(a) The tax exemption shall first apply in the year the construction or remodeling would first be taxable but for this section. In the case of remodeling that qualifies for exemption, a percentage of the amount by which the remodeling increased the structure’s assessed value shall be exempt from real property taxation. In the case of construction of a structure that qualifies for exemption, a percentage of the structure’s assessed value shall be exempt from real property taxation. If the structure or remodeling is to be used for commercial or industrial purposes, the percentage and period shall be those set forth in the Agreement, which Agreement may include the following:
(1) Up to ten (10) years and up to seventy-five percent (75%) for existing commercial and industrial facilities, the term and percentage of which shall be negotiated on a case-by-case basis in advance of construction or remodeling occurring.
(2) Up to ten (10) years and up to seventy-five percent (75%) for new commercial or industrial facilities, the term and percentage of which shall be negotiated on a case-by-case basis in advance of construction occurring.
(3) Mixed use facilities, (i.e., combined residential and commercial use), shall be treated as a commercial project in its entirety subject to the term length and percentages as set forth in subsections (a)(1) and (2) hereof.
(b) If the structure or remodeling is to be used for residential purposes, the percentage and period shall be one of the following:
(1) Up to seven (7) years for the remodeling of every residential dwelling unit containing not more than two family units and upon which the cost of remodeling is at least $5,000.00, and with such exemption being up to one hundred percent (100%) for each year.
(2) Up to seven (7) years for new residential construction consisting of not more than two (2) family units, and with such exemption being up to one hundred percent (100%) for each year.
(3) Up to seven (7) years for the remodeling of every residential dwelling unit containing more than two family units upon which the cost of remodeling is at least $10,000.00, and with such exemption being up to one hundred percent (100%) for each year.
(4) Up to seven (7) years for new residential construction consisting of more than two (2) family units, and with such exemption being up to one hundred percent (100%) for each year.
(Ord. 2012-11. Passed 1-17-12.)