HomeMy WebLinkAboutRES 86-114 R E S O L U T I O N
BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF BEAUMONT:
THAT the tax abatement policy for manufacturing concerns, as shown
on Exhibit "A" attached hereto and made a part hereof for all
purposes, is hereby adopted by the City of Beaumont as its tax
abatement policy for manufacturing concerns.
PASSED BY THE CITY COUNCIL of the City of Beaumont this
the day of 4�2 ,� 1 4 986
Mayor -
THE CITY OF BEAUMONT
MANUFACTURING TAX ABATEMENT POLICY
The purpose of this document is to establish a uniform policy of
tax abatement for manufacturers who own qualifying real property
willing to execute tax abatement contracts designed to provide
long-term significant positive economic impact to the community by
utilizing the area contractors and work force to the maximum extent
feasible, and by developing, redeveloping and improving real
property.
Furthermore, a manufacturer who owns real property requesting
tax abatement within a reinvestment zone must, prior to the inception
of project( s) subject to an abatement contract, agree to expend a
designated sum of money or provide a certain number of jobs, as
follows :
PERCENT OF VALUE CAPITAL COST OF NO. OF NEW FULL-TIME
TO BE ABATED THE PROJECT OR PERMANENT JOBS CREATED
0% 0- 1, 000,000 0 - 25
25% 1,000, 001- 2, 500,000 26 - 50
50% 2, 500, 001- 5,000,000 51 - 75
75% 5,000, 001-10,000, 000 76 - 100
100% OVER 10,000,000 OVER 100
Only that increase in the fair market value of the real property
directly resultant from the development, redevelopment and
improvement specified in the contract will be eligible for abatement
and then only to the extent that such increase exceeds any reduction
in the fair market value of other real property of an owner located
within the jurisdiction creating the reinvestment zone. The length
of an abatement contract will be five years from the successful
p /(� Exhibit "A"
completion of the development, redevelopment, or improvement of the
project or one-half of the project' s useful life, whichever is less.
The City will create an advisory committee composed of one
member representing each affected taxing jurisdiction. Such advisory
committee will review applications for tax abatement and recommend
contract terms and adoption or rejection of all such applications to
the City Council .
This policy is effective as of January 1, 1986, and shall remain
in force until April, 1987, at which time all reinvestment zones and
tax abatement contracts created pursuant to its provisions will be
reviewed by the taxing jurisdictions to determine whether its goals
have been achieved.
This policy is mutually exclusive of existing Industrial
District Contracts and does not apply to applications from owners of
real property in areas deserving of special attention.
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