As used in this article, the following words
and phrases shall have the meaning set forth below:
Any industrial, commercial or other business property owned
by an individual association or corporation, and located in an investment
opportunity area, as hereinafter provided, or any such property which
has been subject of an order by a government agency requiring the
property to be vacated, condemned or demolished by reason of noncompliance
with laws, ordinances or regulations.
Repair, construction or reconstruction, including alterations
and 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. No residential
homes, apartments or other living establishments will be included.
Refers to all property within the boundaries of the Borough
of Kane.
The Borough of Kane, Kane Area School District, the County
of McKean, or any other governmental entity having the authority to
levy real property taxes within the Borough of Kane.
The Borough of Kane.
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;
(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
or new construction, as the case may be, and for which a separate
assessment has been made by the McKean County Board of Assessment
Appeal, 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.
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 or construction that
is in excess of the original assessments that existed prior to the
damage, destruction or demolition of the property.
A.
For the five years immediately following the year
in which the improvement becomes assessable, the following real estate
tax exemption schedule shall be in effect:
[Amended 10-12-2015 by Ord. No. A-1025]
|
Length
|
Portion Exempt
| ||
|---|---|---|---|
|
First year
|
100%
| ||
|
Second year
|
75%
| ||
|
Third year
|
50%
| ||
|
Fourth year
|
25%
| ||
|
Fifth year
|
10%
| ||
|
After the fifth year, the exemption shall terminate.
|
B.
The exemption from taxes granted under this article
shall be upon the property exempted 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 as a factor in assessing other properties.
D.
If the use of the property at the time the exemption
is granted is modified, terminated or changed during the five year
exemption period in any way which would have affected the exemption
if the property had been so used when the exemption was granted then,
at the election of the Borough Council, the exemption shall terminate
as of the date of the use was modified or terminated if the Council
determines that continuation of the exemption would be inconsistent
with the purposes of this article.
A.
Any person desiring tax exemption pursuant to this
article shall apply to the Borough of Kane at the time a building
permit is secured for construction of the improvement. The application
shall be in writing upon forms specified by the Borough setting forth
the following information.
(1)
The date the building permit was issued for said improvements.
(2)
The location of the property to be improved.
(3)
The nature of the property to be improved (industrial,
commercial, etc.)
(4)
The type of improvement.
(5)
The summary of the plan of the improvement.
(6)
The cost of the improvement.
(7)
The property has bean inspected and verified by the
Borough Manager or his agent.
(8)
Such additional information as the Borough may require.
B.
A copy of the exemption requests shall be forwarded
to the County Board of Assessment by the Borough Manager. The Board
shall determine whether the exemption shall be granted and shall assess
separately the improvements and calculate the amounts of the assessment
eligible for the tax exemption in accordance with the limits established
by this article and notify the taxpayer and local taxing authorities
of the reassessment and amounts of the assessment eligible for tax
exemption. In the case of new construction, the Board shall assess
separately the unit and the land upon which the new construction stands
and shall otherwise perform its duties as above provided for construction
of improvements to properties.
C.
The cost of 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 amendment to this article, if any, shall not apply to requests
initiated prior to their adoption.
D.
Appeals from the reassessment and the amount eligible
for the exemption may be taken by the borough or by the taxpayer as
provided by law.
This article shall become effective upon adoption
by the Kane Area School District and the McKean County Board of Commissioners
of a resolution exempting from real property taxation properties in
accordance with the terms of this article.
No amendment to this article shall be effective
unless consented to by resolution or ordinance of each local taxing
authority which has consented to be bound by the terms of this article.
This article shall automatically terminate five
years following the effective date hereof; providing, however, that
any taxpayer who has received or applied for the exemption granted
by this article prior to the expiration date herein provided shall,
if said exemption is granted, be entitled to the full exemption authorized
herein. This section shall not prevent the Borough Council, however,
from repealing this article or any section thereof before five years
upon proper action of Council.
[1]
Editor's Note: Currently, the LERTA Ordinance
is renewed by resolution every five years.
Any exemption made permissible under this article
shall not be applied to any residential home, apartment buildings
or other living establishments, except hotels and motels which rent
rooms to travelers on short term basis.
