HomeMy Public PortalAbout073-2005 - Tax Abatement - Belden - Equipment.pdf.w.exhORDINANCE NO. 73-2005
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
WBEREAS, 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-m 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.
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.
TE EREFORE, ' 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:
EQUIPMENT - 10 YEARS
Belden CDT Electronics Division (fWa Belden Wire & Cable)
Jobs Retained: 895
Jobs Created: 0
Estimated New Value: $3,000,000
Dated: October 7, 2005
Passed and adopted this 7 day ofc 005 by the Common Council of the City
of Richmond, Indiana.
President
(Bruce Wissel)
AT'TE T: Clerk
(Karen Chasteen)
PRESENTED to the Mayor of the City of Richmond, Indiana, this �_ day ofj _ ,
2005 at 9:00 am.
(Karen Chasteen)
PROVED by me, arah L. Hutton, Mayor of the City of Richmond, Indiana, this Y/ day of
at 9:05 a.m.
.. Mayor
Sarah L. FuMn
A
(Karen Chasteen)
ti
STATEMENT OF BENEFITS
PERSONAL PROPERTY
. State Form 51764 (5-04)
v e ` Prescribed by the Department of Local Government Finance
INSTRUCTIONS:
FORM
SB-1iPP
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.Revitafization Area. Otherwise this statement must be submitted
to the designating body BEFORE a person installs the new manufacturing equipment and/or research 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, 1967
and areas designated after July 1, 1967 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 prior to installation of the new manufacturing equipment
and/or research and development equipment andlor logistical distribution equipment and/or information technology equipment. BEFORE a deduction may
be approved
3. To obtain a deduction, Form 322 ERA/PPME andlor 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 ano%r logistical distribution equipment and/or information technology equipment becomes assessable, unless a filing extension has been
obtained. A person who obtains a riling 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 June 30, 1991 must submit Form CF-I 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 6-1.1-12.1-4.6(e) effective July 1, 2000 apply to any statement of benefrls filed on or after
Jufy 1 2000 The schedules effective prior to July 1, 2000 shall continue to apply to those statement of benefits filed before July 1, 2000.
,SECTION-1 TAXPAYER INFORMATION.
Name of taxpayer
BELDEN CDT ELECTRONICS DIVISION (FKA BELDEN WIRE & CABLE)
Address of taxpayer (street and number, city, state, ZIP code)
2200 U.S. HWY 27 SOUTH RICHMOND IN 47374
Name of contact person
Telephone number
EDWIN J. FLYNN
(765)983-5200
Name of designating body
Resolution number
CITY OF RICHMOND
Location of property
IWAYNE
County
Taxing district
VARIOUS RICHMOND IN 47374
RICHMOND
Description of manufacturing equipment and/or research and development equipment ESTIMATED
andfor logistical distribution equipment and/or information technology equipment
Start Date Completion Date
(use additional sheets if necessary)
Manufacturing Equipment 11/08/2005 03/01/2007
SEE ATTACHED LIST R & D Equipment
LogistDist Equipment 11/08/2005 03/01/2007
IT Equipment` 11/OS/2005 03/01/2007
Current number Salaries Number retained Salaries Number additional Salaries
895 42,426,129 895 42,426,129
• I Wg==;5;JM=' - ■
NOTE: Pursuant to IC 6-1,1-12.1-5.1 (d) (2) the Manufacturing R & D Equipment Logist Dist Equipment" IT Equipment `
Equipment
COST of the roe Is confidential.
p p Assessed Asses ssesso Assessed
Cost Cost Cost Cost
Value Value Value Value
Current values
57,845,251
17,353,575
Plus estimated values of proposed project
z,26a,000
680,400
390,000
117,000
342,000
102,600
Less values of any properly being replaced
Net estimate values upon completion of project 60,113,251 18,033,975 390,C)OOI 117, 000 342,0001 102,600
Estimated solid waste converted (pounds) Estimated hazardous waste converted (pounds)
Other benefits:
I hereby certify that the representations in this statement are true.
e
Signature of au Ir.3.
