HomeMy WebLinkAboutLOIT - (local option income tax)RESOLUTION
3979-09
Passed by the Common Council of the City of South Bend, lndiana
July 13, 09
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Attest:
Presented by me to the Mayor of the City of South Bend, Indiana
July 14, 2g9
City Clerk
President of Common Council
Approved and signed by me ~! u 1 y 14, 20 0 9
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City Clerk
RESOLUTION NO. 3 ~ 1 ~ _~ 1
A RESOLUTION OF THE COMMON COUNCIL OF THE CITY OF SOUTH
BEND, INDIANA, PROPOSING AND VOTING IN FAVOR OF AN ORDINANCE
OF THE ST. JOSEPH COUNTY INCOME TAX COUNCIL IMPOSING A
PROPERTY TAX RELIEF LOCAL OPTION INCOME TAX
WHEREAS, the Common Council of the City of South Bend, Indiana recognizes
that property tax relief is in the public interest of the City of South Bend, Indiana; and
WHEREAS, the Indiana General Assembly recently authorized local
governments to impose a property tax relief local option income tax for the purpose of
providing local property tax replacement credits at a uniform rate to all taxpayers in the
City of South Bend, St. Joseph County, Indiana (I.C. § 6-3.5-6-32(f)(1)); and
WHEREAS, it is in the best interest of the City of South Bend to adopt a property
tax relief local option income tax for the purpose of providing local property tax relief
credits at a uniform rate to all taxpayers in the City of South Bend, St. Joseph County,
Indiana.
NOW, THEREFORE, BE IT RESOLVED BY THE COMMON COUNCIL OF
THE CITY OF SOUTH BEND, INDIANA, as follows:
SECTION I. The Common Council of the City of South Bend, Indiana, proposes
and casts its 40.59 votes in favor of the following Ordinance of the St. Joseph County
Income Tax Council:
AN ORDINANCE OF THE INCOME TAX COUNCIL
OF ST. JOSEPH COUNTY, INDIANA IMPOSING A
PROPERTY TAX RELIEF LOCAL OPTION
INCOME TAX IN ST. JOSEPH COUNTY, INDIANA
STATEMENT OF PURPOSE AND INTENT
The St. Joseph County Income Tax Council
(Council) acknowledges that property tax relief is in the
public interest of St. Joseph County, Indiana citizens. The
Indiana legislature in 2007 provided a mechanism under
Ind. Code § 6-3.5-6-32 (amended in 2008) to grant property
tax relief by imposing an income tax, the revenue from
which is available for local property tax replacement credits
at a uniform rate to all taxpayers in the County. The
Council also acknowledges that some taxpayers in St.
Joseph County, Indiana who do not pay -the tax rate
imposed by this ordinance will receive a property tax
replacement credit that is funded with tax revenue from the
tax rate under this Section. Nonetheless, the effect of this
ordinance is beneficial to all St. Joseph County citizens
who will have overall reduced property taxes.
The St. Joseph County Tax Council determines the
best estimate of the property tax credits to be provided to
all property taxpayers as a result of this ordinance is as
follows:
Homesteads: $11,517,000.00
Other residential property: $3,465,000.00
Industrial property: $1,803,000.00
Agricultural property: $320,000.00
Commercial property: $6,102,000.00
NOW, THEREFORE, BE IT ORDAINED BY THE
ST. JOSEPH COUNTY, INDIANA INCOME TAX
COUNCIL, as follows:
SECTION I. The St. Joseph County Indiana
Income Tax Council hereby imposes a property tax relief
local option income tax (LOIT) at the rate of One Half
Percent (0.5%) pursuant to ~ Ind. Code § 6-3.5-6-32 for the
purpose of providing local property tax replacement credits
at a uniform rate to all taxpayers in St. Joseph County,
Indiana, as provided by I.C. 6-3.5-6-32(f)(1).
SECTION II. The St. Joseph County Indiana
Income Tax Council also acknowledges that some
taxpayers in St. Joseph County who do not pay the tax rate
imposed by this ordinance will receive a property tax
replacement credit that is funded with tax revenue from the
tax rate under this Section.
SECTION III. If any portion of this Ordinance is
declared to be unconstitutional or invalid for any reason,
such determination shall not affect the remaining portions
of this Ordinance.
SECTION IV. This Ordinance shall be in full force
and effect from and after October 1, 2009 upon its passage
by the St. Joseph County, Indiana, Income Tax Council.
******
SECTION II. This Resolution shall be in full force and effect from and after its
adoption by the Common Council and approval by the Mayor.
tuber, South Bend Common Council
PRESENTED ~ -'~ ~ ~~ y
rVOT AFPROVFt3
~CDOPTED -~ _ t3 - a ~i
Filed fn Clerk's Offlce
auc~ ~ o Dg
JOHN VOOPDE
Cll'Y CLE?~K, S0. BEND, IN.
TO THE COMMON COUNCIL OF THE CITY OF SOUTH BEND:
Your Committee of the Whole, to whom was referred:
BILL NO.
09-49 A RESOLUTION OF THE COMMON COUNCIL OF THE
CITY OF SOUTH BEND, INDIANA PROPOSING AND
VOTING IN FAVOR OF AN ORDINANCE OF THE ST.
JOSEPH COUNTY INCOME TAX COUNCIL IMPOSING A
PROPERTY TAX RELIEF LOCAL OPTION INCOME TAX
Respectfully report that they have examined the matter and that in their opinion,
this bill is being recommended to the full Council with no recommendation due to
wanting the public hearing heard at the evening Council meeting.
Ann Puzzello
Chairperson, Committee of the Whole