Payment in lieu of Ad Valorem Taxes Clause Samples

The 'Payment in lieu of Ad Valorem Taxes' clause establishes that a party agrees to make specified payments to a governmental entity instead of paying traditional property taxes based on assessed value. Typically, this arrangement applies to properties owned by entities that are otherwise tax-exempt, such as government agencies or certain nonprofits, and the payment amount is negotiated rather than calculated through standard tax assessment. The core function of this clause is to ensure that local governments receive financial contributions from properties that would not otherwise generate tax revenue, thereby supporting public services and infrastructure.
Payment in lieu of Ad Valorem Taxes. Section 1.1 A. Subject to the completion and filing by the taxable status date March 1, 2024 (the "Taxable Status Date") of New York State Form RP-412-a Application For Real Property Tax Exemption (the "Exemption Application") under Section 412-a of the New York State Real Property Tax Law (the "RPTL") and Section 874 of the Act and the approval of the Exemption Application by the appropriate assessors or Board of Assessment Review, the Facility shall be exempt from Real Estate Taxes (as hereinafter defined) commencing with the 2024-25 School District tax year, and the 2025 County and Town tax years. For purposes of the foregoing "Real Estate Taxes" means all general levy real estate taxes levied against the Facility by the County, the Town and the School District. The Company shall provide the Agency with the information necessary for the completion and filing of the Exemption Application and shall provide such additional information and take such actions as are required by the appropriate assessors or Board of Assessment Review to process and approve the Exemption Application. Notwithstanding anything contained herein or in the Leaseback Agreement to the contrary, in the event the exemption from Real Estate Taxes is denied for any reason, the Company shall pay (and hereby agrees to pay) all Real Estate Taxes levied upon the Facility as they become due. After giving written notice to the Agency, the Company may, in good faith, contest the denial of the Exemption Application, provided that (i) the overall operating efficiency of the Facility is not impaired and the Facility continues to qualify as a "project" under the Act; (ii) neither the Facility nor any part of or interest in it would be in any danger of being sold, forfeited or lost; or
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Payment in lieu of Ad Valorem Taxes. If all or a portion of the Project (other than the public parking component of the Parking Garage which shall not be subject to ad valorem taxes), during the Term, is no longer subject to ad valorem taxes (or to a tax imposed on the Project in lieu of or replacing an ad valorem tax) due to legal or judicial action or otherwise, then Developer shall, each year during the Term, make payments to the City in lieu of such ad valorem taxes, and/or applicable TIF (Tax Increment Financing) payments to the CRA, in an amount equal to that which would have accrued to the City and CRA if the Project was subject to ad valorem taxes in the applicable Rental Year (pro-rated for any partial calendar year). Such payment shall be made on the first day of April of each succeeding year.
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Payment in lieu of Ad Valorem Taxes. The Housing Authority agrees to pay the City and the City agrees to accept from the Housing Authority annual payments in lieu of ad valorem property taxes that would otherwise be assessed against the City against properties owned and managed by the Housing Authority. Payments shall be made annually in the amount determined by the United States Department of Urban Development (HUD) budgeted for the payment of PILOT payments to local municipalities.
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Payment in lieu of Ad Valorem Taxes. The Housing Authority agrees to pay the City and the City agrees to accept from the Housing Authority annual payments in lieu of ad valorem property taxes an amount equal to $102.00 per unit per year. The City and the Housing Authority agree to review the amount of the per unit per year payment every five (5) years in order to calculate a payment in lieu of ad valorem taxes consistent with the then existing HUD guidelines.
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Payment in lieu of Ad Valorem Taxes. The forgoing recitals are incorporated herein by reference as if fully set forth hereinbelow.
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Payment in lieu of Ad Valorem Taxes. If, during the Term, all or a portion of the Private Facilities or Premises is no longer subject to ad valorem taxes (or to a tax imposed on the Project in lieu of or replacing an ad valorem tax) due to legal or judicial action or otherwise as a result of the City’s ownership of fee simple title to the Landlord Estate, then Tenant shall, for each year during the Term for which such property is not subject to ad valorem taxes, make payments to Landlord in lieu of such ad valorem taxes which would have otherwise accrued to the City. Such payment shall be equal to the ad valorem taxes attributable to the Private Facilities or portion thereof, as applicable, paid or payable to the City for the last year such property was subject to ad valorem taxation, and shall be adjusted each subsequent year in accordance with the cumulative property valuation changes of the Private Facilities or portion thereof, provided by the Broward County Property Appraiser (the “Property Appraiser”) for so long as the Property Appraiser provides such values. In the event the Property Appraiser no longer provides such values, such payment shall be equal to the valuation attributable to the Private Facilities or portion thereof, as applicable, for the last year such property valuation was provided by the Property Appraiser and shall be adjusted annually by the net change of the reasonable value of the Private Facilities or portion thereof. For each year that the Private Facilities or Premises or portion thereof is not subject to ad valorem taxes, the payment required by this Section shall be made on the first day of April of the succeeding year as an Additional Reimbursement. The requirements of this Section shall commence the year following the Commencement Date and shall terminate in the event that the City ceases to possess the Landlord Estate.
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Payment in lieu of Ad Valorem Taxes 
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Related to Payment in lieu of Ad Valorem Taxes

  • Ad Valorem Taxes Prior to delinquency, Tenant shall pay all taxes and assessments levied upon trade fixtures, alterations, additions, improvements, inventories and personal property located and/or installed on or in the Premises by, or on behalf of, Tenant; and if requested by Landlord, Tenant shall promptly deliver to Landlord copies of receipts for payment of all such taxes and assessments. To the extent any such taxes are not separately assessed or billed to Tenant, Tenant shall pay the amount thereof as invoiced by Landlord.

  • Payment of Taxes and Assessments The lessee shall pay prior to delinquency all taxes and assessments accruing against the leasehold.

  • Payment of Taxes and Claims The Company will and will cause each of its Subsidiaries to file all tax returns required to be filed in any jurisdiction and to pay and discharge all taxes shown to be due and payable on such returns and all other taxes, assessments, governmental charges, or levies imposed on them or any of their properties, assets, income or franchises, to the extent such taxes and assessments have become due and payable and before they have become delinquent and all claims for which sums have become due and payable that have or might become a Lien on properties or assets of the Company or any Subsidiary, provided that neither the Company nor any Subsidiary need pay any such tax or assessment or claims if (i) the amount, applicability or validity thereof is contested by the Company or such Subsidiary on a timely basis in good faith and in appropriate proceedings, and the Company or a Subsidiary has established adequate reserves therefor in accordance with GAAP on the books of the Company or such Subsidiary or (ii) the nonpayment of all such taxes and assessments in the aggregate could not reasonably be expected to have a Material Adverse Effect.