05-17-2006 - Laserfiche WebLink

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to: Mounds View Planning Commission from: Jim Ericson, Community Development Director re: Tax Increment Financing date: May 17, 2006 I wanted to take a brief moment to update the Commission on the status of the TIF analyses and request for information from the April 19, 2006 meeting. The Commission expressed a desire to see the financial consequence of the identified scenarios upon the average property owner; in other words, what impact would a decertification or other action intended to reduce the captured tax capacity have on the property tax statement for a median valued home in the City. We now have the updated and revised TIF scenarios calculated by Ehlers and Associates, the City’s TIF advisors, however due to the move back into City Hall and the ongoing 2005 financial audit, the Finance Director has been unable to translate each scenario into a “dollar value impact” to individual property owners. As soon as this analysis has been conducted, staff will bring the matter back before you for your information. Commissioner Hegland has expressed a desire to learn more about the intricacies of tax increment financing and has found some web resources to help explain the process. With the next report, I will provide the Commission with a supplemental report that attempts to explain TIF in a manner clear and understandable to most non-finance professionals. The ultimate goal of having the Planning Commission review the TIF options and future scenarios is to simply provide the City Council with additional feedback as to the future status of TIF in Mounds View. When it comes time to make relevant decisions, the City Council will consider the Planning Commission’s comments along with feedback received from the Economic Development Commission, the City’s financial advisors, City staff and of course Mounds View property owners. Feel free to call if you have any questions in the meantime. Inter-office M E M O