HomeMy WebLinkAboutCC-03-07-11-03 Meridian Medical Partners Two, LLC, EDA, 10-Year Tax AbatementSponsors: Councilors Carter, Rider, Sharp and Snyder
RESOLUTION CC- 03- 07 -11 -03
(FORMERLY RESOLUTION CC- 02- 21- 11 -01)
A DECLARATORY RESOLUTION "RESOLUTION OF THE COMMON COUNCIL
OF THE CITY OF CARMEL, INDIANA
DESIGNATNG
12188E NORTH MERIDIAN STREET, CARMEL, INDIANA
AS AN ECONOMIC REVITALIZATION AREA
WHEREAS, I.C. 6- 1.1- 12.1 -4 authorizes partial abatement of real property taxes
attributable to improvements made to real estate; and
WHEREAS, I.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 Meridian Medical Partners Two, LLC and Franciscan Alliance,
Inc., F/K/A/ Sisters of St. Francis Health Services, Inc. (collectively, the "Company and such
designation application requests that the real estate located at 12188B North Meridian Street,
Carmel, Indiana and legally described therein (the "Site be designated as an ERA; and
WHEREAS, the Company will make real property improvements in support of a short
stay medical center, provided that the Company is able to obtain real property tax deductions as
authorized by T.C. 6 -1.1- 12.1 -4; and
WHEREAS, the Company seeks to have the Council authorize real property tax
deductions in connection with real estate improvements at the Company's facility located at
12188B North Meridian Street, Carmel, Indiana; and
WHEREAS, the Council has reviewed such designation application together with the
Company's Statement of Benefits (Form. SB -1) 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 -1) heretofore filed by the Company, the Council hereby makes
the following findings:
FINDING 1. The Site has been undesirable for normal development due to the
following economic conditions:
J
(a) The Site is zoned for and is generally suitable for use as a medical
office development; however, there is a low demand for medical
office space in the geographic area where the Site is located (the
"Corridor due to the economic conditions currently present.
FINDING 2. The Company's proposed use of the Site as a medical office development
is consistent with the Site's existing zoning and represents an enhanced
use for the Site.
FINDING 3. The Company plans to make real estate improvements that will result in an
addition to the Corridor's overall assessed value within an accelerated
time period.
FINDING 4.
FINDING 5.
FINDING 6.
FINDING 7.
FINDING 8.
FINDING 9.
FINDING 10.
FINDING 11.
FINDING 12.
Sponsors: Councilors Carter, Rider, Sharp and Snyder
(b) Vacancy rates for medical office space in the area and an
abundance of sublease opportunities evidence an oversupply of
medical office space in the Corridor.
The proposed development of the Site by the Company meets the
parameters set forth in Council Resolution No. CC- 02- 05- 01 -02.
The estimate of the cost and assessed value of the Company's proposed
development of the Site is reasonable for projects of a similar nature.
The estimate of the number of individuals who will be employed (i.e.,
approximately 76 new FTEs) can be reasonably expected to result from
the Company's proposed improvement of the Site.
The estimate of the annual salaries (i.e., average of approximately $75,000
per annum) of those individuals who will be employed can be reasonably
expected to result from the Company's proposed project at the Site.
The estimate of the cost and assessed value of the real estate
improvements is reasonable for a project of this type.
The Company will be an active corporate citizen involved in and
committed to the City of Carmel.
The Company's short -stay medical center in Carmel is consistent with the
goals and vision established by the City of Carmel and the Hamilton
County Alliance.
Other benefits can be reasonably expected to result from the Company's
proposed investment in real estate improvements at the Site.
The totality of benefits is sufficient to justify real property tax deductions
herein described.
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Sponsors: Councilors Carter, Rider, Sharp and Snyder
NOW, THEREFORE, BE IT RESOLVED THAT, a legal description of the Site has
been attached hereto as Exhibit A.
BE IT FURTHER RESOLVED THAT, in accordance with 1.C. 6 -1.1- 12.1 -2, the Site
is hereby declared an ERA for purposes of granting real property tax abatement in support of the
Company's project and related real estate improvements.
