Laserfiche WebLink
3. Reduce committed market value from $720,000 to $585,488. <br />4. Remove $45,000 of storm sewer improvements from <br />improvements. <br />5. The developer desires to "coordinate" the public <br />improvements with the private improvements. <br />6. Establish a May 1989 construction start date and a June 30, <br />1989 completion date for the road and utilities to be <br />installed by the City. <br />7. The City is to fence or remove the Auto Salvage Yard. <br />ANALYSIS OF REQUEST <br />Reduction in Size and Market Value <br />The TIF Plan anticipated an increase of $30,135 in the District's <br />tax capacity. The following demonstrates the calculations <br />necessary to compare this number with the proposed $585,000 <br />market value. <br />30,135 <br />1,502 <br />802 <br />32,439 <br />3,300 <br />New Increase Tax Capacity <br />Base Tax Capacity Parcel #21 <br />Base Tax Capacity Parcel #22 <br />Total Tax Capacity <br />T.C. @ 3.3% = $100,000 Market Value <br />29,139 T.C. @ 5.06%= $575,870 Market Value <br />$675,870 Total Market Value <br />TIP Plan Market Value <br />Proposed Market Value <br />675,870 <br />585,000 <br />Reduced Market Value $90,870 (13% decrease) <br />The reduction in market value will result in an approximate <br />decrease in tax increments of $4,598.00 annually. <br />TIF Plan Tax Capacity <br />Revised Tax Capacity <br />Reduced Tax Capacity <br />32,439 <br />27,841 <br />$ 4,598 <br />The assumption here is that the tax capacity rate will <br />approximate "1 ". I called Bob Voto to question what rate to use. <br />Bob said that with all the changes the Legislature made this past <br />year, it is impossible to estimate the impact. It would not be <br />until February before we have a firm figure. <br />$4,598 Tax Capacity Decrease x 1 Tax Capacity Rate = $4,598 Tax <br />Decrease. <br />Page 4 <br />