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City Council Agenda Packet 07-09-2012AGENDA REGULAR MEETING – MONTICELLO CITY COUNCIL Monday, July 9, 2012 – 7 p.m. Mississippi Room, Monticello Community Center Mayor: Clint Herbst Council Members: Lloyd Hilgart, Tom Perrault, Glen Posusta, Brian Stumpf 1. Call to Order and Pledge of Allegiance 2A. Approval of Minutes – June 20, 2012 Special Joint Meeting 2B. Approval of Minutes – June 25, 2012 Special Meeting 2C. Approval of Minutes – June 25, 2012 Regular Meeting 3. Consideration of adding items to the agenda 4. Citizen comments and public service announcements a. Citizen Comments: b. Public Service Announcements: 1) MCC Canoe/Kayak events (7/26 & 7/29) 5. Consent Agenda A. Consideration of approving payment of bills for July 9th B. Consideration of approving new hires and departures for City departments C. Consideration of approving applications for a temporary 2-day temporary liquor license and a charitable gambling permit for the Church of St Henry’s fall festival on September 15-16, 2012 D. Consideration of approving an application for a charitable gambling permit for a raffle to be conducted by Wright County Ducks Unlimited on September 9, 2012 E. Consideration of appointing election judges to serve for the 2012 elections and on the Absentee Ballot Board F. Consideration of approving a Special Event Permit allowing Walnut Street closure and use of municipal parking lots for Downtown Block Party on July 11, 2012. Applicant: Partners for Downtown Group/Cornerstone Café G. Consideration of approving application for 1-day temporary on-sale liquor license for Monticello Rotary Club for Taste of the Town event H. Consideration of approving a Special Event Permit allowing use of commuter parking lot and related assistance in conjunction with Rotary “Taste of the Town” event on September 13, 2012. Applicant: Monticello Rotary Club I. Consideration of tabling Change Order #1 for the MCC Natatorium Improvements, City Project No. 11C006 6. Consideration of items removed from the consent agenda for discussion 7. Update of the TIF Management Plan by Northland Securities and Consideration of ratifying the decision of the EDA to adopt the TIF Analysis and Management Plan 8. Update on action by the EDA and Consideration of commercial property purchase (Lot 2, Block 1, Jefferson Commons 1st Addition) and review of development concepts requested by Mike Krutzig 9. Added items 10. Adjournment Special Joint Meeting Minutes – June 20, 2012 Page 1 MINUTES SPECIAL JOINT MEETING – MONTICELLO EDA AND MONTICELLO CITY COUNCIL Wednesday, June 20, 2012 – 4:30 p.m. Mississippi Room, Monticello Community Center Present - EDA: President Bill Demeules, Vice President Bill Tapper, Treasurer Tracy Hinz, Matt Frie, Rod Dragsten, Tom Perrault (Council rep) Present - Council: Mayor Clint Herbst, Lloyd Hilgart Absent - Council: Glen Posusta, Brian Stumpf Others: Megan Barnett Livgard, Tom Kelly, Jeff O’Neill, Charlie Pfeffer, Jim McComb, Steve Johnson, Barry Fluth, Shawn Grady, Sue Swiecichowski 1. Call to Order EDA President Bill Demeules called the meeting to order at 4:31 p.m. 2. Purpose of Meeting: Review Pfeffer land opportunities and provide ReSTOREing Downtown update Megan Barnett Livgard introduced Charlie Pfeffer and explained that he would like to talk about his company and possible opportunities in Monticello. 3. Review Pfeffer Land Opportunities (EDA Protocol) Charlie Pfeffer explained that his company is out of Maple Grove and has a 20 year presence in Monticello. Charlie Pfeffer displayed a map of Monticello and the locations where they have had a presence in Monticello. The first 2 acquisitions were called Monticello Land Company Inc. and involved a residential development and an industrial component that was acquired through an auction (Monticello Commerce Center). They have provided some land for the new freeway exchange of about 14.4 acres and created a pond in that area. Some of that industrial land is available for sale. A successor company, Ocello LLC, was formed after this and was involved in a 160-acre residential development along School Boulevard, consisting of both single family and townhomes. Ocello was also involved in the development of Walmart in this area and has several vacant parcels that are available for sale. Another piece of property involved the development of Autumn Ridge townhomes, which is not built out yet. Ocello provided financing for the development of homes south of Autumn Ridge and was also involved in the Groveland Additions which consist of single family homes. Ocello developed the business center where Steele Collision is located. Ocello also owns other vacant land in the southwest portion of the City. Charlie Pfeffer noted that there is a total of over 1000 acres included in all of the land and developments that have involved his company and Ocello. This has generated a huge investment in Monticello in revenues and tax base. Charlie Pfeffer talked about some of Special Joint Meeting Minutes – June 20, 2012 Page 2 the collaboration between the City and Ocello, LLC on certain projects that benefited both parties, such as stormwater ponds. Charlie Pfeffer mentioned that they had the opportunity to bring the Albertville Outlet Mall to Monticello but the opportunity was missed by the community. He also discussed efforts to bring Kohl’s to Monticello some years ago, but the management of Kohl’s decided not to pursue that location. Charlie Pfeffer worked on the Mills Fleet Farm project and is hoping they will decide to build in Monticello soon. Charlie Pfeffer discussed the Interchange project, the contributions made by Ocello as part of that project, and the assessment agreements that resulted from that project. He noted that the Council has been generous in adjusting their assessment agreements to allow a longer payback period. Jeff O’Neill thanked Charlie Pfeffer for his condensed representation of the involvement of his company and Ocello in the City. Charlie Pfeffer complimented the EDA on its Embracing Downtown project. He questioned the role of the City when they receive inquiries from persons interested in developing in the City. Jeff O’Neill commented that the City’s goal is to match each person with the best opportunity for them to locate and develop within the City. Charlie Pfeffer stated that his company has not received any inquiries in some time and was wondering if that was normal. Jeff O’Neill noted that the City has received very few inquiries itself. Charlie Pfeffer asked about TIF financing and the EDA’s approach to that. Bill Demeules explained that each project is looked at individually and treated equally as far as a package that would be available based on the type of project. There would be no difference if the project was on city-owned land or on private land. The criteria is applied equally to any project that would qualify for TIF. Megan Barnett Livgard summarized the Business Subsidy Policy that addresses how the EDA would look at a project. On a case-by-case basis, they review job creation and tax base without regard to public or private land ownership. Megan Barnett Livgard stated that the City provides contact information for all land companies and developers that inquire on available land. Charlie Pfeffer stated that he would like to have his company included on any contact lists. Megan Barnett Livgard noted that they are the list she maintains. Charlie Pfeffer also commented on the highway signage that is regulated by MnDOT and was concerned about the ability to place signs within certain distance of freeway exits. He felt that the City may want to contact MnDOT regarding this. 4. ReSTOREing Downtown Update (Jim McComb) Megan Barnett Livgard introduced Jim McComb and explained that he would be updating Council and EDA members about the progress that has been made on the Embracing Downtown project. Jim McComb handed out information on financing for the anchor blocks and Block 34. Jim McComb referred participants to the anchor block drawing in the handout. McComb reviewed preliminary development numbers to acquire Special Joint Meeting Minutes – June 20, 2012 Page 3 land and construct a parking lot. He further reviewed the increased tax value that would be realized from the improvements. Jim McComb feels that there would be strong interest from certain companies to locate in Monticello. Megan Barnett Livgard summarized that the City would need to subsidize about $1 million to develop an anchor block. Tracy Hinz asked if the subsidy information is new; Jim confirmed that is new. He knew the project would be expensive but needed to finish the study on the parking before he knew the actual costs and revenues. Jeff O’Neill asked what the cost would be to the anchor store. Jim explained that they would pay for the pad site at $5 per square foot. Jim McComb talked about the common parking area and how that would be negotiated with an anchor store to pay for costs. Clint Herbst asked if there would be annual maintenance costs charged to users. Jim McComb noted that his estimates were based on one-time construction costs of the common areas. Jeff O’Neill commented that the maintenance of common areas is often revenue-neutral; it doesn’t necessarily generate income because there is a cost for the City for upkeep. Jim McComb talked about the complexities of negotiating financing to induce large anchor stores to locate in a community. They expect certain things in exchange for locating in your community. Jim McComb next discussed Block 34 and noted that there is basically one parcel needed to complete the acquisition to redevelop in that block. He summarized what has been accomplished so far in that block. His financial analysis shows this project would require a subsidy to complete the improvements. Lloyd Hilgart asked why Jim McComb did not include some scenarios on possible costs for property acquisition on his handout. Jim explained that there are still some unknowns right now. Jim McComb is assisting in negotiations and is not able to disclose information at this time. Jim McComb talked about an inquiry from a potential interest but could not pair them with a site because there is not an available downtown site for them to negotiate with the City. The City has a plan but not available land sites in the downtown. Megan Barnett Livgard explained further that interested end users expect to come into a community and have sites available. Lloyd Hilgart stated that he thinks that someone that is interested in coming into Monticello will find a place that will work for them. Lloyd Hilgart mentioned that they are having difficulties making things work for Ace Hardware, so how could the City expect to make things work for an anchor block. Clint Herbst concurred with Lloyd Hilgart and expressed his concern at knocking down buildings to make available sites. Clint Herbst would like to see them focus on getting Ace Hardware moved so that they can then look at developing that site. Jim McComb commented on being aware that the City is limited in its ability to condemn property for redevelopment. Clint Herbst noted that Council would not be interested in pursuing condemnation. Shawn Grady commented on his thoughts regarding acquisition of the property that he needs in order to move to Block 34 and the other potential costs Special Joint Meeting Minutes – June 20, 2012 Page 4 involved with relocating his business. Clint Herbst feels that this is still a good project for the City; however it is necessary to do more work to determine the anticipated costs. Lloyd Hilgart commented on his concern that this has been discussed for many months, but they have not seen a site plan to make sure that this project will work on the site. Lloyd Hilgart suggested that it would still be helpful to have numbers inserted in the formula for land acquisition on this given site and recommended using the County value or multiple values. Tracy Hinz asked Jim McComb to talk about the minimum subsidy that they could expect to come up with for Block 34 improvements. Jim McComb reviewed a few different subsidy estimates. Lloyd Hilgart asked where those funds would come from. Megan Barnett Livgard explained that would be a package that the EDA would put together, based on the needs of the developer/property owner and City. Jim McComb will provide information to Megan Barnett Livgard on what the numbers look like to make this project work in Block 34. 5. Adjournment BILL TAPPER MOVED TO ADJOURN THE SPECIAL MEETING AT 5:56 P.M. MATT FRIE SECONDED THE MOTION. MOTION CARRIED 6-0. Recorder: Catherine M. Shuman ___ Approved: Attest: __________________________ City Administrator City Council Special Meeting/Workshop Minutes – June 25, 2012 Page 1 MINUTES SPECIAL MEETING/WORKSHOP – MONTICELLO CITY COUNCIL Monday, June 25, 2012 – 6:00 p.m. Mississippi Room, Monticello Community Center Present: Clint Herbst, Lloyd Hilgart, Tom Perrault, Glen Posusta, Brian Stumpf Absent: None Others: Tom Kelly, Jeff O’Neill, Angela Schumann, Bruce Westby, Ann Johnson, Tom Moores, Matt Theisen, Cathy Shuman, Randall Johnsen, Bob Paschke, Tracy Ergen, Kitty Baltos, Megan Barnett Livgard, Ron Hackenueller, Dan Lemm, Lynn Dahl Fleming 1. Call to Order Mayor Herbst called the Special Meeting to order at 6 p.m. 2. Purpose of Workshop: Initial discussion of 2013 Budget and Calendar Jeff O’Neill thanked Tom Kelly for preparing the budget workpapers for the 2013 budget. The worksheets provided give a general overview for preparing next year’s budget, including tax levy, valuations, and a list of items that should be considered. Jeff O’Neill explained that staff would like some direction from Council in terms of a levy amount from which they can work. 3. Workshop – 2013 Budget Process and considerations Brian Stumpf stated that would be a good starting point and verified that the preliminary levy has to be approved by September 15th, noting the amount approved at that time could be later lowered but not increased. Tom Perrault stated that he would like to stay under $8 million. Tom Kelly explained that the total of $9.1 million that he arrived at came from the list of considerations, which would be the maximum needed if all the items were included. Clint Herbst asked about the sunset of some of the debt, such as the Community Center. Clint Herbst suggested that Council may want to consider borrowing from reserves for 2013 and then starting in 2016 they will have approximately $1 million more to work with when the Community Center debt payment ends. Tom Kelly pointed out some other capital needs that will be coming up in future years such as a fire truck and station. Lloyd Hilgart concurred with establishing a levy amount to provide a starting point for staff to work with. He also reminded Council that some of the $1 million available after 2015 could be used to help pay back the FiberNet deficit. Lloyd Hilgart commented on the possible shortages for the sewer fund and how to help pay the WWTF note; he suggested that should be kept in mind. Jeff O’Neill noted that there are also some other capital projects coming up such as the Fallon Avenue Overpass and Second River Crossing. Lloyd Hilgart asked about the item that was listed for consideration referring to the road maintenance projects falling behind. Tom Kelly explained that those projects have been funded out of the Street City Council Special Meeting/Workshop Minutes – June 25, 2012 Page 2 Reconstruction fund but that will have to be replenished eventually. Tom Kelly noted that some of those projects are partly funded through special assessments. Bruce Westby commented that the City can advance funds from the state aid funds to help pay for qualified street projects. Glen Posusta talked about the changes in the property tax levy over the past 6 years. He would like to see the levy stay at about $7.9 million, especially with the downgrading of some of the major banks in the United States. Tom Kelly commented on the downgrading and noted that this does not affect the city too much. This will probably allow the city to get better rates on investments and borrowing for municipal bonds, as those instruments are higher rated, compared to the major banks. Tom Kelly pointed out that the City could face an adverse affect from the rating agencies by using reserves to balance the budget rather than levying for taxes to support the budget. Jeff O’Neill pointed out that the city did not draw on reserves for 2012, except for use of the electric franchise fees for lighting projects. Clint Herbst reiterated that he is open to borrowing from reserves for 2013 and then paying it back after 2015. Brian Stumpf cautioned on borrowing with the intent to pay back, especially if there are other funds that have to be paid back such as with FiberNet. Clint Herbst asked staff to be willing to make suggestions on capital items, such as equipment and projects that should or should not be funded. There was some discussion about the housing market and possible effects o n revenue for the building department. Ron Hackenmueller explained that the city is probably close to 30% ahead of last year in permits for both residential and commercial. Matt Theisen commented that the Fire Department has talked about replacing an existing ladder with a 100 ft ladder to be able to be prepared for all possible incidents. Clint Herbst noted that there are some federal sources of funding that could be applied toward a piece of equipment like this. Bob Paschke stated that Public Works continues to look at grants and rebates to help offset potential costs, such as some of the needs at Bertram Park. Clint Herbst suggested that staff weigh their needs and rate the importance of those purchases. He would like to see each department meet with Council individually to make their case for their department needs. Lloyd Hilgart talked briefly about the FiberNet situation and was wondering how that would continue to be funded. Tom Kelly suggested that the Liquor Store fund would probably carry most of the deficit. Jeff O’Neill said they expect to have a better idea of FiberNet’s status by September when Gigabit Squared completes their study. Lloyd Hilgart asked about the city’s approach if the 2012 budget expenditures come in less than budgeted. Tom Kelly said they would look at the fund balance and figure out where there are areas that have needs and make operating transfers to help fund deficits or City Council Special Meeting/Workshop Minutes – June 25, 2012 Page 3 future projects. Clint Herbst asked if Tom Kelly has a list of 1-time capital expenditures to look at the amount of dollars that would be available to allocate for 2013. Tom Kelly commented that there are not really any of those type of expenditures which would free up some funds. Tom Kelly explained that the department heads have done a pretty good job of planning their budgets and keeping track of what they spend. Clint Herbst summarized by asking staff to be reasonable in their budget requests and that Council would meet with each department head along the way. All Council members concurred with that plan and Glen Posusta also noted that Council would probably be open to looking at COLA and/or STEP adjustments for 2013. The goal will be to aim for a property tax levy not to exceed $7.9 million. 4. Adjournment Mayor Herbst adjourned the Special Meeting at 6:42 p.m. Recorder: Catherine M. Shuman _____ Approved: Attest: ______________________________ City Administrator City Council Minutes – June 25, 2012 Page 1 MINUTES REGULAR MEETING – MONTICELLO CITY COUNCIL Monday, June 25, 2012 – 7 p.m. Mississippi Room, Monticello Community Center Present: Clint Herbst, Lloyd Hilgart, Tom Perrault, Glen Posusta, Brian Stumpf Absent: None 1. Call to Order and Pledge of Allegiance Mayor Herbst called the meeting to order at 7:00 p.m. and declared a quorum present. The Pledge of Allegiance was recited. Clint Herbst mentioned the passing of Steve Samuelson in a recent accident. Brian Stumpf spoke of Steve’s many years of service and commitment to the Monticello Fire Department prior to his retirement, and asked for a moment of silence. 2A. Approval of Minutes – June 11, 2012 Special Meeting TOM PERRAULT MOVED TO ACCEPT THE JUNE 11, 2012 SPECIAL MEETING MINUTES AS PRESENTED. GLEN POSUSTA SECONDED THE MOTION. MOTION CARRIED 5-0. 2B. Approval of Minutes – June 11, 2012 Regular Meeting BRIAN STUMPF MOVED TO ACCEPT THE JUNE 11, 2012 REGULAR MEETING MINUTES AS PRESENTED. TOM PERRAULT SECONDED THE MOTION. MOTION CARRIED 5-0. 2C. Approval of Minutes – June 18, 2012 Special Meeting TOM PERRAULT MOVED TO ACCEPT THE JUNE 18, 2012 SPECIAL MEETING MINUTES AS CORRECTED. LLOYD HILGART SECONDED THE MOTION. MOTION CARRIED 4-0. (Brian Stumpf - no vote) 3. Consideration of adding items to the agenda  Update on MNWARN system request for assistance (Bob Paschke) 4. Citizen comments and public service announcements a. Citizen Comments: 1) Debra Merkel stated that she would like to speak on Item #11. b. Public Service Announcements: City Council Minutes – June 25, 2012 Page 2 1) Movie in the Park (6/30) – Kitty Baltos invited all to attend the first Movie in the Park for this season. “Mouse Hunt” will be shown at Pioneer Park around 9 p.m. and lasts about 1 ½ hours. Bring your own lawn chairs. Concessions will be available for purchase. 2) MCC Block Party (7/12) – Kitty Baltos noted this is coming up on July 12th as part of Riverfest. Free food on south side of the community center from approximately 11 a.m. to 1 p.m. The Block Party is sponsored by the Community Center, City Hall, Monticello Senior Center, Army National Guard, Monticello Times, and FiberNet Monticello. 3) Riverfest (7/12-15) – Clint Herbst announced that Riverfest runs from July 12-15 and noted that the fireworks display will switch to Friday night this year. The pie eating contest is on Thursday night and the Mayor will be part of that again. Please check the Chamber and city websites and Monticello Times for more information. 5. Consent Agenda: A. Consideration of approving payment of bills for June 25th. Recommendation: Approve the bill and purchase card registers for a total of $531,001.78. B. Consideration of approving new hires and departures for City departments. Recommendation: Ratify departures for MCC. C. Consideration of adopting Resolution #2012-057 accepting contribution from Tom Perrault for the General Fund. Recommendation: Adopt Resolution #2012-057 accepting donation of $250 from Tom Perrault for the General Fund. D. Consideration of adopting Resolution #2012-058 accepting contribution from Cargill Kitchen Solutions for flowers for boulevard planting on East Broadway. Recommendation: Adopt Resolution #2012-058 accepting donation of $500 from Cargill Kitchen Solutions for flowers on the boulevard on West Broadway. E. Consideration of appointing a representative to the Monticello Library Board to fill a vacancy for a term to expire on 12/31/2015. Recommendation: Appoint Elaine Settergren to the Monticello Library Board for a term ending December 31, 2015. F. Consideration of approving an application for temporary on-sale liquor license for the Monticello VFW Post 8731 for an event to be held in their parking lot on August 18, 2012. Recommendation: Approve the application for a 1-day temporary on-sale liquor license for the Monticello VFW for August 18, 2012. G. Consideration of adopting Resolution #2012-059 approving conveyance of three parcels of tax-forfeited land to the City, formally establishing authorized public City Council Minutes – June 25, 2012 Page 3 use. Recommendation: Adopt Resolution #2012-059 approving conveyance of the following three parcels of tax-forfeit land to the City and established public purpose use. o 155-010-072100 utility easement o 155-109-000010 trail system link between River Mill Park & River Ridge Lane o 155-126-000030 entrance monument for River Forest Addition H. Consideration of ratifying the FiberNet Technician Labor Agreement between the City of Monticello and International Union of Operating Engineers Local 49 for the period of February 1, 2012 to January 31, 2014. Recommendation: Ratify the FiberNet Technician Labor Agreement between the City of Monticello and IUOE Local 49 from February 1, 2012 to January 31, 2014. I. Consideration of accepting lawsuit settlement between Motzko Companies and City of Monticello. Recommendation: Accept lawsuit settlement with Motzko Companies, LLC in the amount of an $11,000 payment. J. Consideration of contracting with Tom Kelly to provide budget preparation services for the City of Monticello. THIS ITEM WAS REMOVED FROM THE CONSENT AGENDA. K. Consideration of adopting Resolution #2012-060 supporting the efforts of the Greater Minnesota Parks & Trails Coalition to increase funding for Greater MN Parks & Trails. THIS ITEM WAS REMOVED FROM THE CONSENT AGENDA. L. Consideration of authorizing installation of pedestrian crosswalk striping on 6th Street at Maple Street. Recommendation: Authorize city staff to install and maintain two 6” solid white latex paint stripes across 6th Street on the west side of Maple Street and to place one in-street pedestrian crosswalk sign next to the new crosswalk. Bruce Westby noted that a time frame is not addressed in the agenda item, but should not take very long to complete. Tom Moores said it would be done within a week or so and before Riverfest. GLEN POSUSTA MOVED TO APPROVE THE CONSENT AGENDA WITH THE REMOVAL OF ITEMS J AND K AND INSERT ITEM #12 AS 5L ON THE CONSENT AGENDA. LLOYD HILGART SECONDED THE MOTION. MOTION CARRIED 5- 0. 6. Consideration of items removed from the consent agenda for discussion 5J. Consideration of contracting with Tom Kelly to provide budget preparation services for the City of Monticello City Council Minutes – June 25, 2012 Page 4 Brian Stumpf pulled this item because he would like to see the field of candidates first and suggested they should be able to take this over. Brian Stumpf also wondered why the Assistant Finance Director is not taking over the budget process. Jeff O’Neill explained that the transition of a department head position can be somewhat difficult and this would ensure that the budget process stay on schedule. Jeff O’Neill noted that the Assistant Finance Director is familiar with the city budgeting process but not quite ready to take over the entire process. Brian Stumpf reiterated that he does not want to commit any hours or dollars until they know what the field of candidates looks like. Tom Perrault does not feel that it is contractually right to have Tom Kelly help with the budget process. Tom Kelly explained that he offered this service because he did not want to put the city in a predicament should they run behind in the budget process. He would understand if the City decided to turn this over to the new finance director after they decide on a replacement. Lloyd Hilgart asked when the interview process is taking place. Lloyd Hilgart noted that, if Tom Kelly’s last day is July 3rd, that would not be enough time to bring on a new Finance Director before Tom Kelly leaves. Tom Kelly also noted that he started training the Assistant Finance Directory Angie McIntire in the budget process but they are not far enough along in the process for her to handle the whole thing. GLEN POSUSTA MOVED FOR ALTERNATIVE #1 TO CONTRACT WITH TOM KELLY TO PROVIDE BUDGET PREPARATION SERVICES FOR THE CITY AT HIS CURRENT RATE OF PAY. LLOYD HILGART SECONDED THE MOTION. MOTION CARRIED 3-2, WITH TOM PERRAULT AND BRIAN STUMPF VOTING IN OPPOSITION. 5K. Consideration of adopting Resolution #2012-060 supporting the efforts of the Greater Minnesota Parks & Trails Coalition to increase funding for Greater MN Parks & Trails Tom Perrault pulled this item because he does not necessarily agree with increasing the grant funding for Greater MN parks and trails. He feels that the majority of the tax dollars probably come out of the Metro area and rightfully could stay in the metro area. BRIAN STUMPF MOVED FOR ALTERNATIVE #1 ADOPTING RESOLUTION #2012-060 SUPPORTING EFFORTS OF THE GREATER MINNESOTA PARKS & TRAILS COALITION TO INCREASE FUNDING FOR GREATER MN PARKS & TRAILS. CLINT HERBST SECONDED THE MOTION. MOTION CARRIED 4-1, WITH TOM PERRAULT VOTING IN OPPOSITION. 7. Consideration of adopting Resolution #2012-061 accepting bids and awarding contract for 2012 Rural Road Improvements, City Project 12C001 Bruce Westby introduced this item by noting that the bids were opened last Thursday and the city received 3 bids for this project. All bids were below the Engineer’s estimate and met the specifications. Knife River was the lowest overall bidder at a total of City Council Minutes – June 25, 2012 Page 5 $693,358.90 which included road improvements for Edmonson, Fallon, and Fenning Avenues and trail segment improvements. Knife River would begin in late July or early August. GLEN POSUSTA MOVED FOR ALTERNATIVE #1 TO ADOPT RESOLUTION #2012-061 ACCEPTING THE BIDS AND AWARD THE CONTRACT TO KNIFE RIVER CORPORATION IN THE AMOUNT OF $693,358.90. LLOYD HILGART SECONDED THE MOTION. MOTION CARRIED 5-0. 8. Consideration of approving Change Order #1 for the MCC Natatorium Improvements, City Project No. 11C006 Kitty Baltos asked Council to consider tabling this item until July 9th as there are still some questions on the costs for completing this particular project. She would like to make sure that the figures are accurate and the project is well defined. Glen Posusta pointed out that he would like more information on putting in a drop ceiling to alleviate some of the issues. Brian Stumpf was not too sure about the concept for putting in a drop ceiling, especially if it involves wood construction. Lloyd Hilgart asked where the point of confusion was and Kitty Baltos explained it had to do with pricing for the painting for the pool ceiling. GLEN POSUSTA MOVED TO TABLE THIS ITEM UNTIL THE JULY 9TH COUNCIL MEETING. BRIAN STUMPF SECONDED THE MOTION. MOTION CARRIED 5-0. 