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HomeMy WebLinkAboutR-90-0902J-90-1030 11/21/90 RESOLUTION NO. y 0` 9 0 2 A RESOLUTION RECOMMENDING THE APPLICATION OF THE COCONUT GROVE LOCAL DEVELOPMENT CORPORATION TO THE STATE OF FLORIDA FOR APPROVAL OF A COMMUNITY CONTRIBUTION TAX CREDIT PROJECT FOR COMMUNITY REVITALIZATION AND AFFIRMING THAT THE PROJECT IS CONSISTENT WITH LOCAL PLANS. WHEREAS, the Coconut Grove Local Development Corporation is applying to the State of Florida, Department of Community Affairs, for approval of a Community Contribution Tax Credit Project in the City of Miami; and WHEREAS, the City Commission of the City of Miami hereby affirms that it recommends the approval of said application; and WHEREAS, the City Commission hereby affirms that the project is consistent with local plans; NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. The recitals and findings contained in the Preamble to this Resolution are hereby adopted by reference thereto and incorporated herein as if fully set forth in this Section. Section 2. The City Commission hereby recommends the approval of the application of Coconut Grove Local Development Corporation to the State of Florida for approval of a Community Contribution Tax Credit Project for community revitalization. Section 3. The City Commission further affirms that the project is consistent with local plans for the area. Section 4. This Resolution shall become effective immediately upon its adoption. CITY CombusSI01i bummG OF NOV 8 IM lawmako— 902 1 1z 2 PASSED AND ADOPTED this 8th day of Xuvembe ATTE : a NATTY HIRAI City Clerk PREPARED kND APPROVED BY: RAFAEL i0 . DIAZ Chief Assistant City At orney APPROVED AS TO FORM AND CORRECTNESS: J0 4GE L. FERNPPDEZ City Attorney/ ROD/pb/M1913 XAVIER L. SU , 1990. Z , MA)FUR 90-- 902 _2_ Grove Meft 42 L �•'.�1'�"� if'tliOA 14930 OCT 2G FM 2: 3582 Grand Avenue, P.O. Box 75, Coconut Grove, Ft 33133. (305) 446-3095/6 0 o s c-1 October 24, 1990 N '� Mr. Caesar Odio, City Manager, City of Miami, =:. M 3500 Pan American Drive, Miami, Florida 33133 Dear Mr. Odio: This letter is to request an appearance before the City Commission at the meeting of November 8, 1990, to ask for a Resolution from the City Govern- ment, required by the State of Florida, Department of Community Affairs, in our application for a Community Contribution Tax Credit Project, for community revitalization. Under the Community Contribution Tax Incentive Program, CGLDC is requesting approval of a project to solicit contributions from private sector financing and other institutions, to address the decline of the Coconut Grove Target Area. Our objective is to raise funds for the direct purchase of five com- mercial buildings on Grand Avenue and Douglas Road. These buildings include the former Credit Union Building and other buildings, which are currently boarded up and are not contributing businesses and jobs to the community's economic base. We intend to solicit banks and other organizations to raise at least $400,000, to acquire and begin to rehabilitate all these structures. The Community Contributions Tax Credit Program, will allow the donor to apply for a fifty percent Tax Credit against the Florida Corporate Income Tax, Franchise Taxes or Insurance Premium Taxes, and in order to become a sponsor, we are required to secure a City Commission Resolution stating that the project is consistent with local plans and regulations. Attached for your review is a brochure from the Florida Department of Community Affairs, which describes the program. Thank you for your co-operation and assistance, in this matter. We look forward to meeting with you and the Commissioner on November 8, 1990. Yours sincerely, e David J. A ander, Executive Director c.c. Mr. Aurelio Perez-Lugones A Non -Profit Corporation for Economic Development 90- 902 lob 1% The Community Contri- bution Tax Credit is easy for a business to receive. Corpo- rations located anywhere in Florida that make donations to approved community development projects may receive a tax credit equal to 50 percent of the value of the donation. Businesses may take the credit on Florida cor- porate income tax, franchise tax, or insurance premium tax. Before making donation, please be sure it will qualify. THE COMMUNITY CONTRIBUTION TAX INCENTIVE PROGRAM A list of eligible orgmiiza- tions is available from the Department of Community Affairs. To receive approval, a business donating to an eli- gible project need only file a simple form with the Depart- ment of Community Affairs. In order to claim the tax credit, simply attach proof of the approved donation when you file your state tax re- tirrn. More details on the ap- proval process are contained on page 3. Non-profit organizations -and units of state and local government may apply to become eligible sponsors and solicit donations under the prograin. Other eligibility requirementsare outlined on page 2. 3 90— 902 E 0 To QL .al 11 N .\5 \ SN)\',011, YOLR 01?(,-\\17 \TIO\ IS RLQL IRI 1) TO MI I 'f THI Fott.o%\ 1 \(. 