Wailuku property tax break for building improvements

A. The County council finds and determines that: 1. To revitalize the historic town of Wailuku, Maui, a tax incentive should be provided to encourage landowners and businesses to make necessary improvements to their properties; 2. The historic importance of Wailuku as a center of commerce on the island of Maui warrants support to maintain its economic vitality; 3. Wailuku is the seat of County government and deserves revitalization to its former prominence; and 4. The Wailuku district represents a vital and diverse community for both established and start-up businesses with an eclectic mix of business types and industries. B. For real property within the Wailuku redevelopment area, any incremental increase in building valuation primarily attributable to qualifying construction work shall be exempt from real property taxes for a period of seven years following the completion of the qualifying construction work, provided that: 1. The building permit for the qualifying construction work is issued on or after the effective date of the ordinance codified in this section; and 2. The qualifying construction work is completed on or before June 30, 2009, as evidenced by the department of public works and environmental management final inspection date unless extended pursuant to subsection F of this section. C. For real property within the Wailuku redevelopment area, fifty percent of the incremental increase in building valuation primarily attributable to qualifying construction work shall be exempt from real property taxes for the eighth year following the completion of the qualifying construction work. D. A claim for exemption shall be filed with the director on or before September 30 preceding the first tax year for which such exemption is claimed on the form provided by the director, and shall be supported by documentation establishing the date of the issuance of the building permit, the department of public works and environmental management final inspection date, and the director's decision to grant an extension of time to complete construction, if applicable. The claim for exemption, once allowed, shall continue for a period of seven years, provided that in no event shall such exemption be allowed beyond June 30, 2017. E. The director shall determine the incremental increase in the valuation of buildings primarily attributable to qualifying construction work by subtracting the valuation of buildings on the property, as determined by the real property tax assessment as of the date of the issuance of the building permit for the qualifying construction work, from the valuation of buildings following the completion of qualifying construction work. For purposes of this section, "qualifying construction work" means work to construct new buildings, or to construct additions or renovations to existing buildings, located on land within the Wailuku redevelopment area, as defined in the Maui redevelopment agency's Wailuku redevelopment plan adopted by Council Resolution No. 00-151. F. The claimant may request an extension of time of up to one year, but no later than June 30, 2010, to complete construction, provided that a major change in circumstances beyond the control of the claimant has occurred. The claimant shall submit to the director written justification for an extension by June 29, 2009. The decision of the director shall be final. (Ord. 3359 § 1, 2006)