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Home My WebLink AboutCC-04-19-07-01 Oxford BioSignals/Tax Abatement Sponsors: Councilors Carter and Sharp RESOLUTION CC-04-19-07-01 A RESOLUTION ("RESOLUTION") OF THE COMMOM COUNCIL OF THE CITY OF CARMEL. INDIANA, APPROVING A TEN-YEAR (10) PERSONAL PROPERTY TAX ABATEMENT FOR OXFORD BIOSIGNALS LOCATED AT 12900 NORTH MERII)JAN STREET 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 cquipment, laboratory equipment, research & development equipment, computer hardware, and computer software; and WHEREAS, I.c. 6-1.1-12.1-4 empowers the Common Council of the City of Carmel, Indiana (the "Council") to grant approval for personal property tax abatement for new qualifying information technology/telecommunications equipment, laboratory equipment, research & development equipment, computer hardware, and computer software; and WH I~REAS, information (as defined in I.c. 6-1.1-12.1-1) has been provided to and heretofore been filed with the Council by Oxford Biosignals ("the Company") and such information describes the investment in new qualifying information technology/ telecommunications equipment, laboratory equipmcnt, research & development equipment, computer hardware, and computer softwarc at 12900 North Meridian Strcet, Carmel, Indiana; and r' /' ,. / WH EREAS. the site locatcd at 12900 North Meridian Strect ("Site") has been legally described and designated as an Economic Revitalization Area (ERA) for purposes of providing personal property tax abatement to the Company (as defined in I.c. 6-1.1-12.1-4); and WHEREAS, the Company will lease space for its new corporate headquarters and research & development 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 WH EREAS, the Company seeks to have the Council authorize personal property tax deductions in connection with the qualifying investment made in new qualifying information technology/telecommunications equipment, laboratory equipment, research & development equipment, computer hardware, and computer software; and WHEREAS, the Council has reviewed such information togethcr with the Company's Statement of Benefits (Form SB-I) and now desires to take actions hereinafkr set forth. NOW, THEREFORE, based upon a review of the information provided 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 offlce building which is more than tcn (10) years old. (b) The Site and building arc zoned for and generally suitable for use as an oflice 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 prcsent (the "Corridor"). Sponsors: Councilors Carter and Sharp (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 sitc as a eOI'Porate headquarters raeility ror the Company is consistent with the site's existing zoning and represcnts a supcrior use for a portion orthe building. (e) The Company's plans to installncw personal property will result in an addition to the Corridor's overall assesscd value within an aecclerated time period. . FINDING 2. The proposed rcdevclopment ol'the Site by the Company mccts the parameters set rorth in Council Resolution No. CC-02-05-0 1-02. FINDING 3. The estimate or the cost and assessed value ofthc Company's proposed re- devclopmcnt or the Site is reasonable ror projects ofa similar nature. FINDING 4. Thc estimate or thc number of individuals who will be employed (i.e., approximately 120 FTEs over the initial five-year pcriod) can be reasonably expected to result rrom the Company's proposed re- development or the Site. FINDING 5. The estimate ol'the annual salaries (i.e., average of greater than $60,000 per annum) orthose 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 or the cost and assessed value or the new information technology/telecommunications equipment, laboratory equipment, research & development equipment, computer hardware, and computer software is reasonable for investment of that type. FINDING 7. With respect to the new inrormation technology/telecommunications equipment, laboratory equipment, research & developmcnt 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 installation ofthc new personal property. FINDING 8. The estimate or 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 redcvelopment of the Site and installation of the new personal.property. FINDING 9. The Company will be active corporate citizens involved in and committed to the city of Carmel. Sponsors: Councilors Carter nnd Sharp FINDING 10. The Company's new corporate headquarters facility in Carmel is consistent with the goals and vision established by the city of Carmel and Hamilton County Alliance. FINDING 1 ]. Other benefits that can be reasonably expected to result from the . Company's proposed re-development of the site and installation of personal property. FINDING 12. The totality of benefits is sufficient to justify persona] propelty tax deductions herein described. NOW, THEREFORE, BE IT RESOLVED THAT, a legal description of the previously declared ERA designation has been attached hereto as Exhibit A. BE IT FURTHER RESOLVED THAT, the Site was previously declared as an ERA for purposes of granting