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HomeMy WebLinkAboutBill No. 23-35 Declaratory Resolution 1202 Lafayette 10 yr. Real Property Tax Abatement KCG Company • ftf CITY OF SOUTH BENu �� = Filed in Clerk's Office COMMUNITY INVESTMENT JUN 2 1 2023 June 21, 2023 DAWN M.JONES CITY CLERK,SOUTH BEND,IN Council Member Rachel Tomas Morgan Chairperson, Community Investment Committee South Bend Common Council 4th Floor, County-City Building South Bend, Indiana 46601 RE: Declaratory Resolution: Multi-Family Development Real Property Tax Abatement Petition for KCG Companies, LLC Dear Council Member Tomas Morgan: Please find the enclosed information pertaining to a multi-family development real property tax abatement petition submitted by KCG Companies, LLC, a Florida Limited Liability Company. The petitioner plans to construct a new affordable apartment building at 1202 S. Lafayette Boulevard. This proposed abatement is part of a support package partnering with KCG Companies, which is applying for rental housing tax credits through the Indiana Housing & Community Development Authority(IHCDA). The abatement will go into effect only if this project is chosen by IHCDA in this year's competitive Tax Credit application round. This petition package includes: • Department of Community Investment's summary report • Petition for abatement • Statement of Benefits form (SB-1 / Real Property) • Supporting information The report contains the Department's findings relative to the above-mentioned petition. The petitioner proposes to complete a 50-unit multi-family affordable housing development consisting of 30 one-bedroom and 20 two-bedroom units. Rents would be a mix of 60 percent, 50 percent, and 30 percent of the Area Median Income (AMI)with eight (8) units offering Project-Based Vouchers. A representative from KCG Companies, LLC, will be available to meet with the Committee on Monday, June 26, 2023. If you or any of the other Council members have questions concerning the report or need additional information, please feel free to call me at(574) 235-5838. Sincerely, Erik Glavich Director, Growth and Opportunity EXCELLENCE ACCOUNTABILITY INNOVATION INCLUSION EMPOWERMENT 14005 County-City Building 227W.Jefferson Blvd. South Bend.Indiana 46601 p 574.235.9371 www.southbendin.gov Filed in Clerk's Office BILL NO. 23-35 JUN 2 1 2023 RESOLUTION NO. 5032-23 DAWN M.JONES CITY CLERK,SOUTH BEND,IN A RESOLUTION OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND DESIGNATING CERTAIN AREAS WITHIN THE CITY OF SOUTH BEND, INDIANA, COMMONLY KNOWN AS 1202 South Lafayette Boulevard, South Bend, IN 46624 AN ECONOMIC REVITALIZATION AREA FOR PURPOSES OF A TEN-YEAR (10) REAL PROPERTY TAX ABATEMENT FOR KCG Companies, LLC WHEREAS, a petition for real property tax abatement consideration has been filed with the City Clerk for consideration by the Common Council of the City of South Bend, Indiana, requesting that the areas described as: Key Number: 71-08-13-152-001.000-026 Commonly Known As: 1202 S. Lafayette Boulevard Legal Description: Lots 18& 19 Stulls 1st Key Number: 71-08-13-152-002.000-026 Legal Description: Lot 17&North 44'Lot 16 Stulls 1st Addn be designated as an Economic Revitalization Area under the provisions of Indiana Code 6-1.1- 12.1 et seq. and South Bend Municipal Code Sections 2-76 et seq.; and WHEREAS,petitioner has agreed to and has accepted responsibility to report any changes in the Key Numbers and legal descriptions to the Department of Community Investment and to the Office of the City Clerk; and WHEREAS,the Department of Community Investment has concluded an investigation and prepared a report with information sufficient for the Common Council to determine that the area qualifies as an Economic Revitalization Area under Indiana Code 6-1.1-12.1 et seq. and South Bend Municipal Code Sections 2-76 et seq., and has further prepared maps and plats showing the boundaries and such other information regarding the area in question as required by law; and WHEREAS,the Community Investment Committee of the Common Council has reviewed said report and recommended to the Common Council that the area qualifies as an Economic Revitalization Area. NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of South Bend, Indiana, as