HomeMy WebLinkAboutAmending Chapter 2 Entitled Tax AbatementORDINANCE No. 6763 -80
Passed by the Common Council of the City of South Bend, Indiana.
ril 14, rq 80
Ir City Clerk
IRENE K. GAMMON
Of Common Council
Presented by me to the Mayor of the City of South Bend, Ind'ana
Approved and signed by
April 15 rg 80
City Clerk
IRENE K. GAMMON
U
ORDINANCE 2130. 6763-80
AN ORDINANCE A'lENDING CHAPTER 2 OF THE MUNICIPAL
CODE OF THE CITY OF SOUTH BEND, INDIANA, BY THE
INCLUSION OF NEW ARTICLE 6 ENTITLED TAX ABATEMENT
STATEMENT OF PURPOSE AND INTENT
The Common Council of the City of South Bend recognizes
the need to stimulate growth within its corporate limits.
The Council further recognizes that incentives to locate
in underutilized or bypassed land would be in the City's best
interest.
Therefore, as a means of creating a mechanism for filing tax
abatement petitions with.the City, the following bill is introduced.
NOW, THEREFORE, BE IT ORDAINED by the Common Council for
the City of South Bend, Indiana, as follows:
SECTION I. Chapter 2, Article 6 of the Municipal Code of
the City of South Bend, Indiana, shall read in its entirety as
follows:
ARTICLE 6. Tax Abatement Procedures.
SEC. 2 -76. Tax Abatement Petition Required.
(a) The owner or owners of property which is located within the
City shall petition the Common Council for tax abatement consideration
by filing a petition with the City Clerk including the following
information:
(1) the names or names and addresses of the property owners
and any other persons intending to lease or having an option to buy
such property;
(2) the legal description and commonly known address of the
property for which tax abatement is being petitioned;
(3) a map designating the area in question for consideration;
(4) the assessed value of the improvement before rehabilitation
or redevelopment;
(5) pictures of the area in question taken at least two (2)
weeks within the filing of the petition;
(6) a statement verifying that on the area in question conditions
exist which cannot be corrected by regulatory process, or by the
ordinary operations of private enterprise, without resorting to tax
abatement; or
(7) that the area in question has been bypassed or underutilized
due to economic circumstances which have deterred normal development;
(8) a statement describing how the public health and welfare
will be benefited by this particular rehabilitation or redevelopment;
(9) a statement verifying that the
undesirable for or impossible for normal
a cessation of growth, deterioration of
occupancy, age, obsolesence, substandard
which have impaired values and prevent a
property or property use;
area in question has become
development, has experienced
improvements or character of
buildings, and other factors
normal development of the
(10) a statement verifying that the project would not occur
within the City without tax abatement; and
(11) a statement indicating the number of new permanent jobs
which will be created by the project.
SEC. 2 -77. Referral of Petition /Adoption of Declaratory Resolution.
(a) Upon the filing of a petition pursuant to Section 2- 76(a),
the same shall be referred to the Redevelopment Commission for purposes
of investigation and preparation of a report determining whether the
area qualifies as an Urban Development Area under Indiana Code 6- 1.1- 12.1 -1,
and the preparation of such other information as contained in Indiana
Code 18- 7 -7 -12. Within thirty (30) days, the Redevelopment Commission
shall submit the report of its investigation and finding to the Human
Resources and Economic Development Committee of the Common Council for
review and recommendation to the Common Council.
(b) The Human Resources and Economic Development Committee of the
Council, after examination and review of said report,shall submit its
recommendation to the Common Council as to whether the area qualifies
as an Urban Development Area under Indiana Code 6 -1.1- 12.1 -1. The
Council upon accepting the report and recommendation of the Committee
recommending designation of the area as an Urban Development Area
may adopt a declaratory resolution including the general boundaries of
the area to be designated an urban development area. Upon adoption
of the declaratory resolution by the Council, said resolution,
together with supporting data, shall be submitted to the Area Plan
Commission. Within thirty (30) days the Area Plan Commission shall
send its written order approving or disapproving the declaratory
resolution•to the Council.