BE IT FURTHER RESOLVED THAT, on March 7, 2011, the Council shall hold a
public hearing to receive all remonstrances and objections from interested persons, after which
the Council shall take final action confirming, modifying or rescinding this resolution along with
the findings and declarations contained herein.
BE IT FURTHER RESOLVED THAT, the number of years for which the Company is
entitled to a deduction for real estate improvements, pursuant to I.C. 6- 1.1- 12.1 -4, shall be ten
(10).
BE IT FURTHER RESOLVED THAT, the Council shall have the right to reduce the
length of and /or end the ERA 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 of the Company shall appear before the 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 and confirmation of the ERA prior to the commencement of
construction of the real estate improvements.
BE IT FURTHER RESOLVED THAT, if the Site is located in an allocation area (as
defined in LC. 36- 7 -14 -39 or T.C. 36 -7- 15.1 -26), the Statement of Benefits contained in the
designation application for the property tax deductions approved herein shall also be deemed
approved by the Council as the legislative body (as defined in LC. 36- 1 -2 -9) of the unit that
approved the designation of the allocation area as required under T.C. 6 -1.1- 12.1 -2.
BE IT FURTHER RESOLVED THAT, this Resolution shall be filed with the
Hamilton County Assessor as required by T.C. 6- 1.1- 12.1 -2.5.
BE IT FINALLY RESOLVED THAT notice of the adoption of and the substance of
this Resolution shall be published in accordance with T.C. 5 -3 -1 and that such notice shall be in
the form attached hereto and incorporated herein as Exhibit B.
Adopted by the Common Council of the City of Cannel, Indiana this 7i day of
2011, by a vote of L ayes and 0 nays.
3
ohn V. Accetturo
ATTEST:
NoT P eseN
Ronald E. Carter
Diana L. Cordray, Clerk -Tr s rer
Presented by me to the Mayor of the City of Carmel, Indiana this rl day of
Y` 0J-L 2011, at8'• .m.
a-ALA
c
Diana L. Cordray, Clerk- Treasu<i
Approved by me, Mayor of the City of Carmel, Indiana this r day of
Yncth 2011, at 5:3,1
.m.
ATTES
Diana L. Cordray, Clerk Treasurer
Prepared by: Chad J. Sweeney
Ginovus
8888 Keystone Crossing
Suite 1450
Indianapolis, Indiana 46240
317/819 -4415 (telephone)
Chad@Ginovus.com (e -mail)
COMMON COii NCIL OF THE CITY OF CA
Sponsors: Councilors Carter, Rider, Sharp and Snyder
evin Rid
Richard- Sha
uci Snyder
mes Brainard, Mayor
1
Sponsors: Councilors Carter, Rider, Sharp and Snyder
EXHIBIT A
A LAND BOUNDARY DESCRIPTION OF THE BUILDING LOCATED AT
1218813 NORTH MERIDIAN STREET, CARMEL, INDIANA
HAMILTON COUNTY, INDIANA
PAGE 1 OF 1
Lot Numbered One (1) in Meridian Medical Plaza, an addition to the City of Carmel,
Hamilton County, Indiana as per plat thereof, recorded March 17, 2006 in Plat Cabinet 4,
Slide 41, as Instrument Number 200600014515, in the Office of the Recorder of Hamilton
County, Indiana.
5
Sponsors: Councilors Carter, Rider, Sharp and Snyder
EXHIBIT B
NOTICE OF ADOPTION REGARDING THE APPROVAL OF A
TEN -YEAR REAL PROPERTY TAX ABATEMENT FOR
MERIDIAN MEDICAL PARTNERS TWO, LLC AND
FRANCISCAN ALLIANCE, INC., F /K/A/ SISTERS OF ST. FRANCIS HEALTH
SERVICES, INC.