follows: SECTION I. The Common Council hereby determines and finds that the Petition for Real Property Tax Abatement and the Statement of Benefits form completed by the Petitioner meet the requirements of Indiana Code 6-1.1-12.1 et seq. for tax abatement. SECTION II. The Common Council hereby determines and finds the following: A. That the description of the proposed redevelopment or rehabilitation meets the applicable standards for such development; B. That the estimate of the value of the redevelopment or rehabilitation is reasonable for projects of this nature; C. That the estimate of the number of individuals who will be employed or whose employment will be retained by the Petitioner can reasonably be expected to result from the proposed described redevelopment or rehabilitation; D. That the estimate of the annual salaries of those individuals who will be employed or whose employment will be retained by the Petitioner can be reasonably expected to result from the proposed redevelopment or rehabilitation; E. That the other benefits about which information was requested are benefits that can be reasonably expected to result from the proposed described redevelopment or rehabilitation; and F. That the totality of benefits is sufficient to justify the requested deduction, all of which satisfy the requirements of Indiana Code 6-1.1-12.1-3. SECTION III. The Common Council hereby determines and finds that the proposed described redevelopment or rehabilitation can be reasonably expected to yield benefits identified in the Statement of Benefits, Sections 1 through 3 of the Petition for Real Property Tax Abatement Consideration and the Memorandum of Agreement between the Petitioner and the City of South Bend, and that the Statement of Benefits form completed by the petitioner, said form being prescribed by the State Board of Accounts, is sufficient to justify the deduction granted under Indiana Code 6-1.1-12.1-3. SECTION IV. The Common Council hereby accepts the report and recommendation of the Community Investment Committee that the area herein described be designated as an Economic Revitalization Area and hereby adopts a Resolution designating the area as an Economic Revitalization Area for purposes of real property tax abatement. SECTION V. The designation as an Economic Revitalization Area shall expire on December 31, 2026. SECTION VI. The Common Council hereby determines that the property owner is qualified for and is granted property tax deduction for a period of ten (10) years as shown by the schedule outlined below as well as the attachment pursuant to Indiana Code 6-1.1-12.1-17. Year 1 - 100% Year 2 - 100% Year 3 - 100% Year 4 - 95% Year 5 - 95% Year 6 - 90% Year 7 - 90% Year 8 - 85% Year 9 - 80% Year 10 - 75% SECTION VII. The Common Council directs the City Clerk to cause notice of the adoption of this Declaratory Resolution for Real Property Tax Abatement to be published pursuant to Indiana Code 5-3-1 and Indiana Code 6-1.1-12.1-2.5, said publication providing notice of the public hearing before the Common Council on the proposed confirming of said declaration. SECTION VIII. This Resolution shall be in full force and effect from and after its adoption by the Common Council and approval by the Mayor. Sharon McBride, Council President South Bend Common Council Attest: Dawn M. Jones, City Clerk Office of the City Clerk Presented by me, the undersigned Clerk of the City of South Bend, to the Mayor of the City of South Bend, Indiana, on the day of , 2023, at o'clock .m. Dawn M. Jones, City Clerk Office of the City Clerk Approved and signed by me on the day of ,2023, at o'clock .m. James Mueller, Mayor City of South Bend r Clerk's Office N, 21 2023 N M.JONES ,SOUTH BEND,IN TAX ABATEMENT REPORT TO: South Bend Common Council FROM: Erik Glavich, Director, Growth and Opportunity SUBJECT: Multi-Family Development Real Property Tax Abatement for KCG Properties, LLC DATE: June 21, 2023 On June 20, 2023, a petition for tax abatement was filed by KCG Companies, LLC, for a low- income housing project that will be located at 1202 S. Lafayette Boulevard in South Bend. Pursuant to Chapter 2, Article 6, Section 2-84.9 of the Municipal Code of the City of South Bend, the petition was referred to the Department of Community