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Exhibit V Estimated Impact on Other Taxing Jurisdictions Report City of Hugo, Minnesota Tax Increment Financing (Redevelopment) District No.1.2 Downtown Redevelopment Project Scenario A; Total EMV Without Project or TIF District With Protect and TIF District Projected Hypothetical 2006.2007 2006/2007 Retained New Hypothetical Hypothetical Tax Generated Taxable 2006/2007 Taxable Captured Taxable Adjusted Decrease In by Retained Taxing Net Tax Local Net Tax Net Tax Net Tax Local Local Captured Jurisdiction Capacity(1) Tax Rate Capacity(1) + Capacity = Capacity Tax Rate(') Tax Rate(') N.T.C.(') City of Hugo 12,686,692 35.931% 12,686,692 $3,120,400 15,807,092 26:838% 7.093% 899,862 Washington County 274.223,600 25.651% 274,223,600 3,120,400 277,344,000 25.362% 0.289% 791,408 ISD#624 10,365,049 17.731% 10,365,049 3,120,400 13,485,449 13.628% 4.103% 425,255 Other(2) --- 3.672% --- 3,120,400 --- 3.672% --- --- Totals 82.985°h 71.501% 11.484% Statement 1: If the projected Retained Captured Net Tax Capacity of the:TIF Distrlctwas hypothetically available to each of the taxing jurisdictions above,the result would be'`a lower local tax rate(see:Hypothetical Adjusted Tax Rate above) which would produce the, amount of taxes for each taxing jurisdiction. In such a case,the total local tax rate would decrease by 11,484%(see Hypothetical Decrease in Local Tax Rate above). The hypothetical tax that the Retained Captured Net Tax Capacity of the TIF District Would generate is also shown above. Statement 2: Since the projected Retained Captured Net Tax Capacity of the TIF District is not available to the taxing jurisdictions, then there is no impact on taxes levied or local tax fates. (1) Taxable net tax capacity=total net tax`capacity-,captured TIF-,fiscal disparity contribution,if applicable. (2) The impact on these taxing jurisdictions is negligible since they represent only 4.42%of the total tax rate. SPRINGSTED Page 37