HomeMy WebLinkAbout2006-R-17 RESOLUTION NO. 2006-R- / 7
RESOLUTION APPROVING STATEMENT OF BENEFITS FOR
PURPOSES OF PROPERTY TAX ABATEMENT
WHEREAS, SDI, INC., 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 located in the Clark Maritime Center
located in the City of Jeffersonville, Clark County, Indiana; and
WHEREAS, SDI, 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 new equipment, 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 Cmm~mn 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 89-R-32, and confirming Resolution 89-R-39;
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 $33,000,000 in 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 37 individuals who will be additionally
employed and 42 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 $2,170,251 of those individuals who
will be added and $2,532,000 of those who will be retained can be reasonably
expected to result from the proposed described redevelopment or rehabilitation.
4. That all other information requested from SDI, 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 rehabilitation is sufficient to
justify the deduction.
6. That SDI, l_nc. has agreed to the payment of a 7.5% 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 SDI, INC., and that said company shall be
entitled to deductions for a period of ten (10) years for personal property, IC 6-
1.1-12.1-4.5 Version b for personal property, with the timely filing and perfection
thereof with the Clark County Auditor's office
Passed and adopted this
the City of Jeffersonville, Clark Co~y, Indiana.
day of ,2006, by the Common Council of
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 ~,~, 2006
Peggy Wilder, Clerk-Treasnrer
,2006
ATTACHMENT "A"
ATTACHMENT TO THE STATEMENT OF BENEFITS
FOR SDI, INC.
February 6, 2006
The council will grant lO-year abatement on $5,000,000 to $6,000,000 in real and
$33,000,000 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. This
equipment specifically need not be in use nor have appeared on a Business Tangible
Personal Property Assessment Return within the 24-month period.
The company will provide jobs and salaries as specified in the SB-1 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 of a 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 fails 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 7.5% as described in Indiana Code 6-1.1-
12.1-14.
Steel Dynamics, Inc.