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HomeMy Public PortalAbout2011-4RESOLUTION NO. 2011 - 4 A RESOLUTION REAFFIRNIING RESOLUTION 2011 - 2 AND DECLARING AN ECONOMIC REVITALIZATION AREA AND RECOMMENDED TAX DEDUCTION (CROWN EQUIPMENT CORPORATION) WHEREAS, the laws of the State of Indiana, specifically I.C. 6- 1.1- 12.1 -1, et. seq., provide for the creation of economic revitalization areas within the corporate limits of the City of Greencastle, Putnam County, Indiana, for the general purpose of providing property tax deductions to encourage private redevelopment of areas which have become undesirable for, or impossible of, normal development and occupancy because of a lack of development, cessation of growth, deterioration of improvements or character of occupancy, age, obsolescence, substandard buildings or other factors which have impaired values or prevent normal development of property or use of property; and, WHEREAS, the term "economic revitalization area" also includes any area where a facility or group of facilities that are technologically, economically or energy obsolete are located and where the obsolescence may lead to the decline in employment and tax revenue; and, WHEREAS, "redevelopment' means the construction of new structures in economic revitalization areas either on unimproved real estate or on real estate upon which a prior existing structure is demolished to allow for new construction; and, WHEREAS, "rehabilitation" means remodeling, repair or betterment of property in any manner or any enlargement or extension of property; and, WHEREAS, pursuant to applicable laws of the State of Indiana, the Common Council of the City of Greencastle may create said economic revitalization area through the adoption of a resolution; and, WHEREAS, the need exists to establish an economic revitalization area in order to encourage private redevelopment in the City of Greencastle, Putnam County, Indiana; and, WHEREAS, Crown Equipment Corporation has planned the economic revitalization of their operations by expanding their facility by 145,700 square feet at an estimated investment of $6.5 million and investing up to $10.95 million in new manufacturing equipment to support additional operations resulting in the retention of 302 jobs and the creation of 143 new jobs at their facility. Crown Equipment Corporation seeks a tax deduction pursuant to I.C. 6 -1.1 -12.1, et. seq.; and, WHEREAS, Statement of Benefits forms (Form SB -1/RE and Form SB- 1/PP), said forms approved by the Department of Local Government Finance, have been submitted to the Common Council on February 17, 2011, prior to the start of construction and the installation of new manufacturing equipment on such real estate by Crown Equipment Corporation and that such Statement of Benefits forms are attached hereto and marked "Exhibit A and Exhibit B "; and, WHEREAS, the Common Council of the City of Greencastle passed Resolution 2011 - 2 on February 8, 2011 and advertised a public hearing for March 8, 2011; and, WHEREAS, the Common Council of the City of Greencastle, pursuant to the laws of the State of Indiana, does now hereby find that: 1. The estimate of the value of the new manufacturing equipment is reasonable for projects of that nature; 2. The estimate of the number of individuals who will be employed or whose employment will be retained can be reasonably expected to result from the proposed described installation of new manufacturing equipment; 3. The estimate of the annual salaries of those individuals who will be employed or whose employment will be retained can reasonably be expected to result from the proposed described redevelopment or rehabilitation and installation of new manufacturing equipment; 4. That any other benefits about which information was requested are benefits that can be reasonably expected to result from the described redevelopment or rehabilitation and installation of new manufacturing equipment. 5. The totality of the benefits is sufficient to justify a deduction. THEREFORE, based upon these findings, BE IT RESOLVED THAT THE COMMON COUNCIL OF THE CITY OF GREENCASTLE on this 8th day of March, 2011, pursuant to I.C. 6 -1.1- 12.1 -1, et. seq., deems there to be a need to establish an economic revitalization area and that said economic revitalization area shall be defined as follows: TRACT I - ORIGINAL CROWN SITE Situate in the State of Indiana, County of Putnam and being a part of the West hlaf of the Northeast quarter and the East half of the Northwest quarter of Section 24, Township 14 North, Range 4 West of the Second Principal Meridian, more particularly described, to -wit: Commencing at the Northwest corner of Section 24, Township 14 North, Range 4 West; thence