HomeMy WebLinkAboutConfirming Tax Abatement - DSM Holdings, LLC d/b/a Deluxe Sheet Metal 6661 Lonewolf Ct. (10 Year Real Property)Attest:
RESOLUTION
NO. 2905 -00
Passed by the Common Council of the City of South Bend, Indiana
July 10,
00
20_.
Presented by me to the Mayor of the City of South Bend, Indiana
July 11,
11
Approved and signed by me July 11,
City Clerk
President of Common Council
20 00
City Clerk
11.`- ..
RESOLUTION NO. 2� I 0 S - 0-�
A RESOLUTION CONFIRMING THE ADOPTION OF A DECLARATORY
RESOLUTION DESIGNATING CERTAIN AREAS WITHIN THE CITY OF
SOUTH BEND, INDIANA, COMMONLY KNOWN AS
6661 LONEWOLF COURT
TO BE AN ECONOMIC REVITALIZATION AREA FOR
PURPOSES OF A TEN (10) YEAR REAL
PROPERTY TAX ABATEMENT FOR
DSM HOLDING, LLC (dba DELUXE SHEET METAL)
WHEREAS, the Common Council of the City of South Bend, Indiana, has adopted a
Declaratory Resolution designating certain areas within the City as Economic Revitalization
Areas for the purpose of tax abatement consideration; and
WHEREAS, a Declaratory Resolution designated the area commonly known as 6661
Lonewolf Court, South Bend, Indiana, and which is more particularly described as follows:
That part of the Northeast & Southeast Quarters of Section 19, Township 38 North, Range
2 East, German Township, City of South Bend, St. Joseph County, Indiana.
and which has Key Number 25 -1011 -0610 , as an Economic Revitalization Area; and
WHEREAS, notice of the adoption of a Declaratory Resolution and the public hearing
before the Council has been published pursuant to Indiana Code 6 -1.1- 12.1 -2.5; and
WHEREAS, the Council held a public hearing for the purposes of hearing all
remonstrances and objections from interested persons; and
WHEREAS, the Council has determined that the qualifications for an economic
revitalization area have been met.
NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of South
Bend, Indiana, as follows:
SECTION I. The Common Council hereby confirms its Declaratory Resolution designating the
area described herein as an Economic Revitalization Area for the purposes of tax abatement.
Such designation is for Real property tax abatement only and is limited to two (2) calendar years
from the date of adoption of the Declaratory Resolution by the Common Council.
SECTION II. The Common Council hereby determines that the property owner is qualified for
and is granted Real property tax deduction for a period of ten (10) years, and further determines
that the petition complies with Chapter 2, Article 6, of the Municipal Code of the City of South
Bend and Indiana Code 6- 1.1 -12 et sea.
SECTION III. This Resolution shall be in full force and effect from and after its adoption by the
Common Council and approved by the Mayor.
PRESENTED -1
NOT APPROVED
ADOPTED � -l0 "6b
Q
Member of the Common C unc 1
Filed In Clerk's Office
JUN 2 2000
LORETTBe S. OudSPa
C" CLERK, 80. DEnD,
1200 COUNTY-CITY BUILDING
SOUTH BEND, INDIANA 46601 -1830
CITY OF SOUTH BEND STEPHEN J. LUECKE, MAYOR
COMMUNITY & ECONOMIC DEVELOPMENT
JON R. HUNT ANN E. KOLATA
EXECUTIVE DIRECTOR DEPUTY EXECUTIVE DIRECTOR
TAX ABA TEMENT REPORT
TO: SOUTH BEND COMMON COUNCIL
FROM: CASSANDRA MORAN
SUBJECT: REAL PROPERTY TAX ABATEMENT PETITION FOR:
DSM HOLDING, LLC (dba DELUXE SHEET METAL)
6661 LONEWOLF COURT
DATE: June 20, 2000
PHONE 219/235 -9371
FAX 219/235 -9021
TDD 219/ 235 -5567
On June 12, 2000, a petition for real property tax abatement
consideration for property located at 6661 Lonewolf Court was filed
with the City Clerk by DSM Holding, LLC (dba Deluxe Sheet Metal) .
