Agenda - Council - 09/09/2025 - Laserfiche WebLink

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CC Regular Session Meeting Date: Primary Strategic Plan Initiative: 09/09/2025 5. 7. Title: Adopt Resolution #25-198 Approving the Terms of up to a $50,000,000 Interfund Loan in Connection With Tax Increment Financing (TIF) No. 14 (The COR) Purpose/Background: The City adopted Resolution #25-162 Approving Minnesota Laws, 2025, 1st Special Session, Chapter 13, Article 5, Section 2 at its regular meeting of July 22, 2025. This resolution gave City approval of Special legislation approving the ability to adopt Interfund Loan Resolutions for expenses previously incurred in TIF District 14 (COR) as follows: . Eligible expenditures within the district include but are not limited to (1) the city's share of the costs necessary to provide for the construction of the Northstar Transit Station and related infrastructure, including structured parking, a pedestrian overpass, and roadway improvements, (2) the cost of land acquired by the city or the housing and redevelopment authority in and for the city of Ramsey within the district prior to the establishment of the district, and (3) the cost of public improvements installed within the tax increment financing district prior to the establishment of the district. Approval of the Special legislation allows the City to stay in compliance for TIF eligible expenditures previously incurred and allow the City to reimburse itself for those expenditures through TIF revenue generated from TIF District 14. To pay back those City funds that "loaned" money for land purchase and COR Improvements, the City must approve the terms and amount of an interfund loan for said improvements. The City intends to reimburse itself for costs up to an amount of $50,000,000 principal plus interest at the rate of 4%. Some of the City Funds to be reimbursed include: HRA/COR Fund, Storm Water Management, Public Improvement Revolving (PIR), MSA, Water Utility, Sewer Utility, Street Light Utility, Storm Drainage Utility, Tax Increment Financing No. 1 and Tax Increment Financing District No. 2. Notification: The City's Bond Counsel, Taft Law, recommended and approved the attached resolution. Recommendation: Staff recommends adoption of Resolution #25-198 Approving the Terms of up to a $50,000,000 Interfund Loan in Connection With Tax Increment Financing (TIF) No. 14. Outcome/Action: