[1]
Editor's Note: This ordinance stated it "shall not become
effective until adoption of a similar tax abatement or exemption by
the Steelton-Highspire School District and by Dauphin County and upon
adoption by the last of the aforesaid entities shall become effective
immediately."
A.
Steelton Borough, in order to promote the public health, safety and
general welfare, desires to promote economic development by upgrading,
rehabilitating or adding to existing business and residential property
and provide incentives to upgrade and promote existing residential
property.
B.
The Improvement of Deteriorating Real Property or Areas Tax Exemption
Act, 72 P.S. § 4711-101 et seq., as amended, Act of December
1, 1977, P.L. 237, authorizes local taxing authorities, including
the Borough of Steelton, to exempt improvement to certain residential
properties for tax purposes on a schedule and for a time period of
no more than 10 years as adopted by the taxing authorities.
C.
The Local Economic Revitalization Tax Assistance Act, 72 P.S. § 4722
et seq., as amended, Act of July 9, 1971, P.L. 206, authorizes local
taxing authorities, including the Borough of Steelton, to exempt new
construction and improvements to certain commercial and business property
from taxation on a schedule and for a time period of no more than
10 years as adopted by the taxing authority.
D.
A public hearing was held on the 8th day of May, 2017, on the said
exemption schedule and percentage and on the area to be designated
for exemption, and it is determined that the entire Borough of Steelton
be designated as a deteriorated area of an economically depressed
community and that the exemption for tax purposes on improvements
to real estate being considered should be provided on a Borough-wide
basis.
E.
The Council of the Borough of Steelton has determined pursuant to
the cited authorizing statutes and based on its determination that
applying the criteria set forth in the cited statutes, on new construction
or improvements to existing residential, commercial and/or business
property, and new construction and improvements to existing structures
in the entire Borough for a period of 10 years on an exemption schedule
for new or rehabilitated improvements and, with the exemption on the
new or rehabilitative improvement being at the rate of 100%, that
such exemption would promote revitalization, reduce blight and serve
the community.
As used in this article, unless otherwise expressly stated or
clearly indicated by the context, the following terms shall have the
meanings indicated:
All land or properties within the corporate limits of the
entire Borough of Steelton, pursuant to public hearing(s), is declared
a deteriorated or deteriorating area, determined to meet the criteria
for the designation of such areas as set forth in the Local Economic
Revitalization Tax Assistance Act, 72 P.S. § 4722 et seq.,
as amended, Act of July 9, 1971, P.L. 206, and the Improvement of
Deteriorating Real Property or Areas Tax Exemption Act, 72 P.S. § 4711-101
et seq., as amended, Act of December 1, 1977, P.L. 237; such an area
may be a deteriorated neighborhood as defined in the Improvement of
Deteriorating Real Property or Areas Tax Exemption Act, and the two
terms shall be interpreted as one and the same and may be used interchangeably
in each such instance. For purposes of this article, all those lands,
areas and neighborhoods located within the corporate limits of the
Borough of Steelton shall be designated a deteriorating area or deteriorating
neighborhood.
Repair, construction or reconstruction, including alterations
and additions, having the effect of rehabilitating a property so that
it becomes habitable or attains higher standards of safety, health,
economic use or amenity, or is being brought into compliance with
laws, ordinances or regulations governing such standards; however,
ordinary upkeep and maintenance shall not be deemed an improvement.
New construction or erection of a structure upon vacant land or land
prepared to receive such structure within the Borough shall be deemed
an improvement.
The Non-Town Center of the Borough shall be the entire Borough
of Steelton except the area currently zoned C-1 Town Center and these
parcels on Adams Street specifically identified in the definition
of "Town Center District."
The Town Center District shall be contiguous with the area
currently zoned C-1 Town Center by the Borough of Steelton, together
with the following tax parcels on the north side of Adams Street:
59-008-035, 59-008-036, 59-008-037, 59-008-038, 59-008-039, 59-008-040,
59-008-041, 59-008-042, 59-008-043, 59-008-044, 59-008-045, 59-008-046,
59-008-047, 59-008-048, 59-008-049, 59-008-050, and 59-008-051, and
the following tax parcels on the south side of Adams Street: 59-008-058,
59-008-059, 59-008-060, 59-008-066.
A.
District. In each deteriorated area designated as provided herein,
the assessed valuation of improvements or new construction shall be
exempted from Borough real property taxes from issuance of a certification
of occupancy on the value attributable to the new improvement or rehabilitation.
The duration of the exemption in the Town Center District and Adams
Street Addition shall be 10 years in length at 100% of the value exempted
for the 10 years. The duration of the exemption in the Non-Town Center
District shall be 10 years with 100% exempted in the first five years
and the exemption decreasing by 20% per year from year six through
10 so that the exemption is 80% in the sixth year, 60% in the seventh
year, 40% in the eighth year and 20% exempt in the ninth year and
no exemption in year 10.
B.
The exemption from real property taxes granted pursuant to this article
shall be upon the real property exempted and shall not terminate upon
the sale or exchange of the real property.
C.
If an eligible property is granted a tax exemption pursuant to this
article during the applicable exemption period, those improvements
shall not be considered as a factor in assessing other properties.
D.
In the event of reassessment by the county, Borough or school district,
tax abatement shall be proportionally applied to any new assessment
so long as the tax abatement period for the property in question has
not extinguished or run. This application is to ensure that each property
affected by tax abatement receives the same percentage of tax benefits
before and after any Borough-wide reassessment.
A.
There shall be placed on the application form of the Borough of Steelton
for building and alteration permits the following:
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NOTICE TO TAXPAYERS
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Under the provisions of Chapter 102, Taxation, Article IX, New Improvement Tax Exemption, § 102-68, Notification procedures, of the Code of the Borough of Steelton, you may be entitled to a property tax abatement on your contemplated improvement, alteration or new construction on a property in the Borough of Steelton. An application for exemption may be secured from the Borough Codes Office. The application must be fully completed and filed with the Borough at the time a building or alteration permit or other applicable permits are secured.
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B.
A copy of the exemption request shall be forwarded to the County
Board of Assessment Appeals by the Steelton Code Enforcement Officer.
The Board shall determine whether the exemption shall be granted and
shall, upon completion of the improvement or new residential construction,
and notification from the Steelton Code Enforcement official that
the improvement and new residential construction comply with all applicable
building and housing codes, assess separately the improvement and
calculate the amounts of the assessment eligible for tax exemption
in accordance with the limits established by this article and notify
the taxpayer and the local taxing authorities of the reassessment
and amounts of the assessment eligible for exemption. In the case
of new residential construction, the Board shall assess separately
the building and land upon which the new improvement and construction
stands and shall otherwise perform its duties as above provided for
construction of improvement to residential and commercial and business
properties.
All properties within the Borough of Steelton shall be eligible
for tax exemption for improvement under this article, provided the
applicant satisfies all conditions of this article and applies for
the same at or before receiving a building permit, alteration permit
or similar permit. Building permits must be applied for and issued
during the ten-year period of this program and such exemptions shall
last for a period of 10 years from issuance of a certificate of occupancy.
If any section or any part of any section of this article is
held to be unconstitutional, illegal or invalid for any reason, the
remaining sections of this article, or where a part of a section is
unconstitutional, illegal or invalid, the remaining part of said section
and all of the other remaining sections of the article shall not be
affected by the unconstitutionality, illegality or invalidity and
shall remain in full force and effect.
