11-10-08 Common Council Minutes - Laserfiche WebLink

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REGULAR MEETING NOVEMBER 10, 2008 SECTION IV. The Common Council hereby determines and finds that the proposed described redevelopment can be reasonably expected to yield benefits identified in the Statement of Benefits and the petition for real property tax abatement consideration and that the Statement of Benefits form prescribed by the State Board of Accounts are sufficient to justify the deduction granted under Indiana Code 6-1.1-12.1-3. SECTION V. The Common Council hereby accepts the report and recommendation of the Community and Economic Development Committee that the area herein described be designated as a Residentially Distressed Area and hereby adopts a Resolution designating this area as a Residentially Distressed Area for purposes of real property tax abatement. SECTION VI. The designation as a Residentially Distressed Area shall be limited to five (5) calendar years from the date of the adoption of this Resolution by the Common Council. SECTION VII. The Common Council hereby determines that the property owner is qualified for and is granted property tax deduction for a period of five (5) years. SECTION VIII. 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 IX. Pursuant to Indiana Code 6-1.1-12.1-2, the rehabilitation must meet all local code standards for habitability as a specific condition of having such property designated as a residentially distressed area. SECTION X. This Resolution shall be in full force and effect from and after its adoption by the Common Council and approval by the Mayor. s/Timothy A. Rouse Member of the Common Council Councilmember Henry Davis, Jr., Vice-Chairperson, Community and Economic Development Committee, reported that this committee held a Public Hearing on this bill this afternoon and voted to send it to the full Council with a favorable recommendation. Mr. Derek Spier, Planner, Abonmarch Consultants, LLC., 750 Lincoln Way East, South Bend, Indiana, made the presentation on behalf of the developer Tampico Developments, LLC of 828 East Jefferson Blvd., South Bend, Indiana. Mr. Spier advised that Tampico Developments intends to develop 19.9 acres of agricultural farmland into 80 residential lots. The lots will be located with the proposed development called Crescent Oaks, Section 2. He stated that the development will include approximately 3,798 linear feet of public streets, a roundabout, a park and common area and the associated public and private utilities. The homes will be built by Weiss Homes and range in size from 1,200 to 2,300 square feet and will include basements. The estimated average price of the home is $163,000.00 Councilmember Henry Davis asked someone to define “Residentially Distressed Area” Councilmember Varner answered that the definition of “Residentially Distressed Area” has over the years been defined by the State Legislature as not what is actually conceived as distressed, it can mean that the lots have taken a long time to sell. He likened it to the Deerfield subdivision where the lots sat for over five to ten years before ever being developed. When tax abatements were offered on those lots which amounted to approximately $1,000.00 off of a $12,000.00 year tax bill, people were interested in them. So over the years, tax abatements are a useful tool, but residentially distressed means whatever the State Legislature decides it means and they have opened the definition to whatever the Council decides it means. 24