HomeMy WebLinkAboutCC-03-19-07-01 Oxford BioSignals/Tax Abatement/ERA
Sponsors: Councilors Carter and Sharp
RESOLUTION CC-03-19-07-01
RESOLUTION ("RESOLUTION") OF THE COM MOM COUNCIL OF
THE CITY OF CARMEL, INDIANA DESIGNATING 12900
NORTH MERIDIAN STREET AS AN ECONOMIC REVIT ALIZA TION AREA
WHEREAS, I.C. 6-1.1-12.1-4 authorizes partial abatement of personal property taxes
attributable to the installation of new qualifying information technology/telecommunications
equipment, laboratory equipment, research & development equipment, computer hardware, and
computer software; and
WHEREAS, r.c. 6-1.1-12.1-2.5 empowers the Common Council of the City of Carmel,
Indiana (the "Council") to designate an area as an Economic Revitalization Area ("ERA"),
determine the duration of the abatement period(s) for such property and impose other reasonable
conditions; and
WHEREAS, a Designation Application (as defined in I.C. 6-1.1-12.1-1) has heretofore
been filed with the Council by Oxford Biosignals ("the Company"), and such Designation
Application requests that the real estate located at 12900 North Meridian Street, Carmel, Indiana
and legally described therein (the "Site") be designated as an ERA; and
WHEREAS, the Company will lease space for their new corporate headquarters and
research & development laboratories facility, provided that the Company is able to obtain
personal property tax deductions as authorized by I.C. 6-1.1-12.1-4; and
WHEREAS, the Company seeks to have the Council authorize personal property tax
deductions in connection with the qualifying investment related to the installation of new
information technology/telecommunications equipment, laboratory equipment, research &
development equipment, computer hardware, and computer software in the Company's new
corporate headquarters facility at 12900 North Meridian Street; and
WHEREAS, the Council has reviewed such Designation Application together with the
Company's Statement of Benefits (Form SB-I) and now desires to take actions hereinafter set
forth.
NOW, THEREFORE, based upon a review of the Designation Application and
Statement of Benefits (Form SB-I) heretofore filed by the Company, the Council hereby makes
the following findings:
FINDING I. The Site is or has become undesirable for normal development due to the
following economic conditions:
(a) The Site possesses a second generation office building which is
more than ten (10) years old.
(b) The Site and building are zoned for and generally suitable for us!:
as an office development; however, there is lack of demand for
office space in the geographic area where the Site is located due to
the economic conditions currently present (the "Corridor").
(c) Vacancy rates for office space in the Corridor and an abundance of
sublease opportunities evidence an oversupply of office space in
the Corridor.
(d) The Company's proposed redevelopment ofa portion of the site as
a corporate headquarters for the Company is consistent with the
site's existing zoning and represents a superior use for a portion of
the building.
(e) The Company's plans to install new personal property will result in
an addition to the Corridor's overall assessed value within an
accelerated time period.
FINDING 2. The proposed redevelopment of the Site by the Company meets the
parameters set forth in Council Resolution No. CC-02-05-01-02.
FINDING 3. The estimate of the cost and assessed value of the Company's proposed re-
development of the Site is reasonable for projects ofa similar nature.
FINDING 4. The estimate of the number of individuals who will be employed (i.e.,
approximately 120 FTEs over the initial five-year period) can be
reasonably expected to result from the Company's proposed re-
development of the Site.
FINDING 5. The estimate of the annual salaries (i.e., average of greater than $60,000
per annum) of those individuals who will be employed can be reasonably
expected to result from the Company's proposed re-development of the
Site.
FINDING 6. The estimate of the cost and assessed value of the new information
technology/telecommunications equipment, laboratory equipment,
research & development equipment, computer hardware, and computer
software is reasonable for equipment of that type.
FINDING 7. With respect to the new information technology/telecommunications
equipment, laboratory equipment, research & development equipment,
computer hardware, and computer software, the estimate of the number of
individuals who will be employed (i.e., approximately 120 FTEs over the
initial five-year period) can be reasonably expected to result from the
redevelopment ofthe Site and installation of the new personal property.
