(a) Definitions. As used in this section, the following words and phrases shall have meaning set forth below:
(1) "County" means the County of Allegheny.
(2) "Board" means the Board of Property Assessment, Appeals and Review of Allegheny County.
(3) "Dwelling Unit" means a house, apartment, townhouse, condominium or group of rooms intended for occupancy as separate living quarters by family or other groups or a person living alone, containing a kitchen or cooking equipment for the exclusive use of the occupants. Dwelling unit shall not include any units occupied by persons receiving a subsidy or a portion of their rent or mortgage payment under a federally subsidized program providing for rental units, but not limited to, Section 804, Housing and Community Development Act of 1974, P.L 93-393; Section 236; U.S. Housing Act of 1937; Section 202, Housing Act of 1959.
(4) "Residential Unit" has the same meaning as "Dwelling Unit" above.
(5) "Type of Unit" means a house, apartment, duplex, semi-detached house or other dwelling place.
(6) "Person" means any individual, corporation, association, partnership or nonprofit corporation, other than a developer, sponsor, real estate investment trust or other investor receiving subsidy or aid under a federal program who own or develops new residential units or who is liable for real estate taxes on new residential construction.
(7) "Actual Cost" means the amount of money expended in the construction of a new residential unit or units.
(8) "Assessed Valuation" means the worth assigned to a residential unit or units or dwelling unit as certified to the County by the Board of Property Assessment, Appeals and Review. The term "Assessed Valuation" shall not apply to the worth assigned to land exclusive of buildings.
(9) "Unimproved Residential Property" means any unimproved real estate owned by a person which is or may be zoned in accordance with the Pennsylvania Municipalities Planning Code for residential use.
(b) Boundaries; New Construction. Pursuant to the public hearing, Council does hereby determine that all unimproved residential property located within the geographic confines of White Oak Borough shall be eligible for the new residential construction exemption or abatement granted under this section.
(c) Exemption for Residential Construction. Persons responsible or liable for the payment of taxes due on residential units erected or constructed or unimproved residential properties in the Borough of White Oak may apply for and receive tax exemption on new residential construction in accordance with procedures and schedules herein provided.
(1) Any exemption from taxes shall be limited to the assessed valuation attributable to the actual cost of construction on the new residential unit. No maximum cost per unit cap shall be imposed on the exemption for assessed valuation attributable to the actual cost of construction of new residential units erected on unimproved residential property.
(2) Any exemption from taxes on the eligible amount of assessed valuation attributable to new construction shall commence on the tax year immediately following the year in which the building permit is issued, providing that an assessment valuation attributable to the new construction has been certified by the Board. If no such certification has been made in the year following issuance of the building permit, then exemption shall commence in the first year in which real property taxes are assessed and imposed on such residential units following construction.
(3) The length of time for the abatement of White Oak Borough taxes attributable to the increased valuation due to the new construction shall not exceed two years.
(4) The abatement for the first year in which the abatement is in effect shall be one hundred percent (100%) of the assessed valuation attributable to the new construction and the abatement for the second year shall be fifty percent (50%) of the assessed valuation attributable to the new construction.
(5) If a residential unit is granted exemption from taxes under this chapter, that property shall not be considered as a factor in assessing the value of other properties in the same area during the period in which the exemption exists.
(d) Procedure for Obtaining Exemption. At the time a person secures an occupancy permit in his/her name for the new residential unit for which the person intends to request exemption from taxation, the person shall apply to the Borough of White Oak for exemption of the taxes that would otherwise be imposed on the basis of the assessed valuation of that property within sixty (60) days of the date of issuance of the occupancy permit.
(1) At the time the person secures an occupancy permit, a form prescribed by the Borough of White Oak, shall be given to the property owner(s). Said completed form must be returned to the Borough within sixty (60) days of the date of issuance of the occupancy permit. Failure to return the completed form within that time period will result in the request for tax exemption being denied.
(2) The request for exemption must be in writing and certified on that form setting forth the following information.
A. The date the building permit was issued for the said construction.
B. The number and type of residential units for which exemption is requested.
C. The summary of the plan for the construction of the new residential units.
D. The actual cost of construction.
(3) When the new construction has been completed and the Board has assessed the new construction and the Borough has been notified of the same, the Borough will then calculate the amount of assessment eligible for tax exemption under this section.
(4) The Borough will then notify the person and Borough's Tax Collector of the amount of the increase in assessment attributable to the new construction, and the amount of the assessment eligible for exemption under this section.
(5) Appeals from the assessment may be taken by the person or by the local taxing authorities as provided by law.
(e) Transferability. The exemption from taxes authorized by this section shall he upon the property exempted and shall not terminate upon the sale, exchange or other alienation of such property unless otherwise provided.
(f) Severability. The provisions of this section shall be severable. If any provisions of this section shall be held to be illegal, invalid or unconstitutional by a final decision of a court of competent jurisdiction, the other provisions of this section shall remain in full force and effect.
(g) Effective Date. The provisions of this section shall be effective January 1, 2010 and remain in effect until December 31, 2013.
(Ord. 3637. Passed 2-20-12.)