Investment for purposes of investigation and preparation of a report determining whether the area qualifies as an Economic Revitalization Area pursuant to Indiana Code 6 1.1-12.1 and all zoning requirements have been met. The Department of Community Investment has reviewed the petitions (a copy of each is attached), investigated the area, and makes the following report. Project Summary • Founded in 2015, KCG Companies, LLC (KCG) is an Indianapolis-based developer, builder, and manager of affordable housing. • KCG is proposing a 50-unit multi-family affordable housing development consisting of 30 one-bedroom and 20 two-bedroom units. Rents will be a mix of 60 percent, 40 percent and 30 percent of the Area Median Income (AMI)with eight units offering Project-Based Vouchers. • KCG is competing for Low Income Housing Tax Credits (LIHTC)with the Indiana Housing & Community Development Authority (IHCDA). Project completion is contingent upon receiving a satisfactory LIHTC award. • Currently the site is an empty lot owned by the City of South Bend. If the project proceeds, KCG has committed to spending $12.5 million to develop this lot. Employment Impact • Upon completion of the project, KCG will create one (1)full-time position with an estimated annual payroll of$40,000. Tax Estimates Due to being a LIHTC project that will increase the availability of affordable rental units within South Bend, a ten-year(10) multi-family real property tax abatement is being sought. • Current taxes are zero—property is owned by the City of South Bend. • Estimated annual taxes after the project's completion: $23,512 • Total estimated taxes during the ten-year(10) abatement period: $268,770 o Estimated taxes being abated during the abatement period: $237,996 o Estimated total taxes to be paid during the abatement period: $30,774 Abatement Qualification 1. A review of the tax abatements previously granted finds that the petitioner has not been granted or is associated with prior South Bend abatements. 2. The property is properly zoned for the proposed project. 3. Taxes on the property have been paid in full. 4. A review of the South Bend Redevelopment designation areas finds that the property is in the River West Development Area. 5. A review of the Tax Abatement Ordinance No. 9394-03 finds that the petitioner qualifies for a ten-year(10) multi-family residential development real property tax abatement under Division 2 (Residential Development Real Property Tax Abatement), Section 2-77 (Multi-Family Residential Developments). 2 10-Year Abatement June 20,2023 KCG Companies, LLC South Bend Portage Township Residential Real Property Tax Abatement Schedule• Type of Dwelling: Multi-Family Residence -50 units- Estimated Project Cost: $12,323,616 New Construction Property Address: 1202 South Lafayette Boulevard Tax Key Number: 71-08-13-152-001.000-026;71-08-13-152-002,000-026 True Tax Value Method: 5%of Total 5%of Total 5%of Total 5%of Total 5%of Total 5%of Total 5%of Total 5%of Total 5%of Total 5%of Total Gross Rent Gross Rent Gross Rent Gross Rent Gross Rent Gross Rent Gross Rent Gross Rent Gross Rent Gross Rent Assessed(AV)and Current Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 True Tax Value(TTV) Land(AV) $ 10,800 $ 10,800 $ 10,800 $ 10,800 $ 10,800 $ 10,800 $ 10,800 $ 10,800 $ 10,800 $ 10,800 $ 10,800 Structure(Structure TTV) - 472,617 486,795 501,399 516,441 531,934 547,892 564,329 581,259 598,697 616,657 Gross TTV 10,800 483,417 497,595 512,199 527,241 542,734 558,692 575,129 592,059 609,497 627,457 Abatement 100% 100% 100% 95% 95% 90% 90% 85% 80% 75% Abatement Deduction (472,617) (486,795) (501,399) (490,619) (505,337) (493,103) (507,896) (494,070) (478,957) (462,493) Net TTV 10,800 10,800 10,800 10,800 36,622 37,397 65,589 67,233 97,989 130,539 164,964 Property Taxes Assume constant tax rate of 5.2897% Gross Tax(Tax Rate x Net TTV) 571 571 571 571 1,937 1,978 3,469 3,556 5,183 6,905 8,726 Local Tax Credit(8.7112%of GT-DS) (46) (46) (46) (46) (156) (159) (279) (286) (417) (556) (703) Circuit Breaker Credit (158) - - - - - - - - - - Taxes Due $ 367 $ 525 $ 525 $ 525 $ 1,781 $ 1,819 $ 3,190 $ 3,270 $ 4,766 $ 6,349 $ 8,023 3% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% Circuit Breaker Cap 324 197,394 197,394 197,394 