personal property tax abatement in support of the new qualifying information technology/telecommunications equipmcnt, laboratory equipment, research & development equipment, computer hardware, and computer software. BE IT FURTHER RESOL VED THAT, The number of years for which the Company is entitlcd to a deduction for invcstments made in the ncw qualifying information technology/te]ecommunications equipment, laboratory equipment, research & development equipment, eomputer hardware, and eomputer software pursuant to I.C. 6-1.1-12.1-4 shall bc ten (10). BE IT FURTHER RESOLVED THAT, the Carmel City Council shall havc the right to reducc the length of and/or end the pcrsonal property tax abatement grantcd for the site should the Company and/or a subsequent owner of the Company not fulfil] 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 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 opcrations in the city of Cannel. BI~ IT FURTH ER RESOL VED THAT, the deductions authorized hcrcin are contingent upon the approval of a ten-year personal property tax abatement prior to thc installation of new qualifying information technology/telecommunications equipment, laboratory equipment, research & development equipment, computer hardware, and computer software. BE IT FURTHER RESOL VED THAT, if thc Site is located in an allocation area (as defined in I.c. 36-7- ]4-39 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 I.c. 6-1.1-]2.1-4. BE IT FURTHER RESOLVED THAT, this Resolution shall be filed with the Hamilton County Assessor as required by I.c. 6-1.1-12.\-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. ~JD hy "" Commoo Co",,,,, of"" CI'y ,IT"''''']' "0"""" chi, 119 1';"y of , , 2007, by a vote of ..!5 and C) nays. Sponsors: Councilors Carter and Sharp COMMON COUNCIL OF' THI~ CITY OF CARMEL " /ta Brian D. Mayo Nor PReSC=IVI Mark Rattermann -"~ aT P R- eScD-YJ Richard L. Shal-p ATTEST: ~~C~de~~ f op::1d by me to the Mayor of the ,2007,atQ:37 City of Carmcl, Indiana, the 17~day of fl. .m. APprove; by me, /4/ J.j , iana L. Cordray, Clerk- TI easurer the Mayor of the City of Carmel, Indiana this /1-Aay of ,2007, at :z, {JJ 0 ---/2-.m. ATTEST: /JJ~ es Brainard, Mayor Prepared by: Larry Gigcrich, Managing Director GillOVLlS 8888 Keystone Crossing Suilc 1450 (ndi:lI1apolis, Indiana 46240 317/819-0890 (Ielel'honc) 31 7/8 19-08H8 (facsimile) Larrv@.GinovlIs.com (c-mai I) Sponsors: Councilors Carter and Sharp EXHIBIT A' A LAND BOUNDARY DESCRIPTION OF TIlE BUILI)ING AT 12900 NORTH MEIUDIAN STREET, HAMILTO"'; COU"';'n', INDIANA APRIL 19,2007 PAGE 1 OF I ^ part of the Southwest Quarter of Section 26, Township 18 North, Range 3 East, Hamilton County, Indiana, describcd as fol]ows: Commcncing at the northwest corner of said quarter section; thence North 88 degrees 42 minutes 47 seconds East 7]0.01 feet along tbe nortb line of said quarter section; tbence Soutb 00 degrees 25 minutes 34 seconds East 1,166.50 feet; thence Soutberly 86.80 feet along an arc to the left and baving a radius of 600.00 feel and subtended by a long cbord baving a bcaring of Soutb 04 degr'ces 34 minutes 14 seconds East and a Iengtb of 86.73 leet to tbe intersection witb tbc southern line of tbe land noted as Hamilton Crossing Building One, Phase One in the I.L.T.A. survey by Paul I. Cripe, Inc. dated July 30, 1993; thence Nortb 89 degrces 34 minutes 26 seconds East 601.73 leet along said soutbern line and along tbe casterly extension of said soutbern line to tbe POINT OF BEGINNING of this description; thence Nortb 00 degrees 25 minutcs 34 seconds Wcst 446.02 feet; tbence Soutb 90 degrees 00 minutes 00 scconds East 474.38 fect to thc western right-of-way line of U.S. Highway 31; thence Soutb 00 dcgrees 03 minutes 57 seconds East 582.00 feet along said westcrn right-or.way linc; tbence Nortb 90 degrees 00 minutes 00 seconds West 470.72 feet; tbence North 00 degrees 25 minutes 34 seconds West 136.00 fcct to the point of bcginning and containing 6.314 acres, morc or less. Tbc bearings in this description arc bascd upon tbe nortb line of tbe Soutbwest Quattcr of Section 26 baving a bearing of Nortb 88 degrces 42 minutes 47 seconds East. Subject to all easements, rcstrictions and rigbts-of-way ol'lcgal record. Sponsors: Councilors Carter and Sharp EXHlBIT B NOTlCI~ OF AI)OPTION REGARDING THE APPROVAL OF A TEN-YEAR PERSONAL PROPERTY TAX ABATEMENT FOR OX FORI) BIOSIGNALS' NEW CORPORATI~ HEAI)QUARTERS ANI) RESEARCH & I)EVI~LOPMENT FACILITY LOCATEI) AT 12900 NORTH MERIDIAN STREET APRIL 19,2007 PAGEIOFl Noticc is hereby given that the Common Council of the City of Carmel, Indiana did on the 19'h 0[' March 2007 adopt a Resolution approving a ten-year pcrsonal property tax abatcmcnt for Oxford 13iosignals for its invcstment in a ncw cO'lJoratc headquartcrs and rcscarch & dcvclopmcnt facility to be located at 12900 North Meridian Street. This Rcsolution, which alTects the following described property located in the City of Cannel, Indiana: 12900 North Meridian Strcet, Clay Township, Hamilton County, Hamilton Crossing West was adopted following thc 11ling of