0\m t R I \: ■ Be a non-profit corporation or a unit of state or local government. ■ Have a project to construct, improve, or substantially rehabili- tate housing, commercial, indus- trial, or public facilities, or to pro- mote entrepreneurial or job devel- opment opportunities. ■ Be willing to receive contribu- tions from eligible corporate do- nors. ■ Be located in one of the follow- ing areas: ! A slum and blighted area, as de- fined in Section 163.355, Florida Statutes • A Neighborhood Housing Serv- ices Area • An Historic Preservation District • An Enterprise Zone • A Communitv Development Block Grant (CDBG) target area • A Conservation Community (among the 20 percent most dis- tressed in the state). The Depart- ment of Community Affairs has a list of qualifying areas. • A Housing Authority site How To BECOME A COMMUNITY CONTRIBUTION TAX INCENTIVE SPONSOR • An Urban Development Action Grant (UDAG) "packet of pov- erty" area • A Housing; and Urban Develop- ment (HUD) "area of chronic eco- nomic distress" To BLCONtt. A SPONSOR, YOL R ORGANIZATION SL BMITS A PROPOSAL TO THt_ DLI'ART- MLNTOl COMMUNIT) AFFAIRS CONTAINING THL FOLLOWING INFORMATION: ■ A copy of your organization's by-laws, articles of incorporation, charter, or other documentation of non-profit status. ■ A project narrative describing the eligible activity and listing the t\'pes of contributions to besought and their intended use. ■ Documentation of the eligihil- ity of the area. This can be a map showing the eligible area and an approval letter documenting the area as eligible. ■ A resolution from the local government stating that the proi- ect is consistent with local plans and regulations. Once your project has received written approval from the Depart- ment of Community Affairs, you may begin accepting eligible con- tributions. Project approval e\- piresJune 30ofeach near. Aspon- sor must be recertified for each subsequent year of eligibility. 90- 902 v 1Z WHO IS ELIGIBLE? Anv corporation paying Flor- ida corporate income tax, franchise tax or insurance premium tax is able to receive a tax credit equal to 50 percent of the value of dona- tions to approved community de- velopment projects. Corporations must earn more than $3,000 to take advantage of the credit. WHAT IS AN ELIGIBLE CONTRIBUTION? Cash, property, and goods donated to approved sponsors are eligible for the credit. Dues and services are not eligible donations. A list of all approved sponsors is available from the Department of Communitv Affairs. An organization must be ap- proved as a Communitv Contribu- tion Tax Incentive Sponsor before it receives a donation. How MUCH CREDIT CAN I RECEIVE? Businesses are eligible to re- ceive credits of up to $200,000 each fiscal vear. Unused credits may be carried over for up to 5 years. There are 3 million dollars in state tax credits available each fis- cal vear. i 10. HOW TO BECOME A COMMUNITY CONTRIBUTION TAX INCENTIVE DONOR TO CLAM A 50 PERCENT TAX CREDIT YOUR BUSINESS NEEDS TO DO THE FOLLOWING: 1. Contact the Department of Communitv Affairs to ensure that the contribution qualifies for a tax credit. 2. Send a completed Business Application to the Department of Communitv Affairs, accompanied by all of the information outlined below: ■ A copy of the contribution check, invoice, or deed and ap- praisal N\ i ■ A copy of the sponsor's ap- proval or recertification letter for the vear in which the contribution was made ■ Proof that the donation was re- ceived by the sponsor, which can be one of the following things: • A copy of the cancelled check • A receipt • A letter from the sponsor stat- ing that the contribution was received • A notation in Section 1, Item7 of the business application, next to the amount of the con- tribution, which indicates that the sponsoring organiza- tion's officer has entered: "received" the date His or her initials • A copy of the itemized in- voice for ne%%, goods • A copy of the real estate deed and an appraisal for property 3. Include the approved business application and the letter approv- ing your donation when you file vour state tax return. �a.ra \R r\tf\•si..r.-'c►as. �i:•+���,�iis:i+�is*��iii�• aliee...••a•.war ••.a t 90- 902 STATE OF FLORIDA DEPARTMENT OF COMMUNITY AFr-AIRS APPLICATION FOR A COMMUNITY CONTRIBUTION TAX CREDIT Under the provisions of Section 220,183 and Section (1) A copy of the check, itemized invoice, or deed. 624.5105. F.S., application for tax credit is hereby made. (2) Proof that the donation was received (See The following information is given in support of this Instructions, Item 7). application. Please attach the following to this application: (3) A copy of the Department's sponsor approval letter. 