Title
Date signed { onth, ay, year)
* See IC 6-'I 9
c......, co n ro❑ .,�„e 1 _ rnnv,inhr rl 9flnS hIC Err C1ienttLoc 2005 WAYNE
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 €C 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
S. The type of deduction that is allowed in the designated area is limited to:
1. Instaliation of new manufacturing equipment;
[I Yes E] No
2. Installation of new research and development equipment;
❑ Yes ❑ No
3. Installation of new logistical distribution equipment.
❑ Yes ❑ No
4. Installation of new information technology equipment;
❑ Yes ❑ No
C. The amount of deduction applicable to new manufacturing equipment its limited to $ cost with an assessed
value of $
D. The amount of deduction applicable to new research and development equipment is limited to $ cost with an assessed
value of $
E. The amount of deduction applicable to new logistical distribution equipment is limited to $ cost with
an assessed value of $
F. The amount of deduction applicable to new information technology equipment is limited to $ cost with an
assessed value of $
G. Other limitations or conditions(specify)
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:
p 1 year ❑ 6 years '" For ERA`s established prior to July 1, 2000 only a
❑ 2 years ❑ 7 years 5 or 10 year schedule may be deducted.
❑ 3 years ❑ 8 years
❑ 4 years ❑ 9 years
Ca 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.
Appr ved, i ature and title authorized member) Telphone number Date signed (month, day, year)
Attested Designated
body
JV A _i A
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 or 4.5
Fnrm SR-VPP. nacre 2 - Coiwright 0 2005 CIS, Inc. ClienULoc
Belden Wire & Cable Company
Equipment List for Abatement
Attachment for Form SB-11PP
New to
Item
Total
Estimated Life
Indiana
Machine Rebuilds and line upgrades
$
1,630,000
15 Years
Yes
Tooling
$
350,000
10 Years
Yes
Network and server upgrades and enhancements
$
222,000
10 Years
Yes
Testing equipment
$
144,000
12 Years
Yes
Additional auxiliary equipment
$
264,000
10 Years
Yes
Dock safety equipment*
$
150,000
12 Years
Yes
Pallet trucks*
$
105,000
15 Years
Yes
Material handling equipment*
$
95,000
15 Years
Yes
Stretch wrap machines*
$
40,000
12 Years
Yes
TOTAL EQUIPMENT $ 3,000,000
*Logistical Distribution Equipment
Form SB-1A
City of Richmond, Indiana
Taxpayer Wage & Benefit Information
Company Name, Address & Contact Person:
Belden CDT Electronics Division (f/k/a Belden Wire & Cable)
Division Offices Manufacturing Plant Distribution
2200 US Highway 27 South 350 NW N Street 1411 NW 11th Street
Richmond, IN 47374 Richmond, IN 47374 Richmond, 1N
47374
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 $20.81/hour/employee
2. Average hourly wage for projected new positions $ N/A
3. Average hourly health insurance benefit $3.82/hour/employee
1. The length of the abatement you are requesting
(A I -1 D year abatement may be requested for real estate improvements and manufacturing equipment.)
A 10 year deduction schedule is respectfully requested.
2. If purchasing equipment, please attach a list that includes the following:
s brief description of each piece of equipment being purchased
o 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
Please refer to attached list.
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
o 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.
(Authorized S
and tle) (Date}
Belden Wire & Cable Company
Equipment List for Abatement
Attachment for Form SB-1A
Item.
Machine Rebuilds and line upgrades
Tooling
Network and server upgrades and enhancements
Testing equipment
Additional auxiliary equipment
Dock safety equipment*
Pallet trucks*
Material handling equipment*
Stretch wrap machines*
TOTAL EQUIPMENT
*Logistical Distribution Equipment
Total
Estimated Life
$ 1,630,000
15 Years
$ 350,000
10 Years
$ 222,000
10 Years
$ 144,000
12 Years
$ 264,000
10 Years
$ 150,000
12 Years
$ 105,000
15 Years
$ 95,000
15 Years
$ 40,000
12 Years
$ .3,000,000
New to
Indiana
Yes
Yes
Yes
Yes
Yes
Yes
Yes
Yes
Yes