(a) It is acknowledged that it is a proper public purpose of the State of Michigan and its political subdivisions to provide housing for its citizens of low or moderate income and to encourage the development of such housing by providing for a service charge in lieu of property taxes in accordance with the State Housing Development Authority Act of 1966 (1966 PA 346, as amended, MCLA Section 125.1401 et seq.) ("Act").
(b) The City is authorized by said Act to establish or change the service charge to be paid in lieu of taxes by any or all classes of housing exempt from taxation under the Act at any amount it chooses not to exceed the taxes that would be paid but for the Act. It is further acknowledged that such housing for persons and families of low or moderate income is a public necessity, and as the City will be benefitted and improved by such housing, that the encouragement of same by providing certain real estate exemption for housing is a valid public purpose; further that the continuation of the provisions of this chapter for tax exemption and service charge in lieu of taxes during the periods hereafter contemplated in this chapter are essential to the determination of economic feasibility of the housing development which is constructed and financed in reliance thereon.
(c) The City acknowledges that Lincoln Park Lofts Limited Dividend Housing Association Limited Partnership (the "sponsor"), a Michigan limited partnership, and whose general partner is a wholly-owned subsidiary of Wayne Metropolitan Community Action Agency, has offered, subject to receipt of a mortgage loan from the authority (as defined below) and an allocation of low income housing tax credits ("LIHTC") from the authority, to acquire land and build a housing development to be identified as Lincoln Park Lofts on certain property located in the City at 1583 Fort Street and more particularly described in Exhibit "A" attached to Resolution 09-86A, passed April 20, 2009, and incorporated herein, to serve persons of low or moderate income, and that the sponsor has offered to pay the City on account of this housing development an annual service charge for public services in lieu of all taxes.
(Res. 09-86A. Passed 4-20-09. Eff. 4-21-09.)