9. Consideration of adjusting the individual pension contribution amount for Volunteer Firefighter Relief Association members Tom Kelly noted that this is the annual consideration of the individual pension contribution amounts for the members of the Fire Relief Association. He is recommending that the contribution level remain the same. This would put the Relief Association into a deficit position; however no contributions would be needed to adjust the balance. Lloyd Hilgart asked if there are any projections related to this fund and how this works. Tom Kelly explained that the Fire Relief Association meets regularly and has officers that maintain the records. The Treasurer is responsible for tracking the earnings and projections of the pension fund. Tom Kelly noted that they will have a deficit of approximately $38,000. Glen Posusta asked if there is a point where the city becomes responsible for funding any portion. Tom Kelly explained that the deficit would have to drop to a certain point before that would occur. Brian Stumpf explained that the Fire Relief Association is very careful in the contribution amounts that they request, because they do not want to put the city in an adverse position. Brian also noted that he is no longer a vested member and will be eligible to vote on this item. City Council Minutes – June 25, 2012 Page 6 CLINT HERBST MOVED FOR ALTERNATIVE #1 TO MAINTAIN THE BENEFIT LEVEL AT $2,750 FOR THE INDIVIDUAL PENSION CONTRIBUTION AMOUNT FOR VOLUNTEER FIREFIGHTER RELIEF ASSOCIATION MEMBERS. LLOYD HILGART SECONDED THE MOTION. MOTION CARRIED 5-0. 10. Consideration of approving an amendment to a Conditional Use Permit (CUP) to expand a storage facility accessory to a manufactured home park in the M-H, Manufactured Home Park zoning district. Applicant: Kjellberg’s Inc. Steve Grittman introduced this topic by explaining the decision before Council to approve or deny the CUP amendment in relation to Kjellberg’s storm shelter and evacuation plans. He noted that Kjellberg’s has provided storm shelter and evacuation plans for city staff and Council previously, which were reviewed during a special meeting and tour on June 18th. Steve Grittman noted that the deadline for acting on the request is July 3rd, 2012. Glen Posusta noted that he will not be voting as there may be a perceived conflict of interest as he is in the storage business and this involves construction of a storage building for the park tenants. Lloyd Hilgart asked Steve Grittman to comment on the evacuation plans at Kjellberg’s compared to other mobile home parks. Steve Grittman noted that the plans submitted were found to satisfy state requirements and have been reviewed by city staff. Glen Posusta asked if the City has the ability to decide whether an emergency shelter meets standards; Steve Grittman confirmed that the City has the right to approve an emergency shelter and evacuation plans. Clint Herbst noted that the state requirements are rather vague and does not clearly identify the approval process. Clint Herbst stated his concern over the distance that tenants would have to go before they reach the existing storm shelters. He would like to see Kjellberg’s consider adding shelter space in a closer proximity to the mobile homes and suggested this could be done with the storage building project that they are considering. Clint Herbst noted that he had talked to Kirk Kjellberg about this but has not heard anything back. Brian Stumpf noted that he and Clint Herbst had met with Kjellberg’s over a month ago and they have different views on how this should be handled. Brian Stumpf would like to see Kjellberg’s deal with the State in regard to the storm shelters and not have the City get involved in regulating where storm shelters should be located. Brian Stumpf feels that the park residents will find adequate shelter on their own, probably by driving to a place of safety. Clint Herbst stated that the state requirements are not met by the shelter space on the east side. It is left up to the local officials to verify and approve that there are sites available within a reasonable distance. His concern is that the facility on the east side only has space for about one-third of the park residents; he feels there should be more space available within the park itself. He does feel that the storage facility is a good idea but is not willing to approve the CUP without an improvement to the park’s storm shelter facilities. City Council Minutes – June 25, 2012 Page 7 Tom Perrault has a concern with the storm shelter also and feels that there should be more space available on the park property on the east side. He does not feel it is wise to consider having tenants cross Highway 25 to use the storm shelter on the west side. Glen Posusta pointed out that there are numerous lanes to cross in a high traffic area. Tom Perrault also expressed concern about the CUP for the storage building and wondered why there was no provision for lighting. He also questioned some of the wording in the agenda report related to compensation by the City. Steve Grittman explained that state statutes do not allow the city to condition approval of the CUP by requiring correction of non-related non-conforming uses without compensation from the City. Steve Grittman used the example that if another building did not meet ordinance requirements, this would not be allowed to be tied to the CUP approval. Tom Perrault asked for clarification related to the conditions about the shelter; Steve Grittman indicated those would have to comply with state building code. Tom Perrault asked about the determination of the space needed to accommodate park residents in a storm shelter. Ron Hackenmueller explained there was a discrepancy in the state rules related to the calculation of available space per person, with references to different square footage allowances. He has not received a clarification on that but noted there is not enough available space for all residents in the east side storm shelter. Clint Herbst noted that he doesn’t feel that they would have to require space for 100% of the residents; however he thinks they should come up with a reasonable requirement. Lloyd Hilgart asked for clarification on the state requirements for storm shelters in regard to the 5 minute time frame. Steve Grittman explained that the guidelines leave it up to the local officials to determine a “reasonable” evacuation plan for storm shelters. CLINT HERBST MOVED FOR ALTERNATIVE #2 TO DENY THE AMENDMENT TO THE CONDITIONAL USE PERMIT FOR ACCESSORY STORAGE GARAGE, BASED ON FINDINGS TO BE DETERMINED BY COUNCIL; AND REQUESTED KJELLBERG’S TO RETURN WITH A PROPOSAL INCORPORATING ADDITIONAL STORM SHELTER SPACE WITH THE STORAGE BUILDING. TOM PERRAULT SECONDED THE MOTION. MOTION TIED 2-2 WITH LLOYD HILGART AND BRIAN STUMPF OPPOSED. (Glen Posusta did not cast a vote.) Steve Grittman explained that the request is considered denied upon a tie vote and requested the opposing votes to explain the reason they voted against the motion. Brian Stumpf feels that the state requirements have been met for storm shelter space, and the determinaton whether the storm shelter space is adequate or not should be between Kjellberg’s and the State. Lloyd Hilgart said he feels that the condition with the storm shelter has existed for a lengthy time, and he does not feel there is enough evidence to support requiring Kjellberg’s to make a change at this time. Clint Herbst recommended that Kjellberg’s reconsider submitting their request with plans for a storage building that would include additional storm shelter space. City Council Minutes – June 25, 2012 Page 8 11. Consideration of all-way stop warrant analysis options at the intersections of Maple and 4th Street, Maple and 3rd Street, Elm and West River Street, and Linn and West River Street Bruce Westby presented this item noting that there were various options that could be considered for obtaining data relative to analyzing the need for all-way stop signs at the intersections in question. Bruce Westby reviewed the various devices available such as the city’s speed trailer and tube devices that could be purchased to collect traffic data. Bruce Westby noted that WSB had initially given the city a quote of $3,500 for performing the study. Glen Posusta asked if this was something that could be done by staff if they had the proper equipment. Bruce Westby explained that this could be done by staff. In fact, he found out that MnDOT could loan some devices to the City to use for collecting traffic data. Brian Stumpf had several comments: he would like to study the traffic patterns before they add any stop signs; he would like Council to keep in mind that the downtown redevelopment project may impact future traffic on 3rd and 4th streets; and he thinks a new river crossing may eventually affect some of these traffic patterns. Mayor Herbst opened the meeting for comments from interested citizens. Debra Merkel of 501 West River Street explained that she had presented a petition prior to the meeting, with the petition signed by all residents in the affected area of West River Street. Debra Merkel talked about the traffic movements and various safety situations that they face. The residents feel that this needs to be addressed as soon as possible. Glen Posusta noted that the residents along West River Street did not want sidewalks installed as part of the road reconstruction, which might have helped with the safety issues. Clint Herbst commented that Council would like to study the situation before making a hasty decision on stop signs. He noted that a speed study was conducted as part of the road reconstruction and found to average 26 mph on West River Street, which is actually below the speed limit on that road. As part of the proposed study, the city will be putting in devices to track traffic data from all directions of each intersection. This provides a variety of data that will be combined with other existing data to determine the best option. Stacy Jost, 705 W River St, stated that the traffic is a safety hazard along West River Street. She pointed out that the Council expressed concern about providing adequate storm shelters and feels this is a comparative situation in regard to safety. She wondered if it wouldn’t be possible to at least put up several stop signs; they are not expecting one at every intersection. She inquired as to how soon the study might be completed and addressed by Council. Bruce Westby suggested that it should not take too long to collect and analyze the data, figuring it would be 2-3 weeks and hopefully would have a report for Council by the second meeting in July. Dan Lemm, 8 Linn Street, suggested that the stretch of West River Street is so long and it would be advisable to install stop signs for safety reasons. Dan Lemm asked why the stop signs were not left in place while the City did a study. Clint Herbst explained that City Council Minutes – June 25, 2012 Page 9 there is a certain order that was preferred by Council and they chose to remove the signs until a study is completed. Dan Lemm also commented on the width of the street. Leila McCarty, 419 West River Street, spoke in favor of the residents’ petition to add several stop signs. She felt that Council should consider requests that come from citizens and try to honor their wishes. Clint Herbst reiterated the need to complete the study in order to determine the best solution for the intersections in question. Glen Posusta noted that the residents in that area opted not to install sidewalks, which may have managed some of the safety issues. Glen Posusta suggested that the police should also be made aware of speeding incidents in order to get a handle if there are problems. Clint Herbst indicated that the intent is to bring this back to Council for consideration at the second meeting in July. Debra Merkel added a comment that it may not be necessary to direct the police for tighter enforcement on West River Street, as she has contacted them many times to alert them of the problems and they have been very responsive. Tom Perrault commented that the traffic data collected at this time may differ significantly when school is in session at an intersection such as 3rd and Maple Streets. He was concerned about making a decision without having complete data available. Clint Herbst noted that Council could extend a decision if they feel that they need more information. GLEN POSUSTA MOVED TO BORROW TUBE DATA COLLECTORS FROM MN/DOT AND HAVE CITY STAFF PERFORM ALL-WAY STOP WARRANTS ANALYSIS AT THE INTERSECTIONS OF MAPLE AND 4TH STREET, MAPLE AND 3RD STREET, ELM AND WEST RIVER STREET, AND LINN AND WEST RIVER STREET; AND REPORT THE RESULTS AND RECOMMENDATION AT THE JULY 23RD COUNCIL MEETING. BRIAN STUMPF SECONDED THE MOTION. MOTION CARRIED 5-0. 12. Consideration of authorizing installation of pedestrian crosswalk striping on 6th Street at Maple Street This item was moved to the consent agenda as item #5L. 13. Review proposed process for interviewing and selecting new Finance Director Jeff O’Neill explained that the city received five applications for Finance Director that met qualifications for the position. Staff is proposing to conduct interviews this week with a panel consisting of Council members, Human Resources Director, City Administrator, and Finance Director. Glen Posusta asked why staff did not narrow down the choices. Jeff O’Neill explained that it would be difficult to narrow the field at this point as all candidates meet the requirements. It is preferred that all five candidates be interviewed initially. Following that, Council may wish to select several of the City Council Minutes – June 25, 2012 Page 10 candidates for another interview or possible invite them back to meet other staff in more of an open interview. Jeff O’Neill took the opportunity to thank Tom Kelly for his years of service to the City and expressed appreciation for the excellent job that he has done for the city as Finance Director. Tom Kelly commented how much he has enjoyed working for the City of Monticello and that it was an extremely difficult decision to leave, probably the hardest decision he has ever made. He thanked Council for their support over the years. Jeff O’Neill noted that there would be cake and coffee for Tom Kelly on July 3rd, and Council is welcome to stop by. Tracy Ergen also commented on how much she has enjoyed working with Tom Kelly and the help he provided for many staff members and thanked Tom on behalf of all city staff. Clint Herbst stated how impressed he has been from the very beginning with the job done by Tom Kelly. GLEN POSUSTA MOVED TO HOLD INTERVIEWS FOR THE FINANCE DIRECTOR POSITION ON WEDNESDAY, JUNE 27TH, 2012 STARTING AT 4 P.M. LLOYD HILGART SECONDED THE MOTION. MOTION CARRIED 5-0. All Council members are planning to attend the interviews. 