City of Milwaukee - File #: 081432

• File #: 081432
• Version: 0
• Type: Resolution
• Status: Passed
• File created: 2/10/2009
• In control: FINANCE & PERSONNEL COMMITTEE
• Final action: 3/3/2009
• Title: Resolution approving the transfer of money from the contingent fund to the remission of taxes fund and approving and authorizing the execution of a settlement agreement for real estate and personal property taxes in the matter of In Re Tower Automotive Inc. for property located at 3533 N. 27th Street.
• Sponsors: THE CHAIR
• Indexes: AGREEMENTS, CONTINGENT FUND, SUITS SETTLEMENT, TAX CANCELLATIONS

Date	Ver.	Action By	Action	Result	Tally
3/9/2009	0	MAYOR	SIGNED
3/3/2009	0	COMMON COUNCIL	ADOPTED	Pass	13:1
2/26/2009	0	FINANCE & PERSONNEL COMMITTEE	RECOMMENDED FOR ADOPTION; Minutes note: Individuals present: Megan Crump, Assist. City Attorney Tom Gartner, Assist. City Attorney	Pass	4:0
2/23/2009	0	JUDICIARY & LEGISLATION COMMITTEE	RECOMMENDED FOR ADOPTION AND ASSIGNED; Minutes note: Individuals present: Tom Gartner and Megan Crump - City Attorney's Office	Pass	5:0
2/20/2009	0	FINANCE & PERSONNEL COMMITTEE	HEARING NOTICES SENT
2/17/2009	0	FINANCE & PERSONNEL COMMITTEE	HEARING NOTICES SENT
2/17/2009	0	FINANCE & PERSONNEL COMMITTEE	HEARING NOTICES SENT
2/16/2009	0	JUDICIARY & LEGISLATION COMMITTEE	HEARING NOTICES SENT
2/16/2009	0	JUDICIARY & LEGISLATION COMMITTEE	HEARING NOTICES SENT
2/10/2009	0	COMMON COUNCIL	ASSIGNED TO

Number
081432
Version
ORIGINAL
Reference

Sponsor
THE CHAIR
Title
Resolution approving the transfer of money from the contingent fund to the remission of taxes fund and approving and authorizing the execution of a settlement agreement for real estate and personal property taxes in the matter of In Re Tower Automotive Inc. for property located at 3533 N. 27th Street.

Analysis
Resolution approving the transfer of money from the contingent fund to the remission of taxes fund and approving and authorizing the execution of a settlement agreement for real estate and personal property taxes in the matter of In Re Tower Automotive Inc. for property located at 3533 N. 27th Street.

Body
Whereas, Tower Automotive Inc., (Tower) filed for Chapter 11 Bankruptcy in February 2005; and

Whereas, The City submitted a claim for personal property taxes for tax levy years 2004-2006; and

Whereas, Personal property should not have accrued for tax levy years 2005 and 2006 because the City was aware that Tower’s operations had ceased and there were a series or real estate transactions; and

Whereas, The Trustee in the Tower bankruptcy case has offered the City $106,504.42 as a settlement for the personal property taxes for 2004; and

Whereas, This amount represents the principal due and excludes only interest and penalties; and

Whereas, The Trustee in the Tower bankruptcy case has offered the City $170,191.36 as a settlement for the real estate taxes for 2004; and

Whereas, This amount represents the principal due and excludes only interest and penalties; and

Whereas, The interest and penalties for the personal property taxes and the real estate taxes would be difficult to collect because they are classified as general unsecured claims; and

Whereas, The Remission of Taxes Fund is used for the cancellation of taxes; and

Whereas, Existing funding will be insufficient and additional funding is necessary to cancel the taxes as proposed in the resolution; now therefore...