Agenda - Council - 12/09/2008 - Laserfiche WebLink

Home

TAX INCREMENT FINANCING DISTRICT NO. 10 The following Section (page 8) of the TIF Plan for TIF District No. 10 is amended to include the following:. Minnesota Statutes, section 469.177, subdivision 4 requires that the request for certification of original tax capacity be accompanied by a listing of properties within the tax increment district for which building permits have been issued in the 18 months preceding approval of the tax increment fmancing plan. The TIF District has had no building permits issued during this period, accordingly the most recent tax capacity is estimated to be 8,021. METHOD OF FINANCE The City Council elects to use tax increment financing pursuant to Minnesota Statutes,_Chapter 469, to finance all or part of the costs of the Project. By electing this method of financing, the City Council is not precluding the use of other methods provided by State law. FINANCIAL PLAN ESTIMATE OF PUBLIC COST The following is an estimate of capital and administrative costs including cost of TIF District indebtedness, source of revenue, most recent tax capacity, and estimate of captured tax capacity. 1. Uses of funds. The .City has studied the feasibility of developing property in the TIF District. To facilitate TIF District development, this TIF Plan authorizes the use of tax increment fmancing to pay for the cost of certain eligible expenses. The estimate of public costs and uses of funds associated with the TIF District includes: A. Land building acquisition $485,327 B. Public improvements 680,000 C. Site Improvements 130,000 D. Streets and Sidewalks 150,000 E. TIF District administration 120,000 TOTAL USES OF FUNDS 1 565 327 Project expenses will be paid for with TIF Bonds or on apay-as-you-go basis. The cost for all activities to be considered for tax increment financing will not exceed, without formal modification, the budget above pursuant to applicable statutory requirements. 2. Source of funds. Project costs, outlined in the Uses of funds will be financed through the annual collection of tax increments: A. Tax increments TOTAL SOURCE OF FUNDS $1,565,327 1 565 32 ESTIMATE OF TAX INCREMENT Exhibit 1 following 13 shows the estimate of tax increment used to establish a budget in this TIF Plan. FINANCING ASSUMPTIONS Tax increment will be used to finance activities in the Project Area. The following information and assumptions were used to calculate fmancing costs for the activities in the Project Area. 1. Industrial development within the TIF District will commence in fa112001. It is anticipated that the project will be partially completed in 2002. Final completion will not be later than December 31, 2011. -128-