HomeMy WebLinkAbout2001-R-18RESOLUTION 2001-R- ~5
Whereas, the Common Council, Clerk-Treasurer, and Mayor have previously designated
certain areas located within the City of Jeffersonville, Clark County, Indiana as economic
revitalization areas in order to encourage development and rehabilitation of the property located
therein, and
Whereas, the real estate in question belonging to Kintec, LLC, a manufacturing facility,
at 4800 Keystone Blvd. - Jeffersonville, Indiana is located within the Keystone Economic
Revitalization Area, and
Whereas the City of Jeffersonville desires to approve the correcting procedural problems
as outlined in Rule 4, Miscellaneous Provisions, 50 IAC 10-4-1 Correcting Procedural Problems,
Section 1 through 4, and
Whereas Kintec, LLC has met or exceeded all promises for new capital investment, jobs
retained, and new jobs created and is vital to the economic vitality of the City of Jeffersonville.
Therefore, we wish to approve the Form SB-1 and accompanying Form CF-1 dated May
10, 2001 and allow said real estate to be abated from the assessed valuation of Kintec, LLC.
Kintec, LLC, shall be entitled to deductions for a period of FIVE (5) YEARS for said real estate,
pursuant to provisions of I.C. 6-1.I-12.1-3(d) and I.C. 6-1.I-12.1-49(d)(3).
This Ordinance shall be in full force and effect from and after its passage and approval.
Passed this ('0 day of~ 2013L ~.~/
C~om~all~~° Presiding Officer ~
Attest:
Peggy~ltXler
Clerk and Treasurer
Presented by me as Clerk and Treasurer to the Mayor of said City of Jeffersonville
this <~ day of 2~t;~_, 2001.
Clerk and Treasurer
This ordinance approved and signed by me this ~5 day of~ 2001.
Gall
PROPERTY TAX ABATEMENT
1. Calculate the average wage (divide wages by no, of jobe)
2. Apply average wage to scale to determine maximum abatement per job.
3. Calculate the value of the abatement tequestad.
4. Divide value of abatement by total number of jobs retained and created
to detam3ine the abatement per Job,
8. Use the results of step 4 as a guide in conjunction w~th other relevant factors
to detarmJne whether to agow or deny abatement request. Other relevant factors
include amount of unabated taxes, importance to the City, hiring practices, etc.
Step 1
Calculate the average wage (divide wages by no. of jobs)
Wages 806,208 NO. of jobs
Step 2
Abatement schedule
Average Wage
Maximum abatment amount per job
22,880
30 Avg. Wage 26,874
10,000 12,500 15,000 17,500 20,000
0 3,000 4,000 5;000 6,000
Stap3
Calculata theva[ueoftheabatamentrepuest~f~MACHlNERY.
TRUE ASSESSED TAX
yEAR COST TT~,~ TAX VALUE VALUE RATE'
1 0 40% 0 0 10.0140
2 0 56% 0 0 10.0140
3 0 42% 0 0 10.0140
4 0 32% 0 0 10.0140
5 0 24% 0 0 10.0140
6 0 18% 0 0 10.0140
7 0 15% 0 0 10.0140
8 0 15% 0 0 10.0140
9 0 15% 0 0 10.0140
10 0 15% 0 0 10.0140
Totals for machine~
TAX
22,500 25,000 27,500 30,000
7,000 8,000 9,000 10,000
YEAR 6 YEAR 6 yEAR 10 YEAR
ABATEMT. ABATEMT. ABATEMT. ABATEMT.
0 0 100% 100%
0 0 95% 95%
0 0 80% 90%
0 0 65% 85%
0 0 50% 80%
0 0 0% 70%
0 0 0% 55%
0 0 0% 40%
0 0 0% 30%
Q Q 0% 25%
TRUE ASSESSED TAX
YEAR COST TT~% TAX VALUE VALUE RATE' TAX
I 2,091,174 70% 1,463,822 487,941 10.0140 48,862
2 2,091,174 70% 1,463,822 487,941 10.0140 48,862
3 2,091,174 70% 1,463,822 487,941 10.0140 48,862
4 2,091,174 70% 1,483,822 487,941 10.0140 48,862
5 2,091,174 70% 1,483,822 487,941 10.0140 48,862
6 2,091,174 70% 1,463,822 487,941 10.0140 48,862
7 2,091,174 70% 1,463,822 487,941 10.0140 48,862
8 2,091,174 70% 1,463,822 487,941 10.0140 48,862
9 2,091,174 70% 1,463,822 487,941 10.0140 48,862
10 2,091,174 70% 1,463,822 487,941 10.0140
Totals for Building
Totals for Machiner~ and Building
*Rate is net of p~operty tax replacement credit
Tax rate 12.1321
pra~ tax replacement credit 17.4589%
Net tax rate 10.0140
Replacement Credit reciprocal 0.825411
Step 4
Divide value of abatement by total number of jobs rebathed and oreated.
