texas Tax Code 313.021(2) Qualified Property(continued)

 ,VWKHODQGXSRQZKLFKWKHQHZEXLOGLQJVRUQHZLPSURYHPHQWVZLOOEHEXLOWSDUWRIWKHTXDOLILHGSURSHUW\GHVFULEHGE\ ✔ †  $ " 

:KDWLVWKHDQWLFLSDWHGGDWHRQZKLFK\RXZLOOVXEPLWILQDOSURRIRIDUHLQYHVWPHQW]RQHRUHQWHUSULVH]RQH" BBBBBBBBBBBBBBBBBBBBSeptember 31, 2021

SECTION 13: Information on Property Not Eligible to Become Qualified Property

 ,QTab 10DWWDFKDVSHFLILFDQGGHWDLOHGGHVFULSWLRQRIDOOexisting property within the project boundary. 7KLVLQFOXGHVEXLOGLQJVDQGLPSURYHPHQWV H[LVWLQJDVRIWKHDSSOLFDWLRQUHYLHZVWDUWGDWH WKHGDWHWKHDSSOLFDWLRQLVGHWHUPLQHGWREHFRPSOHWHE\WKH&RPSWUROOHU 7KHGHVFULSWLRQPXVWSURYLGH VXIILFLHQWGHWDLOWRORFDWHDOOH[LVWLQJSURSHUW\RQWKHODQGWKDWZLOOEHVXEMHFWWRWKHDJUHHPHQWDQGGLVWLQJXLVKH[LVWLQJSURSHUW\IURPIXWXUHSURSRVHG SURSHUW\

 ,QTab 10DWWDFKDVSHFLILFDQGGHWDLOHGGHVFULSWLRQRIDOOproposed new property within the project boundary that will not become new improvementsDVGHILQHGE\7$&7KLVLQFOXGHVSURSRVHGSURSHUW\WKDWIXQFWLRQDOO\UHSODFHVH[LVWLQJRUGHPROLVKHGUHPRYHGSURSHUW\ LVXVHGWRPDLQWDLQUHIXUELVKUHQRYDWHPRGLI\RUXSJUDGHH[LVWLQJSURSHUW\RULVDIIL[HGWRH[LVWLQJSURSHUW\RULVRWKHUZLVHLQHOLJLEOHWREHFRPH TXDOLILHGSURSHUW\ 7KHGHVFULSWLRQPXVWSURYLGHVXIILFLHQWGHWDLOWRGLVWLQJXLVKH[LVWLQJSURSHUW\ VWDWHPHQW DQGDOOSURSRVHGQHZSURSHUW\ WKDWFDQQRWEHFRPHTXDOLILHGSURSHUW\IURPSURSRVHGTXDOLILHGSURSHUW\WKDWZLOOEHVXEMHFWWRWKHDJUHHPHQW DVGHVFULEHGLQ6HFWLRQRIWKLV DSSOLFDWLRQ 

 )RUWKHSURSHUW\QRWHOLJLEOHWREHFRPHTXDOLILHGSURSHUW\ZLWKLQWKHSURMHFWERXQGDU\LQUHVSRQVHWRVWDWHPHQWVDQGRIWKLVVHFWLRQSURYLGHWKH IROORZLQJVXSSRUWLQJLQIRUPDWLRQLQTab 10 D PDSVDQGRUGHWDLOHGVLWHSODQ E VXUYH\V F DSSUDLVDOGLVWULFWYDOXHVDQGSDUFHOQXPEHUV G LQYHQWRU\OLVWV H H[LVWLQJDQGSURSRVHGSURSHUW\OLVWV I PRGHODQGVHULDOQXPEHUVRIH[LVWLQJSURSHUW\RU J RWKHULQIRUPDWLRQRIVXIILFLHQWGHWDLODQGGHVFULSWLRQ

 7RWDOHVWLPDWHGPDUNHWYDOXHRIH[LVWLQJSURSHUW\ZLWKLQWKHSURMHFWERXQGDU\ WKDWSURSHUW\GHVFULEHGLQUHVSRQVHWRVWDWHPHQW  BBBBBBBBBBBBBBBBBBBB0.00

 ,QTab 10LQFOXGHDQDSSUDLVDOYDOXHE\WKH&$'RIDOOWKHEXLOGLQJVDQGLPSURYHPHQWVH[LVWLQJDVRIDGDWHZLWKLQGD\VRIWKHGDWHWKHDSSOLFDWLRQ LVUHFHLYHGE\WKHVFKRROGLVWULFW

 7RWDOHVWLPDWHGPDUNHWYDOXHRISURSRVHGSURSHUW\QRWHOLJLEOHWREHFRPHTXDOLILHGSURSHUW\ WKDWSURSHUW\GHVFULEHGLQUHVSRQVHWRVWDWHPHQW  BBBBBBBBBBBBBBBBBBBB0.00 Note: ,QYHVWPHQWIRUWKHSURSHUW\OLVWHGLQVWDWHPHQWPD\FRXQWWRZDUGVTXDOLILHGLQYHVWPHQWLQ&ROXPQ&RI6FKHGXOHV$DQG$LILWPHHWVWKH UHTXLUHPHQWVRI  6XFKSURSHUW\cannotEHFRPHTXDOLILHGSURSHUW\RQ6FKHGXOH%

For more information, visit our website: comptroller.texas.gov/economy/local/ch313/ Page 7

50-296-A • -20/5 Data Analysis and Texas Comptroller of Public Accounts Transparency Form 50-296-A SECTION 14: Wage and Employment Information

5  :KDWLVWKHQXPEHURIQHZTXDOLI\LQJMREV\RXDUHFRPPLWWLQJWRFUHDWH"BBBBBBBBBBBBBBBBBBBB  :KDWLVWKHQXPEHURIQHZQRQTXDOLI\LQJMREV\RXDUHHVWLPDWLQJ\RXZLOOFUHDWH" 6HH7$&   BBBBBBBBBBBBBBBBBBBB0

 'R\RXLQWHQGWRUHTXHVWWKDWWKHJRYHUQLQJERG\ZDLYHWKHPLQLPXPQHZTXDOLI\LQJMREFUHDWLRQUHTXLUHPHQWDV ✔ SURYLGHGXQGHU7D[&RGH† I " 

 $WWDFKLQTab 13WKHIRXUPRVWUHFHQWTXDUWHUVRIGDWDIRUHDFKZDJHFDOFXODWLRQEHORZLQFOXGLQJGRFXPHQWDWLRQIURPWKH7H[DV:RUNIRUFH &RPPLVVLRQZHEVLWH7KHILQDODFWXDOVWDWXWRU\PLQLPXPDQQXDOZDJHUHTXLUHPHQWIRUWKHDSSOLFDQWIRUHDFKTXDOLI\LQJMRE²ZKLFKPD\GLIIHUVOLJKWO\ IURPWKLVHVWLPDWH²ZLOOEHEDVHGRQLQIRUPDWLRQDYDLODEOHDWWKHWLPHRIWKHDSSOLFDWLRQUHYLHZVWDUWGDWH GDWHRIDFRPSOHWHGDSSOLFDWLRQ 6HH7$& †  DQG  Note,IDPRUHUHFHQWTXDUWHURILQIRUPDWLRQEHFRPHVDYDLODEOHEHIRUHWKHDSSOLFDWLRQLVGHHPHGFRPSOHWHXSGDWHGZDJH LQIRUPDWLRQZLOOEHUHTXLUHG D 1RQTXDOLILHGMREZDJHV  DYHUDJHZHHNO\ZDJHIRUDOOMREV DOOLQGXVWULHV LQWKHFRXQW\LVBBBBBBBBBBBBBBBBBBBB$ 1,155.00 E 4XDOLI\LQJMREZDJHPLQLPXPRSWLRQ†  $ RIWKHDYHUDJHZHHNO\ZDJHIRUPDQXIDFWXULQJMREVLQWKHFRXQW\LVBBBBBBBBBBBBBBBBBBBB$ 2,416.98 F 4XDOLI\LQJMREZDJHPLQLPXPRSWLRQ†  % RIWKHDYHUDJHZHHNO\ZDJHIRUPDQXIDFWXULQJMREVLQWKHUHJLRQLV BBBBBBBBBBBBBBBBBBBB$ 1,269.55

 :KLFK7D[&RGHVHFWLRQDUH\RXXVLQJWRHVWLPDWHWKHTXDOLI\LQJMREZDJHVWDQGDUGUHTXLUHGIRU ✔ WKLVSURMHFW"  †  $  RU †  %  :KDWLVWKHPLQLPXPUHTXLUHGDQQXDOZDJHIRUHDFKTXDOLI\LQJMREEDVHGRQWKHTXDOLILHGSURSHUW\" BBBBBBBBBBBBBBBBBBBB$ 66,016.60

 :KDWLVWKHDQQXDOZDJH\RXDUHFRPPLWWLQJWRSD\IRUHDFKRIWKHQHZTXDOLI\LQJMREV\RXFUHDWHRQWKH TXDOLILHGSURSHUW\" BBBBBBBBBBBBBBBBBBBB$ 66,016.60 ✔  :LOOWKHTXDOLI\LQJMREVPHHWDOOPLQLPXPUHTXLUHPHQWVVHWRXWLQ7D[&RGH†  " 

SECTION 15: Economic Impact

 &RPSOHWHDQGDWWDFK6FKHGXOHV$$% DQG&LQTab 14Note([FHOVSUHDGVKHHWYHUVLRQVRIVFKHGXOHVDUHDYDLODEOHIRUGRZQORDGDQGSULQWLQJ DW85/OLVWHGEHORZ  $WWDFKDQ(FRQRPLF,PSDFW$QDO\VLVLIVXSSOLHGE\DQHQWLW\RWKHUWKDQWKH&RPSWUROOHU¶VRIILFHLQTab 15(not required)  ,IWKHUHDUHDQ\RWKHUSD\PHQWVPDGHLQWKHVWDWHRUHFRQRPLFLQIRUPDWLRQWKDW\RXEHOLHYHVKRXOGEHLQFOXGHGLQWKHHFRQRPLFDQDO\VLVDWWDFKD VHSDUDWHVFKHGXOHVKRZLQJWKHDPRXQWIRUHDFK\HDUDIIHFWHGLQFOXGLQJDQH[SODQDWLRQLQTab 15

For more information, visit our website: comptroller.texas.gov/economy/local/ch313/ Page 8

50-296-A • -20/5 Tab 2 Proof of Payment of Application Fee

Please find on the attached page, a copy of payment for the $75,000 application fee to Danbury ISD.

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD Proof of payment of filing fee received by the Comptroller of Public Accounts per TAC Rule §9.1054 (b)(5)

(Page Inserted by Office of Texas Comptroller of

Public Accounts) Tab 3 Documentation of Combined Group membership under Texas Tax Code 171.0001(7), history of tax default, delinquencies and/or material litigation (if applicable).

Not Applicable.

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD Tab 4 Detailed description of the project.

In Tab 4, attach a detailed description of the scope of the proposed project, including, at a minimum, the type and planned use of real and tangible personal property, the nature of the business, a timeline for property construction or installation, and any other relevant information.

High Chaparral Solar Project, LLC (“High Chaparral”), is the project entity formed to facilitate the development of a utility-scale photovoltaic (“PV”) solar energy project (The “Project”). High Chaparral Solar is a wholly owned subsidiary of ENEL Green Power North America, Inc., (“ENEL”). ENEL is one of the most successful independent renewable energy development companies in the U.S.

ENEL is actively evaluating renewable energy project opportunities in locations across the United States at various stages of development.

