HomeMy Public PortalAbout07 - 2023-7 - ECONOMIC REVITALIZATION AREA FOR CROWN EQUIPMENT CORP. RESOLUTION NO. 2023 - 7
A RESOLUTION REAFFIRMING RESOLUTION 2023 -6 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 operations into a 430,000 square feet existing facility at an
estimated investment of $17 million and investing up to $40.0 million in new manufacturing
equipment to support additional operations resulting in the retention of 860 jobs and the creation
of 200 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 May 11, 2023 prior to the start of property renovation 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 2023 - 6
on May 11, 2023 and advertised a public hearing for June 08, 2023; 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 08th day of June 2023, 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:
SITE FORMERLY KNOWN AS IAC, CURRENTLY OWNED BY EPM
GREENCASTLE LLC
Situate in the State of Indiana, County of Putnam and being a part of the South half
of Section 13,Township 14 North, Range 4 West of the Second Principal Meridian,
more particularly described to-wit:
Beginning at a railroad spike in the centerline of a county road which is 464.71 feet
North and 3338.63 feet East of the Southwest corner of Section 13, Township 14
North,Range 4 West; •the said railroad spike is further described as being North 00
degrees 27 minutes 02 seconds West 724.71 feet from the intersection of the
centerline of said county road and the North right-of-way line of Indiana State Road
No. 240; thence West 1361.01 feet to a concrete monument; thence North 1400.00
feet to a concrete monument; thence East 1350.00 feet to a railroad spike in the
centerline of the aforesaid county road which is South 00 degrees 27 minutes 02
seconds East 1400.04 feet with the centerline of said county road to the point of
beginning, containing 43.57 acres, more or less.
EXCEPT THEREFROM the following described real estate: Beginning at a point
1864.71 feet North and 1977.62 feet East of the Southwest corner of Section 13,
Township 14 North, Range 4 West; thence East 250.0 feet;thence South 200.0 feet;
thence West 250.0 feet;thence North 200.0 feet to the point of beginning,containing
1.148 acres.
Also commonly known as 750 South Fillmore Road.
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 renovation of the facility
owned by EPM Greencastle LLC and located at 750 Fillmore Road as set forth in I.C. 6-1.1-12.1-
3. The following abatement schedule applies to the eligible real property improvements that
are a part of the expansion project outlined in this resolution:
YEAR ONE 100%
YEAR TWO 100%
YEAR THREE 100%
YEAR FOUR 65%
YEAR FIVE 50%
YEAR SIX 40%
YEAR SEVEN 30%
YEAR EIGHT 20%
YEAR NINE 10%
YEAR TEN 5%
YEAR ELEVEN AND BEYOND 0%
THEREFORE,the Greencastle Common Council does recommend a deduction of assessed
value for a period of ten(10)years as a result of the installation of new manufacturing equipment
as set forth in I.C. 6-1.1-12.1-4.5. The following abatement schedule applies to the eligible
personal property that are a part of the expansion project outlined in this resolution:
YEAR ONE 100%
YEAR TWO 90%
YEAR THREE 80%
YEAR FOUR 70%
YEAR FIVE 60%
YEAR SIX 50%
YEAR SEVEN 40%
YEAR EIGHT 30%
YEAR NINE 20%
YEAR TEN 10%
YEAR ELEVEN AND BEYOND 0%
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 sixty (60) ensuing
months, June 2023 to May 2028.
PASSED AND RESOLVED by the Common Council of the City of Greencastle at its
regular meeting this 08th day of June 2023.
COMMON COUNCIL OF THE CITY OF GREENCASTLE, INDIANA
47-4-91 /( i A),. Y`-1-19zw
Cody Ec Mark Ham er v,
C1.„ ' _ - j)
R sell Harvey Stacie Langdon
YiligAlkd
CS' d Murray
Veronica Pejril
1--__C:./_,\.,...,\,... VA__\.,,\(A<___ D
Darrel Thomas
Approved and signed by me this 08th day of June 2023 at p.m. o'clock.
it iam A. ory, Mayor
ATTEST:
Ly a R. Dunbar, Clerk-Treasurer
FOR USE OF THE DESIGNATING BODY
We find that the applicant meets the general standards in the resolution adopted or to be adopted by this body. Said resolution,passed or to be 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 5 calendar years`(see below). The date this designation
expires is May 2028 . NOTE:This question addresses whether the resolution contains an expiration date for the designated area.
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
C. The amount of the deduction applicable is limited to$ 16,500,000.00 .
D. Other limitations or conditions(specify)
E. Number of years allowed: ❑Year 1 ❑Year 2 ❑Year 3 ❑Year 4 ❑ Year 5 (*see below)
❑Year 6 ❑Yea r? ❑Year ❑Year 9 pi Year 10
F. For a statement of benefits approved after June 30,2013,did this designating body adopt an abatement schedule per IC 6-1.1-12.1-17?
®Yes ❑No
If yes,attach a copy of the abatement schedule to this form.
If no,the designating body is required to establish an abatement schedule before the deduction can be determined.
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.
Appr ved ignGure and
Y ti le of a t rized�r of designating body) Telephone number Date signed(month,day.year)
_ ( 765 ) 653-3100 June 8,2023
Printe name of authorized m ber of designating body Name of designating body
Mark Hammer, President City of Greencastle Common Council
Atteste y(signature title ttester) Printed name of attester
Lynda Dunbar, Clerk-Treasurer
If the designating body limits the time period during which an area is an economic revitalization area,that limitation does not limit the length of time a
taxpayer is entitled to receive a deduction to a number of years that is less than the number of years designated under IC 6-1.1-12.1-17.
