Agenda - Council - 12/10/1996 - Laserfiche WebLink

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Besides making the adjustment described above, each year after the certification of the original tax capacity, the County Auditor will increase or decrease the original tax capacity of the District as a result of: 1. change in the tax exempt status of property within the District; reduction or enlargement of the geo~;raphic boundaries of the District; reduction of valuation by means of a court-ordered abatement, stipulation agreement, voluntary abatement made by the assessor or auditor, or by order of the Minnesota Commissioner of Revenue; or change in the classification of property within the District to a classification that has a different class rate. T. Estimate of Captured Tax Capacity and Tax Increment. Pursuant to §469.175, Subd. 1 and 469.177, Subd. 2 of the TI~? Act, the estimated captured tax capacity of TIF District No. 7 wiIi be $1,019,464, as of January 2, 1998, for taxes payable in 1999. The captured tax capacity is estimated as shown in Exhibit C. Tax Capacity on January 2, 1996 Fiscal Disparity Adjusted Ori~nal Tax Capaci .ty. Captured Tax Capacity Assumed local Tax Rate (1996/97) Estimated Increment $ 1,751,800 $ 683,179 $. 49,1~7 $ 1,019,464 1.07679% $ 1,097,749 The City elects the method of tax increment computation set forth in §469.177, subd. 3, clause (b) of the T/~ Act. This means that fiscal disparities contributions will be made from the TIFDis~ct, and not from other property in the City. Pursuant to §469.177, Subd. 2 of the TIF Act, it is found and declared that all of the captured tax capacity generated by the subject property -within TIF District No. 7 is necessary to finance, or otherwise make permissible, expenditures - authorized by {}469.176, Subd. 4 of the TIF Act. U. Duration of the TIF District. In accordance with §469.176, Subd. l(e) of the TIF Act, the City may continue to receive payments until 25 years from the date of the receipt of the fn-st increment. V. Estimate of Impact on Other Taxing Jurisdictions. It is anticipated that $1,097,749 in increment wi_Il be captured annually within ~ District No. 7 upon initial development of the District. This increment amount is based on assessment of the development on January 2, 1998, for taxes payable in 1999. The City anticipates further industrial development in the TIY District, which will create additional captured tax capacity. However, it is impossible at this time to estimate the amount of such increased captured value. 13 I I I I I I I l: I ! I I I I I I I I