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Home My Public Portal About002-2007 - Tax Abatement - Palladium Item - equipment.pdf.w.exORDINANCE NO.2-2007 A SPECIAL ORDINANCE AUTHORIZING THE APPROVAL OF A STATEMENT OF BENEFITS FOR A PROPERTY OWNER APPLYING FOR DEDUCTIONS UNDER I.C. 6-1.1-12.1 WHEREAS, Common Council has previously designated eight economic revitalization areas within the City of Richmond; and WHEREAS, I.C. 6-1.1-12.1 requires the Common Council as the designating entity to approve all Statements of Benefits required to be filed by property owners applying for deductions in assessed valuations for the installation of new manufacturing equipment or for the redevelopment or rehabilitation of real property; and WHEREAS, an owner of real property located in an economic revitalization area is entitled to deductions from the assessed value, pursuant to Indiana law, for a period of any number of years less than or equal to ten (10) years (i.e. one to ten years); and WHEREAS, an owner of new manufacturing equipment is also entitled to deductions from the assessed value, pursuant to Indiana law, for a period of any number of years less than or equal to ten (10) years (i.e. one to ten years); and WHEREAS, in order for Common Council to approve a Statement of Benefits to allow a deduction, it must make the following findings, to -wit: 1. That the estimate of value of the redevelopment or rehabilitation, as to real property, or the estimate of cost of the new manufacturing equipment, as to personal property, is reasonable for projects of that nature or equipment of that type. 2. That the estimate of number of individuals who will be employed or whose employment will be retained can be reasonably expected to result from the proposed described redevelopment or rehabilitation, or from the installation of the new manufacturing equipment. 3. That the estimate of annual salaries of those individuals who will be employed or whose employment will be retained can be reasonably expected to result from the proposed described redevelopment or rehabilitation, or from the installation of the new manufacturing equipment. 4. That any other benefits about which information was requested are benefits that can be reasonably expected to result from the proposed redevelopment or rehabilitation, or from the installation of the new manufacturing equipment. 5. That the totality of the benefits is sufficient to justify the deduction. 6. That installation of the equipment described in the SB-1 must be completed within 24 months of the date the ordinance is signed by the designating body. Further, the abatement is limited to the equipment listed in the SB-1. NOW, THEREFORE, the Common Council of the City of Richmond, Indiana, now makes the following findings: 1. That the estimate of value of the redevelopment or rehabilitation, as to real property, or the estimate of cost of the new manufacturing equipment, as to personal property, is reasonable for projects of that nature or equipment of that type. 2. That the estimate of number of individuals who will be employed or whose employment will be retained can be reasonably expected to result from the proposed described redevelopment or rehabilitation, or from the installation of the new manufacturing equipment. 3. That the estimate of annual salaries of those individuals who will be employed or whose employment will be retained can be reasonably expected to result from the proposed described redevelopment or rehabilitation, or from the installation of the new manufacturing equipment. 4. That any other benefits about which information was requested are benefits that can be reasonably expected to result from the proposed redevelopment or rehabilitation, or from the installation of the new manufacturing equipment. 5. That the totality of the benefits is sufficient to justify the deduction. 6. That installation of the equipment described in the SB-1 must be completed within 24 months of the date the ordinance is signed by the designating body. Further, the abatement is limited to the equipment listed in the SB-1. THEREFORE, be it ordained by the Common Council of the City of Richmond, that the following property owner meets the requirements for property tax assessed valuation deductions, as follows: Inserter Capital Proiect - EQUIPMENT —10 YEARS Palladium Item, Division of Federated Publications Jobs Retained: 9 Jobs Created: 0 Estimated New Value: $195,900.00 Dated: December 12, 2006 LPassed and adopted this i;� [�"- day of b2 , 2007, by the Common Council of the City of Richmond, Indiana. President (DianPappi ATTEST d lerk (Karen Chasteen) PREP ENTED to the Mayor of the City of Richmond, Indiana, this day of 2007, at 9:00 a.m. lerk (Karen Chasteen) APPROVED by Ve, Sarah L. Hutton, Mayor of the City of Richmond, Indiana, this 6 day of , 2007, at 9:05 a.m. &a� Z—/—// -, Mayor (Sarah L. Hutton) 1' ATTE§T:.'