years of Yearn of DolJa¢ Amount of
Machine~/ Real Estate Amount of # of Abatement
Abatement Abatement Abatement Jobs Per Job
x 3 97,236 DIVIDED BY 30 EQUALS $3,241
x 5 171,995 DiV1DED BY 30 EQUALS $5,733
x 10 241,868 DIVIDED BY 30 EQUALS $8,062
5 3 97,236 DIVIDED BY 30 EQUALS $3,241
5 5 171,995 DIVIDED BY 30 EQUALS $5,733
5 10 241,868 DIVIDED BY 30 EQUALS $8,062
10 3 97,236 DIVIDED BY 30 EQUALS $3,241
10 5 171,995 DIVIDED BY 30 EQUALS $5,733
10 10 241,868 DIVIDEDBY 30 EQUALS $8,062
10 YEAR 6 YEAR 3 YEAR 10 YEAR 3 YEAR 6 YEAR
A~ATEMT. ABATBMT. ABATEMT. NETTAX ABATEMT. ABATEMT.
48,862 48,862 48,862 0 100% 100%
46,419 41,533 32,249 2,443
39,090 32,249 16,125 9,772
31,760 24,431 0 17,102
24,431 16,613 0 24,431
19~545 8,307 0 29,317
14,659 0 0 34,204
9,772 0 0 39,090
4,886 0 0 43,976
~ ~ ~ 246,754
66%
33%
85%
66%
50%
34%
17%
Legal Notice
Public Notice
Whereas the Common Council of the City of Jeffersenville desires to approve a resolution
waiving non-compliance as outlined in Rule 4, Miscellaneous Provisions, 50 IAC 104-1. Correcting
Procedural Problems. Section I through 4, pertaining to certain real estate belonging to Kintec, LLC.
The Common Council of the City of Jeffersonville will conduct a public hearing at its regularly
scheduled meeting at 7:00 o'clock P.M. on the 6~ day of August 2001, in the 3rd floor mtg. room, City-
County Bldg. 501 E. Court Ave., Jeffersunville, Indiana. For the purpose of adopting a resolution allowing
said real estate listed on form SB-I and form CF-I dated May I0, 2001be deducted fi.om the assessed
valuation ofKintec, LLC.
City of Jeffersonville
David C. Duggins Jr.
Executive Director
Redevelopment Commission
Confirmation
Report
Time
Tel line
Name
Ju1-18-~1 I0:33am
+8122856488
CtTYOFJeffersonvilie
Nbr. Job Date Time Duration pgs To
Dept. Account Mode
Status
824 391 Jul-18 lO:32am 00/49 02 92847080
EC 301
OK
z OOOO0
~ ooooo
STATEMENT OF BENEFITS
Slate Form 27167 (R5 / 11-95)
Form SB - 1 is poescrlbed by the State Board of Tax Commissioners, t 989
INSTRUCTIONS: ' d to the bcd desi nating the economic reviti izat on area pdor to the public headng if the designating body require
I. This statement must be submltte . ~ -g ..... .~*~ ~,~ ~'~no '~ ~ 't~ on Area Otherwise this statement must be su~
rson insta Is the new manufacturing equipment, or BEFORE the redevelopment or rehabilitation of real prop
to the designating body BEFOR~ ape ......... .~ ...... ~, ~,~ ~,~ ~e,= i.iv I 1987 and areas designated after July 1, 1987 re
STATEMENT OFBENEFITS. (lC 6-1.1-12.1)
A royal of the designating body (City Council, Town Board, County Council, etc.) must be obtained prior to initiation of the redevelopment or rehabi/
2, oPr ~rior to inetallation of the new manufacturing equipment, BEFORE a deductlon rnay be approved.
