HomeMy Public PortalAbout077-2005 - Tax Abatement - Progress Invest. Grp. - REA.pdf.w.exORDINANCE NO. 77-2005
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
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.
NOW, THEREFORE, the Common Council of the City of Richmond, Indiana, now
makes the following findings:
I. 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.
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 - 10 YEARS
Progress Investment Group L.L.C.
Jobs Retained: 243
Jobs Created: 6-8
Estimated New Value: $950,000.00
Dated: October 21, 2005
Passed and adopted this off/ day 05 by the Common Council of the City
of Richmond, Indiana.
A
President
(Bruce Wisscl)
ATTE`a�-����y Clerk
(Karen Chasteen)
PRESENTED to the Mayor of the City of Richmond, Indiana, thisc; oA day o�
2005 at 9:00 a.m.
City Clerk
(Karen Chasteen)
APPROVED by ie, Sarah L. Hutton, Mayor of the City of Richmond, Indiana, this �� day of
05 at 9:05 a.m.
a or
,� Y
Sarah L. Hutton
ATTES • City CIerk
(Karen Chasteen)
e �•m� STATEMENT OF BENEFITS
State Form 27167 (So l4-00)
Form SB - 1 is prescribed by the State Board of Tax Commissioners, 1989
FORM
SB-�I
INSTRUCTIONS:
1. This statement must be submitted to the body designating the economic revidlizatlon area prior to the public hearing if the designating body requires infor-
mation 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 / or research and development equipment, or BEFORE the
redevelopment or rehabilitation of real property 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 prior to initiation of the redevelopment or rehabilitation,
or prior to installation of the new manufacturing equipment and / or research and development equipment, BEFORE a deduction may be approved.
3. To obtain a deduction, Form 322 ERA, Real Estate improvements and/ or Form 322 ERA /PPME and / or 322 ERA / PPR & DE, must be riled with the county
auditor. With respect to real property, Form 322 ERA must be filed by the later of., (1) May 10; or (2) thirty (30) days after a notice of increase in real property
assessment Is received from the township assessor. Form 322 ERA / PPME and / or 322 ERA PPR & DE must be filed between March 1 and May 15 of the
assessment year in which new manufacturing equipment and / or research and development equipment becomes assessable, unless a filing extension has
been obtained. A person who obtains a filing extension must file the form between March 1 and June 14 of that year.
4. Property owners whose Statement of Benefits was approved after June 30, 1991 must submit Form CF - 1 annually to show compliance with the Statement
of Benefits. (IC6-1.1-12.1-5.6)
5. The schedules established under IC 6-1.1-12.1-4(d) and iC 6-1.1-12.1-4.5 (e) effective July 1, 2000 apply to any statement of benefits filed on or after
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.
.SECTION I TAXPAYER•• ,
Name o ayer
r!
Address of taxpayer (street and number, city, state and ZIP code) jr
1Z---1 ' - R71 7�,r=k" 10 t* 2 -7
&
0�6
Name of contact person
Telephone number
SECTION 2 LOCATION AND DESCRIPTION OF PROPOSED PROJECT
Name of desng body
C-011.,C&&.t-
Resolution number
4-C (.+4.l_C40 e-j- 4.-_
Location of properly
County
'Faxing district
L,1-00 P�W2LkA—i I
bik
Description of real property improvements and 1 or new manufacturing eqLfipment and I or
ESTIMATED
research and development equi ment (use additional sheets if necessary) d0tlr
A- [!� 7 6 eel S 7i^l+ -1 r
Start Date Completion Date
! t� O
Real Estate
��AsuuPpr�7��rv-� Csx�
S
New MfgEq ipment
fI/S C�7` f�i SId�+� tce�%3C3"CP5�0 Fold �4ff�ctS�GN1
R & DE
SECTION 3 ESTIMATE OF r AND SALARIES AS RESULT OF -,•r a PROJECT
Current number Salarigs Z� Number retained alars$ 7r, NZ er ad�itianal IJan'�sl,
2— 3 a 3
a 43 �� - "'77
I SECTION 4 ESTIMATED TOTAL COST AND VALUE OF PROPOSED
PROJECT
NOTE: Pursuant to IC 6-1.1-12.1-5.1 d 2 the Real Estate Improvements
() ()
Machinery
Research and Development
Equipment
COST of the property is confidential. Cost Assessed Value
Cost
Assessed Value
Cost
Assessed Value
Current values QQo
Plus estimated values of proposed project + d
Less values of any property being replaced
Net estimated values upon completion of project
SECTION 5 WASTE CONVERTED AND OTHER BENEFITS PROMISED BY THETAXPAYER
Estimated solid waste converted (pounds) Estimated hazardous waste conversed (pounds)
Other benefits:
, r
hereby ertify that the representations in this statement are true.
Signature of auth 'zed representative
Title
Date signed (month, day, year)
G V,
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:
1 . Redevelopment or rehabilitation of real estate improvements; ❑ Yes ❑ N o
2. Installation of new manufacturing equipment; ❑ Yes [:]No
3. Installation of new research and development equipment; ❑Yes ❑ No
4. Residentially distressed areas ❑ Yes ❑ N o
C . The amount of deduction applicable for redevelopment or rehabilitation is limited to $ cost with an assessed
value of $
D . The amount of deduction applicable to new manufacturing equipment is limited to $ cost with an assessed
value of $
E . The amount of deduction applicable to new research and development equipment is limited to $ cost with
an assessed value of $
F. Other limitations or conditions (specify)
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.
Approved: (sixftture and title uthorized member)
Telephone number
Date signed (month, day, year)
19, 1 �W' I - -
(%s) ¢9-6 - S h
AtEeste y.
Designated body
* If the designating body limits the time period during which an area is an economic revitilization 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
Form SB-] A
City of Richmond, Indiana
Taxpayer Wage & Benefit Information
Company Name, Address & Contact Person:
The information requested on this supplement to form S13-1 must be completed and submitted
along with your S13-1 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 $ (v g
r7�
2. Average hourly wage for projected new positions $
3. Average hourly health insurance benefit
1. The length of the abatement you are requesting 1 141 L6
(A 140 year abatement may be requested for real estate improvements and manufacturing 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
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.
,2
and Title) (Date)
Z�
Real Estate Improvements
A 0,000 square foot addition to existing building for Landis Berry Plastics due to
Manufacturing expansion in existing facility. This expansion will be used for warehouse
and distribution.