Title
Resolution Setting A Public Hearing on the Application of Mehindra GenZe, for an Industrial Facilities Exemption Certificate in Industrial Development District No. 2013-010
Memorandum
Resolution Setting A Public Hearing on November 6, 2014 to Receive Public Comment on the Application of Mehindra GenZe, for an Industrial Facilities Exemption Certificate in Industrial Development District No. 2013-010
Attached please find for Council action the necessary resolution to set a public hearing on the application of Mehindra GenZe, for an industrial facilities exemption certificate in Industrial Development District No. 2013-010 established by City Council on December 2, 2013.
State law requires that a public hearing be scheduled by the local governing body on receipt of an application for an industrial facilities exemption certificate in an established development district. Mehindra GenZe filed an application with the City Clerk on September 26, 2014.
Mehindra GenZe is requesting a three year abatement on $454,610.00 of real property improvements and $1,751,204 of personal property. $148,500.00 of real property improvements is site work and would not qualify for a tax abatement. If approved this will reduce Mehindra GenZe's tax bill for the new improvements for 2015 by approximately $21,500.00. The new real and personal property investments will generate approximately $22,700.00 in property taxes for 2015. In accordance with current legislation it is highly probable the personal property would become exempt in 2016.
Staff
Prepared by: David Petrak, City Assessor
Reviewed by: Tom Crawford, Chief Financial Officer
Approved by: Steve Powers, City Administrator
Body
Whereas, Pursuant to P.A. 198 of 1974, as amended ("Act"), after a duly noticed public hearing held on December 2, 2013, the City of Ann Arbor City Council established Industrial Development District No. 2013-010;
Whereas, Pursuant to Section 7a of the Act, on September 26, 2014, Mahindra GenZe, filed an application with the City Clerk for an Industrial Facilities Exemption Certificate for real property improvements to be constructed and new personal property to be acquired and installed within Industrial Development District No. 2013-010;
Whereas, Before acting on said application, City Council is required to hold a public hearing at which the applicant, the City Assessor, and a representative of each of the affected taxing units and the public may be afforded an opportunity to be heard on said application; and
Whereas, Mahindra GenZe had not begun construction of the real property improvements or installation of new machinery and/or equipment six months prior to September 26, 2014, the date of filing of the application for the Industrial Facilities Exemption Certificate;
RESOLVED, That the City Council of the City of Ann Arbor hereby sets a public hearing for Thursday, November 6, 2014 at 7:00 p.m. or as soon thereafter as it may convened in the City Council Chambers, 2nd Floor, Guy Larcom Municipal Building, 301 East Huron Street, Ann Arbor, to receive comment from the applicant, City Assessor, representatives of each of the affected taxing units and the public on the application of Mahindra GenZe, for an Industrial Facilities Exemption Certificate for real property improvements to be constructed and new personal property to be acquired and installed within Industrial Development District No. 2013-010;
RESOLVED, That the City Clerk be directed to publish notice of the public hearing in a newspaper of general circulation in the City and mail notice of the hearing to the applicant, the City Assessor, and each of the affected taxing units; and
RESOLVED, That the City Clerk shall maintain on file and make available on request copies of the application filed September 26, 2014 by Mahindra GenZe, for an Industrial Facilities Tax Exemption Certificate.
Sponsored by: Councilmember Petersen