HomeMy WebLinkAboutResolution 2776 Establishing policy to confer tax incentives for remodeling, 1990
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RESOLUTION NO. 2776
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF
BOZEMAN, MONTANA,
ESTABLISHING A POLICY TO CONFER
TAX BENEFITS AS AUTHORIZED BY
15-24-1501 MCA TO
QUALIFYING PROJECTS FOR REMODELING,
RECONSTRUCTION
OR EXPANSION OF EXISTING BUILDINGS OR STRUCTURES
WHEREAS, 15-24-1501 Montana Code Annotated
(MCA) authorizes
local government to conter certain
tax benefits in accordance
therewith to those existing buildings or
structures which have
undergone qualifying remodeling, reconstruction,
or expansion
projects; and
WHEREAS, the City Commission believes
it to be in the best
interests of the City of Bozeman to confer
said tax benefits to
encourage business activity and
development to enhance
the
quality and safety of buildings and structureS in
the city.
NOW, THEREFORE, BE IT
RESOLVED by the City Commission ot the
City of Bozeman, Montana, that the
tax benefits set
forth in 15-
24-1501 MCA be
conferred as follows upon those
qualitying
buildings and structures which make application to
the City for
said tax benefit and which meet the following conditions:
1- All taxes
and assessments on said property
must be
current.
2. The tax
benefit conterred to "existing
buildings or
structures" is hereby limited to
buildings or structures
used
primarily tor commerclal
purposes and specifically excludes
buildings and structureS used primarily for residential
purposes,
whett1er owner-occupied or rented.
3. The business(es) housed therein must be
in compliance with
federal, state and local laws and regulations.
4. The remodeling,
reconstruction or expansion must be in
compliance with the uniform health/safety codes as adopted
by the
City of Bozeman.
5. To quality,
in addition to meeting
the statutory
requirement that the
remodeling, reconstruction or expansion
project must increase
the taxable value of the
building or
structure by at least 2 and 1/2%, the
remodeling, reconstruction,
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or expansion project must, also exceed the sum of Fifty Thousand
Dollars ($513,131313.1313) in building costs associated with the
proj ecL
6. Each project must be individually considered and approved
by resolution by the City Commission.
7. The tax benefit is limited to the increase in taxable
value caused by the remodeling, reconstruction or expansion
project and applies only to the number of mills levied and
assessed for high school district and elementary school district
purposes and to the number of mills levied by the local governing
body approving the benefit and not to statewide levies and shall
be taxed according to the following percentages and schedule:
percentage of Tax Rate on Increased Value of Property
Construction period 13%
First year following construction 20%
Second year following construction 413%
Third year following construction 613%
Fourth year following construction 813%
Fifth year following construction 11313%
And following years 11313%
8. "Construction period" as used herein shall mean a period
of time from the date of issuance of the required building permit I
until the project is substantially completed or a period ot
,
twelve (12) months from the date of issuance of said building
permit has expired, whichever period is shorter.
PASSED AND ADOPTED by the City Commission of the City of
Bozeman, Montana, at a regular and stated session of said City
Commission, held on the 8th day of January, 19913.
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ALF D M. TI ,Mayor 51
ATTEST:
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ROBIN L. ULLIVAN
Clerk of the Commission
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