Exemptions from taxation for improvements to commercial or industrial structures may be granted upon review, evaluation and approval of each application on an individual basis by the Township Council. In determining the value of real property, the Township shall regard up to the Assessor's full and true value of the improvements as not increasing the value of the property for a period of five years, notwithstanding that the value of the property to which the improvements are made is increased thereby. During the exemption period, the assessment on the property shall not be less than the assessment thereon existing immediately prior to the improvements, unless there is damage to the structure through action of the elements sufficient to warrant a reduction.
Exemption from taxation for new construction of commercial or industrial structures may be granted upon review, evaluation and approval of each application on an individual basis by the Township Council and upon execution of an agreement which shall be entered into between the Township and the developer, in accordance with the procedures set forth in this article.
Applicants for tax exemption for new construction of commercial or industrial structures shall provide the Township Council with an application setting forth:
A. 
A general description of the project for which abatement is sought.
B. 
A legal description of all real estate necessary for the project.
C. 
Plans, drawings and other documents as may be required by the Township Council to demonstrate the structure and design of the project.
D. 
A description of the number, classes and type of employees to be employed at the project site within two years of completion of the project.
E. 
A statement of the reasons for seeking tax abatement on the project, and a description of the benefits to be realized by the applicant if a tax agreement is granted.
F. 
Estimates of the cost of completing the project.
G. 
A statement showing:
(1) 
The real property taxes currently being assessed at the project site;
(2) 
Estimated tax payments that would be made annually by the applicant on the project during the period of the agreement; and
(3) 
Estimated tax payments that would be made by the applicant on the project during the first full year following the termination of the tax agreement.
H. 
A description of any lease agreements between the applicant and proposed users of the project, and a history and description of the users' businesses.
I. 
Such other pertinent information as the Township Council may require.
[1]
See also § 52-3, Application.
A. 
Filing. Applications for exemption may be filed to take initial effect for the first full tax year commencing after the tax year in which this article is adopted[1] and for tax years thereafter.
[1]
Editor's Note: Article adopted 10-15-1996 by Ord. No. 1996-16. Ordinance No. 2012-03, adopted 3-12-2012, readopted and reauthorized this chapter and this ordinance.
B. 
Limitation on filing. No application for exemption shall be filed for an exemption to take initial effect for the 11th full tax year[2] or any tax year occurring thereafter, unless this article is readopted during the 10th year after initial adoption.
[2]
The year 2007, unless readopted in 2006.
The granting of an exemption and the tax agreement shall be recorded and made a permanent part of the official tax records of the Township, which record shall contain a notice of the termination date thereof.
Upon approval of an application for tax exemption for a particular project or projects, the Township shall enter into a written agreement with the applicant for the exemption of local real property taxes. An agreement shall provide for the applicant to pay to the Township in lieu of full property tax payments an amount equal to a percentage of taxes otherwise due, according to the following schedule:
A. 
In the first tax year following completion, no payment in lieu of taxes otherwise due.
B. 
In the second tax year following completion, an amount not less than 20% of taxes otherwise due.
C. 
In the third tax year following completion, an amount not less than 40% of taxes otherwise due.
D. 
In the fourth tax year following completion, an amount not less than 60% of taxes otherwise due.
E. 
In the fifth tax year following completion, an amount not less than 80% of taxes otherwise due.
A. 
Duration of agreement. All tax exemption agreements entered into pursuant to this article shall be in effect no more than five full tax years next following the date of completion of the project.
B. 
Copy to state. Within 30 days after the execution of a tax agreement, a copy of the agreement shall be forwarded to the Director of the Division of Local Government Services in the Department of Community Affairs.
A. 
Determination of tax due upon completion of improvement. On October 1 of the year following the date of the completion of an improvement or construction, the Assessor shall determine the true taxable value thereof. Except for projects subject to tax agreement, as provided herein, the amount of tax to be paid for the first full year following completion shall be based on the assessed valuation of the property for the previous year plus any portion of the assessed valuation of the improvement not allowed an exemption pursuant to this article. The property shall continue to be treated in the appropriate manner for each of the five full tax years subsequent to the original determination by the Assessor.
B. 
Valuation of tax-abated property for county tax apportionment. That percentage which the payment in lieu of taxes for a property bears to the property tax which would have been paid had an exemption not been granted for the property under the agreement shall be applied to the valuation of the property to determine the reduced valuation of the property to be included in the valuation of the Township for determining equalization for county tax apportionment and school aid during the term of the tax agreements covering the properties, and at the termination of an agreement for a property, the reduced valuation procedure under this subsection shall no longer apply.
A. 
Disqualification. If, during any tax year prior to the termination of the tax agreement, the property owner ceases to operate or disposes of the property, or fails to meet the conditions for qualifying, then the tax which would have otherwise been payable for each tax year shall become due and payable from the property owner as if no abatement had been granted. The Tax Assessor shall notify the property owner and the Tax Collector forthwith and the Tax Collector, within 15 days thereof, shall notify the owner of the property of the amount of taxes due. However, with respect to the disposal of the property, where it is determined that the new owner of the property will continue to use the property pursuant to the conditions which qualified the property, no tax shall be due, the exemption and the abatement shall continue, and the agreement shall remain in effect.
B. 
Termination. At the termination of a tax agreement, a project shall be subject to all applicable real property taxes as provided by state law and regulation and local ordinance, but nothing herein shall prohibit a taxpayer from receiving the full benefits of any other tax preferences provided by law.
All projects subject to the tax agreement, as provided herein, shall be subject to all applicable federal, state and local laws and regulations, including pollution control, worker safety, discrimination in employment, housing provision, zoning, planning and Building Code requirements.[1]
[1]
Editor's Note: See Ch. 96, Construction Codes, Uniform.