[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:
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.
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.
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.
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.
(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.
