(A) It is acknowledged that it is a proper public purpose of the State of Michigan and its political subdivisions to provide housing for low income citizens and to encourage the development of such housing by providing for a service charge in lieu of property taxes in accordance with M.C.L.A. § 125.1401 et seq. The village is authorized by M.C.L.A. § 125.1401 et seq. and this chapter to establish or change the annual service charge to be paid in lieu of taxes by any and all classes of housing exempt from taxation under M.C.L.A. § 125.1401 et seq. at any amount it chooses not to exceed the taxes that would be paid but for M.C.L.A. § 125.1404 et seq. It is further acknowledged that housing for low income persons and families is a public necessity, and as the village will be benefitted and improved by such housing, the encouragement of the same by providing certain real estate tax exemptions for such housing is a valid public purpose; further, that the continuance of the provisions of this chapter for tax exemption and the service charge in lieu of taxes during the period contemplated in this chapter are essential to the determination of economic feasibility of housing developments which are constructed and financed in reliance on such tax exemption.
(B) The village acknowledges that T.J. Fife Lake Limited Dividend Housing Association Limited Partnership (the “Sponsor” as defined in § 94.04) has offered, subject to receipt of the tax credits from the Michigan State Housing Development Authority, to rehabilitate, own and operate a housing development identified as “Kingsley Arms Apartments” on certain property located on Madison Avenue within the village, which is legally described in § 94.04, to serve low income or moderate income persons, and that the sponsor has offered to pay and will pay to the village, on account of the housing development, an annual service charge for public services in lieu of all taxes.
(Ord. 05 10-07, passed 10-1-2007)