FINDING 8. The estimate of the annual salaries (i.e., average of greater than $60,000
per annum) of those individuals who will be employed can be reasonably
expected to result from the redevelopment of the Site and installation of
the new personal property.
FINDING 9. Other benefits that can be reasonably expected to result from the
Company's proposed re-development of the site and installation of the
new personal property.
FINDING 10. The totality of benefits is sufficient to justify personal property tax
deductions herein described.
NOW, THEREFORE, BE IT RESOLVED THAT, a legal description of the
previously declared ERA has been attached hereto as Exhibit A.
BE IT FURTHER RESOL VED THAT, the Site is hereby declared an ERA for
purposes of.granting personal property tax abatement in support of the corporate headquarters
and research & development facility project, and the installation of new information
technology/telecommunications equipment, laboratory equipment, research & development
equipment, computer hardware, and computer software.
BE IT FURTHER RESOLVED THAT, the number of years for which the Company is
entitled to a deduction for investments made in the new information techno10gy/
telecommunications equipment, laboratory equipment, research & development equipment,
computer hardware; and computer software pursuant to I.c. 6-1.1-12.1-4.shall be ten (10).
BE IT FURTHER RESOLVED THAT, the Carmel City Council shall.have the right to
reduce the length of and/or end the economic revitalization area designation period granted for
the site should the Company and/or a subsequent owner of the Company not fu1fiil commitments
madeto the city of Carmel regarding the amount of capital investment, job creation/retention and
average annual salary levels.
BE IT FURTHER RESOLVED THAT, in the event the Company is sold to a new
owner, the new owner ofthe 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 city of Cannel.
BE IT FURTHER RESOLVED THAT, the deductions authorized herein are
contingent upon the designation of the ERA prior to the installation of new information
technology/telecommunications equipment, laboratory equipment, research & development
equipment, computer hardware, and computer software.
BE IT FURTHER ~SOLVED THAT, if the Site is located in an allocation area (as
defined in 1.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
allocation area as required under l.C. 6-1.1-12.1-4.
BE IT FURTHER RESOLVED Ti-IAT, this Resolution shall be filed with the
Hamilton County Assessor as required by 1.C. 6-1.1-12.1-4.
BE IT FINALLY RESOLVED THAT notice of the adoption of and' the substance of
this Resolution shall be published in accordance with I.C. 5-3-1 and that such notice shall be in
the form attached hereto and incorporated herein as Exhibit B. I..
Adopted by the Common Council of the City of Carmel, lndianatllis lq+ day of
\"'C\~ ,2007, by a vote of ~ayes and ~ nays.
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FINDING 10. The totality of benefits is sufficient to justify personal property tax
deductions herein described.
NOW, THEREFORE, BE IT RESOLVED THAT, a legal description of the
previously declared ERA has been attached hereto as Exhibit A.
BE IT FURTHER RESOLVED THAT, the Site is hereby declared an ERA for
purposes of granting personal property tax abatement in support of the corporate headquarters
and research & development facility project, and the installation of new information
technology/telecommunications equipment, laboratory equipment, research & development
equipment, computer hardware, and computer software.
BE IT FURTHER RESOLVED THAT, the number of years for which the Company is
entitled to a deduction for investments made in the new information technology/
telecommunications equipment, laboratory equipment, research & development equipment,
computer hardware, and computer software pursuant to I.C. 6-1.l-12.1-4 shall be ten (10).
BE IT FURTHER RESOLVED THAT, the Carmel City Council shall have the right to
reduce the length of and/or end the economic revitalization area designation period granted for
the site should the Company and/or a subsequent owner of the Company not fulfill commitments
made to the city of Carmel regarding the amount of capital investment, job creation/retention and
average annual salary levels.
