[Adopted 8-27-1980 STM]
For the purpose of this ordinance, the following
terms shall have the meanings indicated:
Housing for the elderly, the construction or rehabilitation
of which is aided or assisted in any way by any federal or state statute,
which housing is subject to regulation or supervision of rents, charges
or sales prices and methods of operation by a governmental agency
under a regulatory agreement or other instrument which restricts occupancy
of such housing to persons or families whose incomes do not exceed
prescribed limits, and shall be deemed to include the land on which
such housing is situated.
A person or persons, partnership, joint venture or corporation
who or which has executed or will execute a regulatory agreement or
other instrument with a governmental agency which limits occupancy
of the low- or moderate-income housing owned or to be owned by such
person or persons, partnership, joint venture or corporation to elderly
persons or families whose incomes do not exceed prescribed limits.
The Board of Selectmen may enter into contracts
for the Town with owners of low- or moderate-income housing for the
elderly, granting abatement, in whole or in part, of the real property
taxes on such housing, provided that such abatement need not be conditioned
upon receipt of state reimbursement to the Town for such abatement
and provided further that each such contract shall require that the
owner apply the money equivalent of the taxes so abated to one or
more of the following specified purposes: to reduce rents below the
levels which would be achieved in the absence of such abatement and
to improve the quality and design of such housing or to effect occupancy
of such housing by persons and families of varying income levels within
prescribed limits or to provide necessary related facilities or services
in such housing. The amount of such abatement shall be established
in each such contract, giving due consideration to the purpose or
purposes to which the money equivalent of the taxes so abated is to
be applied.
The abatement shall become effective on the
date specified in the contract between the Town and the owner of low-
or moderate-income housing. The term of abatement shall extend for
the remainder of the fiscal year in which such abatement becomes effective
and may continue for a period not to exceed 39 consecutive fiscal
years thereafter, provided, that such abatement shall terminate at
any time when the property and housing for which such tax abatement
has been granted is not used solely for low- or moderate-income housing
for the elderly.
For the purpose of determining the amount of
taxes to be abated as aforesaid, the present true and actual value
of low- or moderate-income housing for the elderly on which rents
and carrying charges are limited by regulatory agreement with or otherwise
regulated by the federal or state government or department or agency
thereof shall be based upon and shall not exceed the capitalized value
of the net rental section, "net rental income" shall mean gross income
as limited by the schedule of rents or carrying charges, less reasonable
operating expenses and property taxes.
The Board of Selectmen may enter into contracts
with the state for financial assistance by the state in the form of
reimbursement for all or any part of the tax abatement granted to
an owner of low- or moderate-income housing for the elderly in accordance
with this ordinance, but the entering into of such a contract for
financial assistance need not be a condition of any tax abatement.
This ordinance shall take effect 15 days after
publication.