14. Added items  MNWARN update on request for assistance - Bob Paschke provided an update on MNWARN and how it is used for emergency purposes. All member cities share resources to help each other. On Friday, MNWARN was activated in conjunction with the northern flooding. Sean Weis from the Water Department provided assistance with pumping wastewater at Moose Lake. Sean Weis drove a city truck, which Moose Lake used for installing barricades when they were inundated with flood waters. The city will be reimbursed by either by Moose Lake or FEMA for the equipment and time. Bob Paschke also noted that Sean Weis was also able to share some knowledge gained from his experiences in Monticello with Moose Lake employees. 15. Adjournment BRIAN STUMPF MOVED TO ADJOURN THE MEETING AT 8:37 P.M. TOM PERRAULT SECONDED THE MOTION. MOTION CARRIED 5-0. Recorder: Catherine M. Shuman ____ Approved: Attest: ___________________________ City Administrator CityCouncilAgenda:07/09/12 1 5A.ConsiderationofapprovingpaymentofbillregistersforJuly9th (JO) A.REFERENCEANDBACKGROUND: Citystaffsubmitstheattachedbillregistersandpurchasingcardregistersforapprovalby Council.Thebillregisterscontainallinvoicesprocessedandthepurchasingcard registerscontainallcardpurchasesmadesincethelastCouncilmeeting.SubjecttoMN Statutes,mostinvoicesrequireCouncilapprovalpriortoreleasingchecksforpayment. ThedayfollowingCouncilapproval,paymentswillbereleasedunlessdirected otherwise.AcreditpurchasingagreementandpolicywasapprovedbyCouncilinitially andcardpurchasesmustcomplywiththepolicy. IfCouncilhasnoquestionsorcommentsonthebillandpurchasecardregisters,thesecan beapprovedwiththeconsentagenda.Ifrequested,thisitemcanberemovedfrom consentanddiscussedpriortomakingamotionforapproval. A1.BudgetImpact:None A2.StaffWorkloadImpact:Noadditionalworkrequired B.ALTERNATIVEACTIONS: 1.Motiontoapprovethebillandpurchasecardregistersforatotalamountof $388,296.03. 2.MotiontoapprovetheregisterswithchangesdirectedbyCouncil. C.STAFFRECOMMENDATION: CitystaffrecommendsAlternative#1or#2,perdirectionofCouncil. D.SUPPORTINGDATA: Billregisters PurchaseCardregisters User: Printed:07/03/2012 - 11:18AM Ann.Zimmerman Computer Check Proof List by Vendor Accounts Payable Batch:00202.07.2012 Invoice No Description Amount Payment Date Acct Number Reference Vendor:2925 1ST LINE/LEEWES VENTURES LLC Check Sequence: 1 ACH Enabled: False 100086 re-sale 285.00 07/10/2012 226-45127-425410 285.00Check Total: Vendor:2738 ADVANCE TERRAZZO AND TILE CO INC Check Sequence: 2 ACH Enabled: False 06/29/12 Replaced terrazzo due to water damage - (covered by insurance) 12,680.00 07/10/2012 226-45122-440100 12,680.00Check Total: Vendor:2945 GREG ANDERSON Check Sequence: 3 ACH Enabled: False Refund FiberNet Monticello acct # 65143 (1/2 - balance issued to #2979) 41.78 07/10/2012 655-00000-115040 41.78Check Total: Vendor:2979 HEIDI ANDERSON Check Sequence: 4 ACH Enabled: False Refund FiberNet Monticello acct # 65143 (1/2 - balance issued to #2945) 41.78 07/10/2012 655-00000-115040 41.78Check Total: Vendor:1036 APEC Check Sequence: 5 ACH Enabled: False 117793 (24) filters 212.20 07/10/2012 226-45122-422990 212.20Check Total: Vendor:1038 APPERTS FOOD SERVICE Check Sequence: 6 ACH Enabled: False 1757672 5.25 07/10/2012 226-45122-433300 1757672 152.41 07/10/2012 226-45127-421460 1757672 re-sale 223.08 07/10/2012 226-45127-425410 1757673 Ballfields - re-sale 121.73 07/10/2012 226-45203-425410 1757674 Friendship Island - pudding, cheese, milk, ect 115.73 07/10/2012 226-45127-421980 618.20Check Total: AP-Computer Check Proof List by Vendor (07/03/2012 - 11:18 AM)Page 1 Invoice No Description Amount Payment Date Acct Number Reference Vendor:1040 ARAMARK UNIFORM SERVICES Check Sequence: 7 ACH Enabled: False 629-75125219 5.47 07/10/2012 101-43110-441700 629-75125219 26.26 07/10/2012 101-45201-441700 629-75125219 13.22 07/10/2012 602-49490-441700 629-75125219 13.22 07/10/2012 601-49440-441700 629-75125219 35.56 07/10/2012 101-43120-441700 629-75125219 45.16 07/10/2012 101-43127-421990 629-7517386 7.98 07/10/2012 101-43110-441700 629-7517386 28.79 07/10/2012 101-45201-441700 629-7517386 15.73 07/10/2012 602-49490-441700 629-7517386 15.73 07/10/2012 601-49440-441700 629-7517386 38.08 07/10/2012 101-43120-441700 629-7517386 36.00 07/10/2012 101-43127-421990 629-7522243 5.36 07/10/2012 101-43110-441700 629-7522243 26.15 07/10/2012 101-45201-441700 629-7522243 13.11 07/10/2012 602-49490-441700 629-7522243 13.11 07/10/2012 601-49440-441700 629-7522243 35.44 07/10/2012 101-43120-441700 629-7522243 29.34 07/10/2012 101-43127-421990 403.71Check Total: Vendor:1053 KATHLEEN M BALTOS Check Sequence: 8 ACH Enabled: True 6/17/12 6/17/12 Miss. Rvr Canoe Event - mileage reimbursement 22.20 07/10/2012 226-45122-433100 22.20Check Total: Vendor:1059 BARTON SAND AND GRAVEL CO Check Sequence: 9 ACH Enabled: False 129659 15.27 ton CL5 gravel base 106.08 07/10/2012 101-43120-422400 106.08Check Total: Vendor:1065 BELLBOY CORPORATION Check Sequence: 10 ACH Enabled: False 74002700 16.65 07/10/2012 609-49750-433300 74002700 982.10 07/10/2012 609-49750-425100 74002700 re-sale 18.95 07/10/2012 609-49750-425400 74111500 32.40 07/10/2012 609-49750-433300 74111500 2,352.00 07/10/2012 609-49750-425100 3,402.10Check Total: Vendor:1066 BERNATELLO'S PIZZA INC Check Sequence: 11 ACH Enabled: False 104773 (15) pizzas 75.00 07/10/2012 226-45127-421460 104773 re-sale (21) pizzas 105.00 07/10/2012 226-45127-425410 AP-Computer Check Proof List by Vendor (07/03/2012 - 11:18 AM)Page 2 Invoice No Description Amount Payment Date Acct Number Reference 180.00Check Total: Vendor:1067 BERNICK'S Check Sequence: 12 ACH Enabled: False 179504 re-sale 198.60 07/10/2012 609-49750-425400 179505 1,111.50 07/10/2012 609-49750-425200 179506 20# CO2 tank 92.00 07/10/2012 226-45127-420750 179506 re-sale 254.00 07/10/2012 226-45127-425410 181311 Ballfields - re-sale 292.00 07/10/2012 226-45203-425410 182159 re-sale 69.80 07/10/2012 609-49750-425400 182160 1,207.75 07/10/2012 609-49750-425200 182167 re-sale 211.00 07/10/2012 226-45127-425410 3,436.65Check Total: Vendor:1075 BOND TRUST SERVICES CORPORATION Check Sequence: 13 ACH Enabled: True 7805 8/2/12-8/1/13 Agent Services GO Bonds Series 2007A 450.00 07/10/2012 313-47000-462010 7806 8/2/12-8/1/13 Agent Services GO Bonds Series 2011A 450.00 07/10/2012 318-47000-462010 900.00Check Total: Vendor:2970 BROADWAY CYCLE Check Sequence: 14 ACH Enabled: False 125521 2011 donation from Land of Lakes Choir boys 1,500.00 07/10/2012 101-45130-444140 1,500.00Check Total: Vendor:1091 CAMPBELL KNUTSON PA Check Sequence: 15 ACH Enabled: True 2348-115G14 Motzko Co LLC Litigation 1,277.95 07/10/2012 101-41610-430400 1,277.95Check Total: Vendor:2918 CARLSON BUILDING SERVICES INC Check Sequence: 16 ACH Enabled: False 40747 MGFARM - July - regular monthly services 374.06 07/10/2012 213-46522-431990 374.06Check Total: Vendor:2966 CHIP BAUER CONSTRUCTION Check Sequence: 17 ACH Enabled: False Escrow Refund ZEMMER - Escrow Refund 500.00 07/10/2012 101-00000-220110 500.00Check Total: Vendor:2454 GREG CURTIS Check Sequence: 18 ACH Enabled: False Escrow Refund ZGCURT - Net Escrow Refund 287.00 07/10/2012 101-00000-220110 AP-Computer Check Proof List by Vendor (07/03/2012 - 11:18 AM)Page 3 Invoice No Description Amount Payment Date Acct Number Reference 287.00Check Total: Vendor:1129 DAHLHEIMER BEVERAGE LLC Check Sequence: 19 ACH Enabled: False 1004717 19,193.25 07/10/2012 609-49750-425200 1004717 re-sale 73.50 07/10/2012 609-49750-425400 1027938 6,678.20 07/10/2012 609-49750-425200 1027938 re-sale 22.95 07/10/2012 609-49750-425400 1027992 705.90 07/10/2012 609-49750-425200 1027992 re-sale 31.00 07/10/2012 609-49750-425400 5203 392.00 07/10/2012 226-45203-425200 27,096.80Check Total: Vendor:1134 DAY DISTRIBUTING COMPANY Check Sequence: 20 ACH Enabled: True 655719 1,920.03 07/10/2012 609-49750-425200 655719 re-sale 22.40 07/10/2012 609-49750-425400 1,942.43Check Total: Vendor:2919 EBERT INC Check Sequence: 21 ACH Enabled: True Payment No. 2 11C006 - MCC Natatorium Improvements 22,990.00 07/10/2012 226-45122-453010 22,990.00Check Total: Vendor:2821 ECONOMIC DEVELOPMENT SERVICES INC Check Sequence: 22 ACH Enabled: False 6/28/12 ZEDTMS - (25) hrs Professional services for May; June 2012 3,750.00 07/10/2012 213-46502-431990 6/28/12 ZEDTMS - Graphic design support on flyer 300.00 07/10/2012 213-46502-431990 6/28/12 ZEDTMS - Mileage reimbursement 97.68 07/10/2012 213-46502-431990 4,147.68Check Total: Vendor:2971 SHANNON FLOREK Check Sequence: 23 ACH Enabled: True 6/20/12 Mileage reimbursement Deputy Registrar Testing - S. Florek 54.16 07/10/2012 217-41990-433100 6/20/12 Deputy Registrar testing - meal - S. Florek 5.05 07/10/2012 217-41990-433200 59.21Check Total: Vendor:2882 GLUNZ CONSTRUCTION LLC Check Sequence: 24 ACH Enabled: False 671455 6/20/12 H. Pouty 400.00 07/10/2012 651-49010-431150 671456 6/21/12 S. Samuelson 400.00 07/10/2012 651-49010-431150 800.00Check Total: Vendor:1206 GRAPE BEGINNINGS INC Check Sequence: 25 ACH Enabled: False AP-Computer Check Proof List by Vendor (07/03/2012 - 11:18 AM)Page 4 Invoice No Description Amount Payment Date Acct Number Reference 140874 9.00 07/10/2012 609-49750-433300 140874 352.00 07/10/2012 609-49750-425300 361.00Check Total: Vendor:2433 NICHOLAS R HACKENMUELLER Check Sequence: 26 ACH Enabled: True 6/20/12 6/20/12 EDA mtg 50.00 07/10/2012 101-46500-431990 50.00Check Total: Vendor:1224 HD SUPPLY WATERWORKS LTD Check Sequence: 27 ACH Enabled: False 4611756 (4) wired MXU dual ports 616.37 07/10/2012 601-49440-422710 616.37Check Total: Vendor:1242 HOLIDAY CREDIT OFFICE Check Sequence: 28 ACH Enabled: False 06/18/2012 Motor fuel 5/20/12 55.07 07/10/2012 101-42200-421200 06/18/2012 Motor fuel 5/22/12 38.99 07/10/2012 101-42200-421200 06/18/2012 Motor fuel 5/28/12 40.69 07/10/2012 101-42200-421200 06/18/2012 Motor fuel 5/28/12 40.00 07/10/2012 101-42200-421200 06/18/2012 Motor fuel 5/29/12 34.55 07/10/2012 101-42200-421200 06/18/2012 Motor fuel 5/30/12 39.11 07/10/2012 101-42200-421200 06/18/2012 Motor fuel 5/30/12 50.02 07/10/2012 101-42200-421200 06/18/2012 Motor fuel 6/02/12 36.68 07/10/2012 101-42200-421200 06/18/2012 Motor fuel 6/05/12 149.57 07/10/2012 101-42200-421200 06/18/2012 Motor fuel 6/05/12 41.80 07/10/2012 101-42200-421200 06/18/2012 Motor fuel 6/08/12 39.89 07/10/2012 101-42200-421200 06/18/2012 Motor fuel 6/10/12 30.20 07/10/2012 101-42200-421200 06/18/2012 Motor fuel 6/12/12 39.31 07/10/2012 101-42200-421200 06/18/2012 Motor fuel 6/15/12 41.53 07/10/2012 101-42200-421200 06/18/2012 Motor fuel 6/16/12 24.31 07/10/2012 101-42200-421200 06/18/2012 Motor fuel credit 5/20/12 - 6/16/12 -45.40 07/10/2012 101-42200-421200 656.32Check Total: Vendor:1242 HOLIDAY CREDIT OFFICE Check Sequence: 29 ACH Enabled: False 6/18/12 Motor fuel 5/27/12 38.30 07/10/2012 101-42200-421200 6/18/12 Motor fuel 5/30/12 43.41 07/10/2012 101-42200-421200 6/18/12 Motor fuel 6/10/12 25.00 07/10/2012 101-42200-421200 6/18/12 Motor fuel 6/17/12 42.56 07/10/2012 101-42200-421200 6/18/12 Motor fuel credit 5/27/12 - 6/17/12 -8.28 07/10/2012 101-42200-421200 140.99Check Total: AP-Computer Check Proof List by Vendor (07/03/2012 - 11:18 AM)Page 5 Invoice No Description Amount Payment Date Acct Number Reference Vendor:2625 JIGSAW BUILDERS INC Check Sequence: 30 ACH Enabled: False 10378 Install 2x4 stud wall for AC unit, install AC unit 735.00 07/10/2012 226-45203-440100 10399 Digital Signage - Labor & materials - (2) 24"x24" access panels 570.00 07/10/2012 240-49200-424600 1,305.00Check Total: Vendor:1259 JJ TAYLOR DISTRUBTING Check Sequence: 31 ACH Enabled: False 1796952 3.00 07/10/2012 609-49750-433300 1796952 568.25 07/10/2012 609-49750-425200 571.25Check Total: Vendor:1262 ANNA JOHNSON Check Sequence: 32 ACH Enabled: True 6/20/12 6/20/12 Dealer run; Wright Cty Courthouse 14.71 07/10/2012 217-41990-433100 6/20/12 Reimb notary recording fee - Wright Cty 20.00 07/10/2012 217-41990-431990 34.71Check Total: Vendor:1263 JOHNSON BROS WHOLESALE LIQUOR Check Sequence: 33 ACH Enabled: False 1322350 70.42 07/10/2012 609-49750-433300 1322350 4,090.61 07/10/2012 609-49750-425100 1322351 5.56 07/10/2012 609-49750-433300 1322351 re-sale 130.88 07/10/2012 609-49750-425400 1323154 19.46 07/10/2012 609-49750-433300 1323154 1,377.11 07/10/2012 609-49750-425100 1323155 76.45 07/10/2012 609-49750-433300 1323155 53.30 07/10/2012 609-49750-425200 1323155 2,480.15 07/10/2012 609-49750-425300 1323155 re-sale 63.45 07/10/2012 609-49750-425400 1323156 41.98 07/10/2012 609-49750-425200 1327748 46.80 07/10/2012 609-49750-433300 1327748 4,103.31 07/10/2012 609-49750-425100 1327749 18.07 07/10/2012 609-49750-433300 1327749 re-sale 124.05 07/10/2012 609-49750-425400 1329169 16.68 07/10/2012 609-49750-433300 1329169 748.30 07/10/2012 609-49750-425100 1329170 47.26 07/10/2012 609-49750-433300 1329170 1,493.45 07/10/2012 609-49750-425300 1329170 re-sale 59.94 07/10/2012 609-49750-425400 15,067.23Check Total: Vendor:1270 KENNEDY AND GRAVEN CHARTERED Check Sequence: 34 ACH Enabled: False 108486 ZEDTMS - Acquisition of Montgomery Fms 4/9-5/31/12 services 12,428.75 07/10/2012 213-46522-430400 AP-Computer Check Proof List by Vendor (07/03/2012 - 11:18 AM)Page 6 Invoice No Description Amount Payment Date Acct Number Reference 108486 ZEDTMS - Acquisition of Montgomery Fms 4/9-5/31/12 disbursements 78.75 07/10/2012 213-46522-430400 12,507.50Check Total: Vendor:1292 LEROY JOB TRUCKING INC Check Sequence: 35 ACH Enabled: True 14917 (16) Animal charge 160.00 07/10/2012 101-42700-431990 160.00Check Total: Vendor:1300 DOUGLAS WILLIAM LYSENG Check Sequence: 36 ACH Enabled: True 1230 Springbrook C/R computer - serial # 06052012A 636.10 07/10/2012 101-41920-424720 1230 On-site labor - set up Springbrook register computer 136.27 07/10/2012 101-41920-430900 1231 (70) Trend Micro 1 yr renewal; (10) add-on licenses; 2,095.28 07/10/2012 101-41920-430910 1231 (3) keybd/mouse set; (2) monitor; (1) power supply; ect 689.49 07/10/2012 101-41920-420250 1231 On-site labor and work performed in shop 2,310.91 07/10/2012 101-41920-430900 1231 On-site support services 85.00 07/10/2012 601-49440-431990 1231 PW fuel computer - two serial port PCI card 81.21 07/10/2012 101-43110-421990 1231 (1) DYMO Label Writer 450 Turbo 159.24 07/10/2012 101-41940-421990 1231 On-site labor - computer set-up and updates 181.69 07/10/2012 101-41410-431990 6,375.19Check Total: Vendor:1303 M AMUNDSON LLP Check Sequence: 37 ACH Enabled: True 133798 re-sale 507.31 07/10/2012 609-49750-425400 133798 re-sale 1,209.90 07/10/2012 