City of Meriden, CT
New Haven County
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Table of Contents
Table of Contents
[Adopted 7-1-2002]
This article is enacted pursuant to §§ 12-65b and 12-81t of the Connecticut General Statutes.
As used in this article, the following terms shall have the meaning indicated:
ELIGIBLE TAXPAYER
Any taxpayer owning real property located in the Information Technology Zone that is used principally or in part for the purpose of operating or housing an information technology business or any taxpayer owning information technology personal property housed in such real property, provided that such taxpayer is not eligible for any comparable benefit from the State of Connecticut.
INFORMATION TECHNOLOGY BUSINESS
A business that uses information technology property in the conduct of its operations. Examples of information technology businesses include, but are not limited to, software developers; web designers; telemarketing firms; internet-based businesses; data processing companies; video conferencing operations; distance learning, training and educational conferencing operations; switching centers; data centers; computer software or hardware research firms; information technology property component manufacturing or assembly operations; information technology property retail establishments; and the following businesses within information technology classifications under the Standard Industrial Classification Codes as amended or succeeded: communication equipment service providers or manufacturers, industrial electronic component or accessory manufacturers, manufacturers of measuring, analyzing and controlling instruments, photonics manufacturers or assemblers, manufacturers or assemblers of electromedical equipment, industrial and commercial machinery and computer equipment manufacturers, direct mail advertisers, catalog and mail order houses, computer photography operations, office machine rental and leasing operations, computer programming service centers, computer integrated system designers, computer facilities management service providers, information retrieval service providers, computer maintenance/repair businesses, data processing schools, computer/software consultants, radio and television broadcast and communications equipment manufacturers, and providers of information technology temporary or continuing employees.
INFORMATION TECHNOLOGY PERSONAL PROPERTY
Electronic data processing equipment, any equipment necessary for the utilization of information systems, telecommunication equipment or installations, any equipment necessary for the utilization of telecommunication systems, or any other personal property utilizing data processing hardware and software in the collection, processing and distribution of data to and from interactive computer systems to meet information needs, or for the electronic distribution of information, including voice, data and images.
INFORMATION TECHNOLOGY ZONE
Geographic portion of Meriden designated by the City Council as the area to which this article applies.
A. 
Real property tax assessment deferrals.
(1) 
The Assessor shall defer the net increase in the assessed value of real property of any eligible taxpayer for property located in the Information Technology Zone based on the cost of any improvements as follows:
Cost of Improvements
Percentage Deferred of Increased Assessment
Term
$3,000,000 or more
Year 1: 100%
6 years
Year 2: 100%
Year 3: 80%
Year 4: 60%
Year 5: 40%
Year 6: 20%
$500,000 or more
Year 1: 100%
2 years
Year 2: 75%
$25,000 or more
Year 1: 50%
3 years
Year 2: 50%
Year 3: 50%
(2) 
The above schedule may be modified from time to time to conform to the requirements of state law.
(3) 
Assessment deferrals shall be effective as of the grand list that follows the issuance of a certificate of occupancy.
(4) 
Each assessment deferral shall be memorialized in an agreement to be approved by the City Council. Each such agreement shall provide that the eligible taxpayer use its best efforts to employ qualified Meriden residents and that the taxpayer may assign its rights in such an agreement with the written consent of the City, which consent shall not be unreasonably withheld.
B. 
Personal property tax abatement.
(1) 
Personal property taxes on information technology personal property shall be abated in accordance with the following schedule:
(a) 
Year one: 100%.
(b) 
Year two: 100%.
(c) 
Year three: 50%.
(2) 
The eligible taxpayer shall apply for such abatement 60 days prior to October 1 of each grand list year. The Assessor shall determine prior to October 1 of each grand list year whether the property is eligible for such abatement and shall notify the applicant. The applicant shall identify those items of property determined to be eligible when filing its personal property declaration. Upon completing the grand list each year the Assessor shall report to the Tax Collector those items of personal property the taxes for which shall be abated pursuant to this article. The abatement shall be effective beginning with that succeeding grand list. The applicant shall agree to use its best efforts to employ qualified Meriden residents. Each applicant shall agree that in the event that it cease to be an eligible taxpayer within three years of the grand list year for which it received an abatement, it shall pay to the City the amount of such abatement, together with interest at a rate equal to the interest rate applicable to delinquent taxes.
No taxpayer shall receive any tax incentive otherwise provided for in this article if such taxpayer is delinquent on any obligation to the City of Meriden, or in violation of any City ordinance, provided that the City Manager may waive the provisions of this section upon such taxpayer entering into an agreement to cure such delinquency or violation in a form satisfactory to the City Manager.