07-09-2002 Council Agenda - Laserfiche WebLink

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❑ The market value of non - assisted housing or commercial property will be less than 20% of the total fair market value of the planned improvements. Pursuant to M.S.469.176 Subd. 7, the District does not contain any parcel or part of a parcel that qualified under the provisions of M.S 273.111 or 273.112 or Chapter 47311 for taxes payable in any of the five calendar years before the filing of the request for certification of the District. Subsection 3 -7. Duration of the District Pursuant to M.S., Section 469.175, Subd. 1, and Section 469.176, Subd. 1, the duration of the District must be indicated within the Plan. Pursuant to M.S., Section 469.176, Subd. 1 b, the duration of the District will be 25 years after receipt of the first increment by the EDA or City (a total of 26 years). The date of receipt by the City of the first tax increment is expected to be 2005. Thus, it is estimated that the District, including any modifications of the Plan for subsequent phases or other changes, would terminate after 2030, or when the Plan is satisfied. If increment is received in 2004, the term of the District will be 2029. The EDA or City reserves the right to decertify the District prior to the legally required date. Subsection 3 -8. Original Tax Capacity, Tax Rate and Estimated Captured Net Tax Capacity Value /Increment and Notification of Prior Planned Improvements Pursuant to M.S., Section 469.174, Subd. 7 and M.S., Section 469.177, Subd. 1, the Original Net Tax Capacity (ONTC) as certified for the District will be based on the market values placed on the property by the assessor in 2001 for taxes payable 2002. Pursuant to M.S., Section 469.177, Subds. 1 and 2, the County Auditor shall certify in each year (beginning in the payment year 2003) the amount by which the original value has increased or decreased as a result of: 1. Change in tax exempt status of property; 2. Reduction or enlargement of the geographic boundaries of the district; 3. Change due to adjustments, negotiated or court - ordered abatements; 4. Change in the use of the property and classification; 5. Change in state law governing class rates; or 6. Change in previously issued building permits. In any year in which the current Net Tax Capacity (NTC) value of the District declines below the ONTC, no value will be captured and no tax increment will be payable to the EDA or City. The original local tax rate for the District will be the local tax rate for taxes payable 2003, assuming the request for certification is made before June 30, 2003. The ONTC and the Original Local Tax Rate for the District appear in the table below. Pursuant to M.S., Section 469.174 Subd. 4 and M.S., Section 469.177, Subd. 1, 2, and 4, the estimated Captured Net Tax Capacity (CTC) of the District, within Redevelopment Project Area No. 1, upon completion of the project, will annually approximate tax increment revenues as shown in the table on the following page. The EDA and City request 100 percent of the available increase in tax capacity for repayment of its obligations and current expenditures, beginning in the tax year payable 2005. The Project Tax Capacity (PTC) listed is an estimate of values when the project is completed. Economic Development Authority of the City of Little Canada Tax Increment Financing Plan for Tax Increment Financing District No. 3 -3 3 -3