Eligibility for Community Reinvestment Area tax incentives shall be determined on a case by case basis and shall be for investments in qualified retail, commercial, mixed-use and/or industrial property improvements related to the renovation of existing or construction of new buildings within the designated area that lead to job creation and/or retention in the City.
The following projects are not eligible for real property tax exemption:
(1) Construction of new single-family dwellings
(2) Construction of new multi-family units
(a) Determination of Eligibility for Exemption. Eligibility for real property tax exemption and the duration of said exemption shall be determined by the City Manager employing the following criteria:
(1) Value of construction.
A. New Construction. One year for each two hundred fifty thousand dollars ($250,000) in construction cost, up to a five year maximum.
B. Additions. One year for each two hundred thousand dollars ($200,000) in construction cost, up to a five year maximum.
C. Remodeling. One year for each one hundred thousand dollars ($100,000) in construction cost not to exceed two years unless additional employment is generated.
(2) Employment. One year for each ten new jobs created, up to a five-year maximum.
(3) Payroll. One year for each group of employees with an average gross payroll of two hundred thousand dollars ($200,000) per year, up to a five-year maximum.
(b) Term of Abatement.
(1) In no case shall the term of the abatement exceed fifteen years.
(2) As a condition for all exemptions exceeding five years in duration, the recipient of the abatement shall submit written documentation to prove that the qualifying criteria have been maintained or exceeded. This documentation will be provided to the City upon request on the anniversary of the certification to the County Auditor at the mid-term of the abatement period.
(3) Should an applicant quality for an abatement period in excess of ten years, the documentation required above shall be submitted at periods equal to one-third of the overall exemption duration.
(Ord. 2018-114. Passed 10-23-18.)
(c) Certified Community Reinvestment. Area applications for properties within a current Tax Increment Financing (TIF) boundary, shall not include abatement of the TIF assessment. (Ord. 2020-113. Passed 11-24-20.)