609-49750-425500 1,717.21Check Total: Vendor:2819 MADDEN GALANTER HANSEN LLP Check Sequence: 38 ACH Enabled: False 6/1/12 Labor Relations Services 5/1-5/31/12 25.00 07/10/2012 101-41800-430400 25.00Check Total: Vendor:1229 MAJIRS ADVERTISING & DESIGN INC Check Sequence: 39 ACH Enabled: True 413 Experience Monticello - 1/8 page ad 180.00 07/10/2012 609-49754-434990 421 Experience Monticello - 1/4 page ad 290.00 07/10/2012 226-45122-434990 797 (10) Creative Services; (250) 17.5 x 5 Regional Center brochure 1,676.14 07/10/2012 213-46301-434600 816 (2) hrs Creative Serv - Hocky Logo; project materials 200.00 07/10/2012 226-45122-431990 821 (500) business cards; (1.5) Creative Services (1/2) 117.83 07/10/2012 101-41910-421990 821 (250) business cards; (1.5) Creative Services (1/2) 108.75 07/10/2012 101-46500-421990 822 (500) brochures 298.15 07/10/2012 101-41910-435100 2,870.87Check Total: AP-Computer Check Proof List by Vendor (07/03/2012 - 11:18 AM)Page 7 Invoice No Description Amount Payment Date Acct Number Reference Vendor:2111 MCFOA Check Sequence: 40 ACH Enabled: False Membership 7/1/12 - 6/30/13 Cathy Shuman 35.00 07/10/2012 101-41310-443300 Membership 7/1/12 - 6/30/13 Kerry Burri 35.00 07/10/2012 101-41310-443300 70.00Check Total: Vendor:2978 WALLY MCNEIL Check Sequence: 41 ACH Enabled: False 7/14/12 7/14/12 Wally the Beer Man appearance 150.00 07/10/2012 609-49754-443990 150.00Check Total: Vendor:1318 JONATHAN CALEB MELLBERG Check Sequence: 42 ACH Enabled: True 6/25/12 City Council meeting recording 6/25/12 80.00 07/10/2012 101-41110-431990 80.00Check Total: Vendor:1717 MINNESOTA MUNICIPAL UTILITIES ASSOCIATION Check Sequence: 43 ACH Enabled: False 39494 Safety Mgmt Program 3rd qtr 2012 1,933.00 07/10/2012 101-41800-431960 1,933.00Check Total: Vendor:1890 MN DEPT OF HEALTH Check Sequence: 44 ACH Enabled: False Permit 574453 Monitoring Well Mtc Permit expires 9/30/12 1645 Cty Rd 39 NE 50.00 07/10/2012 602-49480-443700 Permit 575995 Monitoring Well Mtc Permit expires 9/30/12 1645 Cty Rd 39 NE 50.00 07/10/2012 602-49480-443700 Permit 642723 Monitoring Well Mtc Permit expires 8/31/12 120 Dundas Rd 50.00 07/10/2012 601-49440-443700 150.00Check Total: Vendor:1369 MONTICELLO CHAMBER OF COMMERCE Check Sequence: 45 ACH Enabled: False 4706a Chamber lunch - City Update 6/19/12 - M.B.L. 12.00 07/10/2012 101-46500-433200 4706a Chamber lunch - City Update 6/19/12 - Mark P. 12.00 07/10/2012 655-49870-433200 4707a Chamber lunch - City Update 6/19/12 - J.O. 12.00 07/10/2012 101-41310-433200 36.00Check Total: Vendor:2164 MOTZKO COMPANY LLC Check Sequence: 46 ACH Enabled: False Settlement Approved by city council 6/25/12 Item 5I 11,000.00 07/10/2012 101-43130-431990 11,000.00Check Total: Vendor:1775 NORTHWESTERN POWER EQUIPMENT CO INC Check Sequence: 47 ACH Enabled: False 120292TE Well #1 - repaired & rebuilt control valve 812.91 07/10/2012 601-49440-422700 812.91Check Total: AP-Computer Check Proof List by Vendor (07/03/2012 - 11:18 AM)Page 8 Invoice No Description Amount Payment Date Acct Number Reference Vendor:1405 OFFICEMAX INCORPORATED Check Sequence: 48 ACH Enabled: False 473501 (3) 1-hole punch sheets; (1) dz pens; (2) pad holders; ect 83.05 07/10/2012 101-43110-420990 83.05Check Total: Vendor:1411 OLSON & SONS ELECTRIC INC Check Sequence: 49 ACH Enabled: True 15898 Motor for air handling unit 104.49 07/10/2012 211-45501-422300 15898 utx - freight on air handling motor 28.95 07/10/2012 211-45501-422300 45120 Labor & materials - receptacles for security systems (Sentry) 1,049.84 07/10/2012 101-43110-431990 1,183.28Check Total: Vendor:1412 OMANN BROTHERS INC Check Sequence: 50 ACH Enabled: False 9666 4.99 AC mix 318.11 07/10/2012 101-43120-422400 9670 5.08 AC mix 323.85 07/10/2012 101-43120-422400 641.96Check Total: Vendor:1273 PAUSTIS & SONS WINE CO Check Sequence: 51 ACH Enabled: False 8355339-IN 17.50 07/10/2012 609-49750-433300 8355339-IN 1,112.01 07/10/2012 609-49750-425300 1,129.51Check Total: Vendor:1427 PHILLIPS WINE & SPIRITS CO Check Sequence: 52 ACH Enabled: False 2257807 49.34 07/10/2012 609-49750-433300 2257807 4,561.22 07/10/2012 609-49750-425100 2257972 1.34 07/10/2012 609-49750-433300 2257972 110.65 07/10/2012 609-49750-425100 2258355 5.67 07/10/2012 609-49750-433300 2258355 517.90 07/10/2012 609-49750-425100 2258356 15.29 07/10/2012 609-49750-433300 2258356 357.90 07/10/2012 609-49750-425300 2258356 re-sale 96.75 07/10/2012 609-49750-425400 2260114 45.87 07/10/2012 609-49750-433300 2260114 2,010.00 07/10/2012 609-49750-425100 2261293 40.60 07/10/2012 609-49750-433300 2261293 5,364.99 07/10/2012 609-49750-425100 2262344 39.15 07/10/2012 609-49750-433300 2262344 2,565.40 07/10/2012 609-49750-425100 2262345 43.09 07/10/2012 609-49750-433300 2262345 1,155.50 07/10/2012 609-49750-425300 2262345 re-sale 97.95 07/10/2012 609-49750-425400 AP-Computer Check Proof List by Vendor (07/03/2012 - 11:18 AM)Page 9 Invoice No Description Amount Payment Date Acct Number Reference 17,078.61Check Total: Vendor:2889 QUALITY REFRIGERATION Check Sequence: 53 ACH Enabled: False 75814 Labor - air conditioner - replaced fan motor/MCC had supp 98.00 07/10/2012 226-45122-440440 98.00Check Total: Vendor:2676 QUARRY COMMUNITY CHURCH Check Sequence: 54 ACH Enabled: False Escrow Refund ZQCSRZ - Net Escrow Refund 29.69 07/10/2012 101-00000-220110 29.69Check Total: Vendor:1455 RED'S MARATHON Check Sequence: 55 ACH Enabled: False 6/27/12 Mileage 33,065 39.50 07/10/2012 217-41990-421200 39.50Check Total: Vendor:1455 RED'S MARATHON Check Sequence: 56 ACH Enabled: False 6/28/12 Fire Gas for small engine 36.49 07/10/2012 101-42200-421200 36.49Check Total: Vendor:1462 ROCK STAR GOURMET INC Check Sequence: 57 ACH Enabled: True 2528 re-sale 91.20 07/10/2012 226-45203-425410 91.20Check Total: Vendor:1474 PATRICIA A SALZWEDEL Check Sequence: 58 ACH Enabled: True 5/1-5/31/12 Mileage reimbursement 99.90 07/10/2012 101-42700-433100 7/15/12 Contract 1,520.13 07/10/2012 101-42700-431200 1,620.03Check Total: Vendor:2443 SECURITAS SECURITY SERVICES USA INC Check Sequence: 59 ACH Enabled: False W3587180 Security 6/9/12 & 6/10/12 Domiciano wedding 179.56 07/10/2012 226-45122-431992 W3592480 Security 6/16/12 & 6/17/12 Wetel wedding 179.56 07/10/2012 226-45122-431992 359.12Check Total: Vendor:1485 SENTRY SYSTEMS INC Check Sequence: 60 ACH Enabled: False 659406 Installation of security/hold-up equipment 256.50 07/10/2012 101-43110-431990 659407 6/19/12-5/31/13 - commercial monitoring services 182.76 07/10/2012 101-43110-431900 439.26Check Total: AP-Computer Check Proof List by Vendor (07/03/2012 - 11:18 AM)Page 10 Invoice No Description Amount Payment Date Acct Number Reference Vendor:1490 CYNTHIA R SIMPSON Check Sequence: 61 ACH Enabled: False 690643 Firehall cleaning 6/8 - 6/25/12 100.00 07/10/2012 101-42200-431100 100.00Check Total: Vendor:2155 SOUTH CAROLINA NET INC Check Sequence: 62 ACH Enabled: False 271885 C.A.L.E.A. 7/1-7/31/12 656.38 07/10/2012 655-49870-431970 656.38Check Total: Vendor:1745 THE STANDARD Check Sequence: 63 ACH Enabled: False 00 147036 0001 July 2012 Life insurance premium 2,165.61 07/10/2012 101-00000-217066 2,165.61Check Total: Vendor:1506 STRATEGIC EQUIPMENT & SUPPLY COMPANY Check Sequence: 64 ACH Enabled: False 1903877 re-sale - (1) cs bloody mary 39.55 07/10/2012 609-49750-425400 1906742 (1) bale 20# bags; (3) bales 12# bags 77.53 07/10/2012 609-49750-443990 1906742 (1) cs multifold towels 24.68 07/10/2012 609-49754-421990 141.76Check Total: Vendor:2967 SUNSET PONDS LLC Check Sequence: 65 ACH Enabled: False Escrow Refund ZSUNPD - Net Escrow Refund 173.40 07/10/2012 101-00000-220110 173.40Check Total: Vendor:1886 SWANK MOTION PICTURES PICTURES INC Check Sequence: 66 ACH Enabled: False RG1697951 Movie in the Park 6/30/12 & license to play publically 316.35 07/10/2012 226-45127-421980 316.35Check Total: Vendor:1522 THORPE DISTRIBUTING COMPANY Check Sequence: 67 ACH Enabled: True 319075 -102.40 07/10/2012 609-49750-425200 697241 re-sale 16.75 07/10/2012 609-49750-425500 697247 19,919.50 07/10/2012 609-49750-425200 698586 re-sale 89.10 07/10/2012 609-49750-425400 19,922.95Check Total: Vendor:1544 US POSTAL SERVICE Check Sequence: 68 ACH Enabled: False Permit #99 Standard Mail PI #99 expiration 8/23/13 190.00 07/10/2012 101-41940-443700 190.00Check Total: AP-Computer Check Proof List by Vendor (07/03/2012 - 11:18 AM)Page 11 Invoice No Description Amount Payment Date Acct Number Reference Vendor:1547 VANCE BROTHERS INC Check Sequence: 69 ACH Enabled: False 22532 405 gal SS-1H 545.06 07/10/2012 101-43120-422400 545.06Check Total: Vendor:1550 VEOLIA WATER N AM OPERATING SERV LLC VEOLIA WATER N AM OPERATIONS INC Check Sequence: 70 ACH Enabled: False 00015632 July 2012 64,399.08 07/10/2012 602-49480-430800 64,399.08Check Total: Vendor:1552 VIKING COCA COLA BOTTLING CO Check Sequence: 71 ACH Enabled: False 25223558 re-sale 235.00 07/10/2012 609-49750-425400 25223653 re-sale 464.20 07/10/2012 609-49750-425400 699.20Check Total: Vendor:1684 VINOCOPIA Check Sequence: 72 ACH Enabled: False 0058622-IN 16.00 07/10/2012 609-49750-433300 0058622-IN 184.50 07/10/2012 609-49750-425100 0058622-IN 680.00 07/10/2012 609-49750-425300 880.50Check Total: Vendor:1567 WES OLSON ELECTRIC LLC Check Sequence: 73 ACH Enabled: False 5501 supplies to install warehouse projector 19.79 07/10/2012 226-45122-440100 5501 Labor - installtion of warehouse projector for meetings 150.00 07/10/2012 226-45122-440100 169.79Check Total: Vendor:2651 WILSON DEVELOPMENT SERVICES LLC Check Sequence: 74 ACH Enabled: False 22791 Balance ZEDTMS - Finders Keepers; zProject Mgmt 29.50 07/10/2012 213-46522-431990 29.50Check Total: Vendor:1573 WINE MERCHANTS INC Check Sequence: 75 ACH Enabled: False 413895 15.29 07/10/2012 609-49750-433300 413895 1,120.00 07/10/2012 609-49750-425300 1,135.29Check Total: Vendor:1209 WIRTZ BEVERAGE MINNESOTA WINE & SPIRITS Check Sequence: 76 ACH Enabled: False 763208 15.95 07/10/2012 609-49750-433300 763208 1,694.23 07/10/2012 609-49750-425100 763209 34.80 07/10/2012 609-49750-433300 763209 2,265.36 07/10/2012 609-49750-425300 AP-Computer Check Proof List by Vendor (07/03/2012 - 11:18 AM)Page 12 Invoice No Description Amount Payment Date Acct Number Reference 766682 56.55 07/10/2012 609-49750-433300 766682 4,126.12 07/10/2012 609-49750-425100 766683 20.30 07/10/2012 609-49750-433300 766683 1,650.95 07/10/2012 609-49750-425300 9,864.26Check Total: Vendor:2972 TIMOTHY C WOOD Check Sequence: 77 ACH Enabled: False 06/25/12 6/25/12 Kickboxing class instructor 25.00 07/10/2012 226-45127-430120 25.00Check Total: Vendor:1657 WORLD CLASS WINES INC Check Sequence: 78 ACH Enabled: False 1796879 -176.00 07/10/2012 609-49750-425300 1811028 14.06 07/10/2012 609-49750-433300 1811028 1,092.89 07/10/2012 609-49750-425100 1811028 246.00 07/10/2012 609-49750-425300 1811028 re-sale 40.12 07/10/2012 609-49750-425400 1,217.07Check Total: Vendor:1577 WRIGHT CO AUDITOR-TREAS - ACH Check Sequence: 79 ACH Enabled: True Patrol-12-7 July 2012 94,763.50 07/10/2012 101-42100-430500 94,763.50Check Total: Vendor:1583 WRIGHT HENNEPIN COOP ELECTRIC ASSOCIATION Check Sequence: 80 ACH Enabled: False 6/18/12 (14) lights School Blvd 5/16-6/15/12 193.90 07/10/2012 101-43160-431900 6/18/12 (30) lights School Blvd 5/16-6/15/12 415.50 07/10/2012 101-43160-431900 6/18/12 (9) lights 7th St & Highland 5/16-6/15/12 90.00 07/10/2012 101-43160-431900 6/18/12 Cedar St Dundas to Chelsea 5/16-6/15/12 124.65 07/10/2012 101-43160-431900 6/18/12 Chelsea Rd E 5/16-6/15/12 180.00 07/10/2012 101-43160-431900 6/18/12 School Blvd Fenning/18/Edmonson 5/16-6/15/12 372.00 07/10/2012 101-43160-431900 6/28/12 HADCO lights @ East 7th St 357.75 07/10/2012 101-43160-431900 1,733.80Check Total: Vendor:1584 WSB & ASSOCIATES INC Check Sequence: 81 ACH Enabled: True 14944907 ZSOUR2 - Sources Water Supply Study - proj mgmt/coord; research 2,803.50 07/10/2012 601-00000-165010 2,803.50Check Total: Vendor:1585 XCEL ENERGY Check Sequence: 82 ACH Enabled: False 6/15/12 51-6505909-4 173.25 07/10/2012 217-41990-438100 AP-Computer Check Proof List by Vendor (07/03/2012 - 11:18 AM)Page 13 Invoice No Description Amount Payment Date Acct Number Reference 6/15/12 MGFARM - 51-0517384-8 155.17 07/10/2012 213-46522-438100 6/18/12 MGFARM - 51-0395766-0 317.49 07/10/2012 213-46522-438100 6/19/12 51-0238874-9 70.50 07/10/2012 101-43160-438100 6/19/12 51-0238890-9 76.41 07/10/2012 101-43160-438100 6/19/12 51-7780310-4 33.09 07/10/2012 101-41940-438100 6/19/12 51-0395766-0 3,969.66 07/10/2012 601-49440-438100 6/20/12 51-4271112-2 1,020.13 07/10/2012 211-45501-438100 6/20/12 51-6505913-0 368.47 07/10/2012 101-42200-438100 6/20/12 51-9391437-3 389.68 07/10/2012 101-41941-438100 6/20/12 51-6505911-8 2,599.84 07/10/2012 101-41940-438100 6/20/12 51-6505911-8 11,290.74 07/10/2012 226-45122-438100 6/20/12 51-6505911-8 668.53 07/10/2012 101-45175-438100 6/20/12 51-6505911-8 297.13 07/10/2012 101-42800-438100 6/20/12 51-6505910-7 1,931.63 07/10/2012 609-49754-438100 6/28/12 51-6505908-3 17.35 07/10/2012 101-42500-438100 6/28/12 51-6505907-2 128.80 07/10/2012 101-43140-438100 23,507.87Check Total: Vendor:2702 DAVE ZELAZNY Check Sequence: 83 ACH Enabled: True 6/26/12 Mileage reimbursement 5/8/12 - 6/26/12 Fibernet - Head End 31.08 07/10/2012 226-45122-433100 31.08Check Total: Total for Check Run: Total of Number of Checks: 388,296.03 83 AP-Computer Check Proof List by Vendor (07/03/2012 - 11:18 AM)Page 14 CityCouncilAgenda:07/09/12 1 5B.ConsiderationofapprovingnewhiresanddeparturesforCitydepartments (TE) A.REFERENCEANDBACKGROUND: TheCouncilisaskedtoratifythehiringanddeparturesofemployeesthathaveoccurred recentlyinthedepartmentslisted.ItisrecommendedthattheCouncilofficiallyratifythe hiring/departureofalllistedemployeesincludingpart-timeandseasonalworkers. A1.BudgetImpact:(positionsaregenerallyincludedinbudget) A2.StaffWorkLoadImpact:Ifnewpositions,theremaybesometraining involved.Ifterminatedpositions,existingstaffwouldpickupthosehours,as needed,untilreplaced. B.ALTERNATIVEACTIONS: 1.Motiontoratifythehire/departuresoftheemployeesasidentifiedontheattached list. 2.Motiontodenytherecommendedhiresanddepartures. C.RECOMMENDATION: BystatutetheCityCouncilhastheauthoritytoapproveallhires/departures.Citystaff recommendsAlternative#1,fortheCounciltoapprovethehiresand/ordeparturesas listed. D.SUPPORTINGDATA: Listofnew/terminatedemployees Name Title Department Hire Date Class Amanda Erickson DMV Clerk DMV 6/21 PT Name Reason Department Last Day Class NEW EMPLOYEES TERMINATING EMPLOYEES Book1: 7/3/2012 CouncilAgenda:7/09/12 1 5C.Considerationofapprovingapplicationsforatemporary2-daytemporaryliquor licenseandacharitablegamblingpermitfortheChurchofStHenry’sfallfestival onSeptember15-16,2012 (CS) A.REFERENCEANDBACKGROUND: TheChurchofStHenryisrequestingapprovalofanapplicationfora2-daytemporary on-saleliquorlicenseinconjunctionwiththeirannualFallFestivaleventonSeptember 15-16,2012.Inaddition,theyarerequestingapprovalofanapplicationforacharitable gamblingpermitforbingo,rafflesandpull-tabsinconjunctionwiththeFallFestival. Theactivitieswilltakeplaceonthechurchparkinglotandgrounds. A1.BudgetImpact:NA A2.StaffWorkloadImpact:MinimalstafftimetoprocessapplicationwithState AlcoholandGamblingDivisionforapproval. B.ALTERNATIVEACTIONS: 1.Motiontoapprovetheapplicationsforatemporary2-dayliquorlicenseand charitablegamblingpermitfortheChurchofStHenry’sFallFestivalon September15-16,2012. 