�c c,ity Clerk (Karen Chasteen) STATEMENT OF BENEFITS 4= PERSONAL PROPERTY :y State Form 51764 (5-04) Prescribed by the Department of Local Government Finance RECEIVED DEC 15 2006 FORM SB-I/PP. INSTRUCTIONS: 1. This statement must be submitted to the body designating the economic revitalization area prior to the public hearing if the designating body requires information from the applicant in making its decision about whether to designate an Economic Revitalization Area. Otherwise this statement must be submitted to the designating body BEFORE a person Installs the new manufacturing equipment and/orresearch and development equipment, and/or logistical distribution equipment and/or information technology equipment for which the person wishes to claim a deduction "Projects"planned or committed to after July 1, 1987 and areas designated after July 1, 1987 require a STATEMENT OF BENEFITS. (IC 6-1.1-12.1) 2. Approval of the designating body (City Council, Town Board, County Council, etc.) must be obtained priorto installation of the new manufacturing equipment and/or research and development equipment and/or logistical distribution equipment and/or information technology equipment, BEFORE a deduction may be approved 3. To obtain a deduction, Form 322 ERA/PPME and/or Form 322 ERA/PP Other, must be filed with the county auditor. Form 322 ERA/PPME and/or Form 322 'ERA/PP Other must be filed between March 1 and May 15 of the assessment year in which new manufacturing equipment and/or research and development equipment andlor logistical distribution equipment and/or information technology equipment becomes assessable, unless a riling extension has been obtained. A person who obtains a filing extension must file the form between March 1 and the extended due date of that year. 4. Property owners whose Statement of Benefits was.approved after ,tune 30, '1991 must submit Form. CF-1 annually to show compliance with the Statement of Benefits. (IC 6-1.1-12.1-5.6) 5_ The schedules established under IC 6-1.1-12.1-4(d) and IC 6-1.1-12.1-4.5fe) effective July 1, 2000 apply to any statement of benefits filed on crafter July 1, 2000. The schedules effective prior to July 1, 2000 shall continue to apply to those statement of benefits filed before July 1, 2000. Na oftaxpayer I7=7 Address of taxpayer (street and numb r, city, state and ZIP code) y-qA 4/ m U•1� //� ��37'� Name of contact person T, Lkrks Telephone number 1163=9W- Name of designatinq body Resolution number Location .ofproperty n 'kph 4 County Tax€n district tfichrnoylev &!5 / ,� C�mD�d /iU Description of manufacturing eq ipment and/or research and development equipment ESTIMATED Start Date Completion Date and/or logistical distribution .equipment and/or information technology equipment (use additional sheets if necessary) Manufacturing Equipment /0 R & D Equipment Logist Dist Equipment IT Equipment le:ntimber Salaries ,�,/ number retained Salaries Number additional Salaries 11 MOTE: Pursuant to IC 6--1 A-12.1-5.1 d 2 the Manufacturing R & D Equipment Logist Dist Equipment * { ) {) Equipment IT Equipment' COST of the property is confidential. Assessed Assessed Assessed Cost Cost Cost Cost Assessed Value Value Value Value Current values • Plus estimated values of proposed project 0a. Less values of any property being replaced Net estimated values upon completion of project Estimated solid waste converted (pounds) Estimated hazardous waste converted (pounds) Other benefits: IV14 • - • i hereby cer* that the representations in this statement are true. Signature of au riled representative Title �drli�rg✓ Date signed (month, day, year) ob * See IC We have reviewed our prior actions relating to the designation of this economic revitalization area and find that the applicant meets the general standards adopted in the resolution previously approved by this -body. Said resolution, passed under IC 6-1.1-12.1-2.5, pro- vides for the following limitations as authorized under IC 6-1.1-12.1-2. A. The designated area has been limited to a period of time not to exceed calendar years* (see below). The date this designation expires is B . The type of deduction that is allowed in the designated area is limited to: ❑ Yes ❑ No 1 . Installation of new manufacturing equipment; _ 2. Installation of new research and development equipment; El Yes ❑ N o 3. Installation of new logistical distribution equipment. ❑ Yes ❑ N o 4. Installation of