BE IT FURTHER RESOLVED THAT, in the event the Company is sold to a new
owner, the new owner ofthe 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 city of Carmel.
BE IT FURTHER RESOLVED THAT, the deductions authorized herein are
contingent upon the designation of the ERA prior to the installation of new information
technology/telecommunications equipment, laboratory equipment, research & development
equipment, computer hardware, and computer software.
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 ofthe commission that designated the
allocation area as required under I.C. 6-1.1-12.1-4.
BE IT FURTHER RESOLVED THAT, this Resolution shall be filed with the
Hamilton County Assessor as required by LC. 6-1.1-12.1-4.
BE IT FINALLY RESOLVED THAT notice of the adoption of and the substance of
this Resolution shall be published in accordance with LC. 5-3-1 and that such notice shall be in
the form attached hereto and incorporated herein as Exhibit B. l
Adopted by the Common Council of the City of Carmel, Indiana this \'1.+ day of
'<"f'\~ , 2007, by a vote of _ ayes and _ nays.
\
Presented by me to the Mayor of the city of Carmel, Indiana this J q ~ay of
'Y"'\~c.k 2007,atLD:'f~.f.m. _
Approved by me, Mayor of the City of Carmel, Indiana this \ q+J.day of
~ ~ ~ 2007, at "",'0.. P.m.
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ATTEST:
Diana 1. Cordray, IAMC, Cle - reasurer
Prepared by: Larry Gigerich, Managing Director
Ginovus
8888 Keystooe Crossing
Suite 1450
Indianapolis, Indiana 46240
317/8 I 9-0890 (telephone)
317/819-0888 (facsimile)
Larrv(cI)Ginovus,com (e-mail)
EXHIBIT A
A LAND BOUNDARY DESCRIPTION OF TilE BUILDING AT 12900 NORTIl MERIDIAN STREET,
HAMILTON COUNTY, INDIANA
MARCil 19, 2007
PAGEIOFl
A part of the Southwest Quarter of Section 26, Township 18 North, Range 3 East, Hamilton
County, Indiana, described as follows: Commencing at the northwest comer of said quarter
section; thence North 88 degrees 42 minutes 47 seconds East 710.01 feet along the north line of
said quarter section; thence South 00 degrees 25 minutes 34 seconds East 1,166.50 feet; thence
Southerly 86.80 feet along an arc to the left and having a radius of 600.00 feet and subtended by
a long chord having a bearing of South 04 degrees 34 minutes 14 seconds East and a length of
86.73 feet to the intersection with the southern line of the land noted as Hamilton Crossing
Building One, Phase One in the L1.T.A. survey by Paul I. Cripe, Inc. dated July 30,1993; thence
North 89 degrees 34 minutes 26 seconds East 601.73 feet along said southern line and along the
easterly extension of said southern line to the POINT OF BEGINNING of this description;
thence North 00 degrees 25 minutes 34 seconds West 446.02 feet; thence South 90 degrees 00
minutes 00 seconds East 474.38 feet to the western right-of-way line of U.S. Highway 31; thence
South 00 degrees 03 minutes 57 seconds East 582.00 feet along said western right-of-way line;
thence North 90 degrees 00 minutes 00 seconds West 470.72 feet; thence North 00 degrees 25
minutes 34 seconds West 136.00 feet to the point of beginning and containing 6.314 acres, more
or less. The bearings in this description are based upon the north line of the Southwest Quarter
of Section 26 having a bearing of North 88 degrees 42 minutes 47 seconds East. Subject to all
easements, restrictions and rights-of-way of legal record.
