07-10-2003 Planning Comm. Agenda

Home Browse Search

EHLERS b .1S SOCIAiES INC Ehlers 8~ Associates, Inc. Tax Increment Financing District Overview City of Little Canada -Tax Increment Financing District iVo. 2~2 The following summary contains an overview of the basic elements of the Tax Increment Financing Plan for Tax Increment Financing District No. 2-2. More detailed information on each of these topics can be found in the complete TIF Plan. Proposed action: Establishment of Tax Increment Financing District No. 2-2 and the adoption of a Tax Increment Financing Plan. Development Modification to the Development Program for Development District Program: No. 2. (This modification represents a continuation of the goals and objectives set forth in the Development Program for Development District No. 2. Generally, the substantive changes include the establishment of Tax Increment Financing District No. 2-2.) Proposed tt~e llrshrct rs being created to facilitate the construction of a 57,000 s.f. Development: office and training facility for the painting and glazing trades in the City of Little Canada and other future redevelopment on the former Knox Lumber site. Maximum duration: The duration of District No. 2-2 will be 15 years from the date of receipt of the first increment (16 years of increment). The date of receipt of the first tax increment is expected to be 2005. Thus, it is estimated that District No. 2-2, including any modifications of the TIF Plan for subsequent phases or other changes, would terminate after 2020, or• when the TIF Plan is satisfied Estimated annual tax Up to $102,299 increment: Proposed uses: The TIP Plan contains the following budget: Renewal and Renovation Expenses ....................................... ... $100,000 Site Improvements/Preparation Costs including Demolition ... $864,000 Public Utilities ....................................................................... ..... $50,000 Installation of Sheets and Sidewalks .................................... ..... $50,000 Interest ................................................................................... ... $400,000 Administrative Costs (up to 10%) ......................................... ... $100,000 PROJECT CO5TS TOTAL ............................................... $1,564,000 See Subsection 2-1Q, page 2-5 of the TIP Plan for the full budget authorization. Additional uses of funds are authorized which include inter-fund loans and transfers and bonded indebtedness. Form of financing: The project will be financed primarily tlrrough the annual collection of tax increments Administrative fee: Up to 10% of annual increment, if costs are justified.