ORDINANCE NO. 7884
AN ORDINANCE EXEMPTING FROM AD VALOREM TAXATION EIGHTY PERCENT (80%) OF THE APPRAISED VALUE OF NEW CONSTRUCTION AND MACHINERY AND EQUIPMENT USED BY SEROLOGICALS CORPORATION (D/B/A CELLIANCE LAWRENCE, INC.) FOR THE MANUFACTURING OF ARTICLES OF COMMERCE, AS PROVIDED BY ARTICLE 11, SECTION 13 OF THE CONSTITUTION OF THE STATE OF KANSAS
WHEREAS, on December 19, 2002, Serologicals Corporation (d/b/a Celliance Lawrence, Inc.) submitted an application for the exemption from ad valorem taxation of eighty percent (80%) of the appraised value of its construction of a new manufacturing facility and machinery and equipment used in the manufacturing of articles of commerce in the City of Lawrence, Douglas County, Kansas;
WHEREAS, the Governing Body of the City of Lawrence, Kansas, did, on November 13, 2001, adopt Resolution No. 6343, which sets forth the official policies and procedures for the granting of exemptions pursuant to Article 11, Section 13 of the Constitution of the State of Kansas, as required by K.S.A. 79-251;
WHEREAS, pursuant to Resolution No. 6343, the Public Incentives Review Committee, having met on January 9, 2003 to review and consider the application of Serologicals Corporation, for exemption from payment of said ad valorem taxes, did, on January 9, 2003, upon motion made, seconded, and approved, agreed to recommend to the Governing Body of the City of Lawrence, Kansas, that an eighty percent (80%) tax abatement for ten (10) years be granted to Serologicals Corporation on an estimated thirteen million two hundred thirty six thousand seven hundred ninety two dollars ($13,236,792) in new construction, and twelve million five hundred eight thousand five hundred fifty nine dollars ($12,508,559) on machinery and equipment, as permitted by Article 11, Section 13 of the Constitution of the State of Kansas;
WHEREAS, on January 28, 2003, the Governing Body of the City of Lawrence, Kansas, conducted a public hearing on the granting of the exemption requested by Serologicals Corporation, prior to which the notices both by publication and in writing, required by K.S.A. 79-251(b), were made and given in strict conformity with such requirements;
WHEREAS, pursuant to information presented by Serologicals Corporation, the Governing Body of the City of Lawrence, Kansas, found the subject property will be used exclusively for the purpose specified in Section 13 of Article 11 of the Kansas Constitution;
WHEREAS, at said public hearing, on January 28, 2003, the Governing Body of the City of Lawrence, Kansas, approved the request by Serologicals Corporation, for the exemption from ad valorem taxation to-wit an eighty percent (80%) tax abatement for ten (10) years for up to thirteen million two hundred thirty six thousand seven hundred ninety two dollars ($13,236,792) in new construction, and twelve million five hundred eight thousand five hundred fifty nine dollars ($12,508,559) on machinery and equipment;
WHEREAS, the Governing Body made the factual determination that the exemption, including the exemption of tangible personal property, was required to retain jobs in the State of Kansas, all as required by K.S.A. 79-252;
NOW THEREFORE, BE IT ORDAINED BY THE GOVERNING BODY OF THE CITY OF LAWRENCE, KANSAS;
SECTION I. The above recitals are incorporated herein by reference and made a part hereof as if fully stated and repeated herein.
SECTION II. Eighty percent (80%) of the appraised valuation for new construction and machinery and equipment up to and including the value of thirteen million two hundred thirty six thousand seven hundred ninety two dollars ($13,236,792) in new construction, and ten million one hundred forty one thousand six hundred ninety seven dollars and five cents ($10,141,697.05) on machinery and equipment as described in the Affidavit of Cost For Machinery, Equipment and New Construction executed by Harold W. Ingalls, Vice-President Finance & Chief Financial Officer Serologicals Corporation., used by Serologicals Corporation in the manufacturing of articles of commerce, is hereby exempted from ad valorem taxation for a ten (10) year period.
SECTION III. The exemption from ad valorem taxation hereby granted shall begin with the taxes levied in the calendar year 2005.
SECTION IV. Each year during the exemption period, the Douglas County, Kansas Appraiser shall exempt eighty percent (80%) of the appraised valuation of new construction up to and including the value of $13,236,792 on new construction and up to and including the value of $10,141,697.05 on machinery and equipment as described in the Affidavit of Cost For Machinery, Equipment and New Construction of this ordinance, and place the balance of the appraised valuation on the tax roles.
SECTION V. Serologicals Corporation. shall be responsible for the preparation, initiation, timely filing, pursuing and follow-up of all applications and related paper work required by any state or local body or agency having authority of or over the allowance of approval of such exemption.
SECTION VI. The Mayor and the City Clerk of the City of Lawrence, Kansas are hereby authorized to execute and submit the proper documents to effectuate the exemption hereby granted.
SECTION VII. The exemption from ad valorem taxation hereby granted is subject to the limitation of eighty percent (80%) tax abatement on new construction and machinery and equipment having a maximum value of $13,236,792 on new construction and $10,141,697.05 on machinery and equipment.
SECTION VIII. If Serologicals Corporation fails to pay the ad valorem taxes which are assessed against the subject property, a penalty and/or interest will be assessed against Serologicals Corporation by the Douglas County Treasurer in accordance with applicable State laws relating to late tax payments. If Serologicals Corporation fails to timely pay any such ad valorem taxes and such failure shall continue for one (1) year, the exemption from ad valorem taxation hereby granted shall be terminated December 31, in the year such payment was due.
SECTION IX. The ordinance shall be in force and effect from and after its adoption and publication as provided by law.
Adopted the ___ day of July, 2005 by the governing body of the City of Lawrence, Kansas.
PASSED
__________________________________ Dennis Highberger, Mayor
ATTEST:
____________________________________
Frank S. Reeb, City Clerk