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HomeMy WebLinkAboutCC-03-07-05-01 Special Risk International/Tax Abatement Sponsor: Councilor Sharp RESOLUTION NO. CC-03-07-05-01 CONFIRMATORY RESOLUTION ("RESOLUTION") OF THE COMMON COUNCIL OF THE CITY OF CARMEL, INDIANA FOR DESIGNATION OF THE ATTACHED PROPERTY AS AN ECONOMIC REVITALIZATION AREA AND APPROVAL OF A SIX.(6) YEAR REAL PROPERTY TAX ABATEMENT FOR 303 GROUP LLC AND SPECIALTY RISK INTERNATIONAL, INC. WHEREAS, under I.C. 6-1.1-12.1-2.5 the Common Council of the City of Carmel, Indiana (the "Council") may designate an area as an Economic Revitalization Area ("ERA") and determine the duration of the abatement period(s) for such property; and WHEREAS, I.C. 6-1. I-12.1-4 provides for the partial abatement of real property taxes; and WHEREAS, an SB-I has been filed which describes the amount of capital investment and job impact of the construction and job impact of Specialty Risk International's new headquarters ("the project"); and WHEREAS, Resolution No. CC-02-21-05-01 was approved by the Council which designated the site located at the area described in Exhibit A as an ERA for purposes of providing real property tax abatement to 303 Group LLC and Specialty Risk International, Inc.; and WHEREAS, a new building will be built on the ERA and serve as Specialty Risk International's headquarters provided that 303 Group LLC and Specialty Risk International, Inc. are able to obtain real property tax deductions as described; and WHEREAS, 303 Group LLC and Specialty Risk International, Inc. seek to have the Council authorize real property tax deductions in connection with the construction of the new building; and WHEREAS, the Council has reviewed such information together with 303 Group LLC's Statement of Benefits (Form SB-1) and now desires to take actions hereinafter set forth. NOW, THEREFORE, based upon a review of the information provided and Form SB-1 filed by 303 Group LLC, the Council hereby makes the following findings: FINDING 1. The site is suitable for designation as an ERA due to the following economic conditions: (a) The area has become undesirable because ora lack of development and other factors which have impaired values or prevent a normal development of property or use of property. (b) Construction and relocation of Specialty Risk International's international headquarters at this location will result in an addition to the area's overall assessed value within an accelerated time period inasmuch as there is no development on this site at the present time. (c) The project represents a superior use for the site. Sponsor: Councilor Sharp (d) The project is consistent with similar land uses on adjacent properties.. FINDING 2. The dstimat& of the cost and assessed value of the proposed project is reasonable for projects of a similar nature. FINDING 3. FINDING 4. The ~stimate of the number of individuals who will initially be employed (i.e., 65 at the time the development is completed) can be reasonably expected to result from the project. The estimate of the annual salaries (i.e., average of'approximately $40,000 per annum) of those individuals who will initially be employed can be reasonably expected to result from the project. F1ND!NG 5. The estimate of the cost and assessed yalue of the proje~:t is reasonable for a project of this type. FINDING 6. The projected creation of approximately 100 FTEs over the next six years can be reasonably expected. FINDING 7. The estimate of the annual salaries of approximately $40,000 per annum of those ' ' individuals who will be employed can be reasonably expected. FINDING 8. Other benefits can be reasonably expected to result from the project. FINDING 9. The totality of benefits is sufficient to justify real property tax deductions herein described. FINDING 10. The proposed redevelopment of the site by 303 Group LLC and Specialty Risk International, Inc. meets the parameters set fprth in Council Resolution No. CC-02'-' 21-05-01. NOW, THEREFORE, BE 1T RESOLVED THAT, a legal description of the site has been attached hereto'as Exhibit A. BE IT FURTHER RESOLVED THAT, the Site was preliminarily designated as an ERA for purposes of granting real property tax abatement to 303 Group LLC and Specialty Risk International, Inc. BE IT FURTHER RESOLVED THAT, the Site is h~reby declared an ERA for purposes of granting real property tax abatement in support Of the corporate headquarters. BE IT FURTHER RESOLVED THAT, the~number of years for which 303 Group LLC is entitled to a deduction ~'or real property taxes shall be six (6). BE IT FURTHER RESOLVED THAT, the Council shall have the right to reduce the ' lengih of and/or end the real property tax abatement granted for the site should Specialty Risk International, Inc., its related entities, or a subseqnent owner of the building or Specialty Risk Sponsor! Councilor Sharp International, Inc. not fulfill commitments made to regarding the amount of capital investment, job creation/retention and salary levels. BE IT FURTHER RESOLVED THAT, in the event. 303 Group LLC or Specialty Risk Internatior/al is sold to a new owner, the new owner of the company shall appear before the Carmel City Council within 90 days of closing on the purchase of the company to present information · regarding the plans for the company's operations in the C!ty of Carmel. BE IT FURTHER RESOLVED THAT, the deductions authorized herein are contingent upon the designation of the ERA prior to breaking of ground at the site. ' BE IT FURTHER RESOLVED THAT, if the Site is located in an allocation area (as defined in I.C. 36-7-14-39 or I.C. 36-7-15.1-26), an application for the property tax deductions approved herein shall also be subject to the approval of the commission that designated the al.location area as'required under I.C. 6-1 .l-12.1-4. BE IT FURTHER RESOLVED THAT, this Resolution shall be filed with the Hamilton County Assessor as required by I.C. 6-1.1-12.1-4. BE IT FINALLY RESOLVED THAT notice of the adoption of and the substance of Resolution No. CC-02-21-05-01 was published in accordance with 1.C. 5-3-1. Sponsor: Councilor Sharp PASSED by the Common Council of the City of Carmel, Indiana this q 44~ day of'. ~C~0,~ c3r,,, 2005, by a vote of,..k~ ayes and rD nays. -- Kevin I~(f,89.eFF~dent ?r*6 Tempor~ ?'//" / ./ A °se[~ C~r!ffiihs //7 ATTEST: · . COMMON COUNCIL/FOR THE CITY OF CARMEL Presi~ting Officer -- '" ~~/ ~ ~ Mark Rattermann Richard L. Sharp Diana L. Cordray, IAMC, Clerk-f~u'rer Presented by me to the Mayor of the City of Carmel, Indiana this ri day of Y'('~O& 2005, at b.-3q 0,M. · ·Diana L: Cordray, IA~asuser Approved by me, Mayor of the City of'Carmel, Indiana, this 'l'-- day of P(~OXC, J~ 2005; at ~o: 35-' P.M. Ja/l{~es Brainard, Mayor ATTEST: Diana L. Cordray, IAMC, Clerk-T~easurer Contact Information Tim Cook on behalf of 303 Group LLC and Specialty Risk International 317-580-2038'