High Chaparral Solar seeks to develop and interconnect 100 megawatts-ac (“MWac”) of power and 30MWac of battery storage into the ERCOT market. High Chaparral Solar is requesting an appraised value limitation from Danbury ISD for a proposed solar energy project using PV solar energy panels and transmission facilities. High Chaparral Solar has not entered into any agreements for appraised value limitation with any other ISD. The solar energy facility and its associated infrastructure will be constructed entirely within Brazoria County, Texas. A map showing the location of the solar energy facility is included as Attachment 11a.

High Chaparral Solar applied to ERCOT and was assigned IGNR # 23INR0157 for the solar generating facility & IGNR # 23INR0158 for the battery storage facility both being assigned on March 01, 2021. The project has not previously been known by any other names other than High Chaparral Solar Project, LLC. The Project will have a total estimated capacity of 100 MWac of power and 30 MWac of battery storage all of which will be located within Danbury ISD. The permanent battery storage facility will only be used for the High Chaparral Solar, LLC project.

The Project is located on approximately 900 acres of contiguous land located within Danbury ISD. High Chaparral Solar has obtained a lease and option agreement with the property owner needed to construct the Project. The Project will consist of solar PV modules, connected to form strings, which are subsequently connected in parallel and mounted on rows of horizontal, single axis trackers. The Project will also feature central power inverters and transformers to convert DC power to AC electricity. In addition to the major equipment, there will be the supporting electrical collection system and supporting facilities to be constructed and improved as necessary, project battery storage facility with a capacity of 30 MWac, and overhead transmission lines.

Construction of the solar energy facility is expected to take approximately 12 months to complete, contingent upon favorable economics for the Project.

While the solar energy resource for Brazoria County, Texas is excellent, there are many favorable locations for solar energy projects that could be developed across the United States. High Chaparral Solar considers a Limitation of Appraised Value Agreement with Danbury ISD as a key and invaluable portion of the Project.

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD In today’s competitive energy market, project investors and power purchasers require solar energy projects to have secured tax incentives, so that they can compete with solar energy projects across the U.S.

Solar energy facilities are operating and under development in many states throughout the country. The United States now has over 71.3 gigawatts (“GW”) of installed solar capacity, enough to power millions of homes, according to the Solar Energy Industries Association (“SEIA”). In Quarter 3 of 2019, the U.S. solar market installed over 2.6 GW, primarily driven by the utility-scale PV segment. While California has historically been the largest state market, other states are growing, such as: North Carolina, Arizona, Florida, Nevada; together with Texas, these states make up the top six markets for highest total installations in 2019. As represented by the depiction from SEIAs 2019 report for the top 10 states.

Locations for the development of solar energy projects are abundant and the Applicant can locate a project in a wide variety of locations across the United States, should it be unable to develop a competitive project in Texas that is able to generate returns sufficient enough to attract investment capital.

As construction is one of the most significant costs in creating a solar energy facility, the physical improvements of the Project, once completed, cannot be feasibly moved to another location. The solar modules and supporting infrastructure are long-lived assets engineered and designed specifically for this Project location. The cost of installing the improvements on the site is substantial and the cost to remove, redesign, and relocate the improvements to a different location would be prohibitive.

High Chaparral Solar was formed for the express purpose of developing a photovoltaic solar energy facility that could help bring significant economic development to the area. ENEL identified Texas, and in particular Brazoria County and Danbury ISD, for it’s strong solar energy resource, access to available transmission capacity and the ERCOT market, and favorable property tax incentives under the Tax Code for Chapter 312 abatement and Chapter 313 Appraised Value Limitation. For these reasons, High Chaparral Solar seeks to develop and build the proposed Project as described throughout this Application.

As of May 2021, High Chaparral Solar has no existing improvement in place. High Chaparral Solar has invested additional capital in interconnection studies with ERCOT, environmental and wildlife studies, and in leasing land for the Project, among other development activities.

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD Should the Appraised Value Limitation be granted, High Chaparral Solar has created a development and investment plan that is capitalized to implement the Project. Without such a limitation, the Project, competing against other Texas projects that have qualified, would likely be forced to redeploy its assets and capital to other states competing for similar solar energy projects.

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD Tab 5

Documentation to assist in determining if limitation is a determining factor.

Chapter 313.026© states “the applicant may submit information to the Comptroller that would provide a basis for an affirmative determination under Subsection © (2).” If you answered “yes” to any of the questions in Section 8, attach supporting information in Tab 5.

2. Has the applicant entered into any agreements, contracts or letters of intent related to the proposed project?

High Chaparral Solar Project, LLC has entered into the following representative agreements and contracts for the development of a project within Danbury ISD:

• Grants of lease and easement covering approximately 900 acres in Brazoria County; • Interconnect Studies and Agreement; and • Third-party contracts for development-related work, such as resource estimation, legal review, and construction planning.

7. Is the applicant evaluating other locations not in Texas for the proposed project?

Yes. The ENEL management team is uniquely qualified to develop and construct PV solar energy projects in the United States with favorable solar energy resource. With a combined 20+ years of experience in the renewable energy industries, the ENEL team has a proven track record of developing, financing, and constructing large-scale renewable energy projects. Our collective experience includes wind and solar projects in the U.S. Based on this experience, the management team evaluates all potential projects for feasibility, finance-ability, and the economic returns they represent in comparison to other project opportunities both OUTSIDE the State of Texas as well as WITHIN the State of Texas. Other locations being evaluated include, but are not limited to:

Oklahoma Missouri South Carolina Nebraska Georgia Virginia Kansas California Oklahoma Nevada New York Idaho Rhode Island Wyoming New Connecticut Mexico Iowa New Hampshire Minnesota Vermont North Dakota Illinois

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD For these reasons, ENEL studies various competing sites throughout the market areas outside and inside the State of Texas where solar energy development is attractive. Without a Value Limitation program, ENEL would seek to move to alternative sites OUTSIDE of the State of Texas.

High Chaparral Solar Project, LLC is currently in a period of evaluation to determine whether the identified site in Danbury ISD represents the best location or whether redeployment of its development resources and capital to other power markets in the United States is more advisable. As such, the development resources necessary to advance the planned 100 MWac High Chaparral Solar could be redeployed to other renewable energy development projects in other power markets in the United States.

Therefore, a 313 Limitation of Appraised Value Agreement is a vital tax incentive necessary to ensure the Project is on a level playing field with other solar energy projects with similar incentives. Without the requested limitation, the Project will be unable to generate sufficient operating margins and net income to produce economically competitive energy and associate returns necessary to attract tax and sponsor equity investment. Such third-party investment is mandatory to finance the projected capital costs of approximately $112.240 M needed to purchase solar modules and other infrastructure and to fund the construction of the facility.

10. Are you submitting information to assist in the determination as to whether the limitation on appraised value is a determining factor in the applicant’s decision to invest capital and construct the project in Texas?

The information provided in this Attachment and throughout the Application has been assembled to provide the reviewer with the best possible information to make an assessment and determination of the critical nature of the Limitation on Appraised Value to the feasibility of High Chaparral Solar Project, LLC.

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD Tab 6 Description of how project is located in more than one district, including list of percentage in each district and, if determined to be a single unified project, documentation from the Office of the Governor (if applicable).

5a. If no, attach in Tab 6 additional information on the project scope and size to assist in the economic analysis.

Not Applicable.

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD Tab 7 Description of Qualified Investment

a. A specific and detailed description of the qualified investment you propose to make on the property for which you are requesting an appraised value limitation as defined by Tax Code 313.021(7) (Tab 7). This application covers all qualified property in the reinvestment zone and project boundary within Danbury ISD necessary for commercial operations. The Applicant is requesting an appraised value limitation on all of property constructed or placed upon the real property described and shown in Map Exhibit within Danbury ISD, which is located in Brazoria County, Texas. It is anticipated that 100 MWac solar energy facility with an additional 30 MWac battery storage facility will be constructed within Danbury ISD.

The property for which the Applicant is requesting an appraised value limitation includes the following:

• Photovoltaic (PV) solar panels and DC-to-AC inverters, • Tracker system infrastructure, foundations, & controllers, • Collection substation including high voltage transformer, switch gear, transmission equipment, transmission tie line and towers, interconnection facilities and control systems, • Medium-and High-Voltage electric cabling, • DC and AC wiring, insulators, combiner boxes, , and connectors, • Permanent Project battery storage facility with a capacity of 30 MWac; • Inverter boxes on concrete or gravel pads, • Meteorological equipment to measure solar irradiance & weather conditions, • High Voltage Transmission Line connecting the project to the grid, • New or improved access roads and service roads, and • Operations and Maintenance Building.

Additionally, the map provided does not present the location of the improvements; however, all of the improvements that make up the amount of Qualified Investment will be made within the Project Area as shown on Map Exhibit. The Applicant has obtained a grant of lease and easement covering approximately 900 acres in Brazoria County, Texas within the Danbury ISD boundary.

b. A description of any new buildings, proposed new improvements, or personal property which you intend to include as part of your minimum qualified investment (Tab 7).

The applicant intends to construct an Operation and Maintenance building and electrical substation will be constructed within the project boundary. The Operations and Maintenance building will be utilized to house associated equipment relative to the Project. This includes junction boxes, PV panel connectors and mounting and tracking systems.

The Applicant will be placing a project battery storage facility with a capacity of 30 MWac. This permanent battery storage facility will allow excess solar energy collected from The Project to be stored and distributed when the transmission network has available capacity. The battery storage included in the Qualified Property will solely be used for the storage of electricity generated by the solar project. The storage facility design would consist of: (a) batteries installed in standard, typically 40-foot to 50-foot ISO Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD shipping containers, a purpose built energy storage container, or in an unoccupied structure, 20-foot-tall standard warehouse-style building (and possibly tanks for flow battery technologies); (b) power conversion systems (inverters), which can bi-directionally convert the electricity between DC and AC; (c) electrical collection and fiber-optic communications lines; (d) Heating Ventilation and Air Conditioning (HVAC) systems; (e) fire suppression systems; and (f) civil infrastructure including driveways and fencing. If lithium-ion batteries in containers are utilized for the BESS, the containers would contain racks with modules comprised of lithium-ion battery cells and the battery management system. The containers would be designed to local seismic design criteria and would contain the necessary control layer, safety mechanisms, and HVAC systems. Each container would have DC disconnect breakers to be able to disconnect the battery from the remaining storage system.

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD Tab 8 Description of Qualified Property

This application covers all qualified property in the reinvestment zone and project boundary within Danbury ISD necessary for commercial operations. High Chaparral Solar Project, LLC plans to construct an estimated 100 MWac photovoltaic solar energy facility with an additional 30 MWac battery storage facility in Brazoria County, located within Danbury ISD. The Qualified Property includes:

• Photovoltaic (PV) solar panels and DC-to-AC inverters, • Tracker system infrastructure, foundations, & controllers, • Collection substation including high voltage transformer, switch gear, transmission equipment, transmission tie line and towers, interconnection facilities and control systems, • Medium-and High-Voltage electric cabling, • DC and AC wiring, insulators, combiner boxes, conduit, and connectors, • Project battery storage facility with a capacity of 90 MWac; • Inverter boxes on concrete or gravel pads, • Meteorological equipment to measure solar irradiance & weather conditions, • High Voltage Transmission Line connecting the project to the grid, • New or improved access roads and service roads, and • Operations and Maintenance Building.

