Loading...
§ 35.29 ESTABLISHMENT OF ANNUAL SERVICE CHARGE.
   The housing development identified as Village North Apartments and the property on which it shall be constructed shall be exempt from all property taxes from and after the year the project is placed in service as evidenced by a certificate of occupancy from the appropriate public officials. The city acknowledges that the sponsor and the authority have established the economic feasibility of the housing development in reliance upon the enactment and continuing effect of this subchapter and the qualification of the housing development for exemption from all property taxes and a payment in lieu of taxes as established in this chapter, and in consideration of the sponsor’s offer, subject to receipt of an allocation under the LIHTC program, to construct, own and operate the housing development, agrees to accept payment of an annual service charge for public services in lieu of all property taxes. The annual service charge shall be equal to 8% of the annual shelter rents actually collected through the calendar year 2013, and 9% of the annual shelter rents actually collected for any year subsequent to 2014.
(Ord. 237, passed 11-16-98; Am. Ord. 325, passed 4-7-14)
§ 35.30 LIMITATION ON THE PAYMENT OF ANNUAL SERVICE CHARGE.
   (A)   Notwithstanding § 35.29, the service charge to be paid each year in lieu of taxes for part of the housing development which is tax exempt and which is occupied by other than low income persons or families shall be equal to the full amount of the taxes which would be paid on that protion of the Housing Development if the Housing Development were not tax exempt.
   (B)   The term "low income persons or families" as herein shall be the same meaning as found in Section 15 (a)(7) of the Act.
(Ord. 237, passed 11-16-98)
§ 35.31 CONTRACTUAL EFFECT OF SUBCHAPTER.
   Notwithstanding the provisions of Section 15 (a)(15) of the Act, to the contrary, a contract between the city and the sponsor with the authority as a third party beneficiary under the contract, to provide tax exemption and accept payments in lieu of taxes, as previously described, is effectuated by enactment of this subchapter.
(Ord. 237, passed 11-16-98)
§ 35.32 PAYMENT OF SERVICE CHARGE.
   The service charge in lieu of taxes as determined under this subchapter shall be payable in the same manner as general property taxes except that the annual payment shall be paid on or before February 28 of each year. The sponsor shall submit a statement from its independent auditor verifying the amounts used to compute the payment are correct as reported. The statement and supporting documents may be from the sponsor's federal tax return.
(Ord. 237, passed 11-16-98)
§ 35.33 DURATION.
   This subchapter shall remain in effect for a period of 30 years after the certificate of occupancy is obtained from the appropriate officials, so long as the housing development remains subject to income and rent restrictions pursuant to Section 42 of the Internal Revenue Code of 1986, as amended, provided however, that Village North Apartments shall not be entitled to a service charge in lieu of property taxes for the calendar year 2014, being the year in which this section was enacted.
(Ord. 237, passed 11-16-98; Am. Ord. 325, passed 4-7-14)
Loading...