HomeMy Public PortalAbout011-2006 - Tax Abatement - Rosecity Business ParkORDINANCE NO. 11-2006
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 Endings, 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 properly, 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.
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
Pa
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.
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:
REAL ESTATE IMPROVEMENTS - 10 YEARS
Rose City Business Park, LLC
Jobs Retained: 0
Jobs Created: 20
Estimated New Value: $2,350,000
Dated: January 30, 2006
Passed and adopted this day of 2006 by the Common Council of the City
of Richmond, Indiana.
President
(Karl Sharp
ATTE ' Clerk
(Karen Chasteen)
PRESENTED to the Mayor of the City of Richmond, Indiana, this "�/ day of ` I l�L �-
2006, at 9:00 a.m.
ity Cleric
(Karen Chasteen)
APPROVED by me, Sarah L. Hutton, Mayor of the City of Richmond, Indiana, this _jaZ day of
2006, at 9:05 a.m.
ayor
(Sarah L. Hutton)
ATTEV-- ,
(Karen asteen)
STATEMENT OF BENEFITS FORM
REAL ESTATE IMPROVEMENTS SB -1 l RE
State Form 51-M7 (&N)
Pregoib d by the department of t.xel Government Frm3nee
INSTRUCTIONS.
I. This statement must be submitted to the body designating the economic revftNzadon, area prior to the public heaffpg if the designating body requires &iiar-
maVon from the applicant is making Its decision about whether to designate en Ecomrmlc evlrallzeuon Area. Otherwise this statement must be submitted
to the de%aft body BEFORE the redevelopment or rehabh77t ton of real property for which the person wishes to clalm a deduction. 'Projects
or committed to after July 1, 1987 and areas designated after July 1, 1987 require a STATEMENT OF BENEFITS. {!C 6-1.1
2- Approval of the designating body (City Council, Town Board, Counfy CouncA, atc) must be obtalnedprior to intietion of the redevelopment or rehabilitation,
BEFORE a deduc lion may be approved.
3. To obtain a deduction, Form 322 ERA, Application thr Deduction from Assessed Valuation of Structures in Economic Revitalization Areas; must be ftd w9h
the county auditor by the later &.. (1) May 10; or (2) thirty (30) days after the notice of addillan to assessed valuaton or now assessment is maAed to the
property owner at Me address shown on the records ofthe township assessor,
4. Property owners whose Statement of aenerds was approved titer June 30, 1991 must submit Form CF - 1 annua* to show compikoce with the Statement
of fits. (IC6-1.142.1-5.8)
a The schedules established unclar lC &l.1-12.1-4(d) and IC 6.1.1-12.1-4.5(s) effective July 1, 2000 apply to any statement of benerrfs filed on or aftr
July 1, 2000. The schedules effective prior to July 1, 2000 shall continue to apply to those statement of benefits riled before July 1, 2000.
TAXPAYER
if.'1me of wriavAr
INFORMATION
Rase City Business Park, L. L. C.
Address of taxpayer (sheet and number, city, state and LA code)
1200 Industries Road, Richmond, IN 47374
Name of contact parson
Telephone number
Tam Dickman
(765) 969-0801
SFCT.10N 2 LOCATtON AND DESCRIPTION
OF PROPOSED PROJECT
Name Rdesignating body
Resolution number
Richmond Compton Council
Location of property
County
Taxing district
1200 Industries Road, Richmond, IN 47374
Wayne
Description of real property improvements (use additional sheets !f necessary)
ESTIMATED
See Attached
Start Data I Completion Date
Real Estate
02f0.112006 02/01/2007
•
Current number Salaries Number retained
Salaries
Number adclitional Salaries
0 0.00 0
0.00
20 500.000.00
SECTION..PROPOSED
H4iE: Pursuant to (C (d) (2) the
Real Estate Irnptovemonts
COST of the property is confidential.
Cast
Aetsotrsad Value
Current values
Plus estimated values of proposed project
Lass values of any property being replaced
Not estimated values upon completion of project
C)CO
Estlmated solid waste converted (pounds)
Estimated hazardous waste converted (pounds)
Other benefits:
nslsrasen;ative
�A
the representations in this statement
e Date signed (month, day, year)
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 6-1.1-12.1-2.6, 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:
1. Redevelopment or rehabilitation of real estate improvements; Q Yes ❑ No
2. Residentially distressed areas Q Yes []No
C .The amount of deduction aDQlicable for redevelopment or rehabilitation is limited to $ cost with an assessed
value of $ _
D. Other limitations or conditions (sparsijr)
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.
and We of au 6*ed member} Tate "m number [}ate signed
— v C�
M.
" 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.
Form SB4A
City of Richmond, Indiana
Taxpayer Wage & Benefit Information
Company Name and Address: Rose City Business Park, L,L.C.
1200 Industries Road
Richmond, IN 47374
The information requested on this supplement to form 813-1 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 $ currently none
2. Average hourly wage for projected new positions $ 10.00
3. Average hourly health insurance benefit $ 2.00
1. The length of the abatement you are requesting
(A 1-10 year abatement may be requested for real estate improvements and manufactu►ing equipment)
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, 10 year abatement requested; See attached
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.
Signature and Title)
(Date)
Rose City Business Park, L.L.0
1200 Industries Road
Richmond, IN 47374
Attachment to Statement of Benefits
Application, for Abatement of Renovations
10 year abatement requested
Major improvements will be made to the facility at 1200 Industries Road, Richmond IN
As follows:
Asphalt replacement and repair
Upgrade electrical lines
Replace plumbing
Replace sewer lines
New beating units for the facility
Exterior enhancement
Replace sprinkler system
Install interior fire walls
Total projected cost of facility renovation
$250,000
$300,000
$250,000
$300,000
$250,000
$500,000
$300,000
200 000