[Adopted 4-11-2013 by Ord. No. 2013-03; amended 7-28-2022 by Ord. No. 2022-04]
As used in this chapter, the following words and phrases shall have the meaning set forth below:
DETERIORATED PROPERTY
Any industrial, commercial or other business property owned by an individual, association or corporation, and located in a "deteriorated area," as provided by resolution of the Board or any such property which has been the subject of an order by the Board or other governmental agency requiring the unit to be vacated, condemned or demolished by reason of noncompliance with laws, ordinances or regulations.
IMPROVEMENT(S)
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. Ordinary upkeep and maintenance shall not be deemed an improvement.
LOCAL GOVERNING BODY
The Board of Commissioners of Caln Township.
A. 
The exemption from real property taxes shall be limited:
(1) 
To the exemption schedule as established within this chapter.
(2) 
To that portion of the additional assessment attributable to the actual cost of improvements to the deteriorated property.
(3) 
To the assessment valuation attributable to the cost of construction of a new industrial, commercial or other business unit.
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.
E. 
In any case, after the effective date of this chapter, 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 chapter 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.
F. 
Any exemption permissible under this chapter shall not be applied to any residential home, apartment buildings or other living establishments, except hotels and motels which rent rooms to travelers on a short-term basis.
The Board enacted Resolution No. 2022-24 on July 28, 2022 which identified the boundaries of the deteriorated areas. A copy of Resolution No. 2022-24 is attached hereto as Exhibit A. Subject to the limitations set forth in this chapter, all commercial, industrial or local business properties located in the deteriorated areas may be eligible to participate in the tax exemption program established in this chapter.
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
80%
Third year
60%
Fourth year
40%
Fifth year
20%
B. 
The exemption from taxes granted under this chapter shall be upon 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 chapter, the improvement shall not, during the exemption period, be considered a factor in assessing other properties.
D. 
After the fifth 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. 2022-04, you may be entitled to a property tax exemption on your contemplated alteration or new construction. An application for exemption may be secured from the Code Enforcement Office and must be filed with the Township 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 Board of Commissioners for the exemption provided for in this chapter. 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 type of improvement.
(3) 
The summary of the plan of the improvement.
(4) 
The cost of the improvement.
(5) 
Any or all such additional information required.
A copy of the written request for exemption shall be forwarded to the Chester County Assessment Office by the Township. Upon completion of the improvement, the taxpayer shall notify the Board of Commissioners so that the Board 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 chapter. The Township will then obtain from the assessor the amount of the assessment eligible for exemption, and will notify the taxpayer. Appeals from the reassessment and the amount eligible for the exemption may be taken by the taxpayer or by the Township as provided by law.
Unless otherwise repealed by the Board of Commissioners, this chapter shall terminate five years from the effective date hereof. Nothing contained herein shall act to prohibit the Board of Commissioners from enacting a similar ordinance, or extending this one. Any property tax exemptions granted under the provisions of this chapter shall be permitted to continue according to the exemption schedule even if this chapter expires or is repealed.