06-13-2002 Planning Comm. Agenda

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^ The market value ofnon-assisted housing or commercial property will be less than 20% of the total fair market value of the planned improvements. Pursuant to MS.469.I76 Subd 7, the District does not contain any parcel or part of a parcel that qualifed under the provisions of MS 273.111 or 273.112 or Chapter 473F1 for taxes payable in any of the five calendar years before the filing of the request for certification of the District. Subsection 3-7. Duration of the District Pursuant to MS, Sectiwz 469.175, Subd. 1, and Section 469.176, Szrbd 1, the duration of the District must be indicated within the Plan. Pursuant to MS, Section 4C>9.176, Subd. 1 b, the duration of the District will be 25 years after receipt ofthe first increment by the EDA or City (a total of 26 years). The date of receipt by the City of the first tax ineremenC is expected to be 2005. Thus, it is estimated that the District, including any modifications of the Plau for subsequent phases or other changes, would terminate after 2030, or when the Plan is satisfied. If increment is received in 2004, the term of the District will be 2029. The EDA or City reserves the right to decertify the District prior to the legally required date. Subsection 3-8. Original Tax Capacity, Tax Rate and Estimated Captured Net Tax Capacity Value/Increment and Notification of Prior Planned Improvements Pursuant to MS, Section 469.174, Szrbd 7 andMS, Section 469.177, Subd 1, the Original Net Tax Capacity (ONTC) as certified for the District will be based on the market values placed on the property by the assessor in 2001 for taxes payable 2002. Pursuant to M.S, Section 469.177, Subds. I and 2, the County Auditor shall certify in each year (beginning in the payment year 2003) the amount by which the original value has increased or decreased as a result of: 1. Change in tax exempt staters of property; 2. Reduction or enlargement of the geographic boundaries of the district; 3. Change due to adjustments, negotiated or court-ordered abatements; 4. Change in the use of the property and classification; 5. Change in state law governing class rates; or 6. Change in previously issued building permits. hi any year in which the current Net Tax Capacity (NTC) value of the District declines below the ONTC, no value will be caphned and no tax increment will be payable to the EDA or City. The original local tax rate for the District will be the local tax rate for taxes payable 2003, assuming the request for certification is made after June 30, 2002. The ONTO and the Original Local Tax Rate for the District appear in the table below. Pursuant to M.S., Section 469.174 Szrbd. 4 and MS., Section 469.177, Subd. 1, Z, and 4, the estimated Captured Net Tax Capacity (CTC) of the District, within Redevelopment Project Area No. 1, upon completion of the project, will annually approximate tax increment revenues as shown in the table on the following page. The EDA and City request 100 percent of the available increase in tax capacity for repayment of its obligations and cunent expenditures, beginning in the tax year payable 2005. 'Che Project Tax Capacity (PTC) listed is an estimate of values when the project is completed. Ecmiomic Development AutLority of tLe City of Linle Canada Tax Lwrement Financing Plon Cor lax Lrerement Finmioing Disldct No.3-3 3-3