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HomeMy Public PortalAbout029-2021 - Special - Updating Criteria for Regular Tax Abatements COMMON COUNCIL OF THE CITY OF RICHMOND,INDIANA ORDINANCE NO.29-2021 A SPECIAL ORDINANCE AMENDING PRIOR AMENDED ORDINANCE NO. 5-2019 AND ESTABLISHING AND UPDATING ADDITIONAL MINIMUM CRITERIA FOR PROPERTY OWNERS REQUESTED DEDUCTIONS FROM ASSESSED VALUE OF CERTAIN PROPERTY WITHIN AN ECONOMIC REVITALIZATION AREA WHEREAS, Pursuant to Indiana Law, I.C. 6-1.1-12.1 et. seq., the Common Council of the City of Richmond, Indiana (hereinafter "Common Council") as a designating body may find that a particular area within the City is an Economic Revitalization Area which provides as an economic development incentive certain property tax deductions for the redevelopment or rehabilitation of real property or the installation of new manufacturing equipment; and WHEREAS, The Common.Council has previously adopted Resolution No. 10- 1984 which designates certain areas in the City as Economic Revitalization Areas and sets forth certain procedures for an owner to obtain certain deductions therein; and WHEREAS, Resolution No. 10-1984 has previously been amended to add other areas as an ERA; making definition changes to the original ordinance, setting forth the time periods in which a deduction is allowed, and establishing other procedures for obtaining deductions (see Resolutions 2-1987, 11-1989, 11-1991, 3-1996, Ordinances 72-1996, 90-1996, 113-1997, 19-2000, 29-2006, 31-2007, 76-2011, 65-2013, and 66-2013); and WHEREAS, Indiana Code (IC) 6-1.1-12.1-17 sets forth that the Common Council as the designating body may provide to a business that is established in or relocated to a revitalization area and that receives a deduction under IC 6-1.1-12.1-4 or IC 6-1.1-12.1-4.5 an abatement schedule based on certain factors; and WHEREAS, It is in the best interests of the citizens of the City of Richmond, Indiana, that the Common Council establish updated additional minimum criteria for each of the factors to be considered under the Page 1 of 3 City of Richmond's regular deduction schedules (see Amended Ordinance 5-2019) for personal property and real estate deductions permitted by IC 6-1.1-12.1 et seq. for applications received subsequent to the passage of this Special Ordinance. NOW, THEREFORE, BE IT ORDAINED by the Common Council of the City of Richmond, Indiana, that, in accordance with Indiana Code 6-1.1-12.1 et seq., the following criteria shall be established and updated by the Common Council for the regular deduction schedules for personal property and real estate deductions permitted as follows: 1. To be considered for a one(1)to five(5)year abatement, taxpayers with a proposed project investment of more than Two Hundred Fifty Thousand Dollars($250,000.00) listed and certified as the estimated value of said proposed project must submit a statement of benefits form certifying as follows: a) The taxpayer's proposed project will have at least five (5)new employees; and b) Starting wage for each new or retained job pays a minimum of $14.00/hour, excluding benefits (not an average rate of pay for all jobs and starting wage may be less if the hourly wage combined with the hourly health insurance benefit exceeds $20.00 per hour); and c) All current and new employees' benefits will include a major medical policy. 2. To be considered for a one (1) to five (5) year abatement where no new employees will be hired, taxpayers with a proposed project investment of more than Five Hundred Thousand Dollars ($500,000) listed and certified as the estimated value of said proposed project must submit a statement of benefits form certifying as follows: a) Starting wage for each new or retained job pays a minimum of $14.50/hour, excluding benefits (not an average rate of pay for all jobs and starting wage may be less if the hourly wage combined with the hourly health insurance benefit exceeds $20.00 per hour); and b) All current employees' benefits will include a major medical policy. Page 2 of 3 f 3. To be considered for a five (5) to ten (10) year abatement, taxpayers with a proposed project investment of more than Five Hundred Thousand Dollars ($500,000.00) listed and certified as the estimated value of said proposed project must submit a statement of benefits form certifying as follows: a) The taxpayer's proposed project will have at least five (5) new employees; and b) Starting wage for each new or retained job pays a minimum of $15.00/hour, excluding benefits (not an average rate of pay for all jobs and starting wage may be less if the hourly wage combined with the hourly health insurance benefit exceeds $20.00 per hour); and c) All current and new employees' benefits will include a major medical policy. This ordinance shall be • 11 force and take effect upon its passage. Passed and adopted this day of ,� 2021, by the Common Council of the City of Richmond, Indiana. President ( y ark r ATTES L,c71 (Karen Chasteen,IAMC, MMC) SENTED to the Mayor of the City of Richmond, Indiana, this 7 day of , 2021,at 9:00 a.m. (Karen Chasteen, IAMC, MMC) APPROVED by me, David M. Snow, Mayor of the City of Richmond, Indiana, this 0 g day of 5J1,4.1 , 2021, at' :;ten. (Z; t 0"\ ayor id M. (Karen Chasteen,IAMC, MMC) Page 3 of 3