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<br />Case # 1 <br /> <br />ADOPT 2010 EDA LEVY <br /> <br />By: Sean M. Sullivan, Economic Development Coordinator <br /> <br />Background: <br /> <br />On November 28, 1998 the City Council approved a resolution creating the EDA for the City of Ramsey. The <br />resolution gives all the statutory powers of an Economic Development Authority (EDA) and Housing and <br />Redevelopment Authority (HRA) to the Ramsey EDA. <br /> <br />The EDA budget has beel{ funded primarily through two sources: 1) the HRAlEDA Levy and 2) proceeds from <br />the sale of City/ED A owned property. <br /> <br />As mentioned above, a possible funding mechanism for the EDA is the passing of a levy. The levy is based on <br />the City's taxable market value and for payable 2010, the City would be allowed to levy $401,256. The <br />majority of the levy would be for personnel services and to purchase properties that are targeted for <br />development/redevelopment. The EDA levy is not limited to housing and/or redevelopment, but can be spent <br />on such items as vacant land, marketing, professional services, monument signs and other economic <br />development related activities. <br /> <br />In 2009, the EDA levied $291,705 which included the Buxton Study, the LHB TIF Analysis, lobbying for the <br />Armstrong interchange / Rail Station, NDC Training and other business recruitment and retention activities. <br />Funds were also set aside into the land acquisition fund that could be used to assist in the acquisition of a future <br />industrial park or to acquire properties in need of redevelopment. Staff is recommending adopting the attached <br />budget and levy of $291,705 for 2010. Year 2010 will once again be a levy limit year, and the EDA is included <br />in levy limits (General levy and EDA are under levy limits). <br /> <br />The proposed levy of$291,705 would place a $26.40 tax ona residential home valued at $200,000. <br /> <br />The enabling resolution adopted in 1998 requires that levy requests by the EDA be sent to the City Council for <br />approval before action is taken. <br /> <br /> <br />Council <br /> <br />2009 (Pay 2010) Taxable Market Value <br />Statutory Maximum Levy Rate <br />Maximum Levy Amount <br />Requested Levy Amount <br />Tax Le er Dollar of Market Value 72.57% of Max. Lev <br />Tax Levy for $150,000 home <br />Tax Levy for $200,000 home <br /> <br />2,216,886,700 <br />0.01813% <br />$401,922 <br />$291,705 <br />$ 0.000132 <br />$ 19.80 <br />$ 26.40 <br /> <br />7 <br />