[1]
Editor's Note: This ordinance was further amended by Ord.
No. 1880, adopted 9-15-2016, which amends the effective date, retroactive
to 8-8-2015, and extended to 8-8-2020.
As used in this article, the following terms shall have the
meanings indicated:
Any individual, partner, shareholder, trust, partnership,
limited partnership, corporation or any other business association
or any trust, partnership, limited partnership, corporation or any
other business association that has any individual as part of the
business association who had any ownership interest or rights in the
property.
Any industrial, commercial, or other business property owned
by an individual, association or corporation, and located in a deteriorating
area, as hereinafter provided, or any such property which has been
the subject of an order by a government agency requiring the unit
to be vacated, condemned or demolished by reason of noncompliance
with laws, ordinance or regulations.
Repair, new construction or reconstruction, including alterations
and additions, having the effect of rehabilitating a deteriorated
property so that it becomes habitable or attains higher standards
of safety, health, economic use or amenity, or is brought into compliance
with laws, ordinances or regulations governing housing standards;
ordinary upkeep and maintenance shall not be deemed an improvement.
The local taxing authority is the School District of Washington
having authority to levy real property taxes.
The municipal governing body is the Board of School Directors
of the Washington School District.
The following areas of the City of Washington are designated as eligible for the provisions of this article: the General Business District within the City of Washington and any areas zoned as business districts within the City of Washington. The designated areas shall include the business districts as defined in Article III of Chapter 350, Zoning. Clearance areas in federally aided redevelopment projects are excluded and not eligible for tax exemption.
From and after the effective date of this article, improvements
to deteriorated property as defined in this article, subject to the
provisions of this article, shall be exempt from taxation in accordance
with the exemption schedule contained herein. However, no applicant/owner
may be eligible for relief under this article if they are receiving
tax relief through Tax Increment Financing (TIF). Further, no applicant/owner
will be eligible for relief under this article if said applicant/owner
has delinquent taxes at the time of the application for relief under
this article. Lastly, any applicant at the time of application must
certify either at the time of application or upon completion of the
improvement contemplated by the LERTA that at least 5% of applicant's
workforce are/will be residents of the City of Washington.
A.
An applicant/owner wishing to apply for an exemption must do so not
later than 60 days from the date of the issuance of a building permit
by the City. At the time an applicant/owner of property secures a
building permit for construction of the improvement for which an exemption
is requested, the applicant/owner shall make an application for exemption.
Requests for exemption must be in writing on forms prescribed by the
City Clerk of the City of Washington or other representative designated
by the City of Washington, a copy of which shall be submitted to the
Director of District Operations of the School District and which shall
set forth the following information:
(1)
The date the building permit was issued for said improvements.
(2)
The type of improvements.
(3)
The summary of the plan of the improvements.
(4)
The cost of the improvements.
(5)
Any such additional information as may be required.
(6)
Notwithstanding any other provision as set forth in this article,
requests for exemption must be accompanied by an affidavit by the
applicant/owner of the subject property indicating that said applicant/owner
has in respect to all properties owned, whether all or in part by
applicant/owner in any form of entity in the City of Washington, paid
all real estate taxes, earned income taxes, occupational privilege
taxes, business privilege taxes, mercantile license taxes, per capita
taxes, public water and sewage bills (issued by the Washington/East
Washington Joint Authority), solid waste charges, and all other fees,
assessments, claims or fines imposed by the City of Washington or
any department or agency thereof, which are delinquent or due at the
time said application for exemption is made.
B.
In addition, said applicant/owner shall provide evidence of said
payments as requested by the City Clerk or other representative designated
by the local taxing authority.
C.
In the event that it is discovered that said applicant/owner at the
time of said application has any unpaid real estate taxes, earned
income taxes, occupational privilege taxes, business privilege taxes,
mercantile license taxes, per capita taxes, public water and sewage
bills (issued by the Washington/East Washington Joint Authority),
solid waste charges, and all other fees, assessments, claims or fines
imposed by the City of Washington or any department or agency thereof,
which are due at the time of said application, concerning all properties
owned, whether all or in part, by applicant/owner in any form of entity
in the City of Washington, the request for exemption shall be denied
and the applicant/owner shall not receive a tax exemption pursuant
to this article.
D.
In addition, if at any time during the period of tax abatement pursuant
to this article an applicant/owner should become delinquent for any
of the aforesaid taxes, claims or other charges, said relief and/or
tax abatement provided herein shall automatically terminate on the
date said taxes, claims, or other charges become delinquent and from
and after said date the applicant/owner of such property shall be
liable for all taxes upon the subject property, including the amount
abated pursuant to this article.
If the exemption request is approved by the Washington City
Council and the Washington Board of School Directors, the exemption
shall be in force for the six subsequent tax years and shall immediately
and automatically terminate thereafter pursuant to the following schedule:
|
Year of Deduction
|
Deduction Percentage
|
|---|---|
|
1st
|
100%
|
|
2nd
|
85%
|
|
3rd
|
66%
|
|
4th
|
50%
|
|
5th
|
34%
|
|
6th
|
17%
|
|
7th
|
00%
|
The exemption from real estate taxes shall be limited to the
additional assessment valuation attributable to the actual cost of
improvements to the building. The length of the schedule of tax exemption
shall not exceed the six subsequent tax years from date of approval
pursuant to the following schedule:
|
Year of Deduction
|
Deduction Percentage
|
|---|---|
|
1st
|
100%
|
|
2nd
|
85%
|
|
3rd
|
66%
|
|
4th
|
50%
|
|
5th
|
34%
|
|
6th
|
17%
|
|
7th
|
00%
|
The exemption from taxes authorized by this article shall be
upon the improvements to the property exempted, as aforesaid, and
shall not terminate upon the sale or exchange of the property.
If a property is granted tax exemption pursuant to this article,
the improvements shall not, during the exemption period, be considered
as a factor in assessing other properties.
A copy of the request for exemption shall be forwarded to the
Director of District Operations of the School District of the Washington
School District, the Washington County Tax Assessment Office and to
the City Treasurer's Office. Upon completion of the improvement, the
applicant/owner shall notify the Tax Assessment Office and the City
Treasurer's Office so that the Tax Assessment Office may assess the
improvements separately for the purpose of calculating the amount
of the assessment eligible for exemption, and will notify the applicant/owner
and the Director of District Operations of the School District. Once
the assessment of the amount eligible for exemption has been completed,
the Director of District Operations shall submit the request for approval
of the application for exemption to the Board for School Directors
for approval. Appeal from the reassessment and the amount eligible
for the exemption may be taken by the applicant/owner, school district
and/or City.
The provisions of this article shall be effective and shall supersede the current article upon passage by the Board of School Directors of the Washington School District and City Council of the City of Washington, whichever comes last, and shall continue to be effective for a period of five years from said date, at which time it shall automatically terminate. Any exemption approved during said term shall continue beyond the term of this article per §§ 325-65 and 325-66; however, in no event will the tax exemption be granted to exempt any property for a period greater than three years.