197,394 197,394 197,394 197,394 197,394 197,394 197,394 Debt Service(0.3997%of Net TTV) 43 43 43 43 146 149 262 269 392 522 659 Max Tax Under the Cap 367 197,437 197,437 197,437 197,540 197,543 197,656 197,663 197,786 197,916 198,053 Year Abatement Total Tax Net Taxes Taxes Abated Liability Paid 1 100% $ 23,512 $ (22,987) $ 525_ 2 100% 24,202 (23,676) 525 3 100% 24,912 (24,387) 525' 4 95% 25,644 (23,862) 1,781 5 95% 26,397 (24,578) 1,819 6 90% 27,173 (23,983) 3,190 7 90% 27,973 (24,703) 3,270 8 85% 28,796 (24,030) 4,766 9 80% 29,644 (23,295) 6,349 10 75% 30,518 (22,494) 8,023 Total: 268,770 (237,996) 30,774 *This schedule is for estimation purposes only and assumes constant tax rates equal to those for 2022 Payable 2023. '. ''Tik, : Department of Community Investment The true tax values will ultimately be determined by the actual assessed valuation and the then-current tax rates. City of south Bend City of South Bend :Instructions:Complete pags ~t 1d Ft(etJ-•t' r' rk'E Office AND the proper Form SB-1 ijor Petition for Incentives the type ofabatement(rea+ property or personal propefLty) � "- Petition must include a$250 filing fee payable to the City Clerk's Office for which you are applying.' s IiJ! 71 2123 before processing con be complete I General Information Project Name TBD PrbjectNumi`e`r DAWN M.JONES Legal name as registered with ) CT�Y Ut-ERK,SOUTh BEND,IN Secretary of State KCG Companies, LLC (Florida entity) __--.--_ Business structure LLC Company website https://www.kcgcompanies.com/ Proposed Project Information Proposed project address 1202 S. Lafayette Blvd. Parent company name KCG Companies City,State,Zip South Bend, IN 46624 Legal owner Dept.of Redevelopmenl-City of South Bend Site acreage or acreage required 0.92 acres Is the real estate owned or leased? Owned by Dept.of Redevelopment Square feet of facility Approx. 50,500 Ifleased,by whom? N/A Primary Contact Information Primary company contact name Todd Jensen -rule VP of Development- Midwest Address of company contact 9311 N. Meridian St, Ste. 100 Phone (317) 688-1729 City,State,Zip Indianapolis, IN 46260 Email todd.jensen@kcgcompanies.com Senior Official Information Company senior official name RJ Pasquesi Title President Address of company contact Phone (H different from above) 9311 N. Meridian St, Ste. 100 317-708-6519 CIty,State,Zip Indianapolis, IN 46260 Email rj.pasquesi@kcgcompanies.com Consultant Information/Agent Hired business consultant/agent name N/A Consultant release?(Y/N) Address Local economic development partners approval?(Y/N0 City,State,Zip Email Project Overview Brief description of your Founded in 2015,KCG Companies is an Indianapolis-based,developer,builder and manager of company,project,and why the property Is necessary for affordable housing. KCG would like to be part of the solution to address(he affordable housing economic growth shortage in South Bend now&in the future. Please see the attached KCG Resume for additional background on our company. KCG Development is proposing a 50-unit,multifamily affordable housing development consisting of 30 one-bedroom&20 two-bedroom units.Rents would be a mix of 60%,50%&30%of the Area Median Income(AMI)with eight units offering Project-Based Vouchers.The property is currently a vacant parcel. KCG will be competing for Low Income Housing Tax Credits(LIHTC)with the Indiana Housing&Community Development Authority if successful in receiving a satisfactory LIHTC award,KCG would move forward on this project with total development costs currently projected at approximately$12 5MM.Providing quality,affordable housing in the downtown area is crucial to the area's economic growth. Many employees want to live close to their jobs-especially given the high gas prices the last few years.With the loss of hundreds of affordable housing units in the area due to the recent closings of Rabbi Shulman&Monroe Circle Apartments,replacing those units so that residents can continue to Eve and work in the downtown area is important for the local economy. Certified Technology Park appropriate No Is the project lea Tau Incremental Financing (rift area? if so,which? Yes, River West Development Area Have Building Permits been Issued?