Agenda Packets - 2004/05/03 - Laserfiche WebLink

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Item No: 1C Meeting Date: May 3, 2004 Type of Business: Worksession Administrator Review : ____ City of Mounds View Staff Report To: Honorable Mayor and City Council From: Jim Ericson, Community Development Director Item Title/Subject: Review TIF Plan Modification and Proposed Timeline Background: Currently the City’s TIF Plans are a loose collection of documents in a three ring binder separated by district and by the development plan. Mounds View has three active TIF Districts. District 1 includes the Mounds View Business Park area, the Mermaid, and a few parcels along County Highway 10. This district was established in 1985. TIF District 2 is that area north of County Road I, east of Groveland Road and south of County Highway 10. This district was created in 1986. TIF District 3 was established in 1988 and includes the area north of new Highway 10 and west of Coral Sea Street. The golf course open space land and the driving range are included in this district with Sysco, Zep and the Bridges Technology Park. In 1994, the EDA effectively consolidated the three development programs and plans into one master plan. The consolidation resulted in one large development district (the City) with one development project known as the Project Plan. In 1997, the EDA established TIF District #4 which was then the BelRae Ballroom soon to be the Mounds View Community Center. At the time of acquisition and plan adoption, a commercial entity was planned for the building which in the end, did not materialize. Given no taxes were generated by the district, it was decertified in 1999. Discussion: It has become apparent that the City (EDA) will need to process an amendment of its TIF plans to incorporate the possibility of larger scale development and redevelopment in the City, specifically and most likely to occur within the County Road 10 corridor. In addition, the Office of the State Auditor (OSA) has ruled that the EDA may not purchase any land utilizing tax increment funds without first having amended the plan to explicitly identify those properties it intends to acquire. Related to that, staff is working to create a map which identifies those parcels which could potentially be acquired by the EDA. Parcels in targeted redevelopment areas will be highlighted along with properties where redevelopment could occur. Also included will be blighted residential properties and underutilized residential properties that could be resubdivided for more intense development. Finally, the budgets associated with the districts will need to be amended to reflect the proposed changes to the project plan. While the City Council has not yet completed its visioning with regard to corridor redevelopment and redevelopment in general, putting into motion a timeline to amend the plan is the first step toward achieving that goal. Accordingly, Staff has asked Ehlers & Associates (the City’s TIF advisor) to prepare a timeline and assist in the modification. The letter of confirmation is attached along with a proposed timeline to accomplish the modification. A map of the City’s TIF districts is also attached for your review. A map of identified parcels will be available for review Monday.