22 ERA Real Estate Improvements and / or Form 322 ERA / PP, New Machiner~ must be filed with the county auditc
3, Toobtainadeduction, Form3 -' ......... t~..~,~. /? ~=,,in.or/2ithrtv(30~davsafteranoticecfincreaeeinre¢lpro?ertyasse
respect to real property, Fo¢¢ 322 EHA mu_st oe~e~6',_o~Yj¢~?~,%,~.,T,~; A~'fi'l~ b~ee~ ~t~ar~'h 'I ~nd 'May 15 of the assessment year zn which new m,
March I and June 14 of that year.
4, Property owners whose Statement of Benefits was approved after June 30, 1991 must submit Form CF - I annually to show compliance with the Stz
of Benefits. (lC 6-I. 1-12.
~ame of taxpayer
Address of taxpayer (street and number, city, state and ZIP cede)
Name of contact perso0 ,
~Al q7/5
escription of real'property improvemen[§ and / or new manufacturing eq 'p
]se additional Sheets if necessary)
Current number Salades
Telephone number
( 5't~3 ) 2 q l -q qs~,
Resolution number
f'axing district
ESTIMATED
Start Date Completior
I Salaries
Current values
Plus estimated values of proposed project
Less values of any property being replaced
Net estimated velues upon completion of project
mated solid waste converted (pounds)
Other benefits:
Oounds)
Assessed V~
~reviewed our prior actions relating to the designa on of this economic revitalization area and find that the applicant meets the
I general standards adopted in the reso ut on previously approved by this body. Said resolution, passed under lC 6-1.1-12 1-2.5, pro-
I ¢¢.id~!~-~r~the following limitations as authorized under lC 6-1.1-12.1-2. .
I A. The designated area has been limited to a period of time not to exceed ca endar years (see below The date
:¢1 designation expires is ~. this
~'~ ;: ;;;;,,a,lo; of n ab htabon of real estate mprovements ~ Yes ~ ,o
~ ,,~ ' ew manufabturing equipment; ~ yes ~ No
' ' ~Yes ~No
/ ~ar pment is limited to $
"' I°l ilitation is limited to $
cost with an assessed
cost with an assessed
ilApproved (signature and tit/e of authorized member)
Attested by:
3. Residentially distressed areas [] Yes [] No
C. The amount of deduction applicable for new manufacturing equipment is limited to $
value of $
D .The amount of deduction applicable to redevelopment or rehabilitation is limited to $
value of $
E. Other limitations or conditions (specify)
F. The deduction for new manufacturing equipment installed and first claimed eligible for deduction after July 1. 1991 is allowed for:
[] 5 years [] 10 years The deduction period wil! be five (5) years unless the designating body has by resolution specified the ten (10) year period.
Also we have reviewed the information contained in the statement of benefits and find that the estimates and expectations are reason-
able and have determined that the totality of benefits is sufficient to justify the deduction described above.
~ IDate signed (month, day, year)
Designated body
. * If the desig.natin~ body limits.the time period during wh ch an area is an econ ~ ......
a taxpayer ~s entitled to receive a deduction to a numb a w~r~ H,~: .... om~,c re.v~td~zat~on area. ~t does not limit the lan th of i
Year of Five (5) Year Ten (10) Year
Deduction Percentage Percentage
1st 100% 100%
2nd 95% 95%
3rd 80% 90%
4th 65% 85%
5th I 50% 80%
6th J 70%
7th / 55%
8th 40%
9th I 30%
10th I 25%
Year of Three (3) Year Six (6) Year Ten (10~ Year
Deduction Deduction Deduction Deduction
1st 100% 100% 100%
2nd 66% 85% 95%
3rd 33% 66% 80%
4th t 50% 65%
5th 34% 50%
6th 17% 40%
7th
8th 30%
9th 20%
10%
10th 5%
INSTRUCTIONS:
COMPLIANCE WITH STATEMENT OF BENEFITS
State Form 44973 (R2 / 11-95)
Prescribed by the State Board of Tax Commissioners, 1991
FOR~
CF-1
1. Property owners whose Statement of Benefits was approved after June 30, 1991 must file this form with the County Auditor and
local Designating Body to show the extent to which there has been compliance with the Statement of Benefits. (This does not appl;
property located in a residentially distressed area). (IC6-1.1-12.1-5.6)
2. If the deduction applies to Real Estate and Improvements, then this form must be filed with the initial deduction application and t,~
annually within sixty (60Z days after the end of each year in which the deduction is applicable, ~
3. For New Manufacturing Eqwpment this form must be filed with Form 322 ERA/PP between March I and May 15 of each year, unle.
filing extension under lC 6-1.1-3. 7 has been granted. A person who obtains a filing extension must file between March I and June 1
each year.