South 88 degrees 10 minutes East 3,840.10 feet with the North line of said Section 24 to the Northeast corner of the West half of the Northeast quarter; thence South 00 degrees 19 minutes West 469.67 feet with the East line of said West half quarter to an iron pin on the South right -of -way line of Indiana State Road #240 and the true point of beginning of the real estate herein described; thence South 00 degree 19 minutes West 694.04 feet with said East line; thence with a fence line and the easterly extension thereof, North 83 degrees 33 minutes West 503.48 feet to a wood post; thence North 77 degrees 56 minutes West 467.33 feet to a steel post; thence North 77 degrees 30 minutes West 370.24 feet to an iron pin; thence leaving the aforesaid fence line, North 00 degrees 19 minutes East 755.97 feet to an iron pin on the South right -of -way line of Indiana State Route #240; thence with said South right -of -way line, South 76 degrees 42 minutes 00 seconds East 203.37 feet to an iron pin; thence Southeasterly 502.96 feet on a curve to the left having a radius of 43,086.85 feet and subtended by a long chord bearing South 77 degrees 02 minutes 04 seconds East a distance of 502.96 feet to an iron pin; thence South 71 degrees 42 minutes 25 seconds Est 50.39 feet to an iron pin; thence Southeasterly 150.42 feet on a curve to the left having a radius of 43,091.85 feet and subtended by a long chord bearing South 77 degrees 32 minutes 08 seconds East a distance of 150.42 feet to an iron pin; thence South 83 degrees 21 minutes 50 seconds East 50.39 feet to an iron pin; thence South 77 degrees 54 minutes 55 seconds East 394.34 feet to an iron pin and the point of beginning containing 22.36 acres, more or less. Commonly known as 2600 East State Road 240. (DR 216 page 387) TRACT Il - LAND BETWEEN ORIGINAL TRACT AND CAPITAL DRIVE Situate in the State of Indiana, County of Putnam and being a part of the Northwest quarter of Section 24, Township 14 North, Range 4 West of the Second Principal Meridian, more particularly described to -wit: Commencing at an iron pin marking the Northwest Corner of Section 24, Township 14 North, Range 4 West; thence South 00 degrees 52 minutes West 90.11 feet with the West line of said Section 24 to the South right -of -way line of Indiana State Road #240; thence with said South right -of -way line Southeasterly 608.81 feet on a curve to the right having a radius of 28,532.90 feet and subtended by a long chord bearing South 87 degrees 59 minutes 44 seconds East a distance of 608.80 feet; thence South 87 degrees 23 minutes 00 seconds East 799.76 feet to a concrete right -of -way monument; thence South 81 degrees 40 minutes 22 seconds East 50.25 feet to an iron pin; thence South 87 degrees 23 minutes 00 seconds East 100.00 feet to an iron pin; thence North 86 degrees 53 minutes 53 seconds East 49.74 feet to an iron pin; thence Southeasterly 73.61 feet on a curve to the right having a radius of 4,468.66 feet and subtended by a long chord bearing South 86 degrees 39 minutes 01 second East a distance of 73.61 feet to a 5/8 inch rebar and the true point of beginning of the real estate herein described; thence continuing with the aforesaid South right -of -way line Southeasterly 739.81 feet on a curve to the right having a radius of 4,468.66 feet and subtended by a long chord bearing South 81 degrees 26 minutes 35 seconds East a distance of 738.96 feet; thence South 76 degrees 42 minutes 00 seconds East 110.63 feet to the Northwest corner of a 22.36 acre tract as described in Deed Record 216, page 387 in the office of the Recorder of Putnam County, Indiana; thence leaving the South right -of -way line of the aforesaid Indiana State Road #240 South 00 degrees 19 minutes West 755.97 feet with the West line of the aforesaid 22.36 acre tract to the Southwest corner thereof; thence West 839 feet to the East line of a 0.31 acre tract; thence with said East line North 00 degrees 18 minutes 00 seconds East 891 feet to the point of beginning containing 16.12 acres, more or less. Commonly known as 2400 East State Road 240. (DR 225 page 542) THEREFORE, the Common Council of the City of Greencastle does recommend a deduction of assessed value for a period of ten (10) years as a result of the expansion of the facility and for a period of ten (10) years as a result of the installation of new manufacturing equipment, all as set forth in I.C. 6 -1.1- 12.1 -4 and 4.5. The Common Council of the City of Greencastle does NOT recommend a deduction or tax abatement for special tooling nor does Crown equipment Corporation request such abatement. The Common Council of the City of Greencastle further recommends and approves the application of the deductions herein for improvements