(V/N) 'Number of residential units created by 50 [Note-Not eligible for abatement if Yes] No project It this Is a petition for personal property tan abatement,has the equipment been installed? Equipment has not been installed. Investment Details Public Infrastructure needs Has any 504 funding been What is the value of any equipment being purchased in What Is the value of any equipment being (Off-site of project In dollars) received? Indiana for the project? purchased from out of state for the project? No NewgctjIDLtments Calendar Year 2022 2023 2024 2025 2026 2027 2028 2029 Land Acquisition $1,000.00 Building Lease Payments Building Purchase Costs New Building Construction S 6081.229 00 S 5,231.5Ot.00$210,886.00 Existing Building Improvements New Machinery&Equipment Special Tooling/Retooling New Furniture/Fixtures $150 000.00 New Computer/IT Hardware • New Software On-site Rail Infrastructure On-she Fiber Infrastructure TOTAL $0.00 $0.00 86,882.229 00 S 5,381.501.00 S 210,866.00 $0.00 $0.00 $0.00 Furl-Time Permanent Indiana-Resident Positions by Calendar Year Calendar Year Jobs retained Hourly Cumulative It of net NEW full time Hourly ftyerBgg wage,w/o Total training Total a to be avcra ea) permanent jobs created at project benefits or bonuses,of expenditure- trained-not :Yip,' "o benefits or cumulative net new jabs not cumulative bonuses cumulative 2023 2024 2025 1 $20.00 $500 2 2026 2027 2028 2029 2030 2031 2032 2033 2039 Provide hourly wage information for new employees in the following positions. Full time Part time Laborers $25.00 Technical Managerial $20.00 Administrative Who will be the individual respons hie for coordinating with WorkOne on recruiting? DeeAnna Woiton, Talent Acquisition Partner Does your company have an EEO hiring policy? Yes Are you an EEO employer? Yes Please list the number of full time and part time minority and/or female Please describe your commitment to employees for the following years: diversity and Inclusion by detailing your outreach and recruitment efforts for the last Year 2023 2022 2021 three years as well as current policies, Full Time Part Time Full Time Part Time Full Time Part Time Black 17 10 5 All postings for positions at Hispanic 9 8 2 KCG inform candidates that Arian 2 1 1 we are looking for the right Indian 1 1 skills and potential,and the evaluation is free from the Female 40 30 16 bias of gender,and race. Other 6 3 I 1 Complete below for Real or Personal Property Tax Abatement only. Please sign for all requested Incentives. Public Benefit Item: Information is required on both the construction companies and the companies which will provide materials purchased for this project. Qualify Please complete the table below with the appropriate information. If Earn_s_Po rits Available Points (Yes or No) '-'"" you qualify for the points,please enter the full amount of available points. 1 Construction Relatedn r 1; A. Employ Local Companies(75%) Yes 20 20 B. Purchase Materials from Local Companies(75%) Yes 20 20 C. Require Employees vs.Independent Contractors Yes 19 19 D. Require Prevailing Wage EValUating 22 E. Require Health Benefits Yes 22 22 F. Require Retirement Benefits Some 9 18 G. Maintain Affirmative Action Plan Yes 20 20 Sub-total Construction Related: 110 141 2 Wggg&Benefit Related Lowe rj: A. Pay Target Wage Levels Yes 33 33 B. Provide Health Benefits Yes,FT emp 34 34 C. Provide Retirement Benefits Yes.FT ems 29 29 D. Provide Training Yes 28 28 E. Provide Child Care No 15 F Provide Transportation Assistance ,,,m.=°•.IA. 14 G. Provide Employer Assisted Housing program No 9 Sub-total Wage&Benefit Related: 124 162 3 Workforce Related: A. Create New Jobs Yes 42 42 B. Retain Existing lobs N/A 41 C. Maintain Affirmative Action Plan Yes 35 35 D. Provide Targeted Hiring Preference 34 Sub-total Workforce Related: 77 152 4 Support_.Municipal Facility: Support a SB Municipal Facility(donations to the A. zoo,conservatory,museum,etc.) No 84 Name of Facility We would like to volunteer annually. I ISub-total Municipal Facility: a 84 Sub-total from Above: 311 539 The undersigned owner(s)of real property,located within the City of South Bend,herby petition the Common Council of the City of South Bend for a real and/or personal property tax abatement consideration and pursuant to I.C.,6-1.1-12.1-1,et seg.,and South Bend1Municipal Coag Sec.2-76 et seq.,for this petition state the above. I Submitted By: I ,...:.2-�-eit 'N5:.