2.Motiontonotapprovetheapplicationsfortemporaryliquorlicenseandcharitable gamblingpermit. C.STAFFRECOMMENDATION: CitystaffrecommendsAlternative#1forapprovaloftheapplications. D.SUPPORTINGDATA: Applicationfortemporaryliquorlicense Applicationforcharitablegamblingpermit CityCouncilAgenda:07/09/12 1 5D.Considerationofapprovinganapplicationforacharitablegamblingpermitfora raffletobeconductedbyWrightCounty/WestMetroWhitetailsonSeptember9, 2012 (CS) A.REFERENCEANDBACKGROUND: TheWrightCounty/WestMetroWhitetailsgrouphasappliedforatemporarycharitable gamblingpermitforaraffletobeheldonSunday,September9,2012inconjunctionwith afundraisingeventatRiverCityExtreme.Theyhaveheldasimilarfundraiserfora numberofyearsinMonticello. ToreceiveapermitfromtheState,theCitymustapprovetheapplication.Inthepastthe Cityhasnotopposedtheseexemptgamblinglicenseapplicationsforcharitableevents. B.ALTERNATIVEACTIONS: 1.Motiontoapprovetheapplicationforacharitablegamblingpermitforaraffleto beconductedbytheWrightCounty/WestMetroWhitetailsonSeptember9,2012 atRiverCityExtreme. 2.Motiontodenytheapplicationforacharitablegamblingpermit. C.STAFFRECOMMENDATION: StaffsupportsAlternative#1andisnotawareofanyreasonwhythisapplicationshould notbeapproved. D.SUPPORTINGDATA: ApplicationforExemptGamblingPermit CityCouncilAgenda:07/09/12 1 5E.Considerationofappointingelectionjudgestoserveforthe2012electionsandon theAbsenteeBallotBoard (CS) A.REFERENCEANDBACKGROUND: MinnesotaStatutesChapter204B.21requirescitiestoappointelectionjudgestoserveat primaryandgeneralelectionsandontheAbsenteeBallotBoard.Aheadelectionjudge shouldalsobedesignatedaspartoftheappointment.Theappointmentofthesejudgesis contingentuponthemcompletingthenecessarytraining,whichisrequiredevery2years withtrainingsessionstakingplaceinJuly. Wearepleasedtoreportthatwehavecloseto50peoplethatindicatedaninterestin beinganelectionjudgeandhavecompletedanapplication.Thislistincludespeoplethat signedupatcaucusesandwereprovidedtousfromtheCounty.WerequestthatCouncil approveallofthenamesonthelisttoserveaselectionjudgesfor2012.Wealsoaskthat RichardQuickbeappointedasHeadElectionJudgeforthe2012elections.Mr.Quick hasservedinthiscapacityinthepastandisveryknowledgeableoftheentireelection processandfamiliarwithmostoftheelectionjudgesthathaveservedpreviously.Sandy SuchyandRosemaryDahlwillserveasleadjudges,oneforeachoftheshiftsonelection day.WeanticipateneedingadditionaljudgesfortheGeneralelectionandarerecruiting othercandidatestoserveaselectionjudges,whichwillbepresentedforapprovalpriorto theGeneralelection. Severalmembersofcitystaffwillagainbeassistingwiththeabsenteevotingprocess. Onceavoterfillsoutanabsenteeballotapplication,citystaffwouldberesponsiblefor enteringtheinformationintotheelectronicStateVoterRegistrationSystem(SVRS), printingofflabels,andassemblingaballotpacket.Citystaffalsoreceivestheballot packetswhentheyarereturned,whicharethenturnedovertotheAbsenteeBallotBoard asrequiredbyelectionlaw.TherecommendedAbsenteeBallotBoardjudgesare highlightedonthelistofjudges.WerequestthatCouncilappointthesepeopleas membersoftheAbsenteeBallotBoardforboththeprimaryandgeneralelections. A1.BudgetImpact:Electionjudgecompensationof$10perhourisincludedinthe 2012budget.TheHeadElectionjudgeiscompensatedanadditional$2perhour. A2.StaffWorkloadImpact:TheDeputyClerkandAdministrativeAssistantwillbe involvedwithelectionstoagreaterdegreethanotherstaff.Asitgetsclosertothe PrimaryandGeneralElectiondays,itisanticipatedthatmoretimewillbespent onelections,includingsomeovertime.ItshouldbenotedthatStateElection Lawsmandatecertainhoursforabsenteeandregularvoting,someofwhichfall outsideofregularcityworkhours. B.ALTERNATIVEACTIONS: 1.Motiontoappoint2012electionjudgesasrecommended. CityCouncilAgenda:07/09/12 2 2.Motionofother. C.STAFFRECOMMENDATION: CitystaffrecommendsAlternative#1.Inordertoconductelectionsinthemanner prescribedbylaw,itisrecommendedtohaveanamplesupplyofelectionjudgesandthe availabilityofstafftoassistasneeded.Councilsupportofthisdecisionwillhelpensure anefficientandeffectiveelectionprocess. D.SUPPORTINGDATA: ElectionJudgelistingfor2012 nameaddress1ExperiencePrimaryGeneralABB Ahrens,Jerrie506MinnesotaStreetXX Anderson,Cindy122MarvinElwoodRoadEJXX Anderson,Fred 122MarvinElwoodRoadEJ/ABBXXX Bienias,Al1319PrairieCreekLaneEJwilltrytohelpifneeded Bitzer,Gladys406CedarStreetEJXX Bourque,Richard9800HartBlvdEJXX Brambrink,Sandra 312WRiverStEJXXX Brauch,Donna 136JerryLiefertDriveEJ/ABBXXX Byholm,Rodney 6122BakkenStreetEJXXX Carlson,David6214MillRunRoadEJX Christianson,Charles524WRiverStEJXX Dahl,Rosemary 1229SandyLnEJ/ABB/LeadXXX DeMarais,Agnes 1021WestBroadwayEJXXX Doucette,Richard 1314PrairieCreekLaneEJ/ABBXXX(Gen) Duran,Rosanne6040BakkenStEJX Erickson,Keri117CrocusLaneXX Fair,Bill1313PrairieCreekLaneXX Fink,Timothy123HedmanLaneXX Gillham,Lynnea925WBroadwayEJXX Gordon,Jacquelin 660RiverviewDriveEJ/ABBXX Grabinski,Robert 1610OakRidgeCircleEJXXX Hoskins,Darla11705SpruceDriveEJXX Hultberg,Lois617VineLaneXX Kendall,Harvey 108HillcrestRoadEJXXX Lenzen,Mary 220FrontStreetEJXXX Ludwig,Charlotte4748EagleRidgeLaneXX Moody,Judy 118KampaCircleEJ/ABBXXX Nesland,MerriJo(Jo)330EThirdStreetEJXX Norling,Carol 9237GoodrichDriveEJ/ABBXXX Norling,Lonnie9237GoodrichDriveXX Opay,Frank100HillcrestCircleEJXX Ordonez,Denise 230EKjellbergPkEJXXX Peters,Diane 1120SandyLaneEJXXX Quick,Richard1134thStreetSEEJ/HeadXX Sanborn,James6696EastOakDriveEJXX Seefeldt,Merrlyn167JerryLiefertDriveEJXXX Smith,Jeanette 604VineLaneEJ/ABBXX Solberg,Darlene11693SpruceDriveEJXX Soltau,Rita1305E.7thStreet#258EJX Sonju-Thielman,Pat 1344PrairieCreekLaneEJ/ABBXXX Spiers,Julie3623BrentwoodDriveXX Stevenson,Jim 512VineStreetEJXXX Stickfort,Marilyn1213SandyLaneXX Suchy,Sandy 890BriarCourtEJ/ABB/LeadXXX Theisen,Carrie134JerryLeifertDriveXX Wimmer,Donna62861/2StreetEJXX Wolff,Lorraine1201GolfCourseRoadEJXX ELECTIONJUDGES(ABBinbold) CityCouncilAgenda:07/09/12 1 5F.ConsiderationofapprovingaSpecialEventPermitallowingWalnutStreetclosure and useofmunicipalparkinglotsforDowntownBlockPartyonJuly11,2012. Applicant:PartnersforDowntownGroup/CornerstoneCafé (AS) A.REFERENCEANDBACKGROUND: TheCityCouncilisaskedtoconsiderapprovalofaspecialeventpermitfortheDowntown BlockParty,occurringonJuly11,2012.Therequesthastwoassociatedconsiderations: a)Approvalofstreetclosure–WalnutStreet b)Useofmunicipalparkinglots–3rd Street CornerstoneCaféisrequestingtheclosureinordertocoordinateadowntownMonticello blockparty,whichwillbepromotedandheldincooperationwiththedowntown businesses.ThispubliccommunityeventisproposedtooccurWednesdayevening, duringtheweekofRiverfest.TheeventisthefirstbeingcoordinatedbythePartnersfor DowntownwithCornerstoneCaféactingastheprimaryfacilitator. Similartopreviousyears,therequestincludestheclosureofWalnutStreetbetween BroadwayWestandThirdStreet.Theeventwillutilizetheentirerightofway,including portionsoftheboulevardinfrontofWalnutStreetbusinessesinthatarea.Cornerstone wouldlikethestreettobeclosedbetween9AMand11PMtoaccommodatevolunteer set-upandtake-downbeforeandaftertheevent.Theeventitselfwilloccurfrom4:30 PMto9:00PM. Asitemapillustratingtheproposedconfigurationofactivities,includingclosurepoints hasbeendevelopedincooperationwiththeMonticelloStreetsSuperintendent. ThePublicWorksDepartmentwilltakeresponsibilityforprovidingthebarricadesand conesandwillreviewfinalbarricadeplacement.PublicWorkshasalsocontactedthe WrightCountySheriff’sDepartment.Theyhavebeennotifiedofthedateandtimeof thiseventsothattheyareabletomonitortheactivity.Publicworkswillalsonotify WrightCountyofthisclosure,asitisclosedattheintersectionofCountyHighway75. TemporarysignagesignalingthisclosurewillbeplacedalongWestBroadway/County Highway75duringtheevent. CornerstoneisalsorequestingCouncilapprovalforuseofthemunicipalparkinglots along3rd Streetforeventactivities.Aspartofthestreetclosureandparkinglotuse,the groupisalsoseekingCityassistanceforprovidingandplacingpicnictablesandgarbage cansfortheevent.TheStreetsandParksDepartmentshavebeenmadeawareofthis requestandhaveindicatedthattheyareableandwillingtocomply. Eventorganizershaveobtainedinsurancetocovertheeventanditsactivitieswiththe Citynamedassecondinsured. CityCouncilAgenda:07/09/12 2 ThepropertyandbusinessownersalongthissectionofWalnutStreetwillberequiredto becontactedabouttheBlockParty. TheBlockPartywasdevelopedasawaytopromoteDowntownMonticelloasa communitydestinationforalocaleventthatcanbringpeopleoutoftheirhomesandinto thecoredowntownofthecity,sponsoredbythebusinesscommunityandorientatedto familysocialactivitiesforlocalfellowshipandgathering. A1.BudgetImpact:None. A2.StaffWorkloadImpact:Staffimpactsareasnotedaboveandincludedrop-off andpickupofbarricades,picnictablesandtrash/recyclingreceptaclesduring PublicWorksnormalbusinesshours. B.ALTERNATIVEACTIONS: 1.MotiontoapprovetheSpecialEventPermitallowingtemporaryclosingof WalnutStreetfrom9a.m.until11p.m.onWednesday,July11th,2012,including theuseofpublicparkingfacilitiesandamenitiesasdescribed,contingenton: a.ContinuedsitecoordinationwithStreetSuperintendent. b.Notificationofaffectedlocalbusinessesbypermitholder. 2.MotiontodenytheSpecialEventPermitfortemporaryclosureofWalnutStreet anduseofpublicfacilitiesandamenitiesasdescribed. C.STAFFRECOMMENDATION: CitystaffsupportsthePartnersforDowntown’seffortsandrecommendsAlternative#1 above. D.SUPPORTINGDATA: ApplicationforSpecialEvent SitePlans CertificateofInsurance CouncilAgenda:07/09/12 1 5G.Considerationofapprovingapplicationfor1-daytemporaryon-saleliquorlicense forMonticelloRotaryClubforTasteoftheTownevent (CS) A.REFERENCEANDBACKGROUND: TheMonticelloRotaryClubisrequestingapprovalofanapplicationfora1-day temporaryon-saleliquorlicensefortheirTasteoftheTowneventonSeptember13, 2012.ThiseventisplannedtotakeplaceattheCityParkandRidelotpendingapproval ofthearrangementsbytheCityCouncil. TheRotaryClubhasprovidedeventinsurancewhichincludesliquorliability. A1.BudgetImpact:NA A2.StaffWorkloadImpact:MinimalstafftimetosendapplicationtoStateAlcohol andGamblingDivisionfortheirsignature. B.ALTERNATIVEACTIONS: 1.Motiontoapprovetheapplicationfora1-daytemporaryliquorlicenseforthe MonticelloRotaryClubonSeptember13,2012fortheirTasteoftheTownevent, contingentonreceivingpaymentfortheapplication. 2.Motiontodenytheapplicationfortemporaryliquorlicense. C.STAFFRECOMMENDATION: CitystaffrecommendsAlternative#1forapprovaloftheapplication. D.SUPPORTINGDATA: Applicationfortemporaryliquorlicense CityCouncilAgenda:07/09/12 1 5H.ConsiderationofapprovingaSpecialEventPermitallowinguseofcommuter parkinglotandrelatedassistanceinconjunctionwithRotary“TasteoftheTown” eventonSeptember13,2012.Applicant:MonticelloRotaryClub (AS) A.REFERENCEANDBACKGROUND: TheCityCouncilisaskedtoconsiderapprovalofaspecialeventpermitfortheTasteof theTownevent,afoodandbeveragefundraisingeventorganizedbytheMonticello RotaryClub.Therequesthastwoassociatedconsiderations: a)ApprovalforuseofCityparkandridelot b)Approvaloftemporaryliquorlicense–SeeItem5G ThiscommunityeventisproposedtooccurThursday,September13th,2012andwillbe promotedandheldincooperationwithlocalfoodandbeveragevendors Asillustratedinthesiteplan,theeventisproposedtobelocatedintheJefferson Commonscommuterlot.Eventattendeeswillbeaccessingtheareabyvehiclefrom DeeganAvenue.Aspartoftheparkandridelotuse,thegroupisalsoseekingCity assistanceforprovidingbarricades,cones,andpicnictables. TheRotaryClubisrequestingthattheparkandridelotbepartiallyclosedforset-upby volunteersonWednesdayafternoonwiththelotfullyclosedtheentiredayoftheevent forcompletionofset-up.ThePublicWorksDepartmentsigntrailerwillbeplacedatthe commuterlot7dayspriortotheeventtonotifyusersoftheclosures.Fullaccesstoa limitednumberofparkandridestallswillstillbemadeavailableWednesday. Theeventwilloccurfrom5:30PMto8:30PMonThursdaythe13th.Asitemap illustratingtheproposedconfigurationofdisplayspacesisincludedinsupportingdata. TheeventorganizersproposetoutilizeaportionoftheMullerTheatreparkinglotarea ontheeastside.ThepropertyownerwillneedtobecontactedandagreestoallowRotary tousethisareaforeventparking.Duringtheeventvolunteerswillbedirectingtrafficfor parkingintothesigneddesignatedareas. ThePublicWorksDepartmenthasindicatedthatifapprovedbyCouncil,theyareableto provideconesandbarricadesforparkingareasonWednesday.Directionalassistancefor vehiclesislimitedtoparkingareasandnotrequiredforanycitystreets.Thegroupitself willprovideanon-sitedumpsterandtrashcontinuesandwillprovidefullsiteclean-up. TheMonticelloRotaryClubhasobtainedinsurancetocovertheeventanditsactivities withtheCitynamedassecondinsured.Individualfoodandbeveragevendorswillalso haveinsurancecoverageastheywillbecateringthefoodandservingbeverages includingbeerandalcoholicdrinks. CityCouncilAgenda:07/09/12 2 Aspartoftherequest,RotaryisalsoseekingCouncil’sapprovaltomoveforwardan applicationforpermitfromtheStateofMinnesotaforatemporaryonedayliquorlicense. Thatrequestiscoveredinaseparateitem. ItshouldbenotedthatRotaryisproposingtosetup4largerentaltentsontheparkand ridelotfortheevent.Tosecurethetents,metalsstakeswillbefastenedintotheparkand ridepavementsurface.Aswithlastyear’sevent,Rotaryisagainaskedtopatchand repairatthestakelocationstothesatisfactionofthePublicWorksDepartment.The RotarygroupwillalsocontinuetoworkwithPublicWorksstaffregardingpowersupply fortheeventandwillbeaskedtocomplywiththerecommendationsofstaffinthat regard.Inaddition,theRotarywillneedtocoordinatetentheightandplacementwiththe CityEngineerrelativetotheoverheadpowerlinesandexistingeasements. TheTasteoftheTownwasdevelopedbyRotaryasanadults-onlydestinationeventthat canbringpeopletogetherforasocialfellowshipgatheringfromnotonlyMonticellobut surroundingcommunitiesaswell.Allpatronstakingpartinthiseventmustbeage21or olderandidentificationwillbecheckedattheentrancedoor.TheWrightCountySheriff willbecontractedbythegrouptoprovideaddedsecurityfortheevent’sactivities. TasteoftheTownwasdesignedtobeafundraiserforthisnon-profitorganization.The groupanticipatessellingupto900ticketsfortheMonticelloTasteevent. A1.BudgetImpact:None. A2.StaffWorkloadImpact:RotaryisrequestingCityassistancefordeliveryand pick-upofbarricades,cones,andpicnictables.Thesewillbedeliveredtothesite andpickedupduringregularstaffhours.TheStreetSuperintendentwillalso prepareasiteplanforbarricadeandconeplacementtoaidvolunteerset-up. B.ALTERNATIVEACTIONS: 1.MotiontoapprovetheSpecialEventPermitallowingtemporaryuseofthe JeffersonCommonsparkandridelotforset-upbeginningat3p.m.on Wednesday,September12through10p.m.onThursday,September13,2012, includingtheuseofpublicparkingfacilitiesandCityservicesasdescribedinthe staffreportofJuly9th,2012,contingenton: a.ContinuedsiteplancoordinationwiththeStreetSuperintendentandCity Engineer. b.Commuterlotclosuresignageandnotificationincoordinationwiththe StreetSuperintendent. c.Notificationofaffectedlocalbusinessesbypermitholder. 