1. APPLICANT'S NAME 2. FEDERAL EMPLOYER I.D. NUMBER 3. ADDRESS 4. PHONE NUMBER 5. SPONSOR'S NAME AND APPROVAL NUMBER 6. PURPOSE OF THE CONTRIBUTION 7. TYPE AND VALUE OF THE CONTRIBUTION: TYPE OF CONTRIBUTION Check Real Estate �j Equipment and/or Supplies Other 8. Business Tax Year: From (Name) SECTION 1 '19 SECTION 11 ACTUAL OR APPRAISED VALUE m (Title) W (Name of firm) hereby certify that this application has been examined by me and, to the best of my knowledge and belief, the information is true, correct and complete. Date of certification Signature SECTION III (Name of Officer) (Title) oil m (Name of sponsoring agency) hereby agree to accept the terms and conditions as set forth in this application and in Section 220.183 and Section 624.5105, F.S. I hereby express my acceptance of the contribution in the name of the above -referenced sponsoring agency. Date of Certification Signature Application Number A tax credit in the amount of $ — FOR DEPARTMENT USE ONLY Project Approval Number ___------------._--- - _ is hereby approved. Approving Authority r� 90-- 9042 IQ ro INSTRUCTIONS WHO MUST FILE: In order to obtain a tax credit authorized under Section 220.183 or Section 624.5105, F.S., business firms must submit this application for approval. WHEN TO FILE: This application may be filed at any time. However, contributions made prior to the approval of the project will not qualify for the tax credit per Rule 913-17.007, Florida Administrative Code. Please note that tax credits are granted on a first come, first served, basis until the maximum amount of credits allowable per state fiscal year has been exhausted. SIGNATURE AND MAILING: This application must be signed by an authorized official of the firm making the donation. Also attach the following: a copy of the check, itemized invoice, or deed; proof that the donation was received (see Item 7 below); and a copy of the Department's sponsor approval letter. Submit the original copy to the Department of Community Affairs, Division of Housing and Community Development, 2740 Centerview Drive, Tallahassee, Florida 32399-2100. CLAIMING TAX CREDIT: You will receive a signed copy of this form upon approval of a donation. Attach the form and the Department letter approving the donation when filing your tax return to the Florida Department of Revenue. HOW TO COMPLETE THE BUSINESS APPLICATION FORM: Section I: Section I is to be completed by the business making the contribution. Item 1: Indicate the exact name of the business firm. Item 2: Indicate the firm's Federal Employer Identification Number, Item 3: Indicate the address where correspondence regarding this application should be directed. Item 4: Provide the firm's telephone number. Item 5: Indicate the name of the sponsoring agency and the sponsor's approval number, as provided on the Department's sponsor approval letter. Attach a copy of the letter. Item 6: Describe the purpose of the contribution by giving a brief explanation of the way in which this contribution will assist the sponsor. Item 7: Indicate the type and value of the contribution and provide proof of the donation by attaching one of the following. (a) Cash Contributions: A photocopy of the cancelled check made payable to the approved project; a receipt signed by the sponsor; a letter signed by the sponsor acknowledging receipt of the donation; or a notation in Section I, Item 7 of the business application (next to the amount of the contribution) which indicates that the sponsoring agency's officer has entered "received," the date, and his or her initials. (b) Real Estate Contributions: A copy of the deed and an appraiser's report. (c) Equipment and/or Supplies: Copies of the itemized invoices and receipts. Valuation of goods or supplies must be calculated in a manner consistent with U.S. Internal Revenue Service rules. The donor must provide supporting documentation of the fair market value of the claimed donation. Item 8: Indicate the business firm's fiscal year for tax purposes for the year in which the donation was made. Section II: Section II is to be completed by an authorized official of the business making the donation. Section III: Section III is to be completed by the sponsoring agency's officer. SPECIAL INSTRUCTIONS It is incumbent upon the sponsor to inform any prospective contributor that the contributing business may not have any financial interest in the sponsor to which the donation is being provided. If there are any questions by either the sponsor or the contributing business concerning the eligibility, appropriate- ness, value or timing of the donation, the issue should be raised with the Department of Community Affairs prior to making the donation. Businesses making non -cash contributions are particularly advised to verify their donations. 90-- 902 Nk FOR FURTHER INFORMATION, PLEASE CONTACT: THE DEPARTMENT OF COMMUNITY AFFAIRS DIVISION OF HOUSING ANDCO1AMUNITY DEVELOPMENT ECONOMIC ASSISTANCE SECTION 2740 CENTERVIEIV DRIVE TALLAHASSEE, FLORIDA 32399-2100 (904)488-3581 THIS PUBLICATION WAS PROMULGATED AT A COST OF S2081.00 OR S.69 PER COPY TO INFORM THE PUBLIC OF THE COMMLNITI CONTRIBUTION TAX INCENTI\ E PROGRAM. Photo Credits: Page Two: Mahaffey Theater St. Petersburg, Florida C Steve Hogben Architectural Photographics Atlanta, Georgia 30340 Page Three: Ba_yfront Medical Center St. Petersburg, Florida 90-- 90,E