and equipment installed pursuant to the Statement of Benefits from the approval of this resolution and during the forty -eight (48) ensuing months, March 8, 2011 to March 1, 2015. PASSED AND RESOLVED by the Common Council of the City of Greencastle at its regular meeting this 8' day of March, 2011. COMMON COUNCIL OF THE CITY OF GREENCAS INDIANA Jirr ie S. Bingham Adam Cohen Mark N. Hammer Terry . S 'i Phy K s Ross Rokicki Approved and signed by me this 8th day of March, 2011 at `��� p.m. o'clock. Susan V. Murray, Mayor AATTT: Teresa P. Ole rk- reasurer STATEMENT OF BENEFITS EXHIBIT A 20 PAY 20_ REAL ESTATE IMPROVEMENTS FORM SB -1 I Real Property slate Form 51767 (R211 -07) t Prescribed by the Department of Local Government Finance This statement Is being completed for real property that qualifies under the follovring Indiana Code (check one box): Q Redevelopment or rehabilitation of real estate improvements (IC 6-1.1- 12.14) ❑ Eligible vacant building (IC 6- 1.1- 12.14.8) INSTRUCTIONS: g body requires 1. This statement must be submitted o the body designating the Economic Revitalization Area prior to the public hearing if the designrequires information from the applicant in making its decision about whether to designate an Economic Revitalization Area. Otherwise this statement must be submitted [o the designating body 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, requires STATEMENT Or BENEFITS. S. (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, BEFORE a deduction may be approved. 3. To obtain a deduction, application Form 322 ERA/RE or Form 322 ER"SD, whichever is applicable, must be filed with the County wner at the a late address of.' /1) May 10; or (2) thirty (30) days alter the notice of addition to assessed valuation or new assessment is mailed to the property shown on the records of the township assessor. lication to 4. Property owners whose Statement of Benefits was approved after June 30, 1991, must attach a Form CF -1 /Real Property annually to the app show compliance with the Statement of Benefits. (IC 6 -1.1. 12.1- 5.1(b) and IC 6-1.1- 12.1 - 5.3(1)1 5. The schµdul TV t gd l nn under IC 1 2000. The schedules effective pnorto y and July 1 under 2000, shall continue ( to apply to vacant statement ofpbene5ts any statement Page 2 of 2 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, provides for the following limitations: A. The designated area has been limited to a period of time not to exceed 48 months calendar years ` (see below). The date this designation expires is March 1. 2015 B. The type of deduction that is allowed in the designated area is limited to: 1. Redevelopment or rehabilitation of real estate improvements 2 Yes ❑ No 2. Residentially distressed areas ❑ Yes © No 3. Occupancy of a vacant building ❑ Yes © No C. The amount of the deduction applicable is limited to s 7,000,000.00 Dr Other limitations or conditions (specify) None E. The deduction is allowed for ten (10) years' (see below). We have also reviewed the information contained in the statement of benefits and find that the estimates and expectations are reasonable and have determined that the totality of benefits is sufficient to justify the deduction described above. Approved (signature and title of mger io dy) Telephone number Date signed (month, day, year) S V. M_urray,_May ic V , 1 (765) 653 -3100 03/08/2011 Atteste b y (signalu-and t iffs ofafteste 4 Designated body Teresa P. Glenn, Clerk- Treasurer I rreencastle Common Council ' 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- 1.12- 12.1 -4. A. For residentially distressed areas, the deduction period may not exceed five (5) years. B. For redevelopment and rehabilitation or real estate improvements: 1. If the Economic Revitalization Area was designated prior to July 1, 2000, the deduction period is limited to three (3), six (6), or ten (10) years. 2. If the Economic Revitalization Area was designated after June 20, 2000, the deduction period may not exceed ten (10) years. C. For vacant buildings, the deduction period may not exceed two (2) years. Page 2 of 2 ATTACHMENT TO FORM SIB-1 /REAL PROPERTY Section 2 - Description of real property improvements, redevelopment or rehabilitation Crown Equipment Corporation is expanding its current manufacturing facility by 145,700 sq. ft. to accommodate increased levels of current lift truck production and to allow for new manufactured product and processes. The expansion is necessary to house additional production equipment, employees and support services. We estimate the cost of the plant expansion to be $6.5 million. EXHIBIT B �. STATEMENT OF BENEFITS PERSONAL PROPERTY State Form 51764 (R /1 -06) Prescribed by the Department of Local Government Finance FORM SEW IPP F.s PRIVACY NOTICE ost and any speriflc individual's information is confidential; the of me Olingg is public re 6A.1- 12.1 -5.1 (c and d). 