07-22-1999 - Laserfiche WebLink

Home Browse Search

City of Mounds View Staff Report • June 21, 1999 Page 2 • amount of funds. Any amount of TIF funds actually received over and above the allocated amount of funds would then be returned to Ramsey County for distribution to the county, school district and the city instead of going into the TIF pool. Based on the above projections, if the City Council/EDA allocated$235,000 to discretionary projects,the range of funds returned to the County would be$0 to$685,000 depending on what year it was. The City Council/EDA could also approve pay-as-you-go TIF assistance to assist specific projects within existing TIF districts. 3. Return all tax increments not necessary for debt service,pay-as-you-go obligations and administrative costs to the County. Under this scenario,the City Council/EDA determines that tax increment financing is no longer appropriate for funding new projects in Mounds View. Existing obligations and associated administrative costs would be paid off and existing tax increment districts would be decertified when financially feasible. Existing discretionary projects such as the housing replacement program,business loan program, and Highway 10 improvements would be eliminated or funded from other funding sources. Any amount of TIF funds actually received over and above that which is necessary to meet existing obligations and associated administrative costs would be returned to Ramsey County for distribution to the county, school district, and the city. No new pay-as-you-go assistance would be approved. • Attached for your information is a summary of the changes which the legislature made to the tax increment financing law and to the tax class rates. The reduction in tax class rates will reduce taxes collected and tax increments received. Requested Action: Discuss general options regarding how tax increment financing should be used in Mounds View in the future. Rick Jopke, Community Development Director N:\DATA\USERS\RICK)\SHARE\6199TIF.RPT