HomeMy WebLinkAbout~Master - Affirmation of existing policy for annexation tax abatement RESOLUTION NO. 04-155
RESOLUTION AFFIRMING EXISTING POLICY
REGARDING ANNEXATION TAX ABATEMENT
FOR THE CITY OF AMES
WHEREAS, on March 25, 2003, City Council approved the use of tax abatement as an
incentive for annexation, and on June 10, 2003, established criteria for annexation tax abatement;
and,
WHEREAS, although tax abatement has not been requested by property owners in the area
east of Interstate 35, the public has raised concern that it might be made available to future
development in the area; and,
WHEREAS, on February 24, 2004, City Council directed staff to review the City's tax
abatement policy as it pertains to annexation; and,
WHEREAS, Section 368.7(3)of the Iowa Code gives the City Council the authority to use
tax abatement as an incentive to encourage a property owner to willingly annex property into the
City; and,
WHEREAS,this Section allows cities to grant tax abatement on a five-year declining scale
to property that is being annexed, however the abatement incentive is limited to property value at
the time of annexation and does not allow tax abatement for new value added after the date of
annexation.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Ames, Iowa,
that annexation tax abatement should not be extended to property on the east side of Interstate 3 5 that
would be developed as Regional Commercial.
ADOPTED THIS 13t''day of April, 2004.
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Diane R. Voss, City Clerk Ted Tedesco, Mayor
Introduced by: Mahayni
Seconded by: Wirth
Voting aye: Cross, Goodhue, Goodman, Mahayni, Vegge, Wirth
Voting nay: None Absent: None
Resolution declared adopted and signed by the Mayor this 13t'day of April, 2004.