§ 15.40.040. Plan.

A.

The city does not plan to improve or expand any existing services in the proposed urban revitalization area.

B.

Applicability of Revitalization Tax Exemption. Tax abatement under this city-wide program shall be available to all property assessed as residential or as commercial consisting of three or more separate living units and with at least seventy-five percent of the space used for residential purposes. Improvements that will qualify for abatement will include new construction and rehabilitation of and additions to existing buildings. Property owners shall be eligible to apply for property tax abatement under this plan in the month of January following completion of the qualified improvements. This program shall remain in effect until repealed by the city. Qualified improvements shall be required to comply with the rules and regulations of the building and zoning codes for the city. The city does not currently anticipate issuance of any additional revenue bonds for capital improvements.

C.

It is not anticipated that any residents or businesses will be displaced as a result of any improvements made as a result of this tax abatement program. Should any displacement occur, however, the developer of such improvement shall be responsible for compensation to any "qualified tenant" of up to one month's rent. "Qualified tenant" shall mean the legal occupant of a residential dwelling unit which is located within the corporate limits of Oskaloosa and who has occupied the same dwelling unit continuously for one year prior to displacement.

D.

All qualified real estate is eligible to receive a partial exemption from taxation on the actual value added by the improvements. The exemption is equal to a percent of the actual value added by the improvements, determined as follows:

1.

For the first year, eighty percent;

2.

For the second year, sixty-five percent;

3.

For the third year, fifty percent;

4.

For the fourth year, thirty-five percent;

5.

For the fifth year, twenty percent.

E.

To qualify for the exemption under this program the minimum increase in actual property value shall be fifteen percent.

F.

It is anticipated that various state and federal grant and loan programs may be secured to assist with and complement other privately funded projects. Among the various funding sources that may be available are the Department of Housing and Urban Development, Iowa Department of Economic Development and the Iowa Finance Authority.

G.

Property owners who do not file their first application for an exemption by February 1st of the assessment year for which the exemption is first claimed, but who do file within the two years in which all improvements are included in the project are first assessed may receive the full five year tax exemption. Property owners who file their application thereafter, may, upon resolution of the city council receive only the remaining number of years available of the five year tax exemption. The remaining tax exemption shall be determined as if the tax exemption had been applied for and implemented when first available (i.e., if a property owner applies three years after the exemption was first available, the owner shall receive only the final two years of the tax exemption).

(Ord. 1200 §2, 2005; Ord. 1011 § 1, 1997; Ord. 986 attachment (part), 1996; Ord. 925 attachment (part), 1994; Ord. 907 §1, 1993; Ord. 865 §1, 1992; Ord. 834 attachment (part), 1991; Ord. 780 §2, 1989; Ord. 753 §1, 1988; Ord. 752 §2, 1988)