information by Oxford 13iosignals and thc previous approval of the designation of propcrty located at 12900 Noi.th Meridian Strcet as an Economic Revitalization Area for thc purposc of securing an abatemcnt of property taxes pursuant to Indiana Code Scetion 6-1.1- I 2.1-4 relativc to the installation of new qualifying research and devclopment equipmcnt, laboratory cquipmcnt, information technology/computer hardwarc and software- oriented equipmcnt. Such Rcsolution previously approving such property as an Economic Revitalization Area and such Rcsolution approving a ten-year personal property tax abatement for Oxford 13iosignals were provided by the Common Council of the City ofCarmcl, Indiana on the 1')lh of April 2007. Furthermorc, the Resolution states that on the 19'h of April 2007 at 7 p.m. in the Council Chamber Room located at One Civic Square, Cannel, Indiana 46032, the Common Council met to hear public comment from persons interested in thcse proceedings and make a determination about approving a ten-year personal property tax abatement for Oxford 13iosignals for its investmcnt in new qualifying research and development cquipment, laboratory equipment, information technology/computer hardware and software-oriented equipment. A description of information related to Oxford 13iosignals' project and a copy of such Resolution are available for inspection in the Hamilton County Assessor's OfJice, Suite 214, 33 North 9'h Street, Noblesville, Indiana 46060. STATEMENT OF BENEFITS PERSONAL PROPERTY State Form 51764 (R /1"'()6) Prescribed by the Department of Local Govemment Finance FORM 58-1/ PP INSTRUCTIONS: 1. This statement must be submitted to the body desIgnating the Economic RevItalization Area prior to the public hearing If the designating body requires information from the applicant In making its decision about whether to designate an Economic Revitalization Area. Otherwise this statement must be submitted to the desIgnating body BEFORE 8 person installs the new manufacturing equipment and/or research and development equipment, and/or logistical distribution equipment and/or information technology equipment for which the person wishes to t;/alm a deduction. ~Projects" planned or committed to after July 1, 1987, and arees designeted enerJuly 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 installation 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 8 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 fifad between March 1 and May 15 of the assessment year in which new manufacturing equipme.nt and/or research and development equipment and/or logistical distribution equipment and/or information technology equipment is installed and fully funcUonal, unless 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 wUh the Statement of Benefits. (IG 6-1.1-12.1-5,6) 5. The schedules established under IG 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. (IG 6-1, 1.12. 1.4.5m and (g)) PRIVACY NOTICE The cost and any specific Individual's salary Information Is confidential; the balance of the filing Is public record er IC 6-1.1-12.1-5,1 c and d. SECTION 1 TAXPAYER INFORMATION . Name of taxpayer Oxford Biosi nals Address of taxpayer (number and streef, city, state, and ZIP code) 12900 North Meridian Street Name of contact person Frank Cheng, President and CEO Name of des,lgnaUng body City of Carmel Common Council location of property County 12900 North Meridian Street Hamilton Description of manufacturing equipment andlor research and development equipment and/or logistical distribution equipment andlor information technology equipment. (use additional sheets if necessary) . 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 & D equipment to support corporate headquarters and R & D operations, Manufacturing Equipment R & D Equipment 04/01/2007 Logist Dist Equipment 12/31/2011 IT Equipment 04/01/2007 12/31/2011 NOTE: Pursuant to IC 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 VAlUE COST LOG 1ST DIST EQUIPMENT ASSESSED VAlUE IT EQUIPMENT COST ASSESSEO VAlUE 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 Other benefits: SECTION 6 TAXPAYER CERTIFICATION Signature of authorized ,!.E!: I hereby certify that the represental10ns In thiS statement are true. esen~tl~,f _____ TItle f'-'~ President and CEO Date signed (month, day. year;! 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 under Ie 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: 1. Installation of new manufacturing equipment; 2. Installation of new research and development equipment; 3. Installation of new logistical distribution equipment. 4. Installation of new information technology equipment OVes DNa OVes ON a DYes DNa DYes DNa 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 . The 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 prlortoJuly 1, 2000, ~a 02 years 07 years 5 or 10 year schedule may be deducted. 03 years 08 years 04 years 09 years 05 years.* 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. D~nated body '-.:..OoY\ '011 ~ Telephone number * 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