The permanent battery storage facility will only be used for the High Chaparral Solar, LLC project. The exact placement of units is subject to ongoing planning, solar energy resource evaluation, engineering, and land leasing. The Applicant will be placing a project battery storage facility with a capacity of 30 MWac. This permanent battery storage facility will allow excess solar energy collected from The Project to be stored and distributed when the transmission network has available capacity. The battery storage included in the Qualified Property will solely be used for the storage of electricity generated by the solar project. The storage facility design would consist of: (a) batteries installed in standard, typically 40-foot to 50-foot ISO shipping containers, a purpose built energy storage container, or in an unoccupied structure, 20-foot-tall standard warehouse-style building (and possibly tanks for flow battery technologies); (b) power conversion systems (inverters), which can bi-directionally convert the electricity between DC and AC; (c) electrical collection and fiber-optic communications lines; (d) Heating Ventilation and Air Conditioning (HVAC) systems; (e) fire suppression systems; and (f) civil infrastructure including driveways and fencing. If lithium-ion batteries in containers are utilized for the BESS, the containers would contain racks with modules comprised of lithium-ion battery cells and the battery management system. The containers would be designed to local seismic design criteria and would contain the necessary control layer, safety mechanisms, and HVAC systems. Each container would have DC disconnect breakers to be able to disconnect the battery from the remaining storage system.

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD All equipment outlined above is expected to be located within Danbury ISD. The final number and location of units and supporting structures will be determined before construction begins. Current plans are to install all equipment in one phase. High Chaparral Solar anticipates interconnecting to the existing 138-kV Angleton to Liverpool Transmission line. The map in Attachment 11b shows the proposed project area with the anticipated improvement locations.

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD Tab 9 Description of Land

Not Applicable.

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD Tab 10 Description of all property not eligible to become qualified property (if applicable).

Not Applicable.

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD Tab 11 Maps that clearly show:

a) Project boundary and project vicinity, including county and school district boundaries. b) Qualified investment including location of tangible personal property to be placed in service during the qualifying time period and buildings to be constructed during the qualifying time period c) Qualified property including location of new buildings or new improvements d) Any existing property within the project area e) Any facilities owned or operated by the applicant having interconnections to the proposed project f) Location of project, and related nearby projects within vicinity map g) Reinvestment or Enterprise Zone within vicinity map, showing the actual or proposed boundaries and size

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD Tab 11a a. Project boundary and project vicinity, including county and school district boundaries.

Please see attached map.

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD Legend High Chaparral Solar Project Boundary and High Chaparral Solar - Vicinity Map Proposed Reinvestment Zone Danbury Independent Harris County Wallis Stafford School District Fort Bend County 45-Hov¨¦§ 8 Pasadena Seabrook County Pecan Grove Fifth Street )" Harris County Brookside Taylor Lake Orchard Cumings Village New Territory ty Village a Coun 99 Sugar Brazori Houston Nasa )" Road)" 1 Richmond Land Pearland Nassau Bay Clear Lake Greatwood Missouri City Shores ¨¦§69 10 Webster 90 )" Fresno 146)" ¤£ 529 )" Rosenberg County ris ar East Bernard H Bacliff nty 59 Arcola ou 96 ¤£ Friendswood n C )" esto San Leon Galv 540)" Thompsons Sienna Plantation Manvel League City Beasley Dickinson Pleak Iowa Colony ¨¦§45 35C 6 )" £75 541 )" ¤ )" Fairchilds 35 C Kendleton )" Alvin Texas City 3 Galveston County )" 197)" Hillcrest Brazoria County Santa Fe Bolivar Hungerford Needville Peninsula La Marque 288)"

Bayou Vista F ort Be nd Co Bonney 275 W un )" 87 ha ty Fort Bend County Hitchcock Tiki Island )" rto n C ou Brazoria County Liverpool Wharton nty 342)" Galveston 183)" Damon

Boling-Iago )"28 IndependentDanbury School District

Holiday Lakes Jamaica Beach )"35

Angleton Bailey's Prairie West Columbia

Wharton County

Matagorda County

Wild Peach Village 36 60 419)" )" )" Richwood

Brazoria 288B Sweeny Lake Jackson )"

Van Vleck Clute Oyster Creek

332)" Jones Creek Bay City Brazoria County Surfside Matagorda County Markham Freeport Beach 111)" Quintana

The following companies and organizations provided data that contributed to the production of this map.

U.S. Geological Survey (USGS) Environmental Systems Research Institute (ESRI) 0 1.5 3 4.5 6 U.S. Department of Agriculture (USDA) Miles U.S. Federal Aviation Administration (FAA) WhiteStar Corporation Scale: 1:160,000 CoreLogic ± Coordinate System: NAD 1983 StatePlane Texas South Central FIPS 4204 Feet Ventyx Inc.

Confidential and proprietary information. Analyst: mbluesky

Copyright 2021 Enel Green Power North America Date: 6/10/2021 Enel Green Power North America, Inc.

100 Brickstone Square, Suite 300 – , MA 01810 – USA T +1 978 681 1900

June 21, 2021

Re: Confidentiality of Maps Submitted with High Chaparral Solar Project, LLC Chapter 313 Appraised Value Limitation Application with Danbury ISD

To Whom It May Concern:

As an attachment to the High Chaparral Solar Project, LLC Chapter 313 Appraised Value Limitation Application submitted to Danbury ISD on June 21, 2021 ("Application"), we designated certain maps, the Qualified Investment and Qualified Property maps, attached thereto ("Maps") as "Confidential". We submit this letter to comply with the requirements by which both Danbury ISD and the Comptroller's office can withhold confidential or proprietary information from public release while the Application is pending. This letter is submitted to identify the documents for which confidentiality is sought and provide the specific reasons, stating why the material is believed to be confidential.

The Maps reflect the proposed specific site plan and the location of tangible personal property to be located on real property covered by the Application- all of which continue to be refined. In addition, and at this time, disclosure of the Maps could be potentially valuable to our competitors and any disclosure could negatively impact the project. The Maps include commercially valuable geological or geophysical information regarding the exploration or development of natural resources and is protected from disclosure under Section 552.113 of the Texas Government Code.

As required, the Maps were submitted as segregated in the application from other information in the application and specifically notated as "Confidential".

It is our intention to complete negotiations relating to both the location of the property and the tangible personal property during the time the Application is pending and understand that the Maps can only remain confidential and withheld from public release unless and until the governing body of the school district acts on the application.

To the extent you have any questions regarding this letter, please contact me for further clarification.

Sincerely,

Robert Pena, Jr. Development Tab 11b b. Qualified investment including location of tangible personal property to be placed in service during the qualifying time period and buildings to be constructed during the qualifying time period

CONFIDENTIAL – FOR SEPARATE FILING.

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD Tab 11c c. Qualified property including location of new buildings or new improvements

CONFIDENTIAL – FOR SEPARATE FILING.

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD Tab 11d d. Any existing property within the project area

Not Applicable.

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD Tab 11e e. Any facilities owned or operated by the applicant having interconnections to the proposed project.

Not Applicable.

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD Tab 11f f. Location of project, and related nearby projects within vicinity map

Not Applicable.

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD Tab 11g g. Reinvestment or Enterprise Zone within vicinity map, showing the actual or proposed boundaries and size

Please see attached map.

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD Legend High Chaparral Solar Project Boundary and High Chaparral Solar - Reinvestment Zone Within Vicinity Map Proposed Reinvestment Zone Danbury Independent Wallis Harris County School District Stafford is County Houston Independent Harr )"8 45-Hov Fort Bend County ¨¦§ Pasadena Seabrook Goose Creek Cons Independent School Pecan Grove Fifth Street School District Brookside Village Pasadena Taylor Lake Independent School Anahuac District Orchard Cumings New Territory unty Village Independent zoria Co Independent District County )"99 Sugar Bra Houston Nasa School District Missouri City School District Road)" 1 Brazos Independent Richmond Land Pearland Barbers Hill Nassau Bay y Clear Lake School District Independent t Independent Fort Bend Pearland n Shores Greatwood u 69 School District Webster o School District ¨¦§ Independent C 10 )" Rosenberg n 146)" 90 Fresno Friendswood to ¤£ 529 School District s )" ounty e East Bernard is C lv arr a H G Bacliff ¤£59 Arcola Friendswood Clear Creek )"96 East Bernard San Leon Lamar Cons Independent Independent Independent Independent 540)" Thompsons Sienna School District School District Dickinson School District School District Plantation Manvel Beasley Dickinson Independent Pleak Iowa Colony School District League City ¨¦§45 35C 6 )" £75 Texas 541 )" ¤ )" Fairchilds City 35 C Galveston County Kendleton )" Brazoria County Alvin Independent Alvin 197)" )"3 School District Hillcrest Santa Fe Texas City Needville Independent Bolivar Hungerford Needville La Peninsula Santa Fe Marque School District Independent 288)" Independent School District School District

Bayou Vista F ort Ben d C Hitchcock 275 W ou Bonney )" 87 ha nt Fort Bend County Tiki Island )" rto y n C Hitchcock ou Brazoria County Liverpool Wharton nty Independent 342)" School District Galveston 183)" Damon Boling Independent School District Damon Independent 28 Boling-Iago School )" Galveston Wharton District IndependentDanbury Independent Independent School District School District School District Holiday Lakes Jamaica Beach )"35

Columbia-Brazoria Angleton Independent Bailey's School District Prairie Angleton Independent West Columbia School District El Campo Wharton County

Independent Matagorda County School District Wild Peach Village 36 60 419)" )" )" Richwood

Brazoria 288B Sweeny Lake Jackson )"

Van Vleck Clute

Sweeny Independent Oyster Creek School District Brazosport Jones Creek Independent 332)" Bay School District City Markham Surfside Freeport Beach Van Vleck Tidehaven Bay City 111 Independent Quintana )" Independent Independent School District School District School District

Brazoria County Matagorda County

The following companies and organizations provided data that contributed to the production of this map.

U.S. Geological Survey (USGS) Environmental Systems Research Institute (ESRI) 0 1.5 3 4.5 6 U.S. Department of Agriculture (USDA) Miles U.S. Federal Aviation Administration (FAA) WhiteStar Corporation Scale: 1:160,000 CoreLogic ± Coordinate System: NAD 1983 StatePlane Texas South Central FIPS 4204 Feet Ventyx Inc.

Confidential and proprietary information. Analyst: mbluesky

Copyright 2021 Enel Green Power North America Date: 6/10/2021 Tab 12 Request for Waiver of Job Creation Requirement and supporting information (if applicable).

See attached waiver request.

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD Enel Green Power North America, Inc.

100 Brickstone Square, Suite 300 – Andover, MA 01810 – USA T +1 978 681 1900

June 21, 2021 Nancy Sandlin, Superintendent Danbury Independent School District 5611 Panther Dr. Danbury, TX 77534

Re: Chapter 313 Application for Appraised Value Limitation – Job Waiver Request

Dear Superintendent,

This letter is to advise you that High Chaparral Solar Project, LLC is submitting its Chapter 313 Application for Appraised Value Limitation on Qualified Property with a request for a waiver of the jobs creation requirement.

House Bill 1470 altered the jobs requirement be adding Section 313-025 (f-I) to permit a school district’s board of trustees to make a finding that the job requirement could be waived if the job requirement exceeds the industry standard for the number of employees reasonably necessary for the operation of the facility of the property owner that is described in the application. High Chaparral Solar Project, LLC, requests that Danbury ISD’s Board of Trustees make such a finding and waive the job creation requirement for the permanent jobs. Based on the industry standard, the size and scope of this project will require approximately five (5) permanent jobs.