A. For residentially distressed areas where the Form SB-1/Real Property was approved prior to July 1,2013,the deductions established in IC
6-1.1-12.1-4.1 remain in effect.The deduction period may not exceed five(5)years. For a Form SB-1/Real Property that is approved after June 30,
2013,the designating body is required to establish an abatement schedule for each deduction allowed. Except as provided in IC 6-1.1-12.1-18,the
deduction period may not exceed ten(10)years. (See IC 6-1.1-12.1-17 below.)
B. For the redevelopment or rehabilitation of real property where the Form SB-1/Real Property was approved prior to July 1,2013,the abatement
schedule approved by the designating body remains in effect.For a Form SB-1/Real Property that is approved after June 30,2013,the designating
body is required to establish an abatement schedule for each deduction allowed.(See IC 6-1.1-12.1-17 below.)
IC 6-1.1-12.1-17
Abatement schedules
Sec.17.(a)A designating body may provide to a business that is established in or relocated to a revitalization area and that receives a deduction under
section 4 or 4.5 of this chapter an abatement schedule based on the following factors:
(1) The total amount of the taxpayer's investment in real and personal property.
(2) The number of new full-time equivalent jobs created.
(3) The average wage of the new employees compared to the state minimum wage.
(4) The infrastructure requirements for the taxpayer's investment.
(b)This subsection applies to a statement of benefits approved after June 30,2013. A designating body shall establish an abatement schedule
for each deduction allowed under this chapter. An abatement schedule must specify the percentage amount of the deduction for each year of
the deduction. Except as provided in IC 6-1.1-12.1-18,an abatement schedule may not exceed ten(10)years.
(c)An abatement schedule approved for a particular taxpayer before July 1,2013,remains in effect until the abatement schedule expires under
the terms of the resolution approving the taxpayers statement of benefits.
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FOR USE OF THE DESIGNATING BODY
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 5 calendar years*(see below). The date this designation expires
is May 2028 . NOTE:This question addresses whether the resolution contains an expiration date for the designated area.
B. The type of deduction that is allowed in the designated area is limited to:
1 . Installation of new manufacturing equipment; RI Yes ❑N o ❑ Enhanced Abatement per IC 6-1.1-12.1-18
2. Installation of new research and development equipment; ❑Yes ❑No Check box if an enhanced abatement was
approved for one or more of these types.
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$ 44,000,000.00 cost with an assessed value of
$ 44,000,000.00 . (One or both lines may be filled out to establish a limit,if desired.)
D. The amount of deduction applicable to new research and development equipment is limited to$ cost with an assessed value of
$ . (One or both lines may be filled out to establish a limit,if desired.)
E. The amount of deduction applicable to new logistical distribution equipment is limited to$ cost with an assessed value of
$ . (One or both lines maybe filled out to establish a limit,if desired.)
F. The amount of deduction applicable to new information technology equipment is limited to$ cost with an assessed value of
$ . (One or both lines may be filled out to establish a limit,if desired.)
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 is allowed for:
❑ Year 1 ❑ Year 2 ❑ Year 3 ❑ Year 4 ❑ Year 5 ❑Enhanced Abatement per IC 6-1.1-12.1-18
Number of years approved:
❑ Year 6 ❑ Year 7 ❑ Year 8 ❑ Year 9 RI Year 10 (Enter one to twenty(1-20)years;may not
exceed twenty(20)years.)
I. For a Statement of Benefits approved after June 30,2013,did this designating body adopt an abatement schedule per IC 6-1.1-12.1-17? 0 Yes ❑No
If yes,attach a copy of the abatement schedule to this form.
If no,the designating body is required to establish an abatement schedule before the deduction can be determined.
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.
Appr ve y: ignatyre,and tile f authorized member of designating body) Telephone number Date signed(month,day,year)
(�/ i2e1/4--1 ( 765 )653-3100 June 8, 2023
Print name of authorized member of designating body Name of designating body
Mark Hammer, President City of Greencastle Common Council
Atteste y (si nature a title of ester) Printed name of attester
Lynda Dunbar, Clerk-Treasurer
If the designating body limits the time period during which an area is an economic revitalization area,that limitation does not limit the length of time a
taxpayer is entitled to receive a deduction to a number of years that is less than the number of years designated under IC 6-1.1-12.1-17.
IC 6-1.1-12.1-17
Abatement schedules
Sec.17. (a)A designating body may provide to a business that is established in or relocated to a revitalization area and that receives a deduction under
section 4 or 4.5 of this chapter an abatement schedule based on the following factors:
(1) The total amount of the taxpayer's investment in real and personal property.
(2) The number of new full-time equivalent jobs created.
(3) The average wage of the new employees compared to the state minimum wage.
(4) The infrastructure requirements for the taxpayer's investment.
(b)This subsection applies to a statement of benefits approved after June 30,2013. A designating body shall establish an abatement schedule
for each deduction allowed under this chapter. An abatement schedule must specify the percentage amount of the deduction for each year of the
deduction.Except as provided in IC 6-1.1-12.1-18,an abatement schedule may not exceed ten(10)years.
(c)An abatement schedule approved for a particular taxpayer before July 1,2013,remains in effect until the abatement schedule expires under
the terms of the resolution approving the taxpayer's statement of benefits.
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