HomeMy WebLinkAboutMC-481
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ORDINANCE NO.
MC-481
ORDINANCE OF THE CITY OF SAN BERNARDINO ESTABLISHING
2 INCENTIVES TO BE GRANTED CERTAIN BUSINESSES AND CERTAIN
3 RESIDENTIAL CONSTRUCTION WITHIN THE ENTERPRISE ZONE, AND
DECLARING THE URGENCY THEREOF.
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THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO
5 DO ORDAIN AS FOLLOWS:
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SECTION 1. Chapter 3.18 is hereby added to the San
7 Bernardino Municipal Code to read:
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"CHAPTER 3.18
ENTERPRISE ZONE INCENTIVES
3.18.010 Incentives.
Each new business and each expanding business within the
12 Enterprise Zone established by resolution of the City of San
13 Bernardino pursuant to Assembly Bill 40, Chapter 45 of the
14 Statutes of 1984, shall qualify for the tax rebates and fee
15 exemptions provided for herein, to the extent and for the period
16 specified herein.
17 3.18.020 Purpose.
18 The incentives set forth in this chapter are granted
19 pursuant to Chapter 45 of the Statutes of 1984, and are
20 established for the purposes authorized by Chapter 45 of the
21 Statutes of 1984, and are established for the purposes authorized
22 by Chapter 12.8 of the Government Code of the State of
23 California, being Government Code Sections 7070 through 7077,
24 inclusive.
25 3.18.030 Definitions.
26 A. 'Commercial area' as used in this chapter is the
27 commercial area established within the Enterprise Zone as
28 described in a resolution of the City of San Bernardino.
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B. 'Industrial area' as used in this chapter is the
industrial area established within the Enterprise Zone as
3 described in a resolution of the City of San Bernardino.
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C. 'New business' as used in this chapter is any business
which is start-up in nature or an existing business which has
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6 been relocated to San Bernardino from another area. A business
7 which has been sold, resulting in a change of ownership, will not
8 be cons ide red a new bus iness.
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D. 'Expanding business' as used in this chapter is any
10 business which meets the criterion of paragraph 3 below, as well
as the criteria in either paragraph 1 or 2.
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1. A physical move of an existing business into a new
13 location within the designated commercial area that results in at
14 least fifty percent increase of permanent, full-time employees or
15 an increase of two permanent, full-time employees, whichever is
16 larger, within three years from the date of the move.
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2. A physical expansion of existing facilities which
18 results in at least a fifty percent increase of permanent, full-
19 time employees or an increase of two permanent, full-time
20 employees, whichever is larger, within three years from date of
21 complet ion of ex pans ion.
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3. Employees filling the positions added in paragraphs
23 1 or 2 above must be residents of the City of San Bernardino and
24 have been on the job for at least nine months.
25 E. 'Housing rehabilitation' as used in this chapter refers
26 to construction involving home improvement through remodeling
27 involving actual structural repairs and rehabilitation or through
28 physical addition of rooms onto structures presently in existence
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within the Enterprise Zone of the City, when such structures are
used for single-family or multi-family residential purposes; such
construction shall fall within the scope of this definition only
if the portion of the structure actually being rehabilitated or
expanded is brought substantially into compliance with all
applicable codes and ordinances.
F. 'In-fill housing' as used in this chapter is single-
family home construction built on vacant lots in neighborhoods
existing at the time of adoption of this chapter, or built on
lots where existing structures are demolished or removed for the
construction of single-family homes.
3.18.040 Rebates - Commercial area.
For any qualifying new or expanding business which locates
or expands in the Enterprise Zone within the first four years of
the life of the Enterprise Zone, City shall rebate for three
years to qualifying new or expanding businesses located within
the commercial area of the Enterprise zone, upon application, the
following:
A. One hundred percent rebate of utility service users
taxes collected by City from the business enterprise during that
period for service used during that period under the provisions
of Chapter 3.44 of the San Bernardino Municipal Code as applied
to users of telephone, electricity, natural gas and cable
television service.
B. One hundred percent rebate of the business license tax
imposed during that period upon the business enterprise under
Chapter 5.04 of the San Bernardino Municipal Code. The City
Clerk may administratively grant the rebate at the time of
initial and annual application.
