11-13-2002 Council Agenda - Laserfiche WebLink

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Administrative Costs (up to 10 %) $279,000 PROJECT COSTS TOTAL $2,790,000 TOTAL FINANCING AND PROJECT COSTS $2,790,000 Estimated costs associated with the District are subject to change among categories without a modification to this Plan. The cost of all activities to be considered for tax increment financing will not exceed, without formal modification, the budget above pursuant to the applicable statutory requirements. The EDA may expend funds for qualified housing activities outside of the District boundaries. Subsection 3 -11. State Tax Increment Financing Aid (Local Contribution) M.S, Section 273.1399 (LGA /HACA penalty) was repealed by the 2001 Legislature and does not apply to the District. If required by future legislation, it is the City's intention to consider taking the steps necessary to preserve state -paid local government aid. Subsection 3 -12. Fiscal Disparities Election Pursuant to M.S., Section 469.177, Subd 3, the EDA or City may elect one of two methods to calculate fiscal disparities. If the calculations pursuant to MS., Section 469.177, Subd. 3, clause a, (outside the District) are followed, the following method of computation shall apply: (1) The original net tax capacity and the current net tax capacity shall be determined before the application of the fiscal disparity provisions of Chapter 2764 or 473E Where the original net tax capacity is equal to or greater than the current net tax capacity, there is no captured net tax capacity and no tax increment determination. Where the original net tax capacity is less than the current net tax capacity, the difference between the original net tax capacity and the current net tax capacity is the captured net tax capacity. This amount less any portion thereof which the authority has designated, in its tax increment financing plan, to share with the load taxing districts is the retained captured net tax ecrpaeity of the authority. (2) The county auditor shall exclude the retained captured net tax capacity ofthe authorityfrom the net tax capacity of the local taxing districts in determining local taxing district tax rates. The local tax rates so determined are to be extended against the retained captured net tax capacity of the authority as well as the net tax capacity of the local taxing districts. The tax generated by the extension of the lesser of 61) the local taxing district tax rates or (B) the original local tax rate to the retained captured net tax capacity of the authority is the tax increment of the authority. The EDA or City shall submit to the County Auditor at the time of the request for certification which method of computation of fiscal disparities the EDA or City elected. The EDA will choose to calculate fiscal disparities by clause a. According to M.S., Section 469.177, Subd. 3: (c) The method of computation of tax increment applied to a district pursuant to paragraph (a) or (b) shall remain the same fin- the duration of the district, except that the governing body may Econom is Development Authority of the City of Little Canada Fax Increment Financing Plan for Fax Increment Financing District No.33 3 -7