2.MotiontodenySpecialEventPermitfortemporaryclosureofparkandridelot. CityCouncilAgenda:07/09/12 3 C.STAFFRECOMMENDATION: CitystaffsupportstheMonticelloRotaryClub’seffortsandrecommendsAlternative#1 above. D.SUPPORTINGDATA: Application&Narrative AerialSiteImage MonticelloRotaryClubTasteoftheTownSitePlan CertificateofInsurance CityCouncilAgenda:07/09/12 1 5I.ConsiderationoftablingChangeOrder#1fortheMCCNatatoriumImprovements, CityProjectNo.11C006 (KB) A.REFERENCEANDBACKGROUND: Thepaintingoftheceilinginthepoolareawillbeanexpensiveandtimeconsuming repair.Becauseofthisfact,WoldArchitectshasbeenworkingongettingthebest pricingortoprovidetheCitywiththebestoptionforthefacilityandforitsusers.While Wolddoesbelievetheyhaveconfirmedtheoverallpricetosandblastandrepaintthefull ceiling;itishigherthanoriginallyanticipated.Theywouldlikesometimetoresearch thepricingorotheroptionsfortheCity.Oncethisresearchisdone,itmightbe appropriatetohavetheBuildingCommitteereviewtheinformationbeforebringingit backtotheCityCouncilforfinalapproval. TherepairsinthepoolareawillnotbeginuntilSeptember;thereforetakingthetimeto researchalloptionsshouldnotcauseanyconstructiondelays.Weexpecttobringthis backtotheCouncilatthesecondmeetinginJuly,butwillbeaskingtotableindefinitely toprovidetimetobringtheBuildingCommitteetogetheriftheyfeelthatwouldbe appropriate. A1.BudgetImpact:Tobedeterminedasmoreresearchisdone. A2.StaffWorkloadImpact:Noneatthistime. B.ALTERNATIVEACTIONS: 1.Motiontotableindefinitelypendingreceiptofinformationonoptionspertaining toChangeOrder#1fortheNatatoriumImprovementproject. C.STAFFRECOMMENDATION: CitystaffrecommendsAlternative#1.WiththeCityCouncil’sconcernsaboutadded coststotheproject,Woldhasbeendiligentlyworkingtofindthebestsolutionforthe Cityinthisprojectandappreciatetheaddedtimetofullyexplorethisitemforus. D.SUPPORTINGDATA: None CityCouncil:7/09/2012 1 7.ConsiderationofratifyingthedecisionoftheEDAadoptingthe2012TIFAnalysis andManagementPlan (MBL) A.REFERENCEANDBACKGROUND: TheCityCouncilisaskedtoratifytheEDA’sdecisiontoadoptthe2012TIF ManagementPlan. TheCityCouncilmayrecallthatin2009theEDAinitiatedaTIFanalysisprojectto reviewallTIFdistrictsintheCity.TheTIFManagementPlanhasprovidedCityStaff andtheEDAvaluableinformationoverthepastthreeyears.Subsequenttothe completionofthe2009TIFManagementPlan,severalactionshavebeencompleted including:districtsweredecertified,surplusTIFbalanceshavebeenutilizedforstudies andpropertypurchase,andanewdistrictwascreatedforSuburbanManufacturing.In ordertoensuretheTIFManagementPlanisaccurate,theEDAauthorizedNorthland Securitiestocompleteanupdate. TammyOmdalfromNorthlandSecuritieswillbeattheCityCouncilmeetingtopresent anoverviewofinformationcontainedintheplanandansweranyquestions. Overall,thereportconcludesthattheTIFDistrictsarefunctioningwellandtheCity/EDA isingoodposition.Follow-upstepswillincludeworkingwiththeCityCouncilandEDA todeterminethemostappropriatemeansforutilizingsurplusTIFinDistricts1-5and1-6 beforethedistrictsdecertifyin2012and2013respectfully.Staffwouldalsoliketo discussinitiatingadetailedanalysisofTIF1-22todetermineallappropriatePID’sthat shouldbe“knockedout”ofthedistrict. A1.BudgetImpact:TheEDAapproveda$5,500contractcostattheirFebruary8, 2012meeting.ThefeewillbedividedequallyamongtheactiveTIFdistricts. B.ALTERNATIVEACTIONS: 1.MotiontoratifytheEDA’sdecisionadoptingthe2012TIFAnalysis& ManagementPlan. 2.Motiontodenyadoptingthe2012TIFManagementPlan. C.RECOMMENDATION: CityStaffandtheEDArecommendAlternate#1.TheEDAdidnothaveanyoutstanding questionsorconcernsregardingtheinformationpresentedbyNorthlandSecurities. D.ATTACHMENTS: 2012TIFAnalysis&ManagementPlan TI F A n a l y s i s a n d M a n a g e m e n t P l a n Ta x I n c r e m e n t F i n a n c i n g D i s t r i c t s Mo n t i c e l l o E c o n o m i c D e v e l o p m e n t A u t h o r i t y 20 1 2 U P D A T E NO R T H L A N D S T R A T E G I E S Sp e c i a l P r o j e c t s G r o u p i In t r o d u c t i o n 1 Re p o r t O v e r v i e w . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . . . . . 1 St u d y A p p r o a c h . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . 1 Us i n g t h e R e p o r t . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . 2 Ov e r v i e w o f T I F i n M o n t i c e l l o . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . 3 Di s t r i c t s i n 2 0 0 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . 3 Pr o j e c t A r e a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . 3 Th e A u t h o r i t y . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . 3 Ma n a g e m e n t P l a n 7 Ex e c u t i v e S u m m a r y . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . 7 Pr e - 1 9 9 0 D i s t r i c t s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . 7 Po s t 1 9 9 0 - S o u n d P l a n s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . 7 Po s t 1 9 9 0 - M a n a g e m e n t I s s u e s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 Re g u l a t o r y F r a m e w o r k . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . 8 Ov e r a l l M a n a g e m e n t S t r a t e g y . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . 9 TI F R e c o r d B o o k s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . 9 Co o r d i n a t i o n W i t h W r i g h t C o u n t y . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 Ad m i n i s t r a t i v e E x p e n s e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 De v e l o p m e n t A g r e e m e n t s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 0 An n u a l R e p o r t i n g . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . 1 0 St a t u t o r y F a c t o r s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . . . . . 1 0 Ad m i n i s t r a t i v e E x p e n s e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 Kn o c k D o w n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . 1 1 Po o l i n g . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . 1 1 Fi v e Y e a r R u l e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . 1 1 De c e r t i f i c a t i o n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . 1 2 Ex p a n d e d T a x B a s e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . 1 3 In d u s t r i a l L a n d A n a l y s i s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . 1 3 Di s t r i c t S u m m a r y 1 5 Di s t r i c t 1 - 5 ( C o n s t r u c t i o n 5 ) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . 1 5 Di s t r i c t 1 - 6 ( R a i n d a n c e ) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . 1 8 Di s t r i c t 1 - 1 9 ( M i s s i s s i p p i S h o r e s ) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . 2 1 Di s t r i c t 1 - 2 0 ( P r a i r i e W e s t ) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . 2 4 Di s t r i c t 1 - 2 2 ( D o w n t o w n ) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . 2 7 Di s t r i c t 1 - 2 4 ( C h u r c h o f S t . H e n r y ) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . 3 2 Di s t r i c t 1 - 2 9 ( F r o n t P o r c h A s s o c i a t e s ) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . 3 4 Di s t r i c t 1 - 3 4 ( M o n t i c e l l o I n t e r c h a n g e ) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . 4 0 Di s t r i c t 1 - 3 5 ( L a n d m a r k S q u a r e I I ) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . 4 3 Di s t r i c t 1 - 3 6 ( R o c k y M o u n t a i n G r o u p ) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . 4 5 Di s t r i c t 1 - 3 7 ( S L R e a l E s t a t e H o l d i n g s ) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . 4 7 Di s t r i c t 1 - 3 8 ( W a l k e r ) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . . 4 9 Contents ii Di s t r i c t 1 - 3 9 ( O t t e r C r e e k C r o s s i n g ) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . 5 1 Ex c e r p t s f r o m T I F A c t 5 2 Ad m i n i s t r a t i v e E x p e n s e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . 5 2 Di s t r i c t L i m i t a t i o n s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . . . . 5 3 Kn o c k D o w n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . . 5 4 Po o l i n g a n d F i v e - Y e a r R u l e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . 5 5 Mo d i f i c a t i o n o f P l a n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . 6 0 De c e r t i f i c a t i o n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . 6 1 1Introduction Re p o r t O v e r v i e w Th i s r e p o r t s s e r v e s a s a g u i d e f o r t h e m a n a g e m e n t o f ta x i n c r e m e n t fi n a n i n g ( T I F ) d i s t r i c t s i n t h e C i t y o f Mo n t i c e l l o . T h i s r e p o r t w a s fi r s t p r e p a r e d i n 2 0 0 9 a n d up d a t e d i n 2 0 1 2 . T h e r e p o r t c o n t a i n s o v e r a l l m a n a g e - me n t s t r a t e g i e s a n d k e y f a c t o r s t h a t i n fl u e n c e t h e u s e of T I F i n e a c h o f t h e C i t y ’ s e x i s t i n g d i s t r i c t s . Ac t i o n s T a k e n S i n c e 2 0 0 9 R e p o r t Si n c e a d o p t i o n o f t h e 2 0 0 9 R e p o r t , t h e E D A h a s t a k e n ac t i o n o n m a n y k e y i t e m s t h a t w e r e i n c l u d e d i n t h e fi r s t r e p o r t . T h e k e y a c c o m p l i s h m e n t s a r e l i s t e d b e - lo w : • A c t e d t o d e c e r t i f y t h e f o l l o w i n g T I F D i s t r i c t s : 1 - 2 , 1- 2 6 , 1 - 2 8 , 1 - 3 1 , a n d 1 - 3 3 . • C o m p l e t e d a d o w n t o w n s t u d y , “ E m b r a c i n g D o w n - to w n ” , f o c u s e d o n m a r k e t i n g , l a n d u s e , t r a n s p o r - ta t i o n , fi n a n c i n g , a n d i m p l e m e n t a t i o n s t r a t e g i e s . • P u r c h a s e d p r o p e r t y , k e y p a r c e l s , t o a d v a n c e e c o - no m i c d e v e l o p m e n t p l a n s . • P r o v i d e d f u n d i n g f o r k e y r o a d i m p r o v e m e n t p r o j - ec t s . • T a k e n a c t i o n t o c a l l b o n d s a n d p a y i n f u l l u s i n g av a i l a b l e t a x i n c r e m e n t d o l l a r s . • A d o p t e d a s p e n d i n g p l a n a l l o w i n g f o r p o o l i n g o f av a i l a b l e t a x i n c r e m e n t d o l l a r s ( u n d e r t e m p o r a r y le g i s l a t i v e a u t h o r i t y ) t o a s s i s t w i t h m e e t i n g e c o - no m i c d e v e l o p m e n t g o a l s a n d j o b c r e a t i o n . • C o n t i n u e d t o m e e t a l l o b l i g a t i o n s o n o u t s t a n d i n g lo a n s , n o t e s , a n d b o n d s . Or g a n i z a t i o n o f R e p o r t Th e 2 0 1 2 r e p o r t i s o r g a n i z e d f o l l o w i n g e s s e n t i a l l y t h e sa m e o u t l i n e u s e d f o r t h e 2 0 0 9 r e p o r t . Th e r e p o r t i s o r g a n i z e d i n t o t h r e e s e c t i o n s : 1. I n t r o d u c t i o n p r o v i d e s b a c k g r o u n d i n f o r m a t i o n ab o u t t h e r e p o r t , t h e p r o c e s s u s e d t o s t u d y t h e T I F di s t r i c t s , a n d a g e n e r a l d e s c r i p t i o n o f s y s t e m o f t a x in c r e m e n t fi n a n c i n g d i s t r i c t s . 2. M a n a g e m e n t P l a n d i s c u s s e s m a n a g e m e n t i s s u e s th a t a p p l y t o a l l t a x i n c r e m e n t fi n a n c i n g d i s t r i c t s in M o n t i c e l l o . 3. D i s t r i c t S u m m a r i e s f o c u s e s o n e a c h i n d i v i d u a l TI F d i s t r i c t . T h e s u m m a r i e s c o n t a i n m a n a g e m e n t st r a t e g i e s a n d fi n a n c i a l d a t a f o r e a c h d i s t r i c t . I n - fo r m a t i o n i s p r o v i d e d o n a c t i o n s i t e m s a n d a c c o m - pl i s h m e n t s t h a t h a v e o c c u r r e d s i n c e t h e p r i o r 2 0 0 9 re p o r t . A d m i n i s t r a t i v e t a s k s a r e s u g g e s t e d ; t h i s se c t i o n i n t h e s u m m a r i e s o ff e r s r e c o m m e n d a t i o n on a d m i n i s t r a t i v e f o l l o w - u p i t e m s . St u d y A p p r o a c h A s i m i l a r s t u d y a p p r o a c h w a s f o l l o w e d i n 2 0 1 2 a s u s e d in 2 0 0 9 . T h i s s t u d y w a s p r e p a r e d b y N o r t h l a n d S e c u - ri t i e s . T h e f o l l o w i n g s t e p s w e r e t a k e n a s p a r t o f t h e st u d y p r o c e s s : • K e y d a t a w a s o b t a i n e d f r o m p r o j e c t fi l e s f o r e a c h TI F d i s t r i c t . T h i s d a t a i n c l u d e s e x c e r p t s o f T I F pl a n s a n d d e v e l o p m e n t a g r e e m e n t s t h a t e s t a b l i s h th e p a r a m e t e r s f o r t h e u s e o f T I F . • D a t e s r e l a t e d t o t h e e s t a b l i s h m e n t a n d c e r t i fi c a t i o n of t h e d i s t r i c t s w e r e v e r i fi e d . T h e s e d a t e s d e t e r - mi n e t h e t i m i n g c o n s t r a i n t s f o r e a c h d i s t r i c t . • W r i g h t C o u n t y p r o v i d e d t h e c u r r e n t b a s e t a x c a - pa c i t y v a l u e , a n d t h e c u r r e n t i n c r e m e n t t a x c a p a c - it y v a l u e f o r t h e d i s t r i c t s ( f o r t a x e s p a y a b l e 2 0 1 2 ) . 2Introduction • H i s t o r i c a l r e v e n u e s , e x p e n d i t u r e s a n d f u n d b a l - an c e s c o m e f r o m fi n a n c i a l d a t a p r o v i d e d b y t h e Ci t y . T h e fi n a n c i a l s u m m a r i e s i n c l u d e d i n t h i s re p o r t b a l a n c e t o t h e “ E D A S u m m a r y R e p o r t ” pr e p a r e d b y t h e C i t y . T h e C i t y ’ s “ E D A S u m m a r y Re p o r t ” i n c l u d e s y e a r b y y e a r s o u r c e s a n d u s e s o f fu n d s a n d e n d i n g b a l a n c e . T h e s t u d y a p p r o a c h di d n o t i n c l u d e r e c o n c i l i n g t h e “ E D A S u m m a r y Re p o r t ” t o t h e a n n u a l r e p o r t s fi l e d w i t h t h e O ffi c e of t h e S t a t e A u d i t o r . • T h e c u r r e n t b a l a n c e s f o r b o n d , n o t e a n d i n t e r f u n d lo a n o b l i g a t i o n s r e p r e s e n t t h e a m o u n t o u t s t a n d i n g on D e c e m b e r 3 1 , 2 0 1 1 . T h e s e a m o u n t s w e r e p r o - vi d e d b y t h e C i t y i n t h e E D A S u m m a r y R e p o r t . It i s a l s o i m p o r t a n t t o n o t e a s p e c t s o f T I F i n M o n t i c e l l o no t r e v i e w e d a s p a r t o f t h i s s t u d y : • T h i s s t u d y w a s n o t i n t e n d e d t o b e a n a u d i t o f T I F us e i n M o n t i c e l l o . N o r t h l a n d d i d n o t v e r i f y t h e da t a u s e d i n t h e a n n u a l r e p o r t s . • N o r t h l a n d d i d n o t r e v i e w p r o j e c t d a t a t o d e t e r - mi n e c o m p l i a n c e w i t h t h e t e r m s o f d e v e l o p m e n t ag r e e m e n t s . Us i n g t h e R e p o r t Th i s r e p o r t i s i n t e n d e d t o b e a p r a c t i c a l g u i d e f o r c i t y st a ff , E c o n o m i c D e v e l o p m e n t A u t h o r i t y a n d C i t y Co u n c i l o n t h e o n - g o i n g u s e o f T I F . A s s h o w n b y u s e of t h e 2 0 0 9 r e p o r t , m u c h o f t h e i n f o r m a t i o n i n t h i s r e - po r t h a s e n d u r i n g v a l u e a n d w i l l s e r v e t o c o n t i n u e t o gu i d e m a n a g e m e n t d e c i s i o n s o v e r t h e l i f e o f t h e T I F di s t r i c t . H o w e v e r , T I F i s a d y n a m i c s y s t e m . P r o p e r t y va l u e s , t a x r a t e s , s t a t u t e s a n d r u l e s c h a n g e f r o m y e a r - to - y e a r . T h i s r e p o r t s h o u l d b e t h e f o u n d a t i o n o f a n an n u a l r e v i e w a n d m a n a g e m e n t p l a n u p d a t e . T h i s st r a t e g y i s d e s c r i b e d i n g r e a t e r d e t a i l i n t h e M a n a g e - me n t P l a n s e c t i o n o f t h i s r e p o r t . 