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HomeMy WebLinkAboutAmending Chapter 2 Article 6 Addressing Tax Abatement Procedures • ORDINANCE No. 7883-88 Passed by the Common Council of the City of South Bend, Indiana. June 27 , x88 9 Attest: City Clerk IRENE K. GAMMON Attest: President of Common Council Presented by me to the Mayor of the City of South Bend, Indiana _ June 28, 88 '9 City Clerk IRENE K. GAMMON Approved and signed by me Cast' .-9 19 6XA.7411.4. Mayor • Bill No. Ordinance No. -78'g3 - AN ORDINANCE AMENDING CHAPTER 2, ARTICLE 6, OF THE MUNICIPAL CODE OF THE CITY OF SOUTH BEND, INDIANA ADDRESSING TAX ABATEMENT PROCEDURES The South Bend Common Council acknowledges that in the last session of the Indiana General Assembly, amendments to the State law addressing economic revitalization were passed by the enactment of Public Law 56-1988. The following Bill is introduced to bring our local tax abatement procedures into conformity with this new State law. NOW, THEREFORE, BE IT ORDAINED BY THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA, as follows: SECTION I. Chapter 2, Article 6, Section 2-76 entitled "Personal and Real Property Tax Abatement Procedures" is - hereby amended in part as follows: Section 2-76. Personal and Real Property Tax Abatement Procedures. (A) Definition(s) . As used in this Chapter: (5) Economic revitilization area shall mean an area which is within the corporate limits of a city, town, or county which has become undesirable for, or impossible of, normal development and occupancy because of a lack of development, cessation of growth, deterioration of improvements or character of occupancy, age, obsolescence, substandard buildings, or other factors which have impaired values or prevent a normal development of property or use of property. The term "economic revitilization area" also includes: (a) any area where a facility or a group of facilities that are technologically_, economically, or energy obsolete are located and where the obsolescence may lead to a decline in employment and tax revenues; and (b) a residentially distressed area, except as otherwise provided in I.C. 6-1. 1- 12 . 1-1 et seq. (B) Eligibility. Tax Abatement petitions to the Common Council shall be considered only from owners of real property or new manufacturing equipment personal property located within the City who propose economic revitilization projects which conform to the general standards for the relevant category, which will be used, along with • • 1. Real Property Tax Abatement (a) Multi-Family Housing Projects: (1) For three year tax abatement: (A) Location within a-Tax Abatement-impaet-Area an Economic Development Target Area established by the South Bend Economic Development Commission. (2) For six year tax abatement: (A) Location in-a-Tax-Abatement Impaet-Area within an Economic Development Target Area established by the South Bend Economic Development Commission; and (C) Fifteen-pereent-{154} Twenty percent (20%) of the dwelling units available for occupancy by low or moderate income households, as defined by regulations of the United States Department of Housing and Urban Development. (3) For ten year tax abatement: (A) Location in-a-Tax-Abatement impaet-Area within an Economic Development Target Area established by the South Bend Economic Development Commission; and (C) F teen-pereent-{15%} Twenty percent (20%) of the dwelling units available for occupancy by low or moderate income households, as defined by regulations of the United States Department of Housing and Urban Development. (c) Petition filing. Owners of real property or of new manufacturing equipment located within the City may petition the Common Council on forms provided by the City Clerk for real or personal property tax abatement consideration. The petition(s) , the "Statement of Benefits" form(s) prescribed by the State Board of Accounts, as well as letter(s) summarizing the salient points of each Resolution must accompany the Declaratory Resolution filed for Council consideration. A separate letter and Confirming Resolution are also required from the Petitioner. All information and attachments required on the petition must be completed and filed with the City Clerk together with a filing fee of one hundred and fifty dollars ($150.00) to cover reasonable processing and administrative costs. • SECTION II. This ordinance shall be in full force and effect from and after its passage by the Common Council and approval by the Mayor. i ' J em•-r o . ommon ounce SpUTH kN\,1% II I' d l'll�l I • wi, - ,, % z City of South Bend ///\ ' _-).!..143 Joseph G. Kernan, Mayor 111. 1865 ' South Bend Common Council John Voorde Ann Puzzello Thomas Zakrzewski President Vice-President Chairman, Committee of the Whole June 8, 1988 Members of the Common Council 4th Floor County-City Building South Bend, IN 46601 Dear Council Members: I am introducing the attached Bill in my capacity as Chairman of the Human Resources and Economic Developement Committee. This Bill would amend the city's tax abatement procedures which are located in Chapter 2, Article 6 of the Municipal Code. The Bill basically incorporates changes required by the passage of Public Law Number 56-1988 dealing with economic revitilization areas. It also incorporates the requirement that a petitioner must provide the principal business activity number and description given to the proposed project by the Internal Revenue Service. It is my belief, that this additional information will assist the Common Council when reviewing a petitioner's request for tax abatement. This information would be taken in conjunction with the "Standard Industrial Classification Manual Major Group Number" which has been a requirement of our local procedures for the past several years. It should also be noted that in addition to this Bill being filed, that the forms of petition for both real and personal property, the instruction manual for tax abatement, and the forms of resolution for each type of abatement have also been modified. With the passage of this Bill, all of the local rules and regulations will be in conformity with State law. County-City Building • South Bend, Indiana 46601 • 219/284-9321 • Stephen Luecke Donald Niezgodski William Soderberg Ann Puzzello Linas Slavinskas First District Second District Third District Fourth District Fifth District Thomas Zakrzewski Sean Coleman Loretta Duda John Voorde Kathleen Cekanski-Farrand Sixth District At Large At Large At Large Council Attorney • I look forward to discussing this with you in greater detail at our next meeting of the Human Resources and Economic Development Committee. Thank you. Sincerely, Stephen Luecke, Chairman Human Resources and Economic Development Committee KCF:srk Attachment