12-17-2001 EDA Packet - Laserfiche WebLink

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AGENDA ITEM 3 STAFF ORIGINATOR: Mary Alice Divine DATE: 12/17/01 TOPIC: Consideration of Resolution No. 01-03 approving the Elimination of Parcels from TIF District No. 1-5 within Development District No. 1 Vote Required: Simple Majority BACKGROUND: In 1992 the Economic Development Authority created Tax Increment Financing District No. 1-5 for the purpose of providing TIF assistance for the Cottages of Willow Ponds senior housing (see attached map). The original intent of the developer was to construct 98 units of rental housing with maximum income limitations on the parcel. The project was later downsized to 48 units, and the developer sold off some of the parcel for 10 single family lots. In the process of gathering annual documentation for income compliance, it was decided those Tots should have been removed from the district since there is no documentation that income limitations were applied to the single family homes. Cottage Homesteads began receiving increment in 1997 and has been receiving the benefit of those homes being in the district. This Resolution removes the parcels from the District and directs staff to notify Anoka County of the reduction of the size of the district and return the increment from the district up to an amount of $50,525. Anoka County will then redistribute it to the city, county and school district. Payments to Cottage Homesteads will be withheld until that increment is recovered. OPTIONS: 1. Adopt Resolution No. 01-03 Approving the Elimination of Parcels from TIF District No. 1-5. 2. Do not adopt Resolution No. 01-03. 3. Return to staff for further consideration RECOMMENDATION: Option 1.