04-25-2012 Council Agenda - Laserfiche WebLink

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District Council #82 — Tax Exempt Status I met with officials of District Council #82 this past week. There has been a change in State law that occurred a few years ago that would allow them to claim tax- exempt status on the training portion of their facility. (They told me this law did not exist when the facility was built.) They have been prevented from taking advantage of this option due to the TIF assistance we provided them. Essentially, the TIP District's debt needs to be retired before they can contest /change their valuation. With the taxes they will he paying in 2012, their balance will be around $106,000. Plus, they had a $40,000 deposit with us to guarantee payment of TIF that has grown to around $58,000. Therefore, they only need to advance about another $48,000. The taxes on their facility total $179,092 for pay 2012 (See Attachment C). With this exemption, their value would drop by 78 %. That means the City's $4,766.42 share of the taxes would decrease to $1,048.58 and their total tax bill would fall to around $39,400! In our meeting, I explained that the City likely would not have participated in this project if that information had been known. I also said, we would like to be kept whole as we still need to pay for City provided services. They indicated a willingness to do that, but I believe they focused on the current city share of taxes. The key question is the total impact to the City given we are also impacted by the fiscal disparities ($50,728.30) and the tax increment amount ($48,785.31). The assessor who is working on this issue with them has been out all week. I will try to have a better handle on the exact impact by Wednesday's meeting. Northeast Redevelopment Area Update Staff met with Sculley Family this past week. They are apparently going to put a "for sale" sign up on the property. We went over some potential scenarios and I asked what their asking price is. They did not have it at that time and said they would get back to me. At Wednesday's workshop, I will go over some options /issues so you are up to speed on what is being worked on. Banners Staff has received artwork from most of the City organizations (LCRA, LCFD, and Canadian Days. I'm not sure the historical Society has artwork in the format we need. 1 will have some estimates of costs for you to consider. I would also like your input as to whether or not we should be considering banner poles on B2 just off of Rice and where we should move the LC Road poles by the parking lot if that project goes ahead. Water Meter Change -Outs Staff will have a short report on the status of the water meter change out program in terms of remaining meters to he addressed, differences in water metered /billed for the 1m quarter in 2012 versus past years, and a report on the unaccounted for water discovered during this process. 3