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HomeMy WebLinkAbout1240 Waive Building Permit Fee Classic Parts of America Bill No. 2013 -063 ORDINANCE NO. 1 3.4 AN ORDINANCE WAIVING THE BUILDING PERMIT FEE FOR AN APPROXIMATE 33,000 SQUARE FOOT EXPANSION AT CLASSIC PARTS OF AMERICA LOCATED AT 1 CHEVY DUTY DRIVE, RIVERSIDE, MISSOURI WHEREAS, the City of Riverside is committed to economic development efforts to encourage investment in the community by new and existing businesses; and WHEREAS, the expansion of existing businesses contributes to the well being of the City and its residents by providing increased jobs, business opportunities, and real estate investment; and WHEREAS, some businesses located in the City supply and/or support the construction industry (directly or indirectly) and are impacted by industrial construction; and WHEREAS, business expansion contributes to the economic well being of the City and its taxpayers by generating increased revenues through taxes, user fees, and other charges enabling the City to spread the cost of providing services to the public over a larger base; and WHEREAS, for these reasons, the Board of Aldermen desires to waive the building permit fee for an approximate 33,000 square foot expansion at Classic Parts of America, located at 1 Chevy Duty Drive. NOW, THEREFORE, BE IT ORDAINED, by the Board of Aldermen of the City of Riverside, Missouri, as follows: Section 1. That the building permit fee for the approximate 33,000 square foot expansion at Classic Parts of America located at 1 Chevy Duty Drive, Riverside, Missouri is hereby waived pursuant to the terms specified in this Ordinance as calculated and imposed pursuant to the City's Schedule of Fees. Section 2. That the following guidelines and applicability standards for the Program are hereby established: 1. The building permit must be obtained by December 1, 2013 and the expansion must either be completed or have either a temporary certificate of occupancy or certificate of occupancy within one (1) year of the date of the issuance of the building permit. 2. In order to help further the City's goals and objectives by waiving the building permit fee, the builder is strongly encouraged to use local suppliers and contractors and patronize local businesses to the extent possible in the construction of expansion. 3. Except as modified in this Ordinance, all other applicable City codes, regulations, ordinances, procedures and requirements shall continue to apply to all aspects of the construction of the expansion. Section 3. In the event the builder at any time fails to comply with applicable City codes, regulations, ordinances, procedures and requirements, the building permit shall be revoked and no additional construction shall occur unless and until a new building permit has first been obtained and the full amount of all applicable fees, charges and taxes has been paid. Section 4. That this Ordinance shall be in full force and effect from and after its passage by the Board of Aldermen and approval by the Mayor according to law. BE IT REMBERED that the above was read two times by heading only, PASSED AND APPROVED by a majority of the Board of Aldermen and APPROVED by the Mayor of the City of Riverside this a0 C L day of a , 2013. A Mayor Kathleen L. Rose • ATTEST: n, i 4 # • Robin Littrell,vCity lerk CITY OF MISSOURI �! Upstream from ordinary. City of Riverside Overview Memo Date: August 16, 2013 Agenda Date: August 20, 2013 To: Mayor and Board of Aldermen From: Jackie Carlson, Community Development Re: Building Permit Fee Waiver for Classic Parts of America OVERVIEW In April of this year staff met with Classic Parts of America as a part of the business retention program. The owner noted that the business was growing so they were considering their options for additional space, including expanding at their current Riverside location or moving to a larger building elsewhere in the metro. During the discussion, the owner inquired about potential incentives for expanding in Riverside. A few options (Chapter 100 bonds, State programs, fee waivers) were discussed, but only the building permit fee waiver is being pursued. The 33,000 square foot expansion will nearly double the size of the facility and add 5 -10 new employees in the near term. The construction costs for the expansion are estimated at $1.2 million, which equates to a building permit fee of $4,200. Staff is supportive of this request as the property is located within the TIF boundaries and the building expansion will increase the property value, resulting in additional PILOTS. In 2012 the property generated $27,021 in PILOTS. Staff conservatively estimates that the expansion will result in an additional $25,000 in PILOTS per year. The PILOTS obtained from the expansion will more than off-set the building permit fee ($4,200) in the first year. REQUESTED ACTION Staff is requesting the Board approve the ordinance waiving the building permit fee for the 33,000 square foot expansion at Classic Parts of America, 1 Chevy Duty Drive, as an incentive for an existing business to reinvest in Riverside and because the reinvestment will create additional PILOT revenues that will easily off-set the permit fee. 1