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<br /> <br /> STAFF REPORT <br /> <br /> <br /> <br />TO: Mayor Keis and Members of the City Council <br /> <br />FROM: Chris Heineman, City Administrator <br /> Corrin Wendell, Community Development Director <br /> <br />DATE: April 27, 2022 <br /> <br />RE: Preliminary Financial Needs Analysis and Revenue Projections for proposed Tax <br />Increment Financing Housing (TIF) District (Twin Lakes Apartments) <br /> <br /> <br />BACKGROUND <br />The City of Little Canada has received an application for financial assistance through Tax <br />Increment Financing (TIF) to assist with financing a portion of the extraordinary development <br />costs related to the construction of a new 60-unit multifamily workforce housing project. City staff <br />is working with Mikaela Huot from Baker Tilly Municipal Advisors to evaluate the level of <br />financial assistance required. Staff has also met with the developer, Paul Keenan, of Reuter Walton <br />on several occasions to review the TIF application and requested assistance, the bond financing, <br />and the proposed project timeline. <br /> <br />The purpose of this workshop is to explain the justification for financial assistance, review the <br />developer’s request for TIF assistance, and provide an overview of the proposed project financing. <br />Mikaela Huot will also explain two potential options to provide assistance, including the creation <br />of a new Housing Tax Increment Finance District or utilize Temporary Spending Authority for <br />unobligated tax increment as authorized by the Minnesota Legislature in 2021. <br /> <br />The attached memo from Mikaela Huot provides a summary of the developer’s request for <br />assistance. According to her analysis, the developer has demonstrated that there is a clear financial <br />gap and that the project costs cannot be supported solely by the project alone. Mikaela Huot will <br />be in attendance at the workshop to provide additional details and answer questions. <br /> <br /> <br />