HomeMy Public PortalAboutr 05:043
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No. 05-43
1\
I
Date of Adoption January 27, 2005
AUTHORIZING TAX ABATEMENT AGREEMENT-
BLOCK 144, LOTS 9 & 17
WHEREAS, Frank Raia and Anthony Sirignano and or successors, (hereinafter referred
to as the "Sponsor") proposes to construct a housing project (hereinafter referred to as the
"Development" or "Project") pursuant to the provisions of the New Jersey Housing and
Mortgage Finance Agency Law of 1983, as amended (N.J.S.A. 55:14K-I, et seq.)
(hereinafter referred to as the "HMF A Law") within the Borough of Carteret (hereinafter
referred to as the "Municipality") on the site described as Block 144 Lots 9 & 17 the
Borough of Carteret, Middlesex County and commonly known as 553 & 569-571
Roosevelt Avenue, Carteret, New Jersey; and
WHEREAS, the Development will be subject to the Rules and Regulations of the New
Jersey Housing and Mortgage Finance Agency (hereinafter refereed to as the
"NJHMF A"); and
WHEREAS, pursuant to the provisions of the HMFA Law, the Governing Body of the
Municipality hereby certifies that there is a need for this low and moderate income
housing project in the Municipality; and
WHEREAS, the Sponsor has presented to this body a proposal covering the cost of the
land and improvements and the operation of the Development as estimated by the
Sponsor and NJHMF A, which reasonably assures the successful completion and
operation of the Development.
NOW, THEREFORE, BE IT RESOLVED, by the Mayor and Council of the Borough
ofCarteret, County of Middlesex, State of New Jersey as follows:
(a) The proposed Development will meet or meets an existing housing need.
(b) The proposed Development conforms or will conform to the requirements
of all applicable ordinances ofthis Municipality.
(c) The Development of the Project is hereby approved; and
"
BE IT FURTHER RESOLVED, that
(I) The Borough Council hereby adopt the within Resolution and make the
determination and findings therein contained by virtue of pursuant to, and
in conformity with the provisions of the HMF A Law with the intent and
purpose that the NJHMF A shall rely thereon in making a mortgage loan
to the Sponsor, which shall construct, own and operate the Development;
and
(2) The Borough Council does hereby adopt the within Resolution with the
further intent and purpose that from the date of execution of the NJHMF A
mortgage, the proposed Development will be exempt trom real property
taxation as provided in N.J.S.A. 55:14K-I et ~., and that, in lieu of
taxes, said Sponsor shall make to the Municipality payment of an annual
service charge for municipal services supplied to the Development in such
amounts and manner set forth in the Agreement for payments in Lieu of
Taxes attached hereto as Exhibit "B". The exemption is being made with
the understanding that the land shall continue to be assessed but shall be
credited toward the annual service charge; and
(3) The Borough Council hereby authorized and directs the Mayor and the
Borough ofCarteret to execute, on behalf of the Municipality, Agreement
for payments in Lieu of Taxes in the form annexed hereto as Exhibit "B";
and
NO. ~-43
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PAGE 2 of 2
(4) The Borough Council understand and agrees that the amounts set forth in
Exhibi' "A" are estimates only and agrees that the Sponsor may, upon
NJHMF A approval, make reasonable changes in the construction,
maintenance and operation of the development to ensure compliance with
financial and statutory requirements of NJHMF A, which will necessitate
reasonable changes in the amounts set forth in Exhibit "A".
(5) The Borough's Finance Department is hereby authorized and directed to
make payment to the Sponsor in the amount of $320,000.00 (16 units x
$20,000.00 per unit), to be paid from the Borough's Regional Contribution
Agreement account and upon approval of the financing for the
Development by the NJHMFA.
Adopted this 27th day of January, 2005
and certified as a true copy of the
original on January 28,2005.
KATHLEEN M. BARNEY, RMC/CMC
Municipal Clerk
NO NV A.B. COUNCILMAN YES NO NV A.B.
COUNCILMAN YES
X NAPLES v
BELLINO
RIOS X
DIAZ X
KRUM y SITARZ - y
--
. AB - Absent NY - Not Voting XOR - InJil'í1ICS 'iate [0 Overrule Veto ¡-l
X - Indicate Vole ----
Adopted at " meeting of the Municipal Council ~_ Ja:uary 27. 2005
'/!R'J~! ~A..n¿/
JCLERK
RECORD OF COUNCIL VOTE