Pursuant to Chapter 2, Article 6, Section 2 -77 of the Municipal Code
of the City of South Bend, this petition was referred to the Department
of Community and Economic Development for purposes of investigation and
preparation of a report determining whether the area qualifies as an
Economic Revitalization Area pursuant to I.C.6 -1.1 -12.1 and whether all
zoning requirements have been met.
The Department of Community and Economic Development has reviewed
the petition (a copy of which is attached), investigated the area and
makes the following report.
PROJECT SUMMARY
Deluxe Sheet Metal was established in 1971 and has grown from a
two car garage to a thriving business. DSM has a fabricating shop
for the manufacture of ductwork along with specialty metal
fabrication. The petitioner is proposing to construct a 47,000 sq ft
building on 4.28 acres of land. The total estimated cost of the
building is $2,575,200. Deluxe Sheet Metal has grown beyond their
REDEVELOPMENT BUSINESS ASSISTANCE
FINANCIAL & PROGRAM
BUREAU OF HOUSING
PLANNING & NEIGHBORHOOD
ANN E. KOLATA & DEVELOPMENT
MANAGEMENT
KATHRYN BAUMGARTNER
DEVELOPMENT
219/235 -9371 DONALD E. INKS
ELIZABETH LEONARD
521 ECLIPSE PLACE
PAMELA C. MEYER
219/235 -9335
219/235 -9335
219/235 -9475
219/235 -9660
FAX: 219/235 -9469
FAX: 219/235 -9697
South Bend Common Council
RE: Tax Abatement for DSM Holding, LLC (dba Deluxe Sheet Metal)
June 20, 2000
Page 2
current capacity and are continuing to grow. The project will allow
for expansion capabilities for current and future needs.
EMPLOYMENT IMPACT
Per the petitioner, four (4) new jobs will be created the first
year, representing a new annual payroll of $194,100 and will
maintain fifty -seven (57) existing permanent full time jobs and one
(1)part -time job with an annual payroll of $4,536,000.
ABATEMENT QUALIFICATION
1. A review of the tax abatements previously granted finds that the
petitioner has not been granted 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 Economic Development
Area, which is a Tax Incremental Allocation Area, therefore, the
petition for real property tax abatement must first be approved by
the South Bend Redevelopment Commission.
4. A review of the Tax Abatement Ordinance (no. 8065 -90) finds that
the petitioner meets the qualifications for a ten year real
property tax abatement under Section 2 -82 (Industrial Development
City- Wide).
Filed lin Clerk's Office
EJUN0 2000
LORETTA J. DUDA
CRY CLERK, SO. BEND. W.
Tax Abatement Schedule prepared for: 13- Jun -00
DSM HOLDING. LLC (dba DELUXE SHEET METAL)
South Bend German Township 10 Year Real Property Abatement Schedule"
Total estimated Project Cost:
$2,575,200
Base Assessed Value:
$858,400
(for base assessed value - assume
1/3 project cost)
Assume constant tax rate of
17.6558
Assume constant SRTC of
15.6145
Assessed Gross
Less
Net
Percent
Tax
Tax
Year Value Tax
SRTC
Tax
Abated
Abated
Paid
1 $858,400 $151,557
$23,665
$127,892
100%
$127,892
$0
2 858,400 151,557
23,665
127,892
95%
121,498
6,395
3 858,400 151,557
23,665
127,892
80%
102,314
25,578
4 858,400 151,557
23,665
127,892
65%
83,130
44,762
5 858,400 151,557
23,665
127,892
50%
63,946
63,946
6 858,400 151,557
23,665
127,892
40%
51,157
76,735
7 858,400 151,557
23,665
127,892
30%
38,368
89,525
8 858,400 151,557
23,665
127,892
20%
25,578
102,314
9 858,400 151,557
23,665
127,892
10%
12,789
115,103
10 858,400 151,557
23,665
127,892
5%
6,395
121,498
$1,278,925
$633,068
$645,857
Total Taxes Due During Abatement:
$1,278,925
Total Taxes Abated During Abatement:
$633,068
Total Taxes Paid During Abatement:
$645,857
- This schedule is for estimation purposes only and assumes constant tax rates.
The true tax values will ultimately be determined by the actual
assessed valuation and the then current tax rates.
FEad In Clerk's Office
JUN 2 1 2000
LOST MA J. OOM
COPY OLEM, 60. BEND, IN,