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HomeMy WebLinkAboutResolution 3861 Approving TechRanch Tax Reduction Application COMMISSION RESOLUTION NO. 3861 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF BOZEMAN, MONTANA, APPROVING THE APPLICATION OF VENTURE CENTER, INC., (DBA TechRanch) FOR TAX REDUCTION UNDER SECTION 15-24-1801, ET SEQ, MONTANA CODE ANNOTATED. WHEREAS, on the 6th day of September 2005, the City Commission did adopt Commission Resolution No. 3842, setting the public hearing on the application of Venture Center, Inc., dba TechRanch, Bozeman, Montana, for tax reduction based upon the exemption for business incubators in Section 15-24-1801, et seq, M.C.A.; and WHEREAS, on the 3rd day of October 2005, following due notice, the City Commission did conduct the public hearing as set forth in Commission Resolution No. 3842; and WHEREAS, it appears the applicant's taxes have been paid in full. NOW, THEREFORE, BE IT RESOLVED by the City Commission of the City of Bozeman, Montana, that the application of Venture Center, Inc., dba TechRanch, Bozeman, Montana, for tax reduction based upon the exemption for business incubators in Section 15-24-1801, et seq, M.C.A., is hereby approved for those qualifying improvements totaling approximately $40,195.00 annually, as described on Exhibit "A", attached hereto and incorporated by this reference as though fully set forth -" herein. PASSED AND ADOPTED by the City Commission ofthe City of Bozeman, Montana, at a regular session thereof held on the 3rd day of October 2005. AN ATTEST: ~./~ IN L. SULLIVAN Clerk of the Commission FISCAL EFFECT of granting Tech Ranch Tax Abatement Tech Ranch 910 Technology Blvd, Ste A, Bozeman. Mt - 40,195 40,195 $ $ i Building & Improvements Equipment Total Value of Qualifying Improvements Tax Revenue forgone (g) - (i) City Mills levied mill = .001 (f) Taxable Value (c) x (d) = (e) Tax Rate (d) Value Subject to Taxation (a) x (b) = (c) Com stead Exemption % Subject to Taxation (b) Property Market Value (a) Fiscal Year Year # 175 181 188 195 203 212 220 229 239 249 $ $ $ $ $ $ $ $ $ $ 168.26 175.17 182.36 189.84 197.63 205.75 214.19 222.98 232.14 241.67 1,039 1,035 1,030 1,028 1,028 1,028 1,028 1,028 1,028 1,028 $ $ $ $ $ $ $ $ $ $ 3.00% 3.00% 3.00% 3.01% 3.01% 3.01% 3.01% 3.01% 3.01% 3.01% 34,648 34,487 34,326 34,166 34,166 34,166 34,166 34,166 34,166 34,166 $ $ $ $ $ $ $ $ $ $ 86.2% 85.8% 85.4% 85.0% 85.0% 85.0% 85.0% 85.0% 85.0% 85.0% 40,195 40,195 40,195 40,195 40,195 40,195 40,195 40,195 40,195 40,195 $ $ $ $ $ $ $ $ $ $ 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 1 2 3 4 5 6 7 8 9 10 2,092 $ However, a ten ** This tax abatement does not have a maximum number of years that apply. year projection is provided for informational purposes. m x ::; 0" ~ ~ ASSUMPTIONS (1) market I appraised value of property remains constant (2) 4.1 % annual increase in City Mills levied, which is the average increase over the past 5 years - this includes all levies, not just those subject to inflationary cap