04-19-1999 WS - Laserfiche WebLink

Home Browse Search

30,000 s.f. building that created 25 jobs. District 4 - Bel Rae Ballroom • Approved by City Council/EDA on 4-28-97 • . Certified by Ramsey County Auditor's Office on 3-25-98 • Originally created to assist with the financing of construction costs for the Community Center • Later determined to be unnecessary for that purpose • The Ramsey County Auditor is required to decertify a TIF district "upon receipt...of a written request for decertification from the authority that requested certification of the original net tax capacity of the district." In 1994, the City of Mound View created an Economic Development Authority, pooled the three existing TIF Districts into one Development District, and approved a revised tax increment plan. The establishment of an EDA allows a City to create flexible business assistance and development programs. Such programs may involve (among other things)the acquisition and sale of property, the use of eminent domain, the negotiation and execution of development contracts, the sale of General Obligation and Revenue bonds, and the use of tax increment funds for commercial and housing construction and redevelopment (and for any other purposes authorized by statute and by the City's tax increment plan). The EDA and the City are separate legal entities. In Mounds View's case, the EDA is composed of the City Council members. Shortly after it was formed, the EDA created an advisory body- the Economic Development Commission -which consists of four residents and three local business representatives. Programs developed through the EDA and the EDC include: Housing Replacement Program: In 1996, the EDA approved a housing replacement program that enables the City to purchase deteriorating houses in the City of Mounds View, clear the sites, and sell the raw land to developers for the construction of new, higher-value homes. This program is a tool to encourage the improvement of Mounds View's housing stock and provide an incentive for new construction rather than marginal rehabilitations. Business Improvement Partnership Program: This program was created in 1995 as a tool to encourage existing Mounds View businesses to improve the interior and exterior of their buildings. The EDA provides 50% of a loan to a local business at a low interest rate of 2%. The remaining 50% of the loan is placed with a bank at current market interest rates. Since the creation of the program, three loans have been approved, each for the maximum loan amount of$50,000. N:\DATA\GROUPS\ECONDEV\TIF\99TIFSUM.DOC