[Code 1975, § 31-17; Code 1992, § 28-31]
The City acknowledges that the Krafft Road Limited Dividend Housing Association (sponsor) has offered, subject to receipt of a mortgage loan from the Authority, to erect, own and operate a housing development identified as North Port Apartments on certain property on a sixteen-acre site on the south side of Krafft Road in the City, as described in § 16-303, to serve persons of low income and that the owner has offered to pay the City on account of the elderly and handicapped portion of such development an annual service charge for public services in lieu of all taxes.
[Code 1975, § 31-18; Code 1992, § 28-32]
This division shall apply to those housing units in the development
which are constructed for elderly and handicapped persons.
[Code 1975, § 31-19; Code 1992, § 28-33]
It is hereby determined that the class of housing developments
to which the tax exemption shall apply and for which a service charge
shall be paid in lieu of such taxes pursuant to this division shall
be those units which are designed and constructed for occupancy by
elderly and handicapped persons, which are financed or assisted pursuant
to the Act. It is further determined that the elderly and handicapped
units of the North Port Apartment Development are of this class.
[Code 1975, § 31-20; Code 1992, § 28-34]
The housing development identified as the elderly and handicapped
portion of North Port Apartment Development and the property on which
it shall be constructed shall be exempt from all property taxes from
and after the commencement of construction. The City, acknowledging
that the sponsor and the authority have established the economic feasibility
of the housing development in reliance upon the enactment and continuing
effect of this division and the qualification of the housing development
for exemption from all property taxes and a payment in lieu of taxes
as established in this division and in consideration of the sponsor's
offer, subject to receipt of a mortgage loan from the Authority, to
construct, own and operate such housing development, hereby agrees
to accept payment of an annual service charge for public services
in lieu of property taxes. The annual service charge shall be equal
to 4% of the difference between contract rents actually collected
and utilities.
[Code 1975, § 31-21; Code 1992, § 28-35]
Notwithstanding the provisions of Section 15a(5) of the Act
[MCL 125.1415a(5)] to the contrary, a contract between the City and
the sponsor, with the Authority as third party beneficiary thereunder,
to provide tax exemption and accept payments in lieu thereof as previously
described is effected by enactment of the ordinance from which this
division is derived.
[Code 1975, § 31-22; Code 1992, § 28-36]
The service charge in lieu of taxes as determined pursuant to
this division shall be payable in the same manner as general property
taxes are payable to the City, except that the annual payment shall
be paid on or before March 31 of each year.
[Code 1975, § 31-23; Code 1992, § 28-37]
This division shall remain in effect and shall not terminate
so long as the mortgage loan remains outstanding and unpaid or the
Authority has any interest in the property.
[Code 1975, § 31-26; Code 1992, § 28-38]
The property boundaries for which the tax exemption is allowed
pursuant to this division shall be that part of the NW 1/4 of Section
27, T 7N, R 17E, of the City described as: beginning at a point on
the north line of Section 27 S 89° 33' 49" E 1455.00 from the
NW corner of such section; thence continuing S 89° 33' 49" E 300
feet along such north section line; thence S 0° 43' 31" W 500
feet; thence N 89° 33' 49" W 300 feet; thence N 0° 43' 31"
E 500 feet along the east line of Howe-Brandymore drain easement to
the place of beginning; subject to an easement for the Krafft Road
right-of-way and subject to an easement for utilities, which contains
3.44 acres more or less including the easements and right-of-way.
