6.A.(2) Resolution No. 2530 - Laserfiche WebLink

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South Bend Redevelopment Commission RE: Tax Abatement for Fortis Plastics, LLC December 16, 2008 Page 2 The equipment to be purchased includes new and used plastic injection mold machines and extruders, computers, IT infrastructure and servers. The used equipment would be acquired from outside the State of Indiana. A personal property tax abatement application is being submitted as part of the total project. The applicant is in the early stages of the rehabilitation design and the contracting process. Therefore, it does not have a film list of contractors. Based on current information it is estimated that the applicant will qualify for athree-year abatement. The length of this period could increase depending on the final selection of the contractors. However, it is not expected to exceed five years. Total faxes to be abated during a (~) three-year abatcmcnt period are estimated at $41,998. Total taxes to be paid during the three-year abatement period are estimated at $222,531. Total taxes to be abated during a (5) live-year abatcmcnt period are estimated at $59,419. "fotal taxes to be paid during the five-year abatement period arc estimated at $381,463. EMPLOYMENT IMPACT Per the petition, it is estimated that the total project will retain 146 employees with an annual payroll of $5,54,904. A13ATEMENT QUALIFICATION A review of the tax abatements previously granted finds that the petitioner has not been granted or associated with any previous tax abatements. 2. The Building Commissioner has reviewed the petition and finds the property to be properly zoned for the proposed project. 3. A review of the South Bend Redevelopment designation areas finds that the property is located in the Airport I~conomic Development Area, which is a "I'ax Incremental Allocation Area; therefore, the petition for personal property tax deduction must first be approved by the South Bend Redevelopment Commission. 4. A review of the "hax Abatement Ordinance No. 9394-03 finds that the petitioner meets the qualifications fora (5) five-year personal property tax abatement under section 2-82, Industrial Development, City-wide General Standards.