new.information technology equipment; ❑ Yes ❑ N o C .The amount of deduction applicable to new manufacturing equipment is limited to $ value of $ ❑ .The amount of deduction applicable to new research and development equipment is limited to $ an assessed value of $ E.The amount of deduction applicable to new logistical distribution equipment is limited to $ _ assessed value of $ . F. The amount of deduction applicable to new information technology equipment is limited to $ _ assessed value of $ G. Other limitations or conditions cost with an assessed cost with cost with an cost with an H. The deduction for new manufacturing equipment and/or new research and development equipment and/or new logistical distribution. equipment and/or new information technology equipment installed and first claimed eligible for deduction after July 1, 2000 is allowed for: ❑ 1 year ❑ 6 years *` For ERA'S established prior to July 1, 2000 221y a ❑ 2 years ❑ 7 years 5 or 10 year schedule may be deducted. ❑ 3 years ❑ 8 years ❑ 4 years ❑ 9 years ❑ 5 years ** ❑ 10 years " Also we have reviewed the information contained in the statement of benefits and find that the estimates and expectations are reason- able and have determined that the totality of benefits is sufficient to justify the deduction described above. .prove - (signature and title of thonzed member) Telephone number Date signed (month, day, year) 01�3 �a7 tested by: Designated body If the designating body limits the time period during which an area is an economic revitalization area, it does not limit the length of time a taxpayer is entitled to receive a deduction to a number of years designated under IC 6-1.1-12.1-4.5 Palladium Item Inserter Capital Project Description of Project Purchase and installation of 4 feeders for inserting machine to insert preprinted materials into newspaper. Expansion of conveyor belt which carries inserted papers to loading dock. Equipment List Vendor: Ouipp 2 Feeder Modules (demo unit) 20 HP motor 1 Hopper Loader AF 1 OOR (demo unit) 2 Air Blast Kits 1 jogger assembly Vacuum pump Total bid $163,000 Vendor: TMSI 1 Four foot horizontal conveyor Total bid $17,800 Vendor: RISCO 4 Pallet Pals Total bid $9,100 Other: $6,000 Estimated Total Cost of project $195,900 Expected useful life of equipment 15 years Form SB-lA City of Richmond, Indiana Taxpayer Wage & Benefit Information Company Name, Address & Contact Person: 0&4k.' 1Q, 13146br, 7Q fr"eraliv - -Z4"A" //75- /1/ell, 4 -5v-e f �4' 4,no l 11V,, Z11913 A/ The information requested on this supplement to form SB-1 must be completed and submitted along with your SB-1 in order for your tax abatement request to be considered by Richmond Common Council. Please retain your records and calculations used to arrive at the information requested on this form. It is subject to review as a part of our monitoring process. 1. Average hourly wage for existing employees $ �l 2. Average hourly wage for projected new positions AW 3. Average hourly health insurance benefit $ 9, 93_ _ 1. The length of the abatement you are requesting M (A 1-10 year abatement maybe requested for real estate improvements and manufacturing ipment.) 2. If purchasing equipment, please attach a list that includes the following: • brief description of each piece of equipment being purchased • the projected useful life of each piece of equipment • the state(s) in which the equipment is being brought into Indiana from if purchasing used equipment • the cost of each piece of equipment 3. If making real estate improvements, please provide a list that includes the following: • brief description of the real estate improvement (new construction, rehab, expansion, etc.) + size of the proposed real estate improvements • costs of the proposed real estate improvements DEFINITIONS 1. Average hourly wage for existing employees: for your most recent pay.period please provide the average base wage per hour for all current full time, non -supervisory employees. Do not include the following groups: A. part time employees; B. management, supervisors, foremen, or any other supervisory personnel; C. owners, stockholders, or partners if they own 2% or more of the business, and their family members. 2. Average hourly wage for projected new positions: Use the same.definition of employees to be included as in number one above. 3. Average hourly health insurance benefit: Please provide the current company paid health insurance benefits provided to hourly employees (as defined above) and family members. Please present in the form of an hourly rate computed using the annual cost per eligible employee divided by 2080 hours. (Date) (Autho ' ed Signature and Title)