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04-13-2022 Workshop Packet
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04-13-2022 Workshop Packet
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City of Little Canada, MN Management Review & Analysis – Tax Increment Financing Districts 7 Summary of Outstanding Obligations The Lodge / Garden Terrace The Lodge PAYGO NoteSt. Jude Medical G. O. TIF Bond 2015ASt. Jude PAYGO NoteMasterpiece Homes Interfund Loan - General FundSuite Living Interfund Loan - Water/Sewer Capital Replacement FundBix Produce Bix Produce PAYGO Note3‐35‐16‐17‐1Summary of Outstanding Non-Pooled Debt Obligations as of 12/31/2020District NumberDistrict Name Obligation Outstanding22,492.29 437,200.83$ 835,000.00 475,757.00 499,306.04 7‐2150,000.00 Recent Legislation In 2021 the Minnesota State Legislature provided temporary authority to use unobligated TIF from existing tax increment districts to help stimulate private development that would not otherwise commence without assistance before December 31, 2025. The City may provide loans, interest rate subsidies, or assistance in any form (including an equity or similar investment in a private project) to private development, as long as it consists of new construction or substantial rehabilitation of buildings and ancillary facilities AND if doing so will create or retain jobs in the State (including construction jobs). Unobligated increment includes increment from any district that is not obligated as of December 31, 2022 nor required for payment on outstanding obligations during the six months following the transfer of the increment out of the district. The City can use ALL unobligated increment and is not restricted to the normal “pooling” thresholds (i.e., 20%, 25% or 35% for districts that elect the additional 10% for affordable housing purposes). The City may use the unobligated tax increment for any private development that would otherwise not commence without the assistance. That means these dollars can be used for end uses typically not permitted to be assisted with tax increment, such as retail or market rate housing on a vacant site.
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