HomeMy WebLinkAbout2006-R-12 RESOLUTION NO. 2006-R-
RESOLUTION APPROVING STATEMENT OF BENEFITS FOR
PURPOSES OF PROPERTY TAX ABATEMENT
WHEREAS, JDC VENEERS INC., and its subsidiary Cornerstone Architectural
Plywood, has petitioned the Common Council of the City of Jeffersonville, Indiana, for a
deduction in personal property taxes to be assessed on proposed new manufacturing
equipment to be used in property located in the AMERICA PLACE DEVELOPMENT
located in the City of Jeffersonville, Clark County, Indiana; and
WHEREAS, JDC VENEERS INC., has submitted a Statement of Benefits on the
form prescribed by the Indiana State Board of Tax Commissioners for such purpose,
which statement includes a description of the proposed redevelopment, an estimate of the
number of individuals who will be employed as a result of the redevelopment, an
estimate of the annual salaries of these individuals, and an estimate of the value of the
redevelopment; and
WHEREAS, the Common Council of the City of Jeffersonville has previously
determined that the area in which the proposed redevelopment project is located in the
City of Jeffersonville qualifies as an economic revitalization area pursuant to Indiana
Code 6-1.1-12.1-5, et seq., and Resolution 90-R-10; and
WHEREAS, the Common Council has reviewed the Statement of Benefits and its
attachment "A" submitted herein, and attaches and incorporates the Statement of Benefits
submitted herein, and attaches and incorporates the attachment "A" to this Resolution.
NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of
Jeffersonville, Indiana, that it specifically and affirmatively finds as follows:
1. That the estimate of the value of redevelopment or rehabilitation of $910,000 in
new personal property is reasonable for projects of the nature described in the
Statement of Benefits submitted by the company.
2. That the estimate of the number of 25 individuals who will be additionally
employed and 8 individuals whose employment will be retained can reasonably be
expected to result from the proposed described redevelopment or rehabilitation.
3. That the estimate of the annual Salaries of $862,400 of those individuals who will
be additionally employed and $283,560 of those whose employment will be
retained can be reasonably expected to result from the proposed described
redevelopment or rehabilitation.
4. That all other information requested from JDC VENEERS, INC., has been
submitted, and the benefits described in such information can be reasonably
expected to result from the proposed described redevelopment or rehabilitation.
5. That the totality of benefits for said redevelopment or rehabihtation is sufficient to
justify the deduction.
6. That JDC Veneer has agreed to the payment of a 15% fee to the Jeffersonville
City Council annually as described in IC 6-1.1-12.1-14.
BE IT FURTHER RESOLVED, that the Common Council of the City of
Jeffersonville, Indiana, hereby approves the application for deduction presented
by the Statement of Benefits filed by JDC VENEERS, INC., and that said
company shall be entitled to deductions for a period of ten (10) years for personal
property, pursuant to the provisiOns of I.C. 6-1.1-I2.1-4.5 Version b, with the
timely filing and perfection thereof with the Clark County Auditor's office
Passed and adopted this ~) day of C~L~ ,2006, by the Common Council of
the City °fJeffers°nville' Clark ~~i ff~. ~/~
President, Common Council
Peggy Wilder, Clerk-Treasurer
Presented by me as Clerk-Treasurer to the Mayor of the City of Jeffersonville,
Indiana, this
day of C~i~ ~ ,2006
Peggy Wilder, Clerk-Treasurer
obert '
STATEMENT OF BENEF TS F FORM
PERSONAL PROPERTY - ISB- 1 / P[
State P<3rrn 51764 (5-04)
Address of taxpayer (street and numbe~ ci~ state and ZIP c~e)
and/or logistical distribution equipment end/or information technology equipment
County Taxing dis=rict
ESTIMATED
Start Date Completion
Manufacturing EqulpmentI
R & D Equipment
Log/st D/st Equipment '
IT Equipment '
Salades
NOTE: Pursuant to lC $-1.1-12.1-5.1 (d) (2) the
COST of ~he property is con~dential.
Plus estimated vatues of proposed project
Less values of any property being replaced
Mahufacturing R & D Equipment
Equipment
Logist Oist Equipment
Cost Assessed Cost Assessed
Value Value
Cost Assessed
Value
IT Equipment
I hereby certify 'that the representations in this statement are true.
~t?
o/o , ._____
vewed our r or act Dna relating to the designer on of this economic revitalization area and find that the applicant mee[~
We have re ' P . · · ' solution assed under tC 6-1 1-12 %2 5, I
general standards adopted m the resolubon prevtously approved by th~s body. Said re . P ·
v/des for the followiCtg limitations as authorized under lC 6-1.1-12.1-2.
A. The designated area has Dean limited to a period of t 'ne not to exceed
designation expires is
B. The type of deduction that is allowed in the designated area is limited to:
I [nata[lafion of new manufacturing eouiomant:
2 nstallation of new research and development equipment:
3. Installation of new logistical distribution eeuipm, em.
4. Installation of new information technology equipment:
calendar years" (see be/ow), The date
I~Yes []No
[]Yes FiND
t--t Yes E]No
I- Yes [] No
.The amount of deducbon applicable to new manufacturing equrpment is limited to $ cost with an essa:
value of $
The amount of deducbon applicable to new research and development equipment is limited to $ cost
an assessed value of $
The amount of deduction applicable to new logistical distribution equipment is limited to $ cost wit
assessec value of $
F. The amount of deduction applicable to new information technology eduioment is limited to $ _ cost wit
assessed value of $
G Other limitations or cond~bons (specify)
H The deduction for new manufacturing equipment and/or new research and oevelopmem equipment and/or new logistical distribu
equipment and/or new information technology equipment instaHec and first claimed e gible for deduction after July 1 200(} is allo'
Fi 1 year [] 6 years
[] 2 years [] 7 years
[] 3 years -- [] 8 years
[] 4 years [] 9 years
--I 5 years"' [] 10 years"'
"For ERA's established poor to July 1. 2000 on~y a
5 or 10 year schedule may be deducted.
adze and have determined that the tota[i[~, of benefits is sufficient to .~stify the deduction described above.
· If the designaun§ body limits the time period during which an area is an economic revitalization area it does '~ot limit the Iengtn o
time a taxoayer ~s entitled to "eceive a deduction to a number of years designated under lC 6-1.1-12,1-4.5
ATTACHMENT "A'
ATTACHMENT TO THE STATEMENT OF BENEFITS
FOR JDC VENEERS, INC.
FEBRUARY 6, 2006
The council will grant 10-year abatement on $910,000 in personal property as allowed
by state statute. This applies to qualifying new equipment ordered after the abatement
is granted and is subject to the dollar limit specified on the SB-1. This abatement will
only apply to equipment ordered and installed in the first 24 months following the
granting of abatement.
The company will provide jobs and salaries as specified in the SB-I and any
attachment thereto. The "salaries" on the SB-1 is agreed to mean base hourly wages,
without overtime or benefits, times 2080 hours per year for the number of employees
as indicated in Section 3 of the SB-1. In the case ora ten-year abatement it is the
expectation of the council that the company will reach the number of employees and
average wages specified on the SB-1 within three years of the date of the granting of
the abatement. The company understands that his abatement is being offered based
upon those jobs and wages. If the company fails to substantially reach those numbers
or falls to maintain those numbers over the life of the abatements, the council may as
provided by law rescind this abatement. The company agrees to make available any
and all information the council deems necessary to verify compliance.
The company agrees to pay an annual fee of 15% as described in Indiana Code 6-1.I-
12.1-14.