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19. DEVELOPMENT AGREEMENT AND ECONOMIC DEVELOPMENT GRANT TO FIRST SOLAR, INC. Approve the Development Agreement and $20 million Economic Development Grant to First Solar, Inc. 1. Pursuant to A.R.S. §11-254.04, approve an agreement with First Solar to provide an economic development grant of up to $20 million to assist First Solar in establishing a photovoltaic module manufacturing facility and to further expand its headquarters in Maricopa County. The grant will be paid in disbursements of $1 million, each based on achievement of performance thresholds. First Solar will retain 104 jobs created since September 30, 2009, and add up to 4,800 new jobs, which together will have an average annual salary of at least $48,575. In addition, First Solar will make up to $1.6 billion in capital investment. The new jobs and capital investments are estimated to generate additional General Fund revenue that will recover the County’s grant in nine years. The agreement includes provision for repayment of the grant if First Solar fails to maintain jobs and capital investment through the term of the agreement, which is ten years. Funding will be provided from the $7 million FY 2011 budgeted non-recurring reserved contingency for interest earnings, plus $13 million of the additional FY 2011 General Fund beginning balance that was not anticipated in the FY 2011 budget. 2. Freeze the reserved contingency amount budgeted in Non-Departmental (470) General Fund (100) Non Recurring Non Project (0001), “Interest Contingency (Dependent on Earnings).” No allocations for additional economic development projects may be made from this budget through the close of FY 2011. 3. Direct the Office of Management and Budget to include a non-recurring expenditure of $20 million in the FY 2012 Recommended Budget for the General Fund to fund the agreement with First Solar. (C-20-11-049-2-00)

Vote: approved

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34. TERMINATION OF THE ECONOMIC DEVELOPMENT FUNDING AGREEMENT, DATED APRIL 20, 2011, BETWEEN MARICOPA COUNTY, ARIZONA AND FIRST SOLAR, INC Approve the Termination Agreement for Economic Development Funding Agreement Between Maricopa County, Arizona and First Solar, Inc. By mutual action of both parties, this Termination Agreement terminates the Economic Development Funding Agreement dated April 20, 2011. By its terms, the Termination Agreement releases the parties of any and all past, present, or future obligations, duties, and liabilities arising out of the Economic Development Funding Agreement. Maricopa County and First Solar, Inc. entered into that certain Economic Development Funding Agreement dated April 20, 2011 (approved by the Board of Supervisors on March 30, 2011). At that time, Maricopa County determined that a photovoltaic solar module manufacturing facility established by First Solar would advance the County’s economic development strategic goals. First Solar intended to invest in land, plant facilities, and equipment and sought the assistance of the County. The increased employment opportunities would enhance economic vitality of the County and increase revenues. First Solar invested $155,000,000 in Phase One of the project and generated over 500 jobs, with average salaries exceeding $100,000. Due to various business and economic factors, First Solar has elected to defer commencement of manufacturing within Phase One of the project. The County did not make any disbursement of money during the course of the Economic Development Funding Agreement. In view of the changed circumstances, First Solar and the County now desire to terminate the Agreement. (C-20-11-049-2-01)

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