EXIDBIT B
NOTICE OF ADOPTION REGARDING THE APPROVAL OF A
TEN-YEAR PERSONAL PROPERTY TAX ABATEMENT FOR
OXFORD BIOSIGNALS' NEW CORPORATE HEADQUARTERS
AND RESEARCH & DEVELOPMENT FACILITY
LOCATED AT 12900 NORTH MERIDIAN STREET
March 19, 2007
PAGE 1 OF 1
Notice is hereby given that the Common Council of the City of Carmel, Indiana did on the 19th
of March 2007 adopt a Resolution approvIng a ten-year personal property tax abatement for
Oxford Biosignals for its investment in a new corporate headquarters and research &
development facility to be located at 12900 North Meridian Street. This Resolution, which
affects the following described property located in the City of Carmel, Indiana: 12900 North
Meridian Street, Clay Township, Hamilton County, Hamilton Crossing West was adopted
following the filing of information by Oxford Biosignals and the previous approval ofthe
designation of property located at 12900 North Meridian Street as an Economic Revitalization
Area for the purpose of securing an abatement of property taxes pursuant to Indiana Code
Section6-1.1-l2.l-4 relative to the installation of new qualifying research and development
equipment, laboratory equipment, information technology/computer hardware and software-
oriented equipment.
Such Resolution previously approving such property as an Economic Revitalization Area
and such Resolution approving a ten-year personal property tax abatement for Oxford Biosignals
were provided by the Common Council of the City of Carmel, Indiana on the 16th of April 2007.
Furthermore, the Resolution states that on the 16th of April 2007 at 6 p.m. in the Council
Chamber Room located at One Civic Square, Carn1el, Indiana 46032, the Common Council met
to hear public comment from persons interested in these proceedings and make a determination
about approving a ten-year personal property tax abatement for Oxford Biosignals for its
investment in new qualifying research and development equipment, laboratory equipment,
information technology/computer hardware and software-oriented equipment. A description of
information related to Oxford Biosignals' project and a copy of such Resolution are available for
inspection in the Hamilton County Assessor's Office, Suite 214, 33 North 9th Street, Noblesville,
Indiana 46060.
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STATEMENT OF BENEFITS
PERSONAL PROPERTY
State Form 51764 (R /1-06)
Prescribed by the Department of Local Govemment Finance
FORM 5B-1/ PP
PRIVACY NOTICE
The cost and any specific Individual's
salary information Is confidential; the
balance of the filing is pUblic record
rtCS-1.1-12.1-5.1 c and d.
INSTRUCTIONS:
,. This statement must be submiHed to the body designating the Economic Revitalization Area prior to the public hearing if the designating body requires
information from the appliesn! in making its decision about whether to designate an Economic Revffafization Area. Otherwise this statement must be submitted
to the designating body BEFORE a person installs the new manufacturing equipment and/Of research and development equipment, and/or logistical distribution
equipment and/or information technology equipment for which the person wishes to Glaim a deduction. "Projects" planned or committed to after July 1. 1987.
and areas designated after July 1, 1987, require a STATEMENT OF BENEFITS. (IC 6-1.1-12.1)
2. Approval of the designating body (City Council, Town Board, County Council, etc.) must be obtained prior to instalfaUon of the new manufacturing equipment
and/or research and development equipment and/or logistical distribution equipment and/or information technology equipment, BEFORE a deduction may
be approved
3. To obtain a deduction. a person must file a certified deduction schedule with the person's personal property return on a certified deduction schedule (Form
103-ERA) with the township assessor of the township where the property is situated. The 103-ERA must be filed between March 1 and May 15 of the
assessment year in which new manufacturing equipment and/or research and development equipment and/or logistical distribution equipment and/or
information technology equipment is installed and fully functional, unfess a filing extension has been obtained. A person who obtains a filing extension must
file the form between March 1 and the extended due date of that year.
4. Property owners whose Statement of Benefits was approved after June 30, 1991, must submit Form CF-1/ PP annually to show compliance with the
Statement of Be,nems. (IC.6-:.1.1~12.1~5.6)_
5. The schedules established under IC 6-1. 1-12. 1-4.5(d) and (e) apply to equipment installed after March 1, 2001. For equipment installed prior to March 2,
2001, the schedules and statutes in effect at the time shall continue to apply. (IC 6-1.1-12.1-4.5(f) and (g))
SECTION 1 TAXPAYER INFORMATION
Name of taxpayer
Oxford Biosi nals
Address of taxpayer (number and street. city, state, and ZIP code)
12900 North Meridian Street
Name of contact person
Frank Chen ,President and CEO
Name of designating body
Ci of Carmel Common Council
Location of property County
12900 North Meridian Street Hamilton
Description of manufacturing equipment andlor research and development equipment
andlor logistical distrjbution equipment and/or information technology equipment.
