The URL can be used to link to this page

Home My Public Portal About087-2004 - Tax Abatement - Vandor Corp - Equipment.pdf.w.exh.pdAMENDED ORDINANCE NO. 87-2004 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. 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, as 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 Iess 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. S. That the totality of the benefits is sufficient to justify the deduction. NOW, THEREFORE, be it ordained by the Common Council of the City of Richmond, Indiana, that the following property owner meets the requirements for property tax assessed valuation deductions, including the above findings, as follows: EQ !RMENT - 10 YEARS Vandor Corporation New Jobs: 6 Jobs Retained: 61 Estimated New Value: $1.,644,000.00 Dated: September 24, 2004 Passed and adopted this day of 2004 by the Common Council of the City of Richmond. Indiana. ATTESTi�,,��Croy Clerk (Karen Chasteen) PRESENTED to the Mayor of the City of Richmond, Indiana, this day of J 2004 at 9:00 a.m. City Clerk (Karen Chasteen) APPROVED by me, Sarah L. Hutton, Mayor of the City of Richmond, Indiana, this day of 2004 at 9:05 a.m. ft- WE - - �" wmml ATTE T: Clerk en Chasteen) STATEMENT OF BENEFITS PERSONAL PROPERTY + �1 State Form 51764 (5-04) Prescribed by the Department of Local Government Finance RECEIVED SEP 2 9 2W SFORM B -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/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, 1987 and areas designated after July 1, 1987 require a STATEMENT OF BENEFITS. (lC 6-1. f-12. f) 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 and/or logistical distribution equipment and/or information technology equipment, BEFORE a deduction may be approved 3. To obtain a deduction, Form 322 ERAIPPME and/or Form 322 ERA/PP Other, must be filed with the county auditor. Form 322 E'RAIPPM!_ and/or Form 322 ERAIPP Other must be flied between March 1 and May 15 of the assessment year in which new manufacturing equipment and/or research and development equipment and/or logistical distribution equipment and/or information technology equipment becomes assessable, unless a filing extension has been obtained. A person who obtains a filing extension must file the form between March f and the extended due date of that year. 4. Property owners whose Statement of Benefits was approved after June 30, 1991 must submit Farm 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 6-1.1-12.1-4.5(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.- • Name of taxpayer VANDOR CORPORATION Address of taxpayer (street and number, city, state and ZIP code) 4251 W. INDUSTRIES ROAD RICHMOND, IN 47374 Name of contact person CYNTHIA STAMPER, CONTROLLER Telephone number (765) 966-7676 PROPOSEDSECTION 2 LOCATION AND DESCRIPTION OF PROJECT Name of deslclnatinq body Resolution number COMMON COUNCIL OF THE CITY OF RICHMOND, INDIANA 10-1954; 11-1991 Location of property County Taxing district 4251 W INDUSTRIES ROAD WAYNE RICHMOND CORPORATION Description of manufacturing equipment and/or research and development equipment ESTIMATED and/or logistical distribution equipment and/or information technology equipment Start Date Completion Date (use additional sheets if necessary) Manufacturing Equipment 10/01/04 10/01/05 SEE ATTACHED R & D Equipment Lagist Dist Equipment' IT Equipment SECTION 3 ESTIMATE OF EMPLOYEES AND SALARIES AS RESULT OF PROPOSED PROJECT Current number Salaries Number retained Salaries Number additional Salaries 61 1,636,276 61 1,636,276 6 122,553 • i TOTAL COST-AND-VALUEOF-PROPOSED PROJECT - NOTE: Pursuant to IC 6-1.1-12.1-5.1 d 2 �) the Manufacturing Equipment R & D Equipment Lagist Dist Equipment' IT Equipment " COST of the property is confidential. Cost Assessed Cost Assessed Cost Assessed Cost Assessed Value Value Value Value Current values > > Plus estimated values of proposed project Less values of any property being replaced Net estimated values upon completion of project SECTION• . AND OTHER BENEFITS PROMISED BY THE TAXPAYER Estimated solid waste converted (pounds) Estimated hazardous waste converted (pounds) Other benefits: SECTION• I hereby certify that the representations in this statement are true. Signature of rize repr tative Title Date signed mortt , day, year) * See IC 6-1.1-12.1-2.3. I 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 . Installation of new manufacturing equipment; ❑ Yes ❑ 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 is 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: ❑ 1 year ❑ 6 years ** For ERA'S established prior to July 1, 2000 Mlyl r 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 de totality of benefits is sufficient to justify the deduction described above. Appr ed: (sign re a t of authorized me ber) Telephone number Date signed (month, day, year) Att st y: 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 Form SB-IA City of Richmond, Indiana Taxpayer Wage & Benefit Information Company Name, Address & Contact Person: The information requested on this supplement to form SB-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 $ 9.82 2. Average hourly wage for projected new positions $ 8.00 3. Average hourly health insurance benefit $ 2.04 1. The length of the abatement you are requesting IO (A 1-10 year abatement may be requested for real estate improvements and manufacturing equipment.) 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. A//� �2 SEPTEMBER 24; 2004 (Aut prized ignature and Title) (Date) September 24, 2004 Following is a listing of equipment that is planned for purchase to enhance our capabilities to generate additional sales. This increased capacity is the basis for requesting abatement. Below are estimated values for new equipment purchases. Description of Equipment Cost of Equipment Vendor to Purchase from Injection Molding Machine -2 $300,000.00 Vandorn Cooling System $35,000.00 Advantage Pioneer Press $50,000.00 Pioneer Container Shirring Machine $14,000.00 Georgia Attachment Fabric Roll Slitter $17,000.00 Georgia Attachment Towmotor - 2 $14,000.00 Miami Industrial Truck CNC Router $300,000.00 Mueller Co. Inc. Scrap Baler $18,000.00 Bale Master Assembly Line System $35,000.00 Motion Industries Lot Racking $16,000.00 Miami Industrial Truck Stretch Wrapper $12,000.00 BGR Corporation Vacuumforming Tools $30,000.00 Tooling Technology T-Nut Inserter $7,000.00 Stafast Inc. Injection Molding Tools $250,000.00 Custom Molding Dust Collection. System $60,000.00 Aget Company Ancillary Equipment $80,000.00 Garber Electrical Industrial Sewing Machines $12,000.00 Georgia Attachment Cutting Table and Accessories $10,000.00 Georgia Attachment Tube Winding Equipment $150,000.00 Taco Mfg Tube Racks for Storage & Shipping $25,000.00 Reeves Mfg Delivery Vehicles - 3 trucks $90,000.00 Studebaker GM Trucks Radial Arm Saw System $10,000.00 Mueller Co Inc Sliding Table Saw System $30,000.00 Mueller Co Inc Manlift $14,000.00 Kensar Equip. Company Clamshell Die -cutter $80,000.00 Brausse Die & Converting Loading System $50,000.00 Novatech Air Compressor $25,000.00 Sullair I, IN boo