As background information on the creation of the full-time jobs by solar energy projects, these types of projects create a large number of full-time, temporary jobs during the construction phase, but require a small number of highly skilled technicians to operate a solar energy project once construction operations cease and commercial operations begin. The permanent employees of a solar energy project maintain, and service solar energy units, underground electrical connections, substations, and other infrastructure associated with the safe and reliable operation of the project. Typically, solar PV projects of 100 to 200 MW in size require one to two full-time onsite employees, although this number varies depending on the units selected as well as the support and technical assistance offered by the PV manufacturer. In addition to the onsite employees described, there may be asset managers or technicians who supervise, monitor, and support the solar energy project operations from offsite locations.

Sincerely,

Robert Pena, Jr. Development Tab 13 Calculation of Wage Requirements – Brazoria County Supporting data for Section 14(7)(a) Average weekly wage for all jobs (all industries) in the county Ind. Avg. Weekly Year Period Area Ownership Division Level Industry Code Wages Brazoria Total, All 2020 1st Qtr Total All 0 0 10 $1,184.00 County Industries Brazoria Total, All 2020 2nd Qtr Total All 0 0 10 $1,136.00 County Industries Brazoria Total, All 2020 3rd Qtr Total All 0 0 10 $1,100.00 County Industries Brazoria Total, All 2020 4th Qtr Total All 0 0 10 $1,200.00 County Industries Average weekly wage for previous four quarters $1,155.00 Source: Quarterly Employment and Wages (QCEW) data for Brazoria County, https://texaslmi.com/LMIbyCategory/QCEW

Supporting Data for Section 14(7)(b) 110% of the average weekly wage for manufacturing jobs in the county Avg. Ind. Year Period Area Ownership Division Level Industry Weekly Code Wages Brazoria 2020 1st Qtr Private 0 0 31-33 Manufacturing $2,433.00 County Brazoria 2020 2nd Qtr Private 0 0 31-33 Manufacturing $2,035.00 County Brazoria 2020 3rd Qtr Private 0 0 31-33 Manufacturing $2,066.00 County Brazoria 2020 4th Qtr Private 0 0 31-33 Manufacturing $2,255.00 County Average weekly wage for previous four quarters $2,197.25 110% of Average Weekly Wages $2,416.98 Source: Quarterly Employment and Wages (QCEW) data for Brazoria County, https://texaslmi.com/LMIbyCategory/QCEW

Supporting Data for Section 14(7)(c) 110% of the average weekly wage for manufacturing jobs in the region Average Annual Wages $60,015.00 Average Weekly Wages @40hrs/week $1,154.13 110% of Average Weekly Wages $1,269.55 Source: 2019 Manufacturing Average Wages by Council of Government Region Wages for All Occupations. Project location region: 16.Houston- Galveston Area Council . https://texaslmi.com/Downloads/COGWages.pdf Industry Year Period Area Ownership Industry Level Average Weekly Wage Code 2020 01 Brazoria Total All 10 Total, All Industries 0 $ 1,184.00 2020 02 Brazoria Total All 10 Total, All Industries 0 $ 1,137.00 2020 03 Brazoria Total All 10 Total, All Industries 0 $ 1,100.00 2020 04 Brazoria Total All 10 Total, All Industries 0 $ 1,200.00 Industry Year Period Area Ownership Industry Level Average Weekly Wage Code 2020 01 Brazoria Private 31-33 Manufacturing 2 $ 2,433.00 2020 02 Brazoria Private 31-33 Manufacturing 2 $ 2,035.00 2020 03 Brazoria Private 31-33 Manufacturing 2 $ 2,066.00 2020 04 Brazoria Private 31-33 Manufacturing 2 $ 2,255.00 2019 Manufacturing Average Wages by Council of Government Region Wages for All Occupations Wages COG COG Number Hourly Annual Panhandle Regional Planning Commission 1 $22.31 $46,399 South Plains Association of Governments 2 $18.97 $39,448 NORTEX Regional Planning Commission 3 $20.38 $42,395 North Central Texas Council of Governments 4 $32.92 $68,476 Ark-Tex Council of Governments 5 $20.09 $41,780 East Texas Council of Governments 6 $28.95 $60,211 West Central Texas Council of Governments 7 $21.83 $45,406 Rio Grande Council of Governments 8 $18.15 $37,749 Permian Basin Regional Planning Commission 9 $21.87 $45,499 Concho Valley Council of Governments 10 $26.74 $55,625 Heart of Texas Council of Governments 11 $22.41 $46,614 Capital Area Council of Governments 12 $29.37 $61,091 Brazos Valley Council of Governments 13 $17.60 $36,613 Deep East Texas Council of Governments 14 $21.06 $43,796 South East Texas Regional Planning Commission 15 $25.52 $53,079 Houston-Galveston Area Council 16 $28.85 $60,015 Golden Crescent Regional Planning Commission 17 $21.43 $44,565 Alamo Area Council of Governments 18 $26.64 $55,401 South Texas Development Council 19 $18.70 $38,889 Coastal Bend Council of Governments 20 $34.94 $72,668 Lower Rio Grande Valley Development Council 21 $20.05 $41,698 Texoma Council of Governments 22 $18.40 $38,280 Central Texas Council of Governments 23 $21.07 $43,821 Middle Rio Grande Development Council 24 $22.74 $47,296 Texas $27.25 $56,673

Calculated by the Texas Commission Labor Market and Career Information Department. Data published: August 2020. Data published annually, next update will likely be July 31, 2021 Annual Wage Figure assumes a 40-hour work week.

Note: Data is not supported by the Bureau of Labor Statistics (BLS). Wage data is produced from Texas Occupational Employment Statistics (OES) data, and is not to be compared to BLS estimates. Data intended only for use implementing Chapter 313, Texas Tax Code. Tab 14 Schedules A1, A2, B, and C completed and signed Economic Impact (if applicable).

Please see attached Schedules.

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD Schedule A1: Total Investment for Economic Impact (through the Qualifying Time Period) Date 5/11/2021 Applicant Name High Chaparral Solar Project, LLC Form 50-296A ISD Name Danbury ISD Revised October 2020 PROPERTY INVESTMENT AMOUNTS

(Estimated Investment in each year. Do not put cumulative totals.) Column A Column B Column C Column D Column E

New investment made during this year in New investment (original cost) in tangible Other new investment made during this year that Other new investment made during this year that buildings or permanent nonremovable Total Investment Tax Year personal property placed in service during this will not become Qualified Property [SEE may become Qualified Property [SEE components of buildings that will become (Sum of Columns A+B+C+D) School Year (Fill in actual tax year year that will become Qualified Property NOTE] NOTE] Qualified Property Year (YYYY-YYYY) below) YYYY

Investment made before filing complete [The only other investment made before filing Not eligible to become Qualified Property complete application with district that may application with district become Qualified Property is land.]

Investment made after filing complete application with district, but before final board -- 2021-2022 2021 approval of application

Investment made after final board approval of application and before Jan. 1 of first complete $0.00 $0.00 $0.00 $0.00 $0.00 tax year of qualifying time period

QTP1 2022-2023 2022 $12,000,000.00 $0.00 $0.00 $0.00 $12,000,000.00

Complete tax years of qualifying time period

QTP2 2023-2024 2023 $100,240,000.00 $0.00 $0.00 $0.00 $100,240,000.00

Total Investment through Qualifying Time Period [ENTER this row in Schedule A2] $112,240,000.00 $0.00 $0.00 $0.00 $112,240,000.00

Enter amounts from TOTAL row above in Schedule A2

Total Qualified Investment (sum of green cells) $112,240,000.00

For All Columns: List amount invested each year, not cumulative totals. Column A: This represents the total dollar amount of planned investment in tangible personal property. Only include estimates of investment for "replacement" property if the property is specifically described in the application. Only tangible personal property that is specifically described in the application can become qualified property. Column B: The total dollar amount of planned investment each year in buildings or nonremovable component of buildings. Column C: Dollar value of other investment that may affect economic impact and total value. Examples of other investment that will not become qualified property include investment meeting the definition of 313.021(1) but not creating a new improvement as defined by TAC 9.1051. This is proposed property that functionally replaces existing property; is used to maintain, refurbish, renovate, modify or upgrade existing property; or is affixed to existing property—described in SECTION 13, question #5 of the application. Column D: Dollar value of other investment that may affect economic impact and total value. Examples of other investment that may result in qualified property are land or professional services. Total Investment: Add together each cell in a column and enter the sum in the blue total investment row. Enter the data from this row into the first row in Schedule A2. Qualified Investment: For the green qualified investment cell, enter the sum of all the green-shaded cells. Schedule A2: Total Investment for Economic Impact (including Qualified Property and other investments) Date 5/11/2021 Applicant NameHigh Chaparral Solar Project, LLC Form 50-296A ISD Name Danbury ISD Revised October 2020 PROPERTY INVESTMENT AMOUNTS

(Estimated Investment in each year. Do not put cumulative totals.) Column A Column B Column C Column D Column E

New investment made during this year in New investment (original cost) in tangible Other investment made during this year that buildings or permanent nonremovable Other investment made during this year that Total Investment Tax Year personal property placed in service during will not become Qualified Property [SEE components of buildings that will become will become Qualified Property {SEE NOTE] (A+B+C+D) School Year (Fill in actual tax year this year that will become Qualified Property NOTE] Qualified Property Year (YYYY-YYYY) below) YYYY Enter amounts from TOTAL row in Schedule A1 in the row below Total Investment from Schedule A1* -- TOTALS FROM SCHEDULE A1 $112,240,000.00 $0.00 $0.00 $0.00 $112,240,000.00

1 2022-2023 2022 $12,000,000.00 $12,000,000.00 Each year prior to start of value limitation period** Insert as many rows as necessary 2 2023-2024 2023 $100,240,000.00 $100,240,000.00

1 2024-2025 2024 2 2025-2026 2025 3 2026-2027 2026 4 2027-2028 2027 5 2028-2029 2028 Value limitation period*** 6 2029-2030 2029 7 2030-2031 2030 8 2031-2032 2031 9 2032-2033 2032 10 2033-2034 2033

Total Investment made through limitation $112,240,000.00 $112,240,000.00 11 2034-2035 2034 12 2035-2036 2035 Continue to maintain viable presence 13 2036-2037 2036 14 2037-2038 2037 15 2038-2039 2038 16 2039-2040 2039 17 2040-2041 2040 18 2041-2042 2041 19 2042-2043 2042