LOCATED AT 12188B NORTH MERIDIAN STREET, CARMEL, INDIANA, 46032
PAGE1OF1
PUBLIC NOTICE OF ADOPTION OF RESOLUTION CC- 2- 21 -11 -01
Notice is hereby given that the Common Council of the City of Carmel, Indiana did on the 21st
day of February, 2011 adopt Resolution CC- 2- 21 -11 -01 designating an Economic Revitalization
Area "ERA for Meridian Medical Partners Two, LLC and Franciscan Alliance, Inc., F/K/A/
Sisters of St. Francis Health Services, Inc. for its investment in its short -stay medical center
located at 12188B North Meridian Street. This Resolution, which affects the following
described property located in the City of Carmel, Indiana: 12188B North Meridian Street, Clay
Township, Hamilton County, as described in Exhibit A of Resolution CC- 2- 21 -11 -01 (the
"Property") was adopted following the filing of information by Meridian Medical Partners Two,
LLC and Franciscan Alliance, Inc., F /K/A/ Sisters of St. Francis Health Services, Inc.
designating the property as an ERA for the purpose of securing a (10) ten year real property tax
abatement pursuant to Indiana Code Section 6- 1.1- 12.1 -4 relative to the completion of real estate
improvements to the Property.
On the 7th of March, 2011 at 6 p.m. in the Council Chamber Room, located at One Civic Square,
Carmel, Indiana 46032, the Common Council shall hold a public hearing and receive all
remonstrances and objections from interested persons regarding these proceedings before taking
final action confirming, modifying or rescinding Resolution CC- 2- 21- 11 -01. A description of
the property and a copy of Resolution CC- 2- 21 -11 -01 are available for inspection in the
Hamilton County Assessor's Office, Suite 214, 33 North 9th Street, Noblesville, Indiana 46060.
For additional information on the project, contact Larry Gigerich, Managing Director, Ginovus,
317- 819 -0890.
6
STATEMENT OF BENEFITS
REAL ESTATE IMPROVEMENTS
State Form 51767 (R2 1 -07)
Prescribed by the Department of Local Government Finance
This statement is being completed for real property that qualifies under the following Indiana Code (check one box):
Redevelopment or rehabilitation of real estate improvements (IC 6 -1.1- 12.1 -4)
Eligible vacant building (IC 6- 1.1- 12.1 -4.8)
20 PAY 20
FORM SB -1 Real Property
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 the redevelopment or rehabilitation of real property for which the person wishes to claim 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 initiation of the redevelopment or rehabilitation,
BEFORE a deduction may be approved.
3. To obtain a deduction, application Form 322 ERA/RE or Form 322 ERA/VBD, Whichever is applicable, must be filed with the County Auditor by the later
of: (1) May 10; or (2) thirty (30) days after the notice of addition to assessed valuation or new assessment is mailed to the property owner at the address
shown on the records of the township assessor.
4. Property owners whose Statement of Benefits was approved after June 30, 1991, must attach a Form CF -1 /Real Property annually to the application to
show compliance with the Statement of Benefits. [IC 6- 1.1- 12.1- 5.1(b) and IC 6 -1.1- 12.1 5.30))
5. The schedules established under IC 6 -1.1- 12.1 -4(d) for rehabilitated property and under IC 6 -1.1- 12.1 4.8(1) for vacant buildings apply to any statement
of benefits approved on or after July 1, 2000. The schedules effective prior to July 1, 2000, shall continue to apply to a statement of benefits filed before
July 1, 2000.
SECTION1r
TA XPAYER• INFORMATION,:
y'}a
Name of taxpayer
Meridian Medical Partners Two, LLC Franciscan Alliance, Inc., F /K/A Sisters of St. Francis Health Services, Inc.
Address of taxpayer (number and street, city, state, and ZIP code)
11595 N. Meridian Street, Suite 250, Carmel, IN 46032
OCATION •AND;DESCRIP.TIONOPPROPOSED PROJECT:
Name of contact person
Brian Fritts
Name of designating body
Common Council of the City of Carmel
Telephone number
(317) 663 -6334
E -mail address
BFritts{a�lauth.net
Resolution number
Location of property
12188 B North Meridian Street, Carmel, IN 46032
County
Hamilton
Description of real property improvements, redevelopment. or rehabilitation (use additional sheets if necessar4
Sisters of St. Francis Health Services, Inc. is occupying space in the North Meridian
Medical Pavilion B to operate a short -stay medical center. The company is anticipating
59. 500. 000 ,in,real.oronertv..investments_
REAL ESTATE IMPROVEMENTS
t SECTIOIV
tt
Current number"
0.00
CTION 4 w pc w
STIMATE'OFiEMP_L
Selarioss
M $o ao
EES4ANUSALARIES ASIRESULT- OFTPROP,OSED. PROJE
0
Number retained
0.00
Salaries
Number additional
76.00
TIMATED- TOTAL` COST AND :VALUE OF PROPOSED PROJECT
Salaries
LY5
NOTE: Pursuant to IC 6- 1.1- 12.1 -5.1 (d) (2) the COST of the property
is confidential.