„)._,-- Date: 6/19/2023 Filed in Clerk's =y�4, STATEMENT OF BENEFITS 2023 PAY2024 JUN REAL ESTATE IMPROVEMENTS 2 U FORM SB-1/Real Property yio. ' Prescribed by the Department of Local Government Flna[ iiI7 DAWN M.JONITY CLER PRIVACY NOTICE This statement is being completed for real property that qualifies under WIovrin -fndtana-Coe. Any information concerning the cost IDRedevelopment or rehabilitation of real estate improvements(IC 6-1.1-12.1-4) of the properly and specific salaries paid to individual employees by the iEl Residentially distressed area(IC 6-1.1-12.1-4.1) roperty owner is confidential per I'C 6.1 f-12 1-s.1. INSTRUCTIONS.• 1. This statement must be submitted to the body designating the Economic Revitalization Area prior to the public hearing if tire designating body requires information from the applicant in making its decision about whether to designate an Economic Revitalization Area. Otherwise,this statement must be submitted to the designating body BEFORE the redevelopment or rehabilitation of real property for which the person wishes to claim a deduction. 2. The statement of benefits form must be submitted to the designating body and the area designated an economic revitalization area before the initiation of the redevelopment or rehabilitation for which the person desires to claim a deduction. 3. To obtain a deduction,a Form 322/RE must be filed with the county auditor before May 10 in the year in which the addition to assessed valuation is made or not later than thirty(30)days after the assessment notice is mailed to the property owner if it was mailed after April 10. A property owner who failed to file a deduction application within the prescribed deadline may file an application between January 1 and May 10 of a subsequent year 4. A property owner who files for the deduction must provide the county auditor and designating body with a Form CF-1/Real Property The Form CF-1/Real Property should be attached to the Form 322/RE when the deduction is first claimed and then updated annually for each year the deduction is applicable. IC 6-1.1-12.1-5.1(b) 5. For a Form SB-1/Real Property that is approved after June 30, 2013, the designating body is required to establish an abatement schedule for each deduction allowed. For a Form SB-1/Real Property that is approved prior to July 1, 2013, the abatement schedule approved by the designating body remains in effect. iC 6-1.1-12.1-17 SECTION 1 TAXPAYER INFORMATION Name of taxpayer KCG Companies, LLC Address of taxpayer Number and Street: 9311 N. Meridian St, Ste. 100 City: Indianapolis State: IN ZIP: 46260 Name of contact person Telephone number E-mail address First Name..Todd Last Name: Jensen (317) 688-1729 1,,1;or san:'ry4,:3,caipanlos.cor, SECTION 2 LOCATION AND DESCRIPTION OF PROPOSED PROJECT Name of designating body Resolution number Common Council of the City of South Bend Location of property County DLGF taxing district number NumbersndStreet: 1202 S Lafayette Blvd. City,South Bend State: IN zlf,46624 St. Joseph 026(South Bend-Portage) Description of real property Improvements,redevelopment,or rehabilitation(use additional sheets i(necessary) Estimated start date(month,day,year) KCG Development is proposing a 50-unit, multifamily affordable housing 5/1/2024 development consisting of 30 one-bedroom & 20 two-bedroom units. Estimated completion date(month,day yea„ 8/1/2025 SECTION 3 ESTIMATE OF EMPLOYEES AND SALARIES AS RESULT OF PROPOSED PROJECT Current Number 0 Salamis$ 0 Number Retained O Satanes $ 0 Number Additional 1 Salaries$ 40,000 SECTION 4 ESTIMATED TOTAL COST AND VALUE OF PROPOSED PROJECT REAL ESTATE IMPROVEMENTS COST ASSESSED VALUE Current values $o $ Pius estimated values of proposed project $12,323,616 $472,617 Less values of any property being replaced $o $ Net estimated values upon completion of project $12,323,616 $472,617 SECTION 5 WASTE CONVERTED AND OTHER BENEFITS PROMISED BY THE TAXPAYER Estimated solid waste converted(pounds) 0 Estimated hazardous waste converted(pounds) 0 Other benefits SECTION 6 TAXPAYER CERTIFICATION I hereby certify that the representations in this statement are true. Signature of authorized representative , p' Dale