Additional years for 25 year economic impact as required by 20 2043-2044 2043 313.026(c)(1) 21 2044-2045 2044 22 2045-2046 2045 23 2046-2047 2046 24 2047-2048 2047 25 2048-2049 2048 * All investments made through the qualifying time period are captured and totaled on Schedule A1 [blue box] and incorporated into this schedule in the first row. ** Only investment made during deferrals of the start of the limitation (after the end of qualifying time period but before the start of the Value Limitation Period) should be included in the "year prior to start of value limitation period" row(s). If the limitation starts at the end of the qualifying time period or the qualifying time period overlaps the limitation, no investment should be included on this line. *** If your qualifying time period will overlap your value limitation period, do not also include investment made during the qualifying time period in years 1 and/or 2 of the value limitation period, depending on the overlap. Only include investments/years that were not captured on Schedule A1. For All Columns: List amount invested each year, not cumulative totals. Only include investments in the remaining rows of Schedule A2 that were not captured on Schedule A1. Column A: This represents the total dollar amount of planned investment in tangible personal property. Only include estimates of investment for "replacement" property if the property is specifically described in the application. Only tangible personal property that is specifically described in the application can become qualified property. Column B: The total dollar amount of planned investment each year in buildings or nonremovable component of buildings. Column C: Dollar value of other investment that may affect economic impact and total value. Examples of other investment that will not become qualified property include investment meeting the definition of 313.021(1) but not creating a new improvement as defined by TAC 9.1051. This is proposed property that functionally replaces existing property; is used to maintain, refurbish, renovate, modify or upgrade existing property; or is affixed to existing property—described in SECTION 13, question #5 of the application. Column D: Dollar value of other investment that may affect economic impact and total value. Examples of other investment that may result in qualified property are land or professional services. Schedule B: Estimated Market And Taxable Value (of Qualified Property Only) Date 5/11/2021 Applicant Name High Chaparral Solar Project, LLC Form 50-296A ISD Name Danbury ISD Revised October 2020 Qualified Property Estimated Taxable Value Estimated Total Market Value Market Value less any Tax Year Estimated Total Market of tangible personal property exemptions (such as School Year (Fill in actual tax Estimated Market Value of Value of new buildings or in the new buildings or "in or pollution control) and before Final taxable value for I&S Final taxable value for Year (YYYY-YYYY) year) YYYY Land other new improvements on the new improvements" limitation after all reductions M&O after all reductions Each year prior to start of 1 2022-2023 2022 N/A N/A Value Limitation Period Insert as many rows as necessary 2 2023-2024 2023 N/A N/A 1 2024-2025 2024 N/A N/A $ 112,240,000.00 $ 112,240,000.00 $ 112,240,000.00 $20,000,000 2 2025-2026 2025 N/A N/A $ 103,260,800.00 $ 103,260,800.00 $ 103,260,800.00 $20,000,000 3 2026-2027 2026 N/A N/A $ 94,281,600.00 $ 94,281,600.00 $ 94,281,600.00 $20,000,000 4 2027-2028 2027 N/A N/A $ 85,302,400.00 $ 85,302,400.00 $ 85,302,400.00 $20,000,000 5 2028-2029 2028 N/A N/A $ 76,323,200.00 $ 76,323,200.00 $ 76,323,200.00 $20,000,000 Value Limitation Period 6 2029-2030 2029 N/A N/A $ 67,344,000.00 $ 67,344,000.00 $ 67,344,000.00 $20,000,000 7 2030-2031 2030 N/A N/A $ 58,364,800.00 $ 58,364,800.00 $ 58,364,800.00 $20,000,000 8 2031-2032 2031 N/A N/A $ 49,385,600.00 $ 49,385,600.00 $ 49,385,600.00 $20,000,000 9 2032-2033 2032 N/A N/A $ 40,406,400.00 $ 40,406,400.00 $ 40,406,400.00 $20,000,000 10 2033-2034 2033 N/A N/A $ 31,427,200.00 $ 31,427,200.00 $ 31,427,200.00 $20,000,000 11 2034-2035 2034 N/A N/A $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 12 2035-2036 2035 N/A N/A $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 Continue to maintain 13 2036-2037 2036 N/A N/A $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 viable presence 14 2037-2038 2037 N/A N/A $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 15 2038-2039 2038 N/A N/A $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 16 2039-2040 2039 N/A N/A $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 17 2040-2041 2040 N/A N/A $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 18 2041-2042 2041 N/A N/A $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 19 2042-2043 2042 N/A N/A $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 Additional years for 25 year economic impact 20 2043-2044 2043 N/A N/A $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 as required by 21 2044-2045 2044 N/A N/A $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 313.026(c)(1) 22 2045-2046 2045 N/A N/A $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 23 2046-2047 2046 N/A N/A $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 24 2047-2048 2047 N/A N/A $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 25 2048-2049 2048 N/A N/A $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 $ 22,448,000.00 Notes: Market value in future years is good faith estimate of future taxable value for the purposes of property taxation. Only include market value for eligible property on this schedule. Schedule C: Employment Information Date 5/11/2021 Applicant Name High Chaparral Solar Project, LLC Form 50-296A ISD Name Danbury ISD Revised October 2020 Construction Non-Qualifying Jobs Qualifying Jobs

Column A Column B Column C Column D Column E Number of new qualifying Tax Year Number of non-qualifying jobs applicant commits to School Year Number of Construction Average annual wage rates Annual wage of new Year (Actual tax year) jobs applicant estimates it create meeting all criteria of (YYYY-YYYY) FTE's for construction workers qualifying jobs YYYY will create (cumulative) Sec. 313.021(3) (cumulative) Each year prior to start of 1 2022-2023 2022 150 FTE's $48,932.00 Value Limitation Period Insert as many rows as necessary 2 2023-2024 2023 150 FTE's $48,932.00

1 2024-2025 2024 N/A N/A 0 5 $66,016.60

2 2025-2026 2025 N/A N/A 0 5 $66,016.60

3 2026-2027 2026 N/A N/A 0 5 $66,016.60

4 2027-2028 2027 N/A N/A 0 5 $66,016.60 Value Limitation Period The qualifying time period could overlap the 5 2028-2029 2028 N/A N/A 0 5 $66,016.60 value limitation period. 6 2029-2030 2029 N/A N/A 0 5 $66,016.60

7 2030-2031 2030 N/A N/A 0 5 $66,016.60

8 2031-2032 2031 N/A N/A 0 5 $66,016.60

9 2032-2033 2032 N/A N/A 0 5 $66,016.60

10 2033-2034 2033 N/A N/A 0 5 $66,016.60

11 Years Following through 2034-2049 2034-2048 N/A N/A 0 5 $66,016.60 Value Limitation Period 25

Notes: See TAC 9.1051 for definition of non-qualifying jobs. Only include jobs on the project site in this school district. Tab 15 Economic Impact Analysis, other payments made in the state or other economic information (if applicable).

Not applicable.

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD Tab 16 Description of Reinvestment or Enterprise Zone, including:

a. Evidence that the area qualifies as an enterprise zone as defined by the Governor’s Office b. Legal description of reinvestment zone c. Order, resolution or ordinance establishing the reinvestment zone d. Guidelines and criteria for creating the zone

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD Tab 16a a. Evidence that the area qualifies as an enterprise zone as defined by the Governor’s Office

Not Applicable.

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD Tab 16b b. Legal description of Project Area within Reinvestment Zone

To be submitted upon final approval by Brazoria County Commissioners Court.

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD Tab 16c c. Order, resolution or ordinance establishing the reinvestment zone

To be submitted upon final approval by Brazoria County Commissioners Court.

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD Tab 16d d. Guidelines and criteria for creating the zone

Please see attached.

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD 6.K.3.a

GUIDELINES AND CRITERI A FOR GRANTING TAX ABATEMENT IN A REINVESTMENT ZONE CREATED JN BRAZOJUA COUNTY

WHEREAS, the creation, retention and diversification or job opportunities that bring new wealth are among the highest civic priority; and

WHEREAS, the purpose of tax abatement is to provide an incentive offered by the tax-payers, i.e. citizens of Brazoria County, to attract investments, that lead to bettel' quality of life and better services. The wealth created by these enterprises leads to more service and retail businesses, which in addition to improving qualily of life, increases the tax base. In summary, by giving incentive in terms of tax abatement, the citizens agree to give up short term tax benefits, for long term benefits; and

WHEREAS, new jobs, investment and industrial diversification will benefit the area economy, provide needed opportunities, strengthen the real estate market and generate tax revenue to support local services; and

WHEREAS, the communities within Brazoria County rnust compete with other localities across the nation currently offering tax inducements to attt·act new plant and modernizationprojects; and

WHEREAS, any tax incentives offered in Brazoria County would reduce needed tax revenue unless strictly limited in application to those new and existing industries that bring new wealth to the community; and

WHEREAS, the abatement of property taxes, when offered to attract capital investment and primary jobs in industries which bring in money from outside a community instead of merely recirculating dollars within a community, has been shown lo be an effective method of enhancing and diversifying an area of economy; and

WHEREAS, Texas Jaw requires any eligible taxing jurisdiction lo establish Guidelines and Criteria as Lo eligibility for tax abatement agreements prior to granting or any future tax abatement, and said Guidelines and Criteria to be unchanged for a two year period unless amended by a three-quarters vote;

WHEREAS, Texas law requires a public hearing regarding the proposed adoption, amendment, repeal, or reauthorization of tax abatement guidelines and criteria;

WHEREAS, a public hearing was held and these Guidelines and Criteria for Grating Tax Abatement in a Reinvestment Zone in Brazoria County was approved under Court Order (p.\.( , 3 dated 0:VY\R.. Zo , 2020. Now, therefore, be it resolved that Brazoria County does hereby adopt these Guidelines and Criteria for granting tax abatement in reinvestment zones in Brazoria County.

DEFINITIONS Section t

(a) ''Abatement" means the full or partial exemption from ad valorem taxes on certain pi-operty in a reinvestment zone designated by Brazoria County for economic development purposes.

(b) '1Abatcment Period" means the period during which all or a portion of the value of real property or

Revised/ Adopted effective 06/23/2020 Page l Packet Pg. 188 6.K.3.a

tangible personal property that is the subject of a tax abatement agreement is exempt from taxation.

(c) "Abated Facility Site" (or "proposed abated facility site") means the tract(s) or area of land underlying the proposed improvements to be abated.

(d) "Agreement" means a contractual agreement between a property owner and/or lessee and Brazoria County forthe purpose of tax abatement.

(e) "Base year value" means the assessed value of eligible property January 1 preceding the execution of the agreement plus the agreed upon value of eligible property improvements made after January 1 but before the execution of the agreement.

(f) "Brazoria County Vendor and Services" means a company that employs Brazoria County residents and pays Brazoria County taxes.

(g) "Deferred maintenance" means the improvements necessary for continued operations which do not improve productivity or alter the process technology.

(h) "Distribution Center Facility" means buildings and structures, including machinery and equipment, used or to be used primarily to receive, store, service, or distribute goods or materials owned by the facility operator where seventy percent (70%) of the goods or services are distributed outside of Brazoria County.

(i) "Economic Development" means participation in or support of an organized program or entity which for the purpose of its mission, engages in activities designed to encourage employment opportunities development/commercial and manufacturing business/industry to locate and/or expand in Brazoria County, thus expanding and diversifying the tax base as well as increasing the economic strength and stability of Brazoria County.

U) "Eligible jurisdiction" means Brazoria County and any municipality or other local taxing jurisdictions eligible to abate taxes according to Texas law, the majority of which is located in Brazoria County that levies ad valorem taxes upon and provides services to reinvestment zone designated by Brazoria County.

(k) "Employee" for the purposes of the economic qualifications of Section 2(h)(2) of these Guidelines and Criteria shall include all persons directly employed by the owner of the planned improvement at the abated facility site/reinvestment zone together with any independent contractor or employee of independent contractors employed on a full-time (40 hours per week equivalent) basis at the facility site/reinvestment zone continuously forthe duration of the abatement agreement.

(1) "Existing facility" is the facility described in Section 2 (a) that will be expanded or modernized and which contains the proposed improvements to be abated. A manufacturing or processing unit or units of a larger plant complex that separately comprise a manufacturing or production sub-unit of the larger plant shall be considered the existing facility for purposes of the Section 2 (h) (2) employment retention requirement (that the planned improvements cause the retention or prevention of loss of employment of 10 employees or 50% of the employees of the existing facility, whichever is greater). For example, if an existing facility has 100 employees, an expansion or modernization of all or part of that facility must result in the retention of at least 50 employees employed at or in connection with the expanded or modernized "existing facility"in order for the facilityimprovements to qualify for abatement.

