10-23-2024 Council Packet - Laserfiche WebLink

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City of Little Canada, Minnesota Baker Tilly Municipal Advisors, LLC Page 6 other legally available revenues, such as grants and/or loans, but anticipates that such costs will be primarily financed with tax increments. Section L Estimated Sources of Revenue Estimated Sources of Revenue Estimated Amount Tax Increment revenue $2,943,211 Interest on invested funds Total $2,943,211 The City anticipates providing financial assistance through the terms of a pay-as-you-go note. The City will retain a portion of the annual tax increments collected from the TIF District in future years for other TIF-eligible costs, including affordable housing and/or administrative expenses. Remaining revenues pledged to the developer for reimbursement of certain eligible expenses. The City reserves the right to finance any or all public costs of the TIF District using pay-as-you- go assistance, internal funding, general obligation or revenue debt, or any other financing mechanism authorized by law. The City also reserves the right to use other sources of revenue legally applicable to the Project Area to pay for such costs including, but not limited to, special assessments, utility revenues, federal or state funds, and investment income. The City reserves the right to pool tax increment from the TIF District to assist in financing other affordable housing projects within the City. Section M Estimated Amount of Bonded Indebtedness The maximum principal amount of bonds (as defined in the TIF Act) secured in whole or part with tax increment from the TIF District is $2,943,211. The City plans to finance the project through pay-as-you-go financing to finance housing development and other eligible costs associated with providing long-term affordable within the TIF District. The City reserves the right to issue bonds in any form, including without limitation any interfund loan with interest not to exceed the maximum permitted under Section 469.178, subd. 7 of the TIF Act. Section N Original Net Tax Capacity The County Auditor shall certify the original net tax capacity of the TIF District. This value will be equal to the total net tax capacity of all property in the TIF District as certified by the State Commissioner of Revenue. For districts certified between January 1 and June 30, inclusive, this value is based on the previous assessment year. For districts certified between July 1 and December 31, inclusive, this value is based on the current assessment year. The Estimated Market Value of all property within the TIF District as of January 2, 2023, for taxes payable in 2024 is $1,527,400. Upon establishment of the TIF District and subsequent reclassification of property to residential rental low-income (4d) property with a classification rate of 0.25%, it is estimated that the original net tax capacity of the District will be approximately $3,819. Each year the County Auditor shall certify the amount that the original net tax capacity has increased or decreased as a result of: