CC PACKET 06271995 - Laserfiche WebLink

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In addition, this Master Modification authorizes the use of tax increment derived from either of the Districts to pay any of the costs previously authorized by any one of the Financing Plans, irrespective of whether the tax increment is derived from the District established by such Financing Plan. The use of tax increment derived from the Districts to pay the costs described above is hereby authorized. Such costs may be paid directly from tax increment derived from the Districts, or may be paid indirectly from tax increment derived from the Districts, by the payment of debt service on a loan or loans made by the City to the HRA or by the HRA to finance such cost. Any such loan made by the City or HRA will be repaid, with interest, from the tax increment derived from the Districts. Other than the loan or loans from the City or the HRAJt is not expected that any obligations will be issued by the City or HRA to finance such costs. IV. FISCAL AND ECONOMIC IMPLICATIONS OF ADDITIONAL EXPENDITURES It.is estimated fiscal and economic implications of the additional expenditures of tax increment revenue derived from the Districts authorized by this Master Modification will be as follows: The local governmental units other than the City which are authorized by law to levy ad valorem property taxes in the area where the Districts are located are Independent School District No. 282, Hennepin County, Ramsey County, the HRA, and various metropolitan area authorities, including the Metropolitan Council,,the Metropolitan Transit Commission, the Metropolitan Airyorts Commission and the Metropolitan-Mosquito Control District (the local government units). After the establishment and during the continuation of the Districts, as a result of the Redevelopment Projects and the implementation of the Redevelopment Plans and the improvements in the Districts there has been an increase in the tax capacity of the taxable property in the Districts. If the tax increments derived from the Districts are not applied to pay the additional expenditures described herein, certain of the Districts would terminate earlier than would otherwise be the case assuming ad valorem taxes are paid with respect to the taxable property in the Districts in the anticipated amounts. Upon such termination such increased tax capacity would be available for taxation by the local governmental units. However, as a result of this Master Modification such increase in tax capacity will not be available for taxation by the local governmental units until a later date with respect to certain of the Districts. -3-