Revised/Adopted effective06/23/2020 Page 2 Packet Pg. 189 6.K.3.a

(m) "Expansion" means the addition of buildings, structures, machinery or equipment for purposes of increasing production capacity.

(n) "Facility" means property improvements completed or in the process of construction which together comprise an integral whole.

(o ) "Manufacturing Facility" means buildings and structures, including machinery and equipment, the primary 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.

(p) "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 the operation. Modernization may result from the construction, alteration or installation of buildings, structures, fixed machinery or equipment. It shall not be for the purpose of reconditioning, refurbishing, or repairing.

(q) "New Facility" means a property previously undeveloped which is placed into service by means other than or in conjunction with expansion or modernization.

(r) "Other Basic Industry" means buildings and structures including fixed machinery and equipment not elsewhere described, used or to be used forthe production of products or services which serve a market primarily outside Brazoria County.

(s) "Productive Life"means the number of years a property improvement is expected to be in service. After a cessation of production, the productive life of prope11y improvements may be deemed to end, at County's , on the date of cessation of production either upon (1 ) a determination by the County that it is unlikely the improvement(s) will be reactivated as an integral part of a producing facility, and/or (2) the expiration of eighteen (18) continuous or non-consecutive months of non-production in any twenty-four (24) month period following the date the prope11y improvement(s) cease to be in active service as part of a facility operating in a producing capacity. Upon cessation of production and for calculation of the recapture amount of taxes, the "productive life" will be determined to begin on the effectivedate of the tax abatement as set forth in the Agreement.

(t) "Qualified Vendors and Services" means those vendors and services that meet the company's individual stated requirements, which can include but are not limited to: safety, financial condition, environmental record, quality or ability to perform.

(u) "Regional Ente11ainment Facility" means buildings and structures, including machinery and equipment, used or to be used to provide entertainment through the admission of the general public where seventy percent (70%) of users reside at least 50 miles from its location in Brazoria County.

(v) "Research Facility" means buildings and structures, including 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.

(w) "Regional Service Facility" means buildings and structures, including machinery and equipment, used or to be used to service goods where seventy percent (70%) of the goods being serviced originate outside of

Revised/Adopted effective06/23/2020 Page 3 Packet Pg. 190 6.K.3.a

Brazoria County.

(x) "Tangible personal property" means tangible personal property classified as such under state law, but excludes inventory and/or supplies, ineligible property as defined herein, and tangible personal property that was located in the reinvestment zone at any time before the period covered by the agreement with the County.

ABATEMENT AUTHORIZED Section 2

(a) Authorized Facility. A facilitymay be eligible for abatement if it is a: Manufacturing Facility, Research Facility, Distribution Center or Regional Service Facility, Regional Entertainment Facility, Other Basic Industry, or a facility that Commissioners Court determines would enhance job creation and the economic futureof Brazoria County.

(b) Creation of New Value. Abatement may only be granted for the additional value of eligible property improvements made subsequent to and specified in an abatement agreement between Brazoria County and the real property owner, tangible personal property owner, leasehold interest, and/or lessee, subject to such limitations as Brazoria County may require.

(c) New and Existing Facilities. Abatement may be granted for new facilities and improvements to existing facilities for purposes of modernization or expansion.

( d) Eligible Property. Abatement may be extended to the value of buildings, structures, tangible personal property as defined in the Tax Code including fixed machinery and equipment, site improvements and related fixedimprovements necessary to the operation and administration of the facility.

Tangible Personal Property: Abatement may be granted with the owner of tangible personal property located on real property in a reinvestment zone to exempt from taxation (1) all or a portion of the value of the real property, (2) all or a portion of the value of the tangible personal property located on the real property, or (3) all or a portion of the value of both.

An abatement may be granted with the owner of tangible personal property or an improvement located on tax-exempt real property that is located in a designated reinvestment zone to exempt all or a portion of the value of the tangible personal property or improvement located on the real property.

(e) Ineligible Property. The following type of property shall be fully taxable and ineligible for tax abatement: land, existing improvements, tangible personal property that the Brazoria County Appraisal District classifies as inventory or supplies.,_ tools, furnishings, and other forms of movable personal property; vehicles, watercraft, aircraft, housing, convalescent homes, assisted living homes/centers, hotel accommodations, retail facilities, deferred maintenance investments, property to be rented or leased except as provided in Section 2(f), tangible personal property located in the reinvestment zone prior to the effective date of the tax abatement agreement, property already subject to real or personal property tax( es) moved from one location in Brazoria County to the reinvestment zone, real property with a productive life of less than 10 years, property owned or used by the State of Texas or its political subdivisions or by any organizations owned, operated or directed by a political subdivision of the State of Texas, or any other property for which abatement is not allowed by State law.

Revised/ Adopted effective06/23/2020 Page 4 Packet Pg. 191 6.K.3.a

(f) Leased Facilities. Leasehold Interest: Abatement may be granted with the owner of a leasehold interest in tax-exempt real property located in a reinvestment zone designated to exempt all or a portion of the value of the leasehold interest in the real property.

Lessee Interest: Abatement may be granted with a lessee of taxable real property located in a reinvestment zone to exempt from taxation (1) all or a portion of the value of the fixtures, improvements, or other real property owned by the lessee and located on the property that is subject to the lease, (2) all or a portion of the value of tangible personal property owned by the lessee and located on the real property that is the subject of the lease, or (3) all or a portion of the value of both the fixtures, improvements, or other real property and the tangible personal property defined herein.

Leasehold Interest/Lessee shall be required to submit with its application a copy of the executed lease agreement between lessor/lessee demonstrating a minimum lease term double the abatement term granted.

(g) Value and Term of Abatement. Abatement shall be granted effective with the January 1 valuation date immediately following the date of the Commissioners Court Order granting the abatement and approving the abatement application. Commissioners Court shall consider the percent of value and the term of the abatement based upon the overall value of the project and the number of new jobs being created. The term of abatement may be up to 10 years or one-half (1/2) of the productive life of the improvement, whichever is less. The "productive life" will be calculated from the effective date of the tax abatement and the date the equipment ceased to be in service. The abatement may be extended through an initial agreement and a subsequent agreement may be required to comply with state law regarding the term of the reinvestment zone.

If it is determined that the abatement period would better benefit the County and the Applicant by defe1Ting the commencement date beyond the January 1 following the Commissioners Court Order granting the abatement and approving the abatement application, the County may defer the commencement date of the abatement period to a future date certain. The deferral of the commencement date will not allow the duration of the abatement period to extend beyond ten (10) years. However, in no event shall the abatement begin later than the January 1 following the commencement of construction.

If a modernization project includes facility replacement, the abated value shall be the value of the new unit(s) less the value of the old unit(s).

New eligible properties must be in active service and operation as part of a facility operating in a producing capacity for a period equal to double the abatement period (i.e. seven year abatement, then in producing capacity for 14 years) in order to receive the full term of the abatement granted and not be subject to the term reduction and recapture/payment obligation provisions.

(h) Economic Qualification. In order to be eligible for designation as a reinvestment zone and to qualify for tax abatement the planned improvement:

(1) must be reasonably expected to increase and must actually increase the value of the property in the amount of $1 million or more;

(2) must create employment for at least 10 people on a full-time (40 hours per week equivalent) basis in Brazoria County for the duration of the abatement period at the abated facility site

Revised/Adopted effective06/23/2020 Page 5 Packet Pg. 192 6.K.3.a

described in the tax abatement application; or alternatively, must retain and prevent the loss of employment of 10 employees or fifty percent (50%) of the existing number of employees, at the time of application, employed at or in connection with the existing facility containing the abated facility site described in the tax abatement application, whichever is greater, for the duration of the abatement period. The following is applicable to the employment retention/preventing loss of employment requirement:

a. "Existing facility" is the facility described in Section 2 (a) that will be expanded or modernized and which contains the proposed improvements to be abated. A manufacturing or processing unit or units of a larger plant complex that separately comprise a manufacturing or production sub-unit of the larger plant shall be considered the existing facility for purposes of the Section 2(h)(2) employment retention requirement (that the planned improvements cause the retention or prevention of loss of employment of 10 employees or 5 0% of the employees of the existing facility, whichever is greater). For example, if a large plant complex has a sub-unit that produces chlorine and 100 employees are employed at or in connection with that unit, an expansion or modernization of all or part of that facility must result in the retention of at least 50 employees employed at or in connection with the expanded or modernized "existing facility" in order for the facility improvements to qualify for abatement.

b. Employees of a larger plant unit transferred or assigned to and employed at or in connection with a new sub-unit containing the planned improvements, constructed on undeveloped land constituting the proposed abated facility site/reinvestment zone shall be considered "created" employment for purposes of this sub-section.

The proposed number of employees to be employed at the abated facility as stated in the abatement application for the property that is the subject of the tax abatement agreement (including the projected creation or retention of employment) must be maintained for the duration of the abatement period at the abated facility site. For purposes of this sub-section, in order for a planned improvement to be considered as preventing the loss of employment or retaining employment, the abated facility/project must be necessary in order to retain or keep employment at levels as indicated in the application and in order to retain the proposed number of employees at the abated facility as indicated in the application. The owner/ Applicant seeking to qualify on the basis of retention or preventing loss of employment must provide a detailed statement as an attachment to its application affirmatively representing compliance with this sub­ section and explaining the necessity of this project to prevent loss of employment. Any variance from the requirements of this sub-section is subject to approval of Commissioners Court in accordance with the variance section of these Guidelines & Criteria.

(3) must be not expected to solely or primarily have the effect of transferring employment from one part of the county to another part of the county. A variance may be requested relative to this provision which approval shall be at the sole discretion of the County.

(4) must be necessary because capacity cannot be provided efficiently utilizing existing improved property;

Additionally, the owner of the project:

Revised/ Adopted effective06/23/2020 Page 6 Packet Pg. 193 6.K.3.a

(5) must provide for and pay, at the time of filing an application for tax abatement, a non-refundable application fee of $1,000. A part of the application fee will be dedicated by Brazoria County to economic development programs authorized by Local Government Code, Section 3 81.004.

(6) must file a plan statement with application demonstrating willingness and planned efforts to use qualified Brazoria County union and/or nonunion vendors and services where applicable in the construction and operations of the facility. Brazoria County vendors and services must be competitive with non-county union and/or nonunion vendors and services regarding price, quality, safety, availability and ability to perform. It is preferred that applicant seek qualified workers who are United States citizens and veterans and also legal residents prior to seeking workers from other countries.

(7) will annually, for the term of the abatement, contribute .000207 of the value reported in "Part IV Section F" of the abatement application ( estimated value of abated improvements at the conclusion of the abatement period). Air carriers receiving abatement will contribute an amount equal to .000207 of the estimated value of the personal property of the air carrier indicated in its Application. Each project will contribute no more than $25,000 for projects $500 million or less in capital investment and no more than $50,000 for project greater than $500 million in capital investment nor less than $2,000 annually to be used specifically to fund economic development in Brazoria County as authorized by Local Government Code, Section 381.004. The annual contribution shall be paid to Brazoria County through the County Auditor's Office on or before January 1 of each year of the tax abatement contract term.

(8) must not file with the Brazoria County Appraisal District a valuation or taxpayer protest or notice of protest pursuant to the Texas Prope1iy Tax Code during the abatement period legally protesting the valuation of the abated improvements of a manufacturing facility pursuant to an appraisal method that produces a valuation of improvements based on each improvement's value as a separate item of personal property rather than the improvements' value as integral fixtures of a producing manufacturing facility. An owner's legal protest of the improvements' value pursuant to the Texas Property Tax Code must be based on and use accepted appraisal methods and techniques allowed by law (Texas Prope1iy Tax Code) and uniform standards of professional appraisal practice. The filing of a valuation protest or notice of protest contrary to this standard shall cause the tax abatement agreement to be subject to termination and recapture of all previously abated taxes.

