Hearing on revitalization program set
Marion City Commission will set a date Monday for a public hearing to discuss the proposed neighborhood revitalization program, it was reported Monday.
Properties approved for the program generate a tax rebate for the owners.
The revitalization area involves much of Main Street and certain property just off Main, on Santa Fe, South Third, and South Fourth streets. These properties are considered to "influence the Main Street corridor," Cooper said.
Designated areas must include buildings or properties that are historic or in dilapidated condition. Not every property in a designated area would meet the qualifications.
Applicants must make at least $5,000 of improvements to residential properties and $15,000 to commercial properties. The city building inspector determines if the property qualifies and performs pre-improvement and final inspections.
The taxpayer must pay all assessments, including any increases, promptly. Since properties are assessed on fair market value, $15,000 in improvements doesn't automatically mean a $15,000 increase in value, Cooper said.
After all taxes are paid, a rebate check is issued for any increase in taxes due to the improvement. The rebate is available each year for 10 years beginning with the date of application. It can be transferred if the property sells.
About 95 percent of the increase goes to the taxpayer. The rest goes to the Marion County Treasurer as an administrative fee for overseeing the program.
To encourage improvements, Cooper recommended the city require all applications to be submitted within three years. Commissioners could decide at the end of the three years if they wanted to extend the program.
She emphasized that governing bodies won't receive fewer taxes than they receive now, but that any increase will be delayed. The benefit is that at the end of 10 years, the rebate ends and the additional tax dollars flow into government coffers.
After the public hearing, the program is submitted for approval to the county, Marion-Florence Unified School District, and Marion County Hospital District No. 1.