Estimated stars date (month, day, year)
03/01/2011
Estimated completion date (month, day. year)
.1.2/31.12015,,
COST ASSESSED VALUE
Current values
Plus estimated values of proposed project
Less values of any property being replaced
SECTION
e.
ASTE CONVERTED AND OTHERiBENEFITS PROMISED BY1THEITAXPAYE
XPAYERrCERTIFICATiONi'
I hereby
Other benefits
that the re :•''s in this statement are true.
Net,estimated aloes upon completion of project
Estimated solid waste converted (pounds) 0.00
Estimated hazardous waste converted (pounds) 0.00
Signatur %f a zed rree resenta
i Zia
9,500.000.00
DLGF taxing district number
29 -003
Date s eed nth, day, year)
efie lL
Rk USE bF41:1E DESIGNATI 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 IC 6 -1.1 -12.1, provides for the following limitations:
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. Redevelopment or rehabilitation of real estate improvements Yes
2. Residentially distressed areas Yes
3. Occupancy of a vacant building Yes
C. The amount of the deduction applicable is limited to
D. Other limitations or conditions (specify)
E. The deduction is allowed for years* (see be/ow).
We have also 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.
Telephone number
Approved (signature and title of authorized member of designating body)
Attested by (signature and title of attester)
R 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- 1.12 12.1 -4.
A. For residentially distressed areas, the deduction period may not exceed five (5) years.
B. For redevelopment and rehabilitation or real estate improvements:
1. If the Economic Revitalization Area-was designated prior to July 1. 2000, the deduction period is limited to three (3), six (6), or ten (10) years.
2. If the Economic Revitalization Area was designated after June 20, 2000, the deduction period may not exceed ten (10) years.
C. For vacant buildings, the deduction period may not exceed two (2) years.
Page 2 of 2
No
No
No
Designated body
Date signed (month, day. year)
January 5, 2011
Mr. Larry Gigerich, Managing Director
Ginovus
8888 Keystone Crossing, Suite 1450
Indianapolis, Indiana 46240
Dear Larry:
The City of Carmel is most pleased to have the opportunity to work with you regarding your client's proposed
project, Project Vault, in our :community. It is our understanding that Project Vault is a life sciences organization
that is considering the location of anew facility in Carmel, Indiana. We have enjoyed working with you on this
project to identify the most meaningful ways the City of Carmel can assist with the proposed project.
It is our understanding that Project Vault is considering an investment of approximately $23 Million in real estate
improvements and personal property, the creation of approximately 76 new jobs (average annual salary level of
approximately $75,000, plus benefits) in the city of Cannel by December 31, 2015, In support of the proposed
location of the facility, the City of Carmel makes the following commitments in support of the project:
1. The City of Carmel will provide a ten -year real property tax abatement in support of the
company's renovations and build -out of an existing building in the community for the proposed
project, and;
Please note that final approval is required from the Carmel City Council for property tax abatement. The City of
Carmel will provide you and Ginovus with all necessary technical assistance throughout the property tax
abatement approval process.
The City of Carmel greatly appreciates the opportunity to work with Ginovus in support of this exciting project.
We are very pleased that your company is considering the location of its new life sciences facility in our
community. If you have any questions and/or comments, please do not hesitate :to give me a call. Thank you for
your consideration.
Yours truly,
James Brainard
Mayor
Cc: Members of the Carmel City Council
Larry Gigerich,' Managing Director, Ginovus
l 0 r,
ARIVIEL
_TAMES BRAINI\R11), MAYOR
2. The City of Carmel will provide support for and participate in a public announcement of Project
Vault, should Carmel be selected for the project.
ONE (;rvi S r;Aai•:, C:ArtMl., IN 4(632 O3'P3oi 317.571.24(31, FAN 317.H4'i.3 '19(?
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