(9) must not be a defendant in any litigation by the County seeking recovery or recapture of previously abated taxes.

(10) Will be wholly responsible for all County roads and right-of-way (including bridges, culve1is, ditches, etc.) and damages caused thereto as a result of the construction, on­ going maintenance, and operations of the Abated Facility Site as well as associated facilities to the Abated Facility Site, including but not limited to, the following: • Cost to maintain the roads utilized for construction of the Abated Facility Site in an effort to keep the road safe for the traveling public will be tracked by the County and invoiced on a regular basis to the Abatee. • Cost to reconstruct the roadway, if needed, will be actual cost to reconstruct the County roads and right-of way incurred by the County and invoiced to the Abatee. Revised/Adopted effective06/23/2020 Page 7 Packet Pg. 194 6.K.3.a

These costs will include all construction costs as well as all related professional services for the repair work. • Abatee shall coordinate with the County Engineering Department regarding any and all use of County roads and right-of-way for construction, maintenance and operation of Abated Facility Site in accordance with County regulations in place for use of County facilities. In order to comply with County regulations, Abatee shall schedule and attend a pre-development meeting with the County Engineering Department prior to commencing construction. Abatee shall submit a road use plan to the County Engineering Department at least 3 days prior to attending the pre-development meeting. The road use plan should identify all County roads that may be affected by construction or use of the Abated Facility Site, as well as, the routes of any related pipelines. • Abatee shall execute a Developer Agreement relating to the reconstruction and repair of affectedCounty roads. Abatee shall not begin construction, of the Abated Facility until the Developer Agreement has been fully executed. Beginning construction prior to the execution of a Developer Agreement will result in the cancellation of the Abatement.

(i) Taxability. From the execution of the abatement contract to the end of the agreement period, taxes shall be payable as follows:

(1) The value of ineligible property as provided in Section 2(e) shall be fully taxable;

(2) the base year value of existing eligible property as determined each year shall be fully taxable; and

(3) the additional value of new eligible property shall be taxable in the manner described in Section 2(g).

APPLICATION Section 3

(a) The Application for tax abatement may be obtained from the County Judge's Office or on the Brazoria County website at www.brazoria-county.com. Applicant may contact the Judge's Office at (979) 864- 1200 or (281) 756-1200.

(b) Any present or potential owner of taxable property in Brazoria County may request the creation of a reinvestment zone and tax abatement by filing a tax abatement application with Brazoria County. The application shall be filed with the County Judge by providing twelve (12) copies or an electronic version and five (5) copies. The additional copies provided will be furnished to each member of Commissioners Court and the Tax Abatement Review Committee (TARC). After filing the application, the Applicant shall provide an economic impact analysis report, in a format comparable to the Texas Governor's economic impact analysis report., to the County Judge's Office prior to the TARC meeting on the Applicant's tax abatement application.

Revised/Adopted effective06/23/2020 Page 8 Packet Pg. 195 6.K.3.a

(c) The application shall consist of a completed application form accompanied by: a general description of the proposed use and the general nature and extent of the modernization, expansion or new improvements which will be a part of the facility; a map and property description; CAD data or a shapefile with the boundaries of the reinvestment zone; and a time schedule for undertaking and completing the planned improvements. In the case of modernizing, a statement of the assessed value of the facility, separately stated for real and personal property, shall be given for the tax year immediately preceding the application. The application form shall require such financial and other information as Brazoria County deems appropriate for evaluating the financial capacity and other factors of the Applicant. Applicant should not submit confidential information as part of the application. If doing so cannot be avoided, a general description in non-confidential terms should be included on the application, along with a sealed document containing the confidential information as an attachment and clearly marked "CONFIDENTIAL".

(d) Upon receipt of a completed application, the County Judge shall notify in writing the presiding officer of the governing body of each eligible jurisdiction. Before acting upon the application, Brazoria County Commissioners Court shall hold a public hearing at which interested parties shall be entitled to speak and present written materials for or against the approval of the tax abatement. The public hearing shall also afford the Applicant and the designated representative of any eligible jurisdiction opportunity to show cause why the abatement should or should not be granted. Notice of the public hearing shall be clearly identified on a Brazoria County notice to be posted at least 30 days prior to the hearing.

(e) After receipt of an application forcreation of a reinvestment zone and application forabatement, the Tax Abatement Review Committee (TARC) shall prepare a feasibility study setting out the impact of the proposed reinvestment zone and tax abatement. The feasibility study shall include, but not be limited to, an estimate of the economic effect of the creation of the zone and the abatement of taxes and the benefit to the eligible jurisdiction and the prope1ty to be included in the zone. The economic impact analysis rep011 provided by the Applicant shall be attached to the feasibility study and included as part of the feasibilitystudy repo11.

(f) If upon written request for a legal opm1on or interpretation from the Commissioners Court or its members, the legal counsel for Brazoria County determines that the application does not appear to comply with the written language of the Guidelines and Criteria, a public hearing on said application if already set, shall be postponed for a period of at least thirty days from the scheduled date of public hearing to allow time for fmther review by the Commissioners Comt or any duly appointed review committee, or if an initial setting has not been made, the hearing on such application shall be set on the Commissioners Court agenda no sooner than sixty (60) days fromthe time the Court enters an order to set the public hearing date.

The Applicant shall file a supplement or addendum to its application to show cause why the application should be approved and shall present reasons at the public hearing on the same.

Provided that any final decision or interpretation as to the intent and meaning or policy of any provision or its written language; any final decision as to whether or not an application complies or does not comply with the guidelines and criteria; and any final decision as to whether to grant or deny tax abatement shall be made by the Commissioners Court at its sole discretion.

(g) Brazoria County shall not establish a reinvestment zone for the purpose of abatement if it finds that the request forthe abatement was filed after the commencement of construction, alteration, or installation of

Revised/Adopted effective06/23/2020 Page 9 Packet Pg. 196 6.K.3.a

improvements related to a proposed modernization, expansion or new facility.

(h) Variance. Requests for variance from the provisions of Subsections (a) (b) (e) (g), (h) (1), (h) (2) and/or (h) (3) of Section 2 may be made in written form to the County Judge with a copy forwarded to the T ARC. Such requests shall include a complete description of the circumstances explaining why the Applicant should be granted a variance. Approval of a request requires a four-fifths (4/5) vote of the Commissioners Court.

(i) Special Variance: Air Carriers. A special variance from all applicable provisions of these guidelines and criteria, with the exception of Section 2 (h) (5) and (h) (7) may be granted allowing abatement or partial abatement of ad valorem taxes on the personal property of a certificated or non-certificated air carrier that owns or leases taxable real property in Brazoria County provided that the personal property has a value of at least $10,000,000. Approval of a request for this variance requires a three-fourth (3/4) vote of the Commissioners Court.

APPROVAL Section 4

(a) Neither a reinvestment zone nor abatement agreement shall be authorized if it is determined that:

(1) there would be a substantial adverse effect on the provision of government service or tax base;

(2) the Applicant has insufficient financial capacity;

(3) planned or potential use of the property would constitute hazard to public safety, health or morals; or,

( 4) violation of other codes or laws.

AGREEMENT Section 5

(a) After approval, Brazoria County Commissioners Court shall formally pass a resolution and execute an agreement with the Applicant as required which shall include:

(1) estimated value to be abated and the base year value;

(2) percent of value to be abated each year as provided in Section 2(g);

(3) the commencement date and the termination date of abatement;

( 4) the proposed use of the facility; nature of construction, time schedule, map, property description and improvement list as provided in Application, Sections II and III;

(5) contractual obligations in the event of default, violation of terms or conditions, delinquent taxes, recapture, administration and assignment as provided in Sections 2(a), 2(f), 2(g), 2(h) 6, 7, and 8;

( 6) size of investment and average number of jobs involved for the period of abatement; and

Revised/Adopted effective06/23/2020 Page 10 Packet Pg. 197 6.K.3.a

(7) prov1s1on that Applicant shall annually furnish information necessary for Brazoria County's evaluation of Applicant's compliance with the terms and conditions of the tax abatement agreement and these guidelines and criteria (in the form of an annual report/statement of compliance), together with an additional provision that Brazoria County may, at its election, request and obtain information from Applicant as is necessary for the County's evaluation of Applicant's compliance with the terms and conditions of the tax abatement agreement and these guidelines and criteria. See Attachment A.

(8) provision that, upon expiration of the tax abatement agreement, Applicant shall begin annually reporting the status of the abated improvements regarding active service and operation as part of a facility operating in a producing capacity. Reporting will be for the same amount of years as the tax abatement period (e.g. seven year abatement, then follow-up reporting for seven more years). See Attachment B.

(b) Such agreement shall be executed within sixty (60) days after the Applicant has forwarded all necessary informationand documentation to Brazoria County.

RECAPTURE Section 6

(a) In the event the facility contemplatedherein is completed and begins producing product or service, but the company fails to maintain the level of employment (including the projected creation or retention of employment) stated in the abatement application for the prope1ty that is the subject of the abatement agreement, the County may elect to: (1) Declare a default and terminate the abatement agreement without recapturing prior years' abated taxes; (2) Declare a default, terminate the agreement and order a recapture of all or pmt of the previous years' abated taxes; or (3) Set specific terms and conditions for the continuation of the abatement exemption for the duration of the term of the agreement under its present te1ms or alter the amount of the abatement for the remaining term of the agreement.

(b) Should Brazoria County determine that the company or individual is in default according to the terms and conditions of its agreement, Brazoria County shall notify the company or individual in writing at the address stated in the agreement and if such is not cured within sixty (60) days from the date of such notice ("Cure Period"), then the agreement may be terminated.

( c) In the event that the company or individual (1) allows its ad valorem taxes owed the County to become delinquent and fails to timely and properly followthe legal procedures fortheir protest and/or contest, or (2) violates any of the terms and conditions of the abatement agreement and failsto cure during the Cure Period, the agreement then may be terminated and all taxes previously abated by vi1tue of the agreement will be recaptured and paid within sixty (60) days of the termination.

( d) Failure to provide any requested statement or information pursuant to the provisions described in Section 5(a)(7) without just cause within sixty (60) days of the request for the information or the presentation of any falseor misleading statement may, at the County's option, be construed as a defaultby the company or individual and cause for immediate termination of the tax abatement agreement and recapture of all previously abated taxes, if after written notice of default, the company or individual has not cured such default prior to the expiration of thi1ty (30) days from such written notice. The Cure Period provisions

Revised/Adopted effective06/23/2020 Page 11 Packet Pg. 198 6.K.3.a

of sub-sections (b) and (c) above are not applicable to a default and termination under this paragraph.

ADMINISTRATION Section 7

(a) The Chief Appraiser of the County shall annually dete1mine an assessment of the real and personal property comprising the reinvestment zone. Each year, the company or individual receiving abatement shall furnish the assessor with such information as may be necessmy for the abatement. Once value has been established, the Chief Appraiser shall notify the eligible jurisdictions which levy taxes on the amount of the assessment.

(b) The agreement shall stipulate that TARC of Brazoria County will have access to the reinvestment zone during the te1m of the abatement to inspect the facility to determine if the tenns and conditions of the agreement are being met. All inspections will be made only after the giving of 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 facility. All inspections will be made with one or more representatives of the company or individual and in accordance with their safety standards.