signed(month,day,year) �� 6/20/2023 Printed name of authorized representative Title Todd Jensen Vice President of Development-Midwest Page 1 of 2 FOR USE OF THE DESIGNATING BODY We find that the applicant meets the general standards in the resolution adopted or to be adopted by this body. Said resolution,passed or to be passed under IC 6-1.1-12.1,provides for the following limitations: A. The designated area has been limited to a period of time not to exceed calendar years'(see below). The date this designation expires is . NOTE:This question addresses whether the resolution contains an expiration date for the designated area. B. The type of deduction that is allowed in the designated area is limited to: 1.Redevelopment or rehabilitation of real estate improvements ❑Yes LI No 2.Residentially distressed areas El Yes D No C. The amount of the deduction applicable is limited to$ D, Other limitations or conditions(specify) E. Number of years allowed: El Year 1 ❑Year 2 El Year 3 ❑Year 4 ❑ Year 5 ('see below) ❑Year 6 ❑Year 7 ❑Year 8 ❑Year 9 ❑Year 10 F. For a statement of benefits approved after June 30,2013,did this designating body adopt an abatement schedule per IC 6-1.1.12.1-17? ❑Yes El No If yes,attach a copy of the abatement schedule to this form. If no,the designating body is required to establish an abatement schedule before the deduction can be determined. We have also reviewed the information contained In the statement of benefits and find that the estimates and expectations are reasonable and have determined that the totality of benefits is sufficient to justify the deduction described above. Approved(signature and title of authorized member of designating body) Telephone number Date signed(month.day,year) ( ) Printed name of authorized member of designating body Name of designating body Attested by(signature and title of attester) Printed name of attester •If the designating body limits the time period during which an area is an economic revitalization area,that limitation does not limit the length of time a taxpayer Is entitled to receive a deduction to a number of years that is less than the number of years designated under IC 6-1.1-12.1-17. A. For residentially distressed areas where the Form SB-1/Real Property was approved prior to July 1,2013,the deductions established In IC 6-1.1-12.1-4.1 remain in effect.The deduction period may not exceed five(5)years. For a Form SB-1/Real Property that Is approved after June 30, 2013,the designating body Is required to establish an abatement schedule for each deduction allowed. Except as provided in IC 6-1.1-12.1-16,the deduction period may not exceed ten(10)years. (See IC 6-1.1-12.1-17 below.) B. For the redevelopment or rehabilitation of real property where the Form SB-1/Real Property was approved prior to July 1,2013,the abatement schedule approved by the designating body remains In effect.For a Form SB-1/Real Property that is approved after June 30,2013,the designating body is required to establish an abatement schedule for each deduction allowed.(See IC 6-1.1-12.1-17 below.) IC 6-1.1-12.1-17 Abatement schedules Sec.17.(a)A designating body may provide to a business that is established In or relocated to a revitalization area and that receives a deduction under section 4 or 4.5 of this chapter an abatement schedule based on the following factors: (1) The total amount of the taxpayer's investment in real and personal property. (2) The number of new full-time equivalent jobs created, (3) The average wage of the new employees compared to the state minimum wage. (4) The Infrastructure requirements for the taxpayer's investment. (b)This subsection applies to a statement of benefits approved after June 30,2013. A designating body shall establish an abatement schedule for each deduction allowed under this chapter. An abatement schedule must specify the percentage amount of the deduction for each year of the deduction. Except as provided In IC 6-1.1-12.1-18,an abatement schedule may not exceed ten(10)years. (c)An abatement schedule approved for a particular taxpayer before July 1,2013,remains in effect until the abatement schedule expires under the terms of the resolution approving the taxpayer's statement of benefits. 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