(c) Upon receipt of the report of the Area Plan Commission, the
City Clerk shall cause notice of the adoption of the declaratory
resolution to be published pursuant to Indiana Code 18- 7 -7 -14 said
publication providing notice of the public hearing before the Council
to be held not less than ten (10) days after the date of such last
publication.
(d) At the public hearing on the declaratory resolution, the
Council will hear remonstrances and objections from persons interested
in or affected by the proceedings pertaining to the proposed project
and the Council will determine the public utility and benefit of the
project. In making such determinations, the Council will consider the
following criteria:
1. Whether the project can take place without the added
incentive of tax abatement.
2. Whether the project is to occur upon underutilized
or bypassed land, or
3. Whether the project will provide new permanent jobs, or
4. Whether there will be an expansion of the property tax base,
or
5. Whether rehabilitation, if contemplated, will replace or
improve obsolete or deteriorated structure(s), or
6. Whether there is compliance with the statutory "undesirable
for normal development" criterion.
(e) Any project on which the Common Council has adopted a
declaratory resolution designating it as a tax abatement area which
does not receive a building permit within one (1) year of the
adoption of said resolution shall be null and void.
-2-
(f) All other procedures for filing for tax abatement shall be
consistent with Indiana Code 6- 1.1- 12.1 -1 thru Indiana Code
6.1 -1- 12.1 -6, as it may be amended from time to time.
SECTION II. This ordinance shall be in full force and effect
from and after its passage by the Common Council of the City of
South Bend, Indiana, approval by the Mayor, and J1.egal publication.
r oXf the Common Council
Passed, as amended, April 14, 1980
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Your Committee Human Resources and Economic Development
to whom was referred Bill No. 19 -80 - Tax Abatement
Respectfully report that they have examined the matter and that in their opinion they request your favorable
acceptance and ask that you set for public hearing on April 14 the amended
version of the "tax abatement ", Bill No. 19 -80.
The amended version is the product of the joint efforts of the Mayor; City
Attorney, Rich Hill; Deputy Attorney, Jim Masters; South Bend Redevelopment
staff, Carl Ellison and Ann Kolata; Council Attorney, Kathy Cekanski- Farrand;
this Committee and its citizen members Marc Brammer and Christopher Davey.
While this bill is seen primarily as a tool to provide incentive for econom-
ic development it recognizes the need for and allows residential investment.
The bill creates a standard procedure for filing tax abatement petitions and
establishes specific criteria to be used in evaluating them.
The "case by case" method of evaluation with referal to the Redevelopment
Commission and the Area Plan Commission satisfies the State law requirement
for investigation of petitions, while protecting the City's property tax
base. The bill further allows the City a modicum of flexibility in deter -
ming the nature and direction of its growth.
As Committee Chairman, I sincerely thank the Administration for its coopera-
tion with the Council in formulating a bill I feel is most certainly in
the best interest of this community.
Chairman
John Voorde
FREE PRESS PUBLISHING CO.
Tontutnut , Irp:,art
GO #lie Tomrnon Mounfcil of t4f alftn of *Ord# j.9fnd:
Your Committee OF THE WHOLE
to whom was referred
A BILL AMENDING CHAPTER 2 OF THE MUNICIPAL CODE
OF THE CITY OF SOUTH BEND, INDIANA, BY THE INCLUSION
OF NEW ARTICLE 6 ENTITLED TAX ABATEMENT.
Respectfully report that they have examined the matter and that in their opinion THIS BILL SHOULD BE RECOMMENDED
TO THE COUNCIL FAVORABLE, AS AMENDED:
Substitute new amended bill.
amend Sec. 2 -77 (b), second line change may to "shall"
WALTER M. SZYMKOWIAK
Chairman
FREE PRESS PUBLISHING CO.