(c) Tax Abatement Review Committee:

The Commissioners Court shall appoint a standing Tax Abatement Review Committee (TARC) for purposes of (i) reviewing the tax abatement application and preparing the feasibility study report required by Section 3(d) of these guidelines; (ii) conducting annual inspections and/or evaluations of the abated facilities to insure compliance with the te1ms/conditions of the tax abatement agreement.

( d) The Tax Abatement Review Committee shall be comprised of, but not limited to, a representative appointed by each Commissioners Court member. The County Auditor, County Treasurer, District Attorney representative, and County Tax Assessor Collector shall serve as ex-officio members of the Committee to advise on abatement qualifications and procedures. The County Judge and the Commissioner of the Precinct in which a proposed abated facility will be located will serve on the Committee during the period when the Committee is preparing the feasibility study report and conducting the annual inspection and/or evaluation of the facility.

(e) Upon commencement of construction, the owner of an abated facility must submit a written report/statement of compliance annually during the life of the abatement to the Brazoria County Commissioners Court and the Tax Abatement Review Committee clearly detailing the status of the facility and how it is complying with the abatement guidelines. The Committee shall annually evaluate each abated facility and report possible violations to the contract and agreement to the Brazoria County Commissioners Court. The form of annual report that shall be used by the owner is attached as Attachment A.

(f) Upon expiration of the Tax Abatement term, the owner of the abated improvements must submit a written report/statement of compliance annually, beginning January 1 after the expiration of the tax abatement term, documenting that the abated improvements remain in active service and operation as part of a facility operating in a producing capacity for an additional period equal to the abatement period granted and completed (e.g. seven year abatement, then in producing capacity for an additional 7 years after expiration of the tax abatement agreement) in order to receive the full term of the abatement

Revised/ Adopted effective06/23/2020 Page 12 Packet Pg. 199 6.K.3.a

granted and not be subject to the term reduction and recapture/payment obligation provisions. The Report shall be delivered to the County Judge. The Committee shall annually evaluate each abated facility and report possible violations to the contract and agreement to the Brazoria County Commissioners Court. A form of annual report that may be used by the owner is attached as Attachment B to these Guidelines & Criteria, and the owner's annual report shall, at a minimum, contain the info1mationshown in the Attachment B form.

(g) The County shall timely file with the Texas Department of Commerce and the Property Tax Division of the State Comptroller's officeall informationrequired by the Tax Code.

ASSIGNMENT AND MODIFICATION Section 8

Abatement may be transferred and assigned by the holder to a new owner or lessee of the same facility upon the approval by resolution of Brazoria County subject to the financial capacity of the assignee and provided that all conditions and obligations in the abatement agreement are guaranteed by the execution of a new contractual agreement with Brazoria County. Assignee shall submit a tax abatement application, including financial information to the County Judge's office prior to consideration of assignment. Full assignment of the abatement requires approval by the TARC in addition to approval through public hearing in Commissioners Court. No assignment or transfer shall be approved if the new parties to the existing agreement, the new owner or new lessee are liable to Brazoria County or any eligible jurisdiction for delinquent taxes or other obligations. Approval shall not be unreasonably withheld.

Abatement may be modified or amended. A modification or amendment, except those that change the commencement date, correct clerical errors, or make administrative changes (including changes to the notificationsection or the company name) requires approval through public hearing in Commissioners Court.

PROVISIONS REGARDING CITY-INITIATED ABATEMENTS Section 9

(a) This section is applicable to tax abatement applications for property located in a reinvestment zone designated by a city and applications by Applicants who have previously entered into a tax abatement agreement with a city regarding that property.

(b) All provisions of these Guidelines & Criteria are applicable to city-initiated reinvestment zones and abated areas within a city's territorial limits unless otherwise stated herein or provided by law.

(c) An Applicant shall file a tax abatement application on the County's application form together with all attachments and statements described in the application instructions and in subsection (d) herein below.

(d) Upon receipt of a tax abatement application applicable to property within a city-designated reinvestment zone subject to a city's tax abatement agreement, the application shall be reviewed for approval as to (a) correct application form, (b) represented compliance with economic value estimates and employment criteria of Section 2(h) of the Guidelines & Criteria, (c) legal description requirements, (d) attachment of a correct copy of the city's ordinance designating the area as a reinvestment zone and granting abatement and ( e) attachment of a correct copy of the fully executed tax abatement agreement between the city and the Applicant.

(e) After review (and subject to approval of the matters in (d) above) and meeting of the TARC, the application will be placed on the next Commissioners Court meeting for consideration. If there are any

Revised/Adopted effective06/23/2020 Page 13 Packet Pg. 200 6.K.3.a

compliance problems with the application (including any problems to be resolved or amendments to the application to be made), the County Judge and Precinct Commissioners shall be advised of these compliance problems/matters to be resolved in a memo from the Civil Division-District Attorney's Office. No Application shall be placed on the Agenda if the application fails to attach both the ordinance designating reinvestment zone and the copy of the fully executed tax abatement agreement between the city and the Applicant, or which is deficient as to application form or legal description. In such case the Applicant shall be informed of the necessity of attaching those documents or making necessary corrections, and there will be no further processing of the application until the same are received.

(f) The notice provisions of Section 3(d) are not applicable to an application under this section.

(g) The percentage of property value abated and the te1m of abatement shall be the same as that stated in the city's tax abatement agreement unless othe1wise specifically ordered in the Commissioners Court order granting abatement.

SUNSET PROVISION Section 10

(a) These Guidelines and Criteria are effective upon the date of their adoption and will remain in force for two years, at which time all reinvestment zones and tax abatement contracts created pursuant to its provisions will be reviewed by Brazoria County to determine whether the goals have been achieved. Based on that review, the Guidelines and Criteria will be modified, renewed or eliminated, provided that such actions shall not affect existing contracts or applications for tax abatement filed prior to the expiration of said Guidelines and Criteria. Applications for abatement filed prior to the expiration of the Guidelines and Criteria shall be governed by the provisions of these Guidelines and Criteria regardless of any subsequent modification or amendment.

(b) This policy is mutually exclusive of existing Industrial District Contracts and owners of real property in areas deserving of special attention as agreed by the eligible jurisdictions.

(c) These guidelines and policies for Tax Abatement shall be effective June 23, 2020, and shall remain in force until June 23, 2022, unless amended or superseded, modified, renewed, or eliminated by Commissioners Court prior to that date.

Revised/Adopted effective06/23/2020 Page 14 Packet Pg. 201 6.K.3.a

ATTACHMENT A (TO THE BRAZORIA COUNTY GUIDELINES & CRITERIA FOR GRANTING TAX ABATEMENT) (This form is located at www.brazoria-county.com)

ANNUALREPORT FORM

Revised/ Adopted effective 06/23/2020 Page 15 Packet Pg. 202 6.K.3.a

ANNUAL REPORT PURSUANT TO SECTION 5(a)(7) AND 7(e) OF THE BRAZORIA COUNTYGUIDELINES & CRITERIA ON TAX ABATEMENT

RE: TAX ABATEMENT AGREEMENT

______(Company/Owner Name) REINVESTMENT ZONE (RZ) NO. _____ (Number ofRZ, if applicable)

1. Commencement and/or completion date ofthe contemplated improvements described in the tax abatement agreement.

Date of commencement of construction:

Date ofcompletion all contemplated improvements:

2. Number ofpermanent employees, contract employees and temporary contract employees currently employed by you at the tax abated facility location or construction site as of the date ofthis Report. (See definitions below).

Permanent Employees:

*Permanent Contract Employees (* List contract employees employed on a full-time,40 hours per week equivalency basis and who are expected to be employed on a full-time basis forthe duration of the abatement period. Do not include temporary contract employees.)

**Temporary Contract Employees (**List temporary contract employees who are employed for a temporary period ending prior to expiration of the tax abatement term)

3. Status of construction ofthe contemplated improvements, percentage of construction completed and Owner's estimate of taxable value of constructed improvements on the date of the Repmi.

Percentage of construction completed:

Estimated value oflmprovements: As of------

Revised/ Adopted effective 06/23/2020 Page 16 Packet Pg. 203 6.K.3.a

4. Status of production of the completed facility and the productive service capacity of the improvements. (only applicable to a completed facility that has previously commenced production)

Is the abated facility currently producing the product Check One or similar product described in the tax abatement agreement? )Yes or( )No

Ifthe answer to the above question is "No", please state the date or time period when production ceased and attach a narrative explanation ofthe reason for cessation of production as Attachment B.

Ifproduction at this abated facility is shut down, please state the expected date or time period, if any, at which/during which you expect the facility to resume production operations. Ifyou do not expect to resume production at this abated facility, please state "plant closed" in the blank space.

State your estimate of the expected productive life of the abated facility and its improvements as measured from the beginning date ofproduction until the expected permanent cessation of production ( or in other words, the total number ofyears, if any, that you expect the abated facility improvements to be in service as part of the operations of a producing facility, including in your total any previous years of production prior to the date ofthis report.)

5. Include a list ofBrazoria County vendors and services that you have used and attach the same as Attachment A to this Report.

Is the list ofBrazoria County vendors and services Check One attached? )Yes or( ) No

To the best ofmy knowledge, the above information and estimates are true and correct.

Owner:------

By: Printed Name:______

Title/Position------

Date:

Revised/Adopted effective06/23/2020 Page 17 Packet Pg. 204 6.K.3.a

ATTACHMENT B (TO THE BRAZORIA COUNTY GUIDELINES & CRITERIA FOR GRANTING TAX ABATEMENT) (This form is located at www.brazoria-countv.com)

REPORT FORM After the initial te1m of the Tax Abatement Agreement

Revised/ Adopted effective 06/23/2020 Page 18 Packet Pg. 205 6.K.3.a

PRODUCTIVE LIFE REPORT TAX ABATEMENT TERM COMPLETED PURSUANT TO SECTION 5(a)(8) AND 7(f) OF THE BRAZORIA COUNTY GUIDELINES & CRITERIA ON TAX ABATEMENT

RE: TAX ABATEMENT AGREEMENT

______(Company/Owner Name)

REINVESTMENT ZONE (RZ) NO. _____(Number ofRZ, ifapplicable)

Effective Date ofTax Abatement:______

1. Status ofproduction of the completed facility and the productive service capacity ofthe improvements.

Is the abated facility currently producing the product Check One or similar product described in the tax abatement agreement? )Yes or( )No

Ifthe answer to the above question is "No", please state the date or time period when production ceased and attach a narrative explanation ofthe reason for cessation of production as Attachment A.

If production at this abated facility is shut down, please state the expected date or time period, if any, at which/during which you expect the facility to resume production operations. If you do not expect to resume production at this abated facility, please state "plant closed" in the blank space.

State your estimate ofthe expected productive life ofthe abated facility and its improvements as measured from the beginning date of production until the expected permanent cessation of production ( or in other words, the total number of years, if any, that you expect the abated facility improvements to be in service as part of the operations of a producing facility, including in your total any previous years of production prior to the date ofthis report.)

To the best ofmy knowledge, the above information and estimates are true and correct.

Owner: ------

By: Printed Name:------Titie/Position ------

Date:

Revised/Adopted effective 06/23/2020 Page 19 Packet Pg. 206 Tab 17 Signature and Certification Page, signed and dated by Authorized School District Representative and Authorized Company Representative (applicant).

Please see attached.

Attachment to Application for 313 Appraised Value Limitation by High Chaparral Solar Project, LLC to Danbury ISD