Agenda Packets - 1997/04/28 - Laserfiche WebLink

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2. The EDA may acquire property by gift, dedication, condemnation or direct purchase from willing sellers in order to achieve the objectives of this Tax Increment Financing Plan. Such acquisitions will be undertaken only when there is assurance of funding to finance the acquisition and related costs. 3. The City currently owns a portion of the property within the Tax Increment District and the City or EDA may acquire any additional property within the Tax Increment District. G. Estimate of Costs Estimated costs associated with the Tax Increment District are subject to change. Costs associated with the project which are eligible for assistance through the tax increment financing program are estimated and generally described as Public Improvements including land acquisition, costs relating to construction of a social, recreational or conference facility, costs that will be incurred to correct existing site and building deficiencies, fees and contingencies. The preliminary budget is estimated as follows: Public Improvements $3,900,000 Administration/Contingecy $ 390,000 Total Project Costs $4,290,000 Administrative costs are not expected to exceed ten percent (10%) of the lesser of tax increment expenses authorized by the Tax Increment District and Plan or total tax increment expenditures. Administrative costs may include direct County reimbursements, reporting costs, city staff time, and out-of-pocket expenses. • There are no development activities related to this Tax Increment District Plan for which contracts have already been entered into. The City reasonably expects the improvement project to begin in June 1997 and be completed by December 31, 1997. See Exhibit No. 4 for further budget details. The EDA retains the authority to modify the budget detail as may be needed to accomplish the stated goals and objectives, including the right to construct a recreation facility. H. Use of Tax Increments Tax increments generated in the Tax Increment District will be paid by Ramsey County to the EDA for its Tax Increment Fund for said District. The EDA will use the tax increment funds in accordance with the provisions of the Tax Increment District Plan not to exceed the total estimated project costs and administrative expenses and subject to available tax increment revenues. The EDA retains the right to use tax increments as a source of revenue to pay for interest expenses relating to project costs. When all authorized expenses have been paid, or other arrangements for payment have been made, all further increments, if any, will be used pursuant to this Tax Increment District Plan, including repayment to the City of Mounds View for any financial participation in the current project.