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. 'Pro)ects "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 installation of the new manufacturing equipment and/or research and development equipment and/or logistical distribution equipment and/or information technology equipment, BEFORE deduction may be approved 3. To obtain a deduction, a person must file a certified deduction schedule with the person's personal property return on a certified deduction schedule (Form 103 -ERA) with the township assessor of the township where the property is situated. The 103 -ERA must be riled 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 is installed and fully functional, unless a (ling 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 June 30, 1991, must submit Form CF -1 / PP annually to show compliance with the Statement of Benefits. (IC64.142.1 -5.6) 5. The schedules established under IC 6-1.1- 12.1- 4.5(d) and (e) apply to equipment installed after March 1, 2001. For equipment installed prior to March 2, 9001 rho nd statutes in effect at the time shall continue to apply. (IC 6- 1.1- 12.1 - 4.5(1) and (g)) NI yer quipment Corporation payer (number and street, city slam, and ZIP code) Washington Street, New Bremen, OH 45869 -1247 :erso Telephone number G person . Smith (419) 629 -2311 Resolution number (s) Name of designating body Greencastle City Council County DLGF taxing district number Location of property 2600 State Road 240, Greencastle, IN 46135 Putnam 008 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 11/01/2011 0313112013 See attached R 8 D Equipment Logist Dist Equipment IT Equipment Current number I Salaries Number retained SaWdes Number additional Salaries_ 302 12;546;000.00 302 1 i 143 5,934,000.00 MANUFACTURING R 8 D EQUIPMENT LOGIST DIST IT EQUIPMENT EQUIPMENT NOTE: Pursuant to IC 6-1.1- 12.1 -5.1 (d) (2) the EQUIPMENT COST of the property is confidential. COST ASSESSED COST ASSESSED COST ASSESSED COST ASSESSED VALUE VALUE VALUE Current values 10,339.25100 Plus estimated values of proposed project 101950.00100 Less values of any property being replaced Net estimated values upon completion of project 21.259.252.00 Estimated solid waste converted (pounds) Estimated hazardous waste converted (pounds) Omer benefits: I hereby certify that the representations in this statement are We. Signature of authorized e Tide Date signed ( omh, dog ar) 3 �/ (/ Assistant Treasurer 1 NI 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, provides 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 48 months calendar years' (see below). The date this designation expires Is March 1, 2015 S . The type of deduction that is allowed in the designated area is limited to: 1. Installation of new manufacturing equipment; QYes ❑ N o 2. Installation of new research and development equipment; ❑Yes ❑✓ N o 3. Installation of new logistical distribution equipment. ❑Yes Q N o 4. Installation of new information technology equipment; ❑Yes Q N o C. The amount of deduction applicable to new manufacturing equipment is limited to $ 12,000,000.00 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) None 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 on or after July 1, 2000, is allowed for: ❑ 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 04 years ❑ 9 years 0 years" 010 years" Also we have reviewed the information contained in the statement of benefits and find that the estimates and expectations are reasonable and have determined that the totality of benefits is sufficient to justify the deduction described above. Approved: (signature and rifle or auth barl Telephone number Dale signed (month, day, year) Susan V. Murray, Mayor �,,, \ � \ J � \ /g� o (765) 653 -3100 03/08/2011 Teresa P. Glenn, Clark- - If the designating body limits the time period during which an area is an entitled to receive a deduction to a number of years designated under IC Common Council nomic revitalization area, it does not limit the length of time a taxpayer is 1-12.1 -4.5 ATTACHMENT TO FORM SB -1 /PERSONAL PROPERTY Section 2 - Description of manufacturing equipment and /or research and development equipment and /or logistical distribution equipment and /or information technology equipment. Crown Equipment Corporation is expanding its current manufacturing facility by 145,700 sq. ft. to accommodate increased levels of current lift truck production and to allow for new manufactured product and processes. As part of this expansion Crown will invest, through purchase or lease, approximately $10.95 million in additional manufacturing equipment.