[Added 2-26-2018 by Ord. No. 1503-2018]
This article shall be known as the "MU Mixed Use Development
Overlay LERTA District."
As used in this article, the following words and phrases shall
have the meanings set forth below:
Certain specifically identified industrial, commercial or
other business properties owned by an individual, association or corporation,
and located in a deteriorated area, as provided by resolution of the
City Council.
Repair, construction or reconstruction, including alterations
or additions, having the effect of rehabilitating a deteriorated property
so that it becomes habitable or attains higher standards of safety,
health, economic use or amenity or is brought into compliance with
laws, ordinances or regulations governing such standards or constitutes
an improvement raising the assessed value of the property. Ordinary
upkeep and maintenance shall not be deemed an improvement.
"Improvements" to deteriorated industrial, commercial and other
business property as referenced in this article as well as apartments,
condominiums, or other multiunit dwelling units (three or more units
in a single building) which are within the MU Mixed Use Development
Overlay District as defined in the City Zoning Code and within the
MU Mixed Use Development Overlay LERTA District.
The City Council of the City of Coatesville.
A.
The exemption from real property taxes shall be limited:
(1)
To the exemption schedule as established within this article.
(2)
To that portion of the additional assessment attributable to the
actual cost of improvements to the deteriorated property that consist
of industrial, commercial and other business property as well as apartments,
condominiums, or other multiunit dwelling units (three or more units
in a single building) which are within the MU Mixed Use Development
Overlay District as defined in the City Zoning Code, and within the
MU Mixed Use Development Overlay LERTA District.
(3)
To the assessment valuation attributable to the cost of construction
of a new industrial, commercial or other business unit, as well as
apartments, condominiums, or other multiunit dwelling units (three
or more units in a single building) which are within the MU Mixed
Use Development Overlay District as defined in the City Zoning Code,
and within the MU Mixed Use Development Overlay LERTA District.
B.
In all cases, the exemption from taxes shall be limited to that portion
of the additional assessment attributable to the improvement and for
which a separate assessment has been made by the Chester County Board
of Assessment and for which an exemption has been separately requested.
C.
No tax exemption shall be granted if the property owner does not
secure the necessary and proper permits prior to improving the property.
D.
No tax exemption shall be granted if the property owner is delinquent
in the payment of real estate taxes at the time of application for
tax exemption or owes any fees to the City or to any other taxing
entity.
E.
Any failure to timely pay real estate taxes to all taxing bodies
by year end shall immediately terminate the exemption effective as
of the end of the year of delinquency.
F.
In any case, after the effective date of this article, when deteriorated
property is damaged, destroyed or demolished, by any cause or for
any reason, and the assessed valuation of the property affected has
been reduced as a result of said damage, destruction or demolition,
the exemption from real property taxation authorized by this article
shall be limited to that portion of new assessment attributable to
the actual cost of improvements that is in excess of the original
assessments that existed prior to damage, destruction or demolition
of the property.
A.
The City enacted Resolution No. 2018-03 which identifies the deteriorated areas, and which is coextensive and equal to the area that constitutes the MU Mixed Use Development Overlay District previously identified and defined by the City Zoning Map and designated under Article XXIII of the City Zoning Code at § 224-9B(3).
B.
A copy of Resolution No. 2018-03, and the exhibits to the resolution,
are collectively attached hereto and incorporated as an appendix to
this article.[1] Subject to the limitations set forth in this article,
properties located in the deteriorated areas as specifically identified
in Resolution No. 2018-03 may be eligible to participate in the tax
exemption program established in this article.
[1]
Editor's Note: Resolution No. 2018-03 is on file in the City
offices.
A.
The schedule of real estate taxes to be exempted shall be in accordance
with the following percentage of improvements to be exempted each
year:
|
Year
|
Portion to Be Exempt
|
|---|---|
|
First year
|
100%
|
|
Second year
|
90%
|
|
Third year
|
80%
|
|
Fourth year
|
70%
|
|
Fifth year
|
60%
|
|
Sixth year
|
50%
|
|
Seventh year
|
40%
|
|
Eighth year
|
30%
|
|
Ninth year
|
20%
|
|
Tenth year
|
10%
|
B.
The exemption from taxes granted under this article shall run with
the property, and shall not terminate upon the sale or exchange of
the property.
C.
If an eligible property is granted tax exemption pursuant to this
article, the improvement shall not, during the exemption period, be
considered a factor in assessing other properties.
D.
After the 10th year, the exemption shall terminate.
A.
There shall be placed on the form application for a building permit
the following notation:
|
"Under the provisions of Ordinance No. 1503-2018, you may be
entitled to a property tax exemption on your contemplated alteration
or new construction, where the improvements consist of industrial,
commercial and other business property as well as apartments, condominiums,
or other multiunit dwelling units (three or more units in a single
building) which are within the MU Mixed Use Development Overlay District
as defined in the City Zoning Code, and within the MU Mixed Use Development
Overlay LERTA District. An application for exemption may be secured
from the Code Enforcement Office and must be filed with the City at
the time a building permit is secured."
|
B.
At the time a building permit is secured for the construction of
an improvement for which an exemption is requested, the taxpayer shall
apply to the City for the exemption provided for in this article.
A request for the exemption must be in writing and include the following
information:
(1)
The date the building permit was issued for the improvements.
(2)
The location of the property.
(3)
The use being made or to be made of the property.
(4)
The type of improvement.
(5)
The summary of the plan of the improvement.
(6)
The cost of the improvement.
(7)
Whether or not the property has been condemned or cited by any governmental
body for noncompliance with laws, regulations and/or ordinances.
(8)
Whether the applicant has paid any and all fees owed to any taxing
entity.
(9)
Whether the applicant is current on all real estate taxes with respect
to the property at issue with all taxing entities.
(10)
Any or all such additional information required.
A copy of the written request for exemption shall be forwarded
to the Chester County Assessment Office (the "Assessor") by the City
for notification purposes only. Upon completion of the improvement,
the taxpayer shall notify the City so that the City may have the Assessor
assess the improvements separately for the purpose of calculating
the amount of assessment eligible for tax exemption in accordance
with the limits established in this article. The Assessor shall notify
the taxpayer and the local taxing authorities of the reassessment
and amounts of the assessment eligible for exemption. Appeals from
the reassessment and the amount eligible for the exemption may be
taken by the taxpayer or by the City as provided by law.
Unless otherwise repealed by the City Council, this article
shall be applicable from the effective date hereof for a period of
10 years, expiring on December 31, 2028, unless extended by ordinance
duly adopted. Any applicant for tax abatement must have a building
permit to be eligible for tax abatement treatment hereunder, with
that permit having been issued on, or before, the 31st day of December
2028, and, in addition, the application for exemption must also be
filed with the City by that same date. All timely applications shall
be entitled to the ten-year exemption schedule as set forth herein.
Nothing contained herein shall act to prohibit the City from enacting
a similar article or ordinance, or amending the scope of this article.
The cost of new construction or 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.