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C. For new businesses only, twenty-five percent of the
total water bill collected by the San Bernardino Board of Water
Commissioners from the new business during that period. Only the
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water portion of such bill shall be considered for such rebate.
D. Notwithstanding the provisions of Subsections A and B
6 above, the rebate to be granted to any expanding business shall
be based on the stated percentage of the increase of such tax
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over and above a base amount, which base amount shall be the
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total amount of each such tax paid by that business during the
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twelve-month period immediately preceding such expansion.
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3.18.050 Fee exemptions - Commercial area.
For any qualifying new or expanding business which locates
13 or expands in the Enterprise Zone within the first four years of
14 the life of the Enterprise Zone, City shall exempt from certain
15 fees for three years to qualifying new or expanding businesses
16 located within the Commercial Area of the Enterprise Zone, upon
17 application, the following: all engineering fees, planning fees,
18 building permit fees, and mechanical fees imposed by the City.
19 Storm drain and sewer capacity fee charges are expressly not
20 exempt.
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3.18.060 Rebates - industrial area.
During the first year of operation of any new industrial
usiness located within the industrial area of the Enterprise
24 Zone, City shall rebate to qualifying new businesses, upon
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pplication, the following:
A. Twenty-five percent of the utility service users' taxes
aid by such business under Chapter 3.44 of the San Bernardino
unicipal Code, relating to telephone, electricity, natural gas
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nd cable television use during that period.
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B. Twenty-five percent of the business license tax paid by
such business for the period under the provisions of Chapter 5.04
of the San Bernardino Municipal Code.
The City Clerk may
administratively grant the rebate at the time of initial and
5 annual application.
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3.18.070 Fee exemptions - in-fill and rehabilitation.
In-fill housing and housing rehabilitation projects within
8 the Enterprise Zone shall be exempt from all engineering fees,
9 planning fees, building permit fees and mechanical fees imposed
10 by the City. Storm drain and sewer capacity fee charges are
11 expressly not exempt, provided, however, that the City's existing
12 policy regarding exemptions where homes and structures have
13 previously been connected to the sewer and have been demolished
shall continue in effect."
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SECTION 2. It is the intent of the Mayor and Common Council
16 to analyze the impact of the tax rebates on development in the
17 designated commercial area of the Enterprise Zone. The review
18 and analysis period shall occur no later than the end of the
19 first four years of the life of the Enterprise Zone, at which
20 time the Mayor and Common Council will take steps to enhance the
21 needed overall development strategy in the designated commercial
22 area.
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SECTION 3. This ordinance is adopted as an urgency
24 ordinance, effective immediately upon adoption. The facts
25 constituting urgency are that the City's Enterprise Zone
26 Application is being submitted to the State of California not
27 later than November 5, 1985, for state designation of an
28 Enterprise Zone, and the City is convinced that it is significant
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that the incentives established herein should be in place at the
2 time of submission of the application. Furthermore, the City has
3 an urgent need for infill housing particularly in the area
4 bounded by the 1-215 Freeway and Mt. Vernon, and by Fifth Street
5 and Ninth Street, and the San Bernardino Neighborhood Housing
6 Services has a program for a veteran owner-built infill housing
7 project standing by with financing arranged, including Cal-Vet
8 and City-provided assistance which program is threatened by
9 immediate cash flow problems if not commenced immediately. The
10 ultimate success of the infill housing program depends on early
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implementation which will receive an immediate boost by the
12 start-up of San Bernardino Neighborhood Housing Services project,
13 which will occur immediately after adoption of this ordinance.
14 I HEREBY CERTIFY that the foregoing ordinance was duly
15 adopted by the Mayor and Common Council of the City of San
regular
16 Bernardino at aD i'lr1jnllrnpr1 / meeting thereof, held on the
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day of T\lrYUpmhAr
, 1985, by the following vote, to
18 wit:
19 AYES:
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21 NAYS:
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23 ABSENT:
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Council Members Ra+-r~n~. Rp;lly. ~~rn~nnA7.
Frazier, Strickler
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Council Members Marks, Quiel
~4///7t1/~1b
./ City Clerk
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The foregoing ordinance is hereby approved this 1ST
day
November
, 1985. ~~.L-~'>q,1
'Mayoq of the City of San Bernardino
Pro Tempore
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4 Approved as to form:
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7 City Attorney
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