CC PACKET 01241989 - Laserfiche WebLink

Home Browse Search

f SPECIMEN 2. In establishing projects and programs to be financed using the Development Account, the Authority will: a. Identify the eligibility of the area as a redevelopment project under the Municipal Housing and Redevelopment Act, the Municipal Development Districts, Act, the Tax Increment Act or other appropriate enabling legislation and determine its financial feasibility. b. Establish guidelines and criteria for each project or program to be assisted when the project or program is not existing project or program. C. Establish a timeframe for completing project or program-- activities and the repayment terms for Development Account funds. d. Prepare financing plans for the project or program for review and approval by the Board of Commissioners and the City Council and by other entities as may be required by state lay e. Prepare an annual report on the status of each project or program and submit same to the HRA Board, City Council and Mayor. REGULATIONS FOR USE OF FUNDS The Development Account is established as a revolving fund. Development - Account funds will be used only if there is a reasonable expectation that the funds will be repaid either directly or indirectly to the Development Account. Direct payments include periodic repayment of interest and principal, or a lump sum repayment of interest and principal as may occur through sharing the profits from the sale of any assisted project. Indirect payments include funds repaid to the account through substitution, as when tax increment or other proceeds are used to repay the account. 1. The highest priority for the account will be to shorten the term of a project and to reduce or eliminate the need for tax increment bonding. 2. No tax increment from any new -project can go to the Development Account unless it is a repayment of a loan from the account. 3. Existing tax increment projects will be examined to determine'if all or part of the project can be closed and returned to the tax rolls by using the account. 4. If a loan from the account is to be a project which would be a tax increment project (housing, redevelopment or economic development), then the tax increment policy and guidelines must be adhered to as well as any additional guidelines which may be approved. • S. The account will be available to reduce or eliminate any mill levy that may be required in an existing underdeveloped tax increment district.