City of Saratoga Springs, NY Business Investment Exemption

[Adopted 4-7-1998 by L.L. No. 3-1998[1]]

Editor's Note: This local law also repealed former Art. VIII, Business Investment Exemption, adopted 12-3-1990 by L.L. No. 4-1990.

§ 212-60 Findings and purpose.

The City Council of the City of Saratoga Springs hereby finds it necessary and proper to encourage, stimulate and support certain types of commercial (wholesale, retail, service, office, etc.) and industrial businesses in the City's downtown business district. The central core and downtown district of the City of Saratoga Springs should continue to be the economic, social and civic center of the City of Saratoga Springs. The above-referenced area is adequately serviced by investments of municipal infrastructure. As a method of encouragement and in an effort to maintain the fabric of this historic community of Saratoga Springs, new commercial investments that will provide new jobs and a broader tax base for our community need to be focused and directed to the downtown central business district. It shall be the purpose of this article to promote the general interests of the citizens of Saratoga Springs by encouraging and promoting economic investment within this important and significant geographical area.

§ 212-61 Eligible properties.

The business investment exemption established in this article shall be available for those properties within a geographic district to be defined by the Industrial and Commercial Incentive Board to be appointed by this article and after resolution of an acceptance of the recommendation of the Industrial and Commercial Incentive Board by the City Council of the City of Saratoga Springs.

§ 212-62 Eligible investments.

The business investment exemption established in this article shall be available to properties within the geographic area defined by the Industrial and Commercial Incentive Board and accepted by resolution of the City Council of the City of Saratoga Springs which meets the following requirements:

The proposed property within the district shall demonstrate a need for construction, alteration, installation or improvement for the specific purpose of commercial (wholesale, retail, service, office, etc.) and industrial businesses in the City's downtown business district. The cost of such construction, alteration, installation or improvement must exceed $50,000. Such construction, alteration, installation or improvement may not include ordinary maintenance or repairs to existing buildings or the purchase of equipment to be affixed or a pertinent to any existing building. Only construction, alteration, installation or improvement commenced after the eligible date of this article shall be eligible for the partial business investment exemption countenance by this article.

The property shall demonstrate in its inclusion one or more of the following groups or divisions as defined in the Standard Industrial Classification (SIC) Manual published by the United States Government:

	Group/Division	SIC Category
	Building materials	52, with the exception of 527 (mobile home dealers)
	General merchandise	53
	Food stores	54
	Apparel	56
	Furniture	57
	Restaurants	58
	Miscellaneous retail	59, with the exception of 598 (fuel dealers)
	Hotels	70, with the exception of 703 (trailer parks) and 704 (membership hotels)
	Personal services	72
	Business services	73
	Miscellaneous repairs	76
	Motion pictures	78
	Amusement	79
	Health services	80
	Legal	81
	Education	82
	Social services	83
	Museums	84
	Organizations	86
	Miscellaneous services	87
	Public administration	91 to 97

This article shall apply to such construction, alteration, installation or improvement commenced on or after the filing of this article with the Secretary of State of the State of New York.

Such construction, alteration, installation or improvement shall be considered to be completed as of the date of the issuance of a certificate of occupancy by the Building Department of the City of Saratoga Springs.

§ 212-63 Percent of exemption; computation.

Properties that meet all standards of eligibility under this article shall, upon application and approval as required under § 485-b of the Real Property Tax Law of the State of New York, be exempt from taxation and ad valorem levies of the increased and assessed values thereof attributable to the construction, alteration, installation or improvement for the purpose of commercial (wholesale, retail, service, etc.) and industrial businesses in the City's downtown business district activity as allowed in this article pursuant to the following strategic exemption schedule:

Year of Exemption	Percentage of Exemption
1	50%
2	45%
3	40%
4	35%
5	30%
6	25%
7	20%
8	15%
9	10%
10	5%

§ 212-64 Commencement of exemption; inception.

Notwithstanding any other provision under this article, an approved project shall begin to receive the appropriate exemption pursuant to this article in the first year that the improved project or parcel is fully assessed on the City tax roll.

§ 212-65 Ineligibility due to benefit from other incentive programs.

In addition to and not in limitation of the disqualifications specified in § 485-b, Subdivision 2(d), of the Real Property Tax Law, a property shall not be eligible for the business investment exemption established by this article if said property is the subject of or the recipient of benefits, payments, credits, exemptions or other valuable allowances or considerations under any other incentive program or improvement program which has been established or may be established from time to time by the Federal Government of the United States of America, the State Government of the State of New York, the County Government of the County of Saratoga, the City Government of the City of Saratoga Springs and any and all other government agencies and private or public foundations, except the following programs:

(Reserved)

§ 212-66 Determination of eligibility thresholds.

Notwithstanding § 212-61 of this article wherein eligible properties and/or projects shall be identified and designated by the recommendation of the Industrial and Commercial Incentive Board for final acceptance by the City Council of the City of Saratoga Springs, it is hereby established that the City Engineer shall provide a written opinion to the Industrial and Commercial Incentive Board and the City Council that any project in question involved the expenditure of a minimum of $50,000. For the purpose of this article, the construction, alteration, installation and/or improvement of any property shall not include administrative fees, legal fees, surveying fees, architectural fees, design fees or any and all other "soft" costs. It is the intention that the $50,000 minimum herein established shall be for direct labor and materials only.

§ 212-67 Submission of certificate of occupancy; completion to Accounts Department.

Within 30 days of a project's completion, as evidenced by the issuance of a certificate of occupancy issued by the City Building Inspector for a new project or a certificate of completion issued by the City Engineer for any alteration, installation or improvement type of project, the builder or developer of the project shall submit to the Accounts Department precise evidence of expenditure by the developer and/or builder as approved and agreed to by the office of the City Engineer.

§ 212-68 Filing of proof of expenditure.

Notwithstanding any other provision of this article, the aforementioned proof of expenditure must be filed prior to May 25 in any calendar year so that the Accounts Department and Assessment Office have the ability to make the appropriate adjustments and/or exemption prior to June 1.

§ 212-69 Establishment of Industrial and Commercial Incentive Board.

An Industrial and Commercial Incentive Board is hereby established for the City of Saratoga Springs.

The Industrial and Commercial Incentive Board shall have five members who shall each be appointed for a five-year term by the Mayor of the City of Saratoga Springs.

The Industrial and Commercial Incentive Board shall present a plan to the City Council of the City of Saratoga Springs concerning the various types of business real property which should be granted eligibility for an exemption pursuant to Subdivision 1 of § 485-b of the Real Property Tax Law. Such plan shall make recommendations concerning the applicability of the exemption to specific divisions and major groups as defined in the Standard Industrial Classification manual published by the United States Government. Such plan shall also make a recommendation as to whether the exemption be computed as provided in Subdivision 2 or 12 of § 485-b of the Real Property Tax Law of the State of New York. In addition, such plan shall identify specific geographic areas where such exemptions should be offered.

When pursuant to Subdivision 9 of § 485-b of the Real Property Tax Law the Industrial and Commercial Incentive Board makes a recommendation to the City Council of the City of Saratoga Springs, the City Council may by resolution restrict real property eligible to receive the exemption to real property constructed, altered, installed or improved for those purposes identified in the plan presented by the Board. Said resolution shall also restrict the availability of such exemption to the specific geographic areas identified in the plan presented by the Board and approved by the City Council of the City of Saratoga Springs.