4. With the approval of the designating body, compliance information for multiple projects may be consolidated on one (1) complia¢
form (CF- 1).
; city, state and ZIP cede)
Name of contact person
Telephone number
Name of design
Description of real ~g equipment to be acquired
Resolution number
Taxing district ,.,_
~stimated s{a~ing date
ql,lqq
Estimated completion date
Current number of employees
SaIaries
Number of employees retained
Number of additional employees
Salaries
Assessed Value ii ii J ~i [':iii i i Assessed Value
Values before project .~ .~ .~ "~
Plus: Va[uesofproposedproject ~10ql:l'Te /;~_~_.~.i2¢0 ~lOq(l[q~ l, ~g~,ZeC
Less: Values of any prope~y being replaced .~
Net values upon completion of project ~, O~l~lTq I, ~5, ~U ~, Oqh I 7q I, ~q~ ~0
~'Values before project* ~.~,.=~ . . . . ~St Assessed Value ~o~ ~;~i~ ~;i~ ~ Assessed Value
Plus: Values of proposed project
Less: Values of any prope~y being replaced
Net values upon completion of project
NOTE: The COST of the prope~y is confidential pursuant to lC 6-1.1-12.1-5.6 (d).
Amount of solid waste converted
Amount of hazardous waste converted
Other benefits:
Signature of authorized representative
hereby certify that the representations in this statement are true; '
Title Date signed (mo., day. yr.)
INSTRUCTIONS: (lC 6-1.1 - 1Z 1-5.9)
1. Within forty-five (45) days after receipt of this form, the designating body may determine whether or not the property owner has substantially complied with
the Statement of Benefits.
2. If the property owner is found NOT to be in substantial compliance, the designating body shall send the property owner written n~tice. The nofice must in-
clude the reasons for the determination and the date, time and place of a hearing to be conducted by the designating body If a notice is mailed to a prop-
erty owner for new manufacturing equipment, a copy of the wdtten notice shall be sent to the State Board of Tax Commissioners.
3. Based on the information presented at the hearing, the designat/ng b~dy sha~~ determ~ne whether ~r n~t the pr~perty ~wner has made reas~nab~e e~~rt t~
substantially comply with the Statement of Benefits.
4. If the designating body determines that the property owner has NOT made reasonable effort to comply, then the designating body shall adopt a resolution
terminating the deduction. The designating body shall immediately mai/a certified copy of the reSOlution to: (1) the property owner; (2) the County Auditor;
and (3) the State Board of Tax Commissioners.
We have reviewed the CF-1 and find thai:
[] me oroaerb owner IS in substantial compliance
[] the propert) owner IS NOT in suos~am~al cornel,ante
--1 other (eeecffy)
Reasons for the de ermmauon attach additional sheets ~f necessary)
Signature of authorized member
Date signed (month, day, year)
Attested by: Designating body
If the property owner is found not to be in substantial compliance, the property "owner shall receive the opportunity for a hearing. The
following date and time has been set aside for the purpose of considering compliance.
Time of hearingI-3AM i--]pM Date of hearing Location of hearing
HEARING RESULTS (t pleted afl ring)
o be corn er the hea
[] Approved [] Denied (see instruction 4 above)
Reasons for determination (attach additional sheets if necessary)
Signature of authorized member Date signed (month, day, year)
Attested by: 'Designating body
APPEAL RIGHTS [lC 6-1.1-12.1o5,9(e)]
A property owner whose deduction is denied by the designating body may appea the des gnat ng body's decision by filing a complaint
in the office of the Circuit Or Sd~ri0r C0ur~ together with a bond conditioned to pay the costs of the appeal if the appeal is determined
against the property owner.