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QUESTION

What information is required from building owners applying for the tax exemption program?

0:30:51

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The council member is informed that building owners applying for the tax exemption program do not need to provide financial distress information since it is a reimbursement program, not underwritten financial assistance.

Owners must secure upfront financing themselves to complete the eligible renovation work
Owners cannot owe the city any municipal charges to receive the tax exemption
While financial struggles may exist, the program does not assess those factors directly

Pierina Ana Sanchez

0:30:51

And can you share now about the characteristics of the buildings that were approved in the in the past year.

0:30:57

So the age of buildings, if you Do you require information on financial distress from applicants, or did you in the past?

Kim Darga

0:31:06

So we do not this is not because it's an as of program.

0:31:11

It's not a program where we're underwriting a benefit.

0:31:14

Right?

0:31:14

So we have other programs like that where we're writing loans or discretionary tax incentive, and so we are structuring that financial assistance to address both the financial and physical needs.

0:31:25

This is different in that An owner self identifies as wanting and needing the assistance.

0:31:37

And they apply based on work they are planning to do, and they complete that work, and then we process an application.

0:31:47

There are requirements that I think speak to financial conditions within the building.

0:31:56

So first, Because this is a reimbursement program, the owner has to be able to actually secure some financing upfront to do the work.

0:32:07

That could be that they're getting a loan, a bridge loan, maybe they have some savings.

0:32:13

So that's number 1.

0:32:15

2 in order to be eligible for us to for the benefit of the other day, end of the day, and for us to process the certificate of eligibility.

0:32:26

The owner cannot owe the city for any municipal charges.

0:32:31

Yep.

0:32:32

So I think those 2 things speak to financial conditions, but it's certainly possible that owners are struggling with other things that we wouldn't see.

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