09-27-10 Common Council Meeting Minutes

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REGULAR MEETING SEPTEMBER 27, 2010 c. That the estimate of the annual salaries of those individuals that will be employed or whose employment will be retained by the Petitioner can be reasonably expected to result from the proposed installation of new manufacturing equipment; d. Any other benefits about which information was requested are benefits that can be reasonably expected to result from the proposed new manufacturing equipment; and e. The totality of benefits is sufficient to justify the deduction requested. SECTION II. The Common Council hereby determines and finds that the proposed new manufacturing equipment can be reasonably expected to yield the benefits identified in the Statement of Benefits as set forth in Sections 1 through 3 of the Petition for Personal Property Tax Abatement Consideration and that Statement of Benefits form completed by the petitioner, said form being prescribed by the State Board of Accounts, are sufficient to justify the deduction granted under Indiana Code 6-1.1-12.1-4.5. SECTION III. The Common Council hereby accepts the report and recommendation of the Department of Community and Economic Development, and the Community and Economic Development Committee's favorable recommendation, that the area herein described be designated as an Economic Revitalization Area for purposes of personal property tax abatement and hereby makes such a designation. SECTION IV. The Common Council determines that such designation is for personal property tax abatement only and shall be limited to two (2) calendar years from the date of the adoption of this Resolution by the Common Council. SECTION V. The Common Council hereby determines that the property owner is qualified for and is granted property tax deduction for a period of (5) five years. SECTION VI. The Common Council directs the City Clerk to cause notice of the adoption of this Declaratory Resolution for Personal Property Tax Abatement to be published pursuant to Indiana Code 5-3-1, said publication providing notice of the public hearing before the Common Council on the proposed confirming of said declaration. SECTION VII. This Resolution shall be in full force and effect from and after its adoption by the Common Council and approval by the Mayor. s/Derek D. Dieter Member of the Common Council Mr. Jim Tuesley, Attorney for Steel Warehouse, advised that this abatement request for personal property at 2722 W. Tucker Drive involves the acquisition of equipment for manufacturing, servicing, processing and material handling of steel and steel products, having a total cost expected to be from $1,000,000 to $2,500,000. The acquisition will enable the company to add capacity and modernize its existing manufacturing equipment and facilities at this location. Mr. Tuesley noted that depending on the final value of the equipment to be procured total taxes to be abated during the five (5) year abatement period are estimated to be between $6,445 and $16,113. Total additional taxes to be paid as a result of the project during the five (5) year abatement period are estimated to be between $67,999 and $169,997. He stated that per the petition, it is estimated that the project will create four (4) to seven (7) new permanent full time jobs at the Tucker location representing new annual payroll of $134,500 to $232,600. The project is also expected to retain a total of four (4) full time jobs, representing an annual payroll of $133,120 at the facility. A Public Hearing was held on the Resolution at this time. 17