[Added 5-27-2008 by Ord. No. 1306-2008]
This article shall be known as the "City of Coatesville LERTA District Ordinance."
As used in this article, the following terms shall have the meanings indicated:
- The City of Coatesville, Chester County, Pennsylvania.
- Any repair, construction or reconstruction, including alterations or additions, which has the effect of either:
- LERTA DISTRICT
- Properties owned by an individual, association, corporation, or other entity located in the area which is designated as an area eligible for tax exemption relief under LERTA, hereinbelow.
The City Council of the City of Coatesville hereby determines that the area, as more particularly described in Exhibit A, is deteriorated with regard to the criteria of the Neighborhood Assistance Act, is vacant, overgrown and unsightly, is also adjacent to areas meeting the criteria of this section, such that all new construction on property located within the LERTA District, as hereinbelow defined, would encourage, enhance and/or accelerate improvement of deteriorated properties within the City.
Editor's Note: Exhibit A is on file in the City offices.
There is hereby exempted from real property taxation by the City that portion of the additional assessment attributable to the actual costs of improvements to eligible properties in the LERTA District, with the length of the schedule of taxes exempted to be for a ten-year period, which shall commence with the effective date of said exemption.
The exemption of taxes authorized by this article shall be upon the property exempted and shall not terminate upon the sale or exchange of the property.
The exemption from taxes authorized by this article shall only be applicable to those properties upon which all taxes and other municipal charges/fees/levies are current. In the event of delinquency, all exemption from the point of delinquency and into succeeding years shall be forfeited, and taxes shall be at 100% of assessed valuation. For purposes of this article, "delinquency" shall be defined as a failure to pay any assessment by the date on such assessment as required by law to be paid, on or before the end of the penalty period as set forth in each such tax bill.
The schedule of real estate taxes to be exempted shall be in accordance with the following percentage of improvements to be exempted each year, up to, but not exceeding, a total improvements assessment of $200,000 for a maximum of 72 dwelling units. The exemption shall commence in the tax year in which the improvements are completed, such that the Year 1 exemption shall apply to, and therefore exempt, the city's share of "interim taxes" otherwise due and payable.
Any person, association or corporation desiring an exemption pursuant to this article shall apply to the Building Inspector of the City of Coatesville within 90 days of the date the building permit is issued for construction of the improvements. The application must be in writing on a form provided by the City of Coatesville and shall contain the following information:
The date the building permit was issued for such improvements;
The location of the property to be improved;
The nature of the property to be improved;
The type of improvements;
A summary of the plan improvements;
The cost of the improvements;
Whether the property has been condemned by any governmental body for noncompliance with laws of the City Code; and
Such additional information as the City may require.
A copy of the exemption application shall be forwarded to the City Council of the City of Coatesville or its designee within 60 days of the date of receipt by the City. The City Council shall decide whether the application for exemption is in conformity with the provisions of this article and, if so, shall approve same. Written notice of the City Council's decision, and the basis therefore if denied, shall be provided to the applicant.
In all cases where the exemption is granted, the City of Coatesville shall forward a copy of the exemption request to the Chester County Board of Assessment. The Board of Assessment shall, upon completion of the improvements and notification from the Building Inspector of the City of Coatesville that the improvements comply with all applicable building codes and provisions of the Coatesville City Code, assess separately the improvements and calculate the amount of the assessment eligible for tax exemption. The exemption provided herein shall be effective with the next assessment immediately following the date on which the exemption is granted. Appeals from the reassessment and the amount eligible for the exemption may be taken by the taxpayer or any taxing authority as provided by law.
The cost of improvements to be exempted and the schedule of taxes exempted existing at the time of the initial request for tax exemption shall be applicable to that exemption request, and subsequent amendments to this article, if any, shall not apply to requests initiated prior to their adoption.
To the extent permissible by law, the provisions of this article are intended to apply to that portion of the annual property taxes payable to the County of Chester ("county"). The county is requested to acknowledge that the county will join in the provisions of this article.