Dallas Morning News August 2008
Mayor Tom Leppert and City Manager Mary Suhm had previously promised AT&T city subsidies, but had not released precise figures.
The recommended subsidies include a $5 million direct grant to be paid over three years. It also calls for a 90 percent tax break, over a 10-year-period, on the company's business personal property and corporate aircraft located at Dallas Love Field.
The aircraft tax break is estimated at $6.3 million over 10 years, said J. Hammond Perot, Dallas' economic development assistant director. The total incentive package has an estimated value of $11.5 million city officials say.
AT&T must keep its headquarters in Dallas for five years or must reimburse the city's tax incentives on a pro rata basis, according to the preliminary terms of the incentive deal.
"We're pleased that the city is recognizing the economic value of AT&T bringing its corporate headquarters to Dallas," company spokesman Walt Sharp said.
Mr. Sharp added that he did not yet know how many AT&T corporate aircrafts would be located at Dallas Love Field or at other airports in the Dallas-Fort Worth area.
AT&T does expect to transfer 700 positions to its high-rise campus in downtown Dallas as part of the headquarters move. It's something Dallas City Hall officials relish: An influx of downtown workers could prompt increased center city development and attract more residents to Dallas' urban core.