Meeting Minutes | Mar 18, 2010 | 0 Comments

February 2010 Meeting

Shelby County Democrats

Monthly Meeting Minutes—February 17, 2010

Opening: Pledge of Allegiance led by Noell Krughoff

Welcome—Noell

Minutes from 1/20/10 approved as written: Motion, Kerry; second, Saul Watkins.

Treasurer’s Report—Jody Olinger

Team Leader Reports

Election 2010

Tax Abatement: Tom DeBaun, guest speaker

Other financial inducements: Edit funds, TIFF districts

Q: Isn’t tax abatement unfair to existing businesses that don’t have tax abatements—amounts to corporate welfare?

A: Inducement to keeping business here and hire locally.

Q: Property tax caps—how will caps with freezing property taxes affect the city?

A: Abatements are not receiving money, but serve as relief from paying money—at end of 10 years, company pays 100% of tax—not eligible for abatement unless they create improvements/invest in further development.

Q: When is an Economic Revitalization Area declared?

A: Happens individually according to each requesting business if it meets the criteria and makes the investment—Planning Commission is revising the Comprehensive Plan to determine areas that need improvement and revitalization and is seeking volunteers to join discussion.

Q: Is tax abatement considered in conjunction with community growth?

A: In the sense that there are multiple arms involved in the process, yes. Example: Wetnights discussed impact on area before proceeding.

Q: How does the process work?

A: City Council decides whether abatement will be granted. T. DeBaun serves in advisory role: how does it fit into the comprehensive plan, what are the impacts on the environment, etc.

Q: Are tax caps for businesses 3%?

A: Don’t know—if request doesn’t meet the expected benefit, Council may not grant abatement.

Q: Who determines whether a property is economically depressed?

A: City Council.

Q: At what point was metal shredder business operation rejected?

A: They had to go to the Board of Voting Appeals for a variance—the Board observed their operation and deemed their truck traffic, noise, etc. unsuitable for Shelbyville.

Q: When does tax level after abatement period go to 100%?

A: Not immediately—businesses must comply by filing their annual request on time or they are not eligible.

Val: Abatements are a necessary evil, will lose/not retain jobs

Tom K: City Council should look at whole picture: what happens after business moves, what happens to the site that was left?

T DeB: The City needs to use those moneys to reclaim/redevelop blighted, abandoned properties, such as the old Belaire shopping center. If anyone has any questions, call Mayor Fergeson.

Next meeting: Wednesday, March 17, 2010 at 7:00 p.m. at Democrat Headquarters.

Submitted by Lee Sakellarides

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