03-14-1990 Council Agenda - Laserfiche WebLink

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Mayor and City Council March 9, 1990 Page 2 * Length of duration of tax increment financing district. Assuming the tax increment financing benefits are tied in with the mortgage duration, a 20 -year term would appear to be the request at this point in time. During my conversation with Mary Ippel, she informed me that 15 years is typically the maximum length of time the district is in existence. She also stated that with the increasing scrutiny of the legislature, any period longer than that time could be cause for considerable second guessing by other public bodies. * Amount of tax increment financing assistance. In the proforma provided by the developers, they are asking for between 80 to 100% payout of the tax increment generated. Based on my initial review, I would have some questions regarding the amount of assistance needed to make this project work, but that should be analyzed further if we decide to proceed. * Utilization of site for other purposes. I stated earlier that the Planning Commission felt this site was appropriate for elderly housing. When considering this in conjunction with the tax increment financing factors, the Council needs to decide how bad it wants this type of project. You are essentially looking at foregoing any growth to the tax base for the next 12 to 20 years based on the existence of the tax increment district. The question that is raised: Would the site have developed for some other purpose sooner than that thereby increasing the tax base at an earlier time and perhaps at a greater impact? * Definition of senior citizen. This point needs to be clarified from the standpoint of what age limitations would be placed on the residents to meet the Council's goals and objectives. At the Planning Commission meeting, Mr. Brachman indicated that the project would be available for people 55 years and older. The Council may want to have him commit to that level or modify it as the Council deems appropriate. Page 14