Agenda Packets - 1995/03/06 - Laserfiche WebLink

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SCHEDULE B This Schedule illustrates the form of a Revenue Note. The proposed Revenue Note has a principal amount of $808, 441 , payable over nine tax increment years at 7 . 0% simple interest. The Revenue Note, dated as of 2/1 /1995, is payable semi-annually, with the first payment on 8/1 /1997 and the final payment on 2/1 /2006 . SCHEDULE C This Schedule illustrates how the taxes generated from the office/warehaus project a-r-e--destribut -among the—city, the county, the school district and other affected entities . Throughout the duration of the TIF District, approximately $3 , 747, 743 is generated in taxes . Of this total amount the City receives approximately 63 . 71 % or $2, 387, 789 . These funds include the city ' s proportional percentage of the base taxes (roughly 12% ) plus 15% of the additional taxes generated from the project for administrative and program expenses . Of the remaining taxes, the county receives . 99% or $37, 207; the school district 1 . 60% or $60, 012; other taxing entities . 22% or $8, 402; and the project itself 33 . 47% or $1 , 254, 333 (the principal and interest amounts of the requested Revenue Note) . CONCLUSION Although the EDA has not formally adopted guidelines for providing TIF Assistance to development projects, Everest has tried to adhere to the EDA' s proposed guidelines as follows : 1 . Term - the EDA has recommended a term of five to nine tax increment years. In its request for TIF Assistance, Everest is requesting assistance through a Revenue Note which would be payable over nine tax increment years. 2. Available tax increment - the EDA has recommended that TIF Assistance be provided from 85% of the tax increment generated. In the cash flow analysis enclosed as Schedule A, the available tax increment used to determine the TIF Assistance to Everest assumes that the first 15% of tax increment generated would be retained by the EDA and that the Revenue Note be provided from the remaining 85% of tax increment generated. 3 . 7% simple interest rate - The EDA has recommended that all TIF Assistance be limited to an interest rate of 7% simple interest. In the enclosed Schedule B, the proposed Revenue Note assumes a 7% simple interest rate.