(use additional sheets if necessary)
03-19-07-01,
DLGF taxing district "number
29-023 Hamilton
ESTIMATED
START DATE COMPLETION DATE
Oxford Biosignals will invest in excess of $2.4 million in
information technology and R & 0 equipment to support
corporate headquarters and R & 0 operations.
Manufacturing Equipment
R & D Equipment 04/01/2007
12/31/2011
Logist Dist Equipment
IT Equipment
04/01/2007
12/31/2011
COST
ASSESSED
VALUE
LOGIST DIST
EQUIPMENr
COST ASSESSED
VALUE
IT EQUIPMENr
NOTE: Pursuantto Ie 6-1.1-12.1-5.1 (d) (2) the
COST of the property is confidential.
MANUFACTURING
EQUIPMENT
COST ASSESSeD
VAlUE
R & 0 EQUIPMENT
COST
ASSESSED
V1\LUE
Current values
Plus estimated values of proposed project
Less values of any property being replaced
Net estimated values upon completion of project
325,000.00
2,010.000.00
325,000.00
2,010,000.00
Estimated solid waste converted (pounds)
Other benefits:
Estimated hazardous waste converted (pounds)
SECTION 6 TAXPAYER CERTIFICATION
I hereby certify that the representations in this statement are true.
esen~tiv~ J ______ litle
~/<.-~ President and CEO
Date signed (month, day, yea"
02/27/2007
FOR USE OF THE DESIGNATING BODY
We have reviewed our prior actions relating to the designation of this economic revitalization area and find that the applicant meets the general standards
adopted in the resolution previously approved by this body. Said resolution, passed under Ie 6-1.1-12.1-2.5. provides for the following limitations as
authorized underlC 6.1.1-12.1-2.
A . The designated area has been limited to a period of time not to exceed ~_ calendar years. (see below). The date this designation expires
is
B . The type of deduction that is allowed in the designated area is limited to: OYes DNo
1. Installation of new manufacturing equipment;
2. Installation of new research and development equipment; OYes DNo
3. Installation of new logistical distribution equipment. OYes DNo
4. Installation of new information technology equipment: OYes DNO
C. The amount of deduction applicable to new manufacturing equipment is limited to $ cost with an assessed value of
$
D. The amount of deduction applicable to new research and development equipment is limited to $ ----------------- cost
with an assessed value of $ --------------------
E. T~e amount of deduction, applicable to.new,logistical distribution.equipment is limited to $ cost with an assessed value of
$
F. The amount of deduction applicable to new information technology equipment is limited to $ cost with an assessed value of
$
G. Other limitations or conditions (specify)
H. The deduction for new manufacturing equipment and/or new research and development equipment and/or new logistical distribution equipment and/or
new information technology equipment installed and first claimed eligible for deduction on or after July 1, 2000, is allowed for:
01 year 06 years ** For ERA's established prior to July 1, 2000, .QDbt. a
02 years 07 years 5 or 10 year schedule may be deducted.
03 years 06 years
04 years o 9 years
D5years ** 010 years **
Also we have reviewed the information contained in the statement of benefits and find that the estimates and expectations are reasonable and have
determined that the totality of benefits is sufficient to justify the deduction described above.
Approved: (signature and title of authorized member) Telephone number \ Date signed (month. day, year)
Attested by: Designated body
* If the designating body limits the time period during which an area is an economic revitalization area, it does not limit the length of time a taxpayer is
entitled to receive a deduction to a number of years designated under IC 6-1.1-12.1-4.5
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