05-30-1996 - Laserfiche WebLink

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DETERMINATION OF AMOUNT OF ASSISTANCE TO APPLICANT: • Within TIF Districts No. 1. 2, and 3 The amount of Tax Increment Financing provided to an applicant will be based on the analysis of information provided on the application for Tax Increment Financing assistance (Attachment"A") and amount of increment generated by the project as evaluated by the City's Financial and Bond Counsel. The standard guideline for assistance is % of the project's annual increment for a term determined by the Economic Development Authority Board based on the analysis of information provided in Attachment "A". No project will be considered if the term exceeds the life of the Tax Increment District. The level of assistance provided will be evaluated on a case by case basis and may reflect an increase or decrease in assistance dependant upon the level of increase in the tax base or amount of elimination of blight. Evaluation of subjective information provided may result in adjusting the amount of assistance provided at the discretion of the Board of the Economic Development Authority. Within the Development District but outside of TIF Districts The amount of Tax Increment Financing assistance provided to an applicant will be based on (A) the analysis of information provided on the application for Tax Increment Financing assistance (Attachment "A"), (B) square footage cost of the project and (C) balance available in the Economic Development Authority excess Ilk tax increment fund. TYPES OF ASSISTANCE Within TIF Districts No. 1, 2, and 3 Tax Increment Financing can be provided in either"pay as you go" or"up front"payments. "Pay as you go " is wherein the Mounds View Economic Development Authority compensates the applicant for a predetermined amount for a predetermined number of years. The applicant pays for (re)development up front and then annual payments are issued to the applicant based on increment generated from the project. "Up front' payments is wherein the Mounds View Economic Development Authority must issue revenue or general obligation bonds to pay for the (re)development prior to completion of the project. The increment generated from the project is then used for repayment of the bonds. The Mounds View Economic Development Authority desires the use of"pay as you go" assistance to finance private development. Within the Development District but outside of TIF Districts Financing in the form of excess tax increment funds will be provided in annual installments to the applicant based on the positive cash flow balance in the Economic Development Authority's excess tax increment fund. i 2