Laserfiche WebLink
33 <br /> MEMORANDUM <br /> DATE: April 21, 2002 <br /> TO: Mike Mornson, City Manager <br /> FROM: Roger Larson, Finance Director <br /> ITEM: TIF CASH FLOW ANALYSIS <br /> On June 30, Governor Jesse Ventura signed into law historic tax relief and property tax <br /> reform. Changes were made to the Class Rates, which impacted St. Anthony's Tax <br /> Increment Finance Districts. <br /> Based on those legislative changes, last November, Springsted prepared a preliminary <br /> TIF Cash Flow Analysis. The tax capacity's numbers are now firm and the full impact <br /> of the changes can be determined. <br /> Based on this final analysis, 3 of our 4 TIF Districts have positive cash flows with a fund <br /> balance than remains positive throughout the life of the District. <br /> The exception is Apache—Cub Foods reflects an annual deficit of tax increment totaling <br /> ($33,819). The fund balance of the Apache District will fund the annual deficits until <br /> years 2011, 2012 & 2013. However, since the debt is paid off in 2014, the District <br /> immediately becomes positive in 2014. <br /> The following is a summary of our TIF Districts: <br /> Kenzie Terrace (#1950) Exhibit B <br /> ➢ Annual Tax Increment—2001 $452,590 <br /> ➢ Annual Tax Increment- 2002 $434,762 <br /> - 2003 $396,347 <br /> - 2004/2008 $359,449 <br /> ➢ Community Center Bond Payment ($246,588) <br /> ➢ Annual Surplus - 2002 $188,174 <br /> - 2003 $149,759 <br /> - 2004/2008 $112,861 <br /> ➢ District Expires 2008 <br /> Debt Paid off 2010 <br /> In 2008, remaining Fund Balance $1,749,713 <br /> is paid to County <br /> ➢ City receives approximately 25 —30% back <br />