3Introduction Ov e r v i e w o f T I F i n M o n t i c e l l o Di s t r i c t s i n 2 0 1 2 Th e C i t y o f M o n t i c e l l o h a s 1 4 e s t a b l i s h e d a n d a c t i v e ta x i n c r e m e n t fi n a n c i n g d i s t r i c t s . T h e o l d e s t d i s t r i c t th a t i s s t i l l a c t i v e i s N o . 1 - 5 , e s t a b l i s h e d i n 1 9 8 5 . D i s - tr i c t N o . 1 - 3 9 i s t h e n e w e s t d i s t r i c t e s t a b l i s h e d i n A u - gu s t 2 0 1 1 . C e r t i fi c a t i o n o f 1 - 3 9 w a s fi l e d w i t h W r i g h t Co u n t y i n J u n e 2 0 1 2 . Th e f o l l o w i n g d i s t r i c t s w e r e i n c l u d e d i n t h e 2 0 0 9 r e - po r t b u t w e r e s u b s e q u e n t l y d e c e r t i fi e d a n d t h e r e l a t e d fu n d s c l o s e d a n d t h e r e f o r e a r e n o t i n c l u d e d i n t h i s r e - po r t : 1 - 2 ; 1 - 2 6 ; 1 - 2 8 ; 1 - 3 1 ; a n d 1 - 3 3 . Th e t a b l e o n P a g e 5 s u m m a r i z e s t h e p r i m a r y i n f o r m a - ti o n f o r e a c h M o n t i c e l l o T I F d i s t r i c t . T h i s i n f o r m a t i o n ca n a l s o b e f o u n d i n t h e s u m m a r y f o r t h e s p e c i fi c d i s - tr i c t l a t e r i n t h i s r e p o r t . Th e r e l e v a n c e o f d a t a w i l l b e e x p l a i n e d i n t h e M a n a g e - me n t P l a n s e c t i o n o f t h e r e p o r t . Pr o j e c t A r e a Al l T I F d i s t r i c t s a r e p a r t o f C e n t r a l M o n t i c e l l o R e d e - ve l o p m e n t P r o j e c t A r e a N o . 1 . T h e m a p o n P a g e 4 sh o w s t h e b o u n d a r i e s o f t h e P r o j e c t A r e a a n d o f e a c h TI F d i s t r i c t . T h e P r o j e c t A r e a c o v e r s a l a r g e p o r t i o n o f Mo n t i c e l l o . T h e p r i m a r y e c o n o m i c d e v e l o p m e n t a n d re d e v e l o p m e n t a r e a s o f t h e C i t y f a l l i n t o t h e P r o j e c t Ar e a . Th e p r i m a r y f u n c t i o n o f t h e P r o j e c t A r e a i s t o d e fi n e th e a r e a s f o r u s e o f t a x i n c r e m e n t fi n a n c i n g . S t a t e L a w re q u i r e s e a c h T I F d i s t r i c t t o b e l o c a t e d i n a p r o j e c t a r e a . Su b j e c t t o l e g a l c o n s t r a i n t s a p p l i c a b l e t o e a c h d i s t r i c t , mo n i e s f r o m a t a x i n c r e m e n t fi n a n c i n g d i s t r i c t c a n b e sp e n t o u t s i d e t h e T I F d i s t r i c t , b u t w i t h i n t h e P r o j e c t Ar e a . Th e fl ex i b i l i t y t o s p e n d t a x i n c r e m e n t r e v e n u e s th r o u g h o u t t h e C i t y w a s m o r e r e l e v a n t i n t h e e a r l i e r ye a r s o f T I F u s e . P r i o r t o 1 9 9 0 , c i t i e s f a c e d r e l a t i v e l y li tt l e s t a t u t o r y l i m i t a t i o n o n t h e a b i l i t y t o s p e n d t a x in c r e m e n t s o n d e v e l o p m e n t a c t i v i t i e s o u t s i d e o f t h e TI F d i s t r i c t . T h i s p r a c t i c e i s c a l l e d “ p o o l i n g ” . I n 1 9 9 0 , th e L e g i s l a t u r e p l a c e d s p e c i fi c l i m i t s o n p o o l i n g ( s e e “P o o l i n g ” i n M a n a g e m e n t P l a n s e c t i o n ) . Th e s e s t a t u t o r y c h a n g e s s i g n i fi c a n t l y d i m i n i s h e d t h e ne e d f o r a n e x p a n s i v e p r o j e c t a r e a a s t h e b a s i s f o r T I F . De s p i t e t h e s e c h a n g e s , t h e C e n t r a l M o n t i c e l l o R e d e - ve l o p m e n t P r o j e c t A r e a N o . 1 c o n t i n u e s t o s e r v e a s a re a s o n a b l e p r o j e c t a r e a f o r t h e e s t a b l i s h m e n t o f T I F di s t r i c t s . Th e A u t h o r i t y Th e M o n t i c e l l o E c o n o m i c D e v e l o p m e n t A u t h o r i t y (E D A ) i s d e s i g n a t e d a s t h e s t a t u t o r y “ a u t h o r i t y ” f o r a l l ex i s t i n g T I F d i s t r i c t s i n M o n t i c e l l o . S o m e T I F d i s t r i c t s we r e o r i g i n a l l y e s t a b l i s h e d b y t h e M o n t i c e l l o H o u s i n g an d R e d e v e l o p m e n t A u t h o r i t y ( H R A ) . R e s p o n s i b i l i t y fo r t h e s e d i s t r i c t s w a s s u b s e q u e n t l y a s s i g n e d t o t h e ED A . Th e a u t h o r i t y i s r e s p o n s i b l e f o r a d m i n i s t e r i n g t h e TI F d i s t r i c t s a n d m a n a g i n g t h e p l a n s f o r e a c h d i s t r i c t . Ge n e r a l l y , u n l e s s S t a t e L a w s p e c i fi c a l l y r e q u i r e s a c - ti o n b y t h e C i t y C o u n c i l , a l l m a n a g e m e n t p o w e r s f o r TI F d i s t r i c t s a r e h e l d b y t h e a u t h o r i t y . F o r M o n t i c e l l o TI F d i s t r i c t s , t h e E D A i s r e s p o n s i b l e f o r : • M a n a g i n g T I F P l a n t o e n s u r e c o m p l i a n c e w i t h St a t e L a w . • M a k i n g d e c i s i o n s a b o u t t h e e x p e n d i t u r e o f f u n d s co l l e c t e d b y e a c h d i s t r i c t . • A d m i n i s t e r i n g d e v e l o p m e n t a g r e e m e n t s . 4Introduction • P r e p a r i n g a n n u a l d i s c l o s u r e a n d r e p o r t s . • D e t e r m i n i n g t h e a p p r o p r i a t e t i m e t o d e c e r t i f y a TI F d i s t r i c t . Th e C i t y C o u n c i l a p p r o v e s t h e i n i t i a l e s t a b l i s h m e n t of a T I F d i s t r i c t . F u t u r e C i t y C o u n c i l a p p r o v a l ( a n d a p u b l i c h e a r i n g ) i s n e e d e d f o r c e r t a i n p l a n m o d i fi c a - ti o n s : • C h a n g e t h e a r e a o f t h e d i s t r i c t . • I n c r e a s e b o n d e d i n d e b t e d n e s s . • D e t e r m i n e t h e n e e d t o c a p i t a l i z e i n t e r e s t o n b o n d s . • I n c r e a s e t h e p o r t i o n o f t h e c a p t u r e d t a x c a p a c i t y t o be r e t a i n e d . • I n c r e a s e t h e b u d g e t ( e s t i m a t e d p r o j e c t c o s t s ) f o r th e d i s t r i c t . • D e s i g n a t e a d d i t i o n a l p a r c e l s f o r p u b l i c a c q u i s i t i o n . Th e C i t y C o u n c i l i s r e s p o n s i b l e f o r t h e i s s u a n c e o f g e n - er a l o b l i g a t i o n b o n d s . T h e C i t y a n d t h e E D A e n t e r i n t o a p l e d g e a g r e e m e n t f o r t h e c o n v e y a n c e o f t a x i n c r e - me n t s u s e d t o p a y p r i n c i p a l a n d i n t e r e s t o n t h e b o n d s . 5Introduction Ce n t r a l M o n t i c e l l o R e d e v e l o p m e n t Pr o j e c t A r e a N o . 1 . 6Introduction C i t y N u m b e r 1 - 5 1 - 6 1 - 1 9 1 - 2 0 1 - 2 2 1 - 2 4 1 - 2 9 C o u n t y N u m b e r 1 6 2 3 8 0 6 2 0 6 2 2 6 2 4 6 2 9 N a m e C o n s t r u c t i o n 5 R a i n d a n c e M i s s i s s i p p i S h o r e s P r a i r i e W e s t D o w n t o w n D i s t r i c t Church of St. HenryFront Porch Associates T y p e R e d e v e l o p m e n t R e d e v e l o p m e n t H o u s i n g R e d e v e l o p m e n t R e d e v e l o p m e n t H o u s i n g H o u s i n g E s t a b l i s h e d 5 / 1 5 / 8 5 1 1 / 1 2 / 8 5 3 / 1 3 / 9 5 6 / 2 4 / 9 6 3 / 1 0 / 9 7 8 / 2 4 / 9 8 3 / 1 5 / 0 2 C e r t i f i c a t i o n R e q u e s t e d 5 / 1 5 / 8 5 1 2 / 5 / 8 5 4 / 2 7 / 9 5 1 2 / 2 0 / 9 6 6 / 2 5 / 9 7 1 / 4 / 9 9 6 / 1 4 / 0 2 C e r t i f i e d 5 / 1 5 / 8 5 1 2 / 5 / 8 5 4 / 2 8 / 9 5 1 2 / 2 3 / 9 6 6 / 3 0 / 9 7 1 / 8 / 9 9 8 / 2 2 / 0 2 Y e a r o f F i r s t I n c r e m e n t 1 9 8 7 1 9 8 8 1 9 9 8 1 9 9 9 1 9 9 9 2 0 0 1 2 0 0 4 4 - Y e a r K n o c k d o w n 5 / 1 5 / 8 9 1 2 / 5 / 8 9 4 / 3 0 / 9 9 1 2 / 2 3 / 0 0 6 / 3 0 / 0 1 1 / 8 / 0 3 8 / 2 2 / 0 6 5 - Y e a r R u l e N A N A 4 / 3 0 / 0 0 1 2 / 2 3 / 0 1 6 / 3 0 / 0 2 1 / 8 / 0 4 8 / 2 2 / 0 7 D e c e r t i f i c a t i o n 1 2 / 3 1 / 1 2 1 2 / 3 1 / 1 3 1 2 / 3 1 / 2 3 1 2 / 3 1 / 2 4 1 2 / 3 1 / 2 4 1 2 / 3 1 / 2 6 1 2 / 3 1 / 2 9 O r i g i n a l T a x R a t e 8 1 . 3 0 5 % 8 1 . 3 0 5 % 1 1 1 . 7 8 9 % 1 1 0 . 5 8 1 % 1 1 2 . 6 1 8 % 1 1 8 . 6 4 5 % 1 4 5 . 8 5 9 % O r i g i n a l T a x C a p a c i t y V a l u e 7 0 8 9 8 2 , 5 2 3 3 , 0 0 0 1 5 7 , 3 1 1 2 , 5 0 0 1 , 1 6 2 C u r r e n t B a s e T a x C a p a c i t y V a l u e 7 0 8 9 8 2 , 5 2 3 1 , 6 7 2 1 7 8 , 8 1 4 4 4 1 9 7 4 C u r r e n t ( P a y 2 0 1 2 ) T a x C a p a c i t y 4 3 , 6 3 8 6 8 , 1 5 8 3 2 , 3 1 0 1 8 , 3 2 3 4 5 8 , 2 0 8 4 1 , 6 3 4 2 1 , 7 2 1 P a r c e l s 8 3 2 1 2 5 8 1 1 8 C i t y N u m b e r 1 - 3 0 1 - 3 4 1 - 3 5 1 - 3 6 1 - 3 7 1 - 3 8 1 - 3 9 C o u n t y N u m b e r 6 3 0 6 3 4 6 3 5 6 3 6 6 3 7 6 3 8 P e n d i n g N a m e C e n t r a l M N H o u s i n g P a r t n e r s h i p M o n t i c e l l o I n t e r c h a n g e L a n d m a r k S q u a r e I I R o c k y M o u n t a i n G r o u p S L R e a l E s t a t e H o l d i n g s WalkerOtter Creek Crossing T y p e H o u s i n g R e n e w a l a n d R e n o v a t i o n R e d e v e l o p m e n t E c o n o m i c D e v e l o p m e n t E c o n o m i c D e v e l o p m e n t Economic D e v e l o p m e n t Economic Development E s t a b l i s h e d 6 / 2 4 / 0 2 9 / 1 2 / 0 5 9 / 1 2 / 0 5 8 / 2 2 / 0 5 4 / 2 4 / 0 6 4 / 1 1 / 0 7 8 / 2 2 / 1 1 C e r t i f i c a t i o n R e q u e s t e d 6 / 2 8 / 0 2 1 2 / 2 9 / 0 5 1 2 / 2 9 / 0 5 1 2 / 3 0 / 0 5 7 / 1 9 / 0 6 1 0 / 1 / 0 7 P e n d i n g C e r t i f i e d 8 / 2 2 / 0 2 8 / 1 / 0 6 8 / 1 / 0 6 8 / 1 / 0 6 4 / 1 6 / 0 7 1 0 / 1 / 0 7 P e n d i n g Y e a r o f F i r s t I n c r e m e n t 2 0 0 4 2 0 0 7 2 0 0 8 2 0 0 7 2 0 0 8 2 0 0 9 P e n d i n g 4 - Y e a r K n o c k d o w n 8 / 2 2 / 0 6 8 / 1 / 1 2 8 / 1 / 1 2 8 / 1 / 1 2 8 / 1 / 1 2 8 / 1 / 1 2 P e n d i n g 5 - Y e a r R u l e 8 / 2 2 / 0 7 8 / 1 / 1 6 8 / 1 / 1 6 8 / 1 / 1 1 4 / 1 6 / 1 2 1 0 / 1 / 1 2 P e n d i n g D e c e r t i f i c a t i o n 1 2 / 3 1 / 2 9 1 2 / 3 1 / 2 2 1 2 / 3 1 / 3 3 1 2 / 3 1 / 1 5 1 2 / 3 1 / 1 6 1 2 / 3 1 / 1 7 P e n d i n g O r i g i n a l T a x R a t e 1 4 5 . 8 5 9 % 1 1 0 . 2 9 7 % 1 1 0 . 2 9 7 % 1 1 0 . 2 9 7 % 9 9 . 2 6 9 % 1 0 6 . 3 6 4 % P e n d i n g O r i g i n a l T a x C a p a c i t y V a l u e 1 , 9 1 8 4 7 , 8 9 7 3 , 4 0 9 4 , 3 5 4 1 , 6 1 4 1 , 7 8 1 P e n d i n g C u r r e n t B a s e T a x C a p a c i t y V a l u e 2 , 1 0 7 3 2 , 5 4 8 6 , 0 6 8 4 , 3 5 4 1 , 6 1 4 1 , 7 8 1 P e n d i n g C u r r e n t ( P a y 2 0 1 2 ) T a x C a p a c i t y 8 , 3 9 5 2 8 5 , 6 6 2 2 , 9 6 2 6 6 , 7 8 4 2 6 , 4 3 4 1 3 , 6 7 4 P e n d i n g P a r c e l s 1 1 13 1 1 1 1 1 7Management Plan Ex e c u t i v e S u m m a r y Th e p l a n f o r m a n a g i n g T I F d i s t r i c t s i n M o n t i c e l l o c o n - si s t s o f t w o s e c t i o n s . T h e f o l l o w i n g s e c t i o n c o n t a i n s a n ov e r a l l m a n a g e m e n t p l a n . I t p r e s e n t s s t r a t e g i e s a n d i s - su e s t h a t a p p l y t o a l l T I F d i s t r i c t s . T h e s e c o n d s e c t i o n co n t a i n s a d i s t r i c t s u m m a r y f o r e a c h T I F d i s t r i c t . T h e di s t r i c t s u m m a r i e s p r e s e n t i n f o r m a t i o n a n d m a n a g e - me n t s t r a t e g i e s f o r t h e u n i q u e f a c t o r s o f e a c h d i s t r i c t . Mo n t i c e l l o T I F d i s t r i c t s f a l l i n t o t h r e e b r o a d c a t e g o r i e s : 1. P r e - 1 9 9 0 . 2. P o s t - 1 9 9 0 w i t h s o u n d fi n a n c e p l a n s . 3. P o s t - 1 9 9 0 w i t h m a n a g e m e n t i s s u e s . Pr e - 1 9 9 0 D i s t r i c t s Mo n t i c e l l o h a s t w o a c t i v e T I F d i s t r i c t s e s t a b l i s h e d pr i o r t o 1 9 9 0 . T h e t w o r e m a i n i n g a c t i v e p r e - 1 9 9 0 d i s - tr i c t s ( 1 - 5 a n d 1 - 6 ) w i l l n e e d t o b e d e c e r t i fi e d a t t h e en d o f 2 0 1 2 a n d 2 0 1 3 , r e s p e c t i v e l y . T h i s t i m i n g i s i m - po r t a n t b e c a u s e p r e - 1 9 9 0 d i s t r i c t s a r e n o t e n c u m b e r e d by t h e l i m i t a t i o n s o n p o o l i n g a n d t h e 5 - y e a r r u l e ( s e e di s c u s s i o n l a t e r i n t h i s s e c t i o n ) . F o r t h e t w o r e m a i n - in g d i s t r i c t s , t h e d e c i s i o n f a c i n g t h e E D A i s w h e t h e r th e s e d i s t r i c t s s h o u l d b e c l o s e d a f t e r d e c e r t i fi c a t o i n o r wh e t h e r t h e r e m a i n i n g r e s o u r c e s s h o u l d b e u s e d f o r pu b l i c p u r p o s e s a s a l l o w e d b y t h e T I F p l a n s a n d S t a t e La w . Po s t 1 9 9 0 - S o u n d P l a n s Th e m a j o r i t y o f e x i s t i n g T I F d i s t r i c t s w e r e e s t a b l i s h e d af t e r 1 9 9 0 . T h e s t a t u t o r y f r a m e w o r k f o r t h e s e d i s t r i c t s ge n e r a l l y l i m i t s t h e a b i l i t y t o u s e t h e m b e y o n d t h e i r or i g i n a l p u r p o s e s . T I F d i s t r i c t s w i t h “ s o u n d p l a n s ” ha v e t a x i n c r e m e n t r e v e n u e s t h a t a r e p r o j e c t e d t o b e su ffi c i e n t t o m e e t o b l i g a t i o n s a g a i n s t t h e d i s t r i c t s ( o r di s t r i c t s w i t h c u r r e n t f u n d b a l a n c e i n e x c e s s o f o u t - st a n d i n g o b l i g a t i o n s ) . T h e s e o b l i g a t i o n s a r e e i t h e r no t e s w i t h d e v e l o p e r s o r i n t e r n a l l o a n s . I n s o m e c a s e s , th e p r o j e c t e d t a x i n c r e m e n t s h o w s t h a t t h e d i s t r i c t c a n be d e c e r t i fi e d p r i o r t o t h e fi n a l d a t e i n t h e T I F p l a n . Di s t r i c t s i n t h i s c a t e g o r y a r e 1 - 1 9 , 1 - 2 0 , 1 - 2 4 , 1 - 2 9 , 1 - 3 0 , 1- 3 4 , 1 - 3 7 , a n d 1 - 3 8 . Po s t 1 9 9 0 - M a n a g e m e n t I s s u e s Wh i l e t h e m a j o r i t y o f t h e C i t y ’ s T I F d i s t r i c t s a r e i n go o d fi n a n c i a l c o n d i t i o n , t h r e e o f t h e d i s t r i c t s p r e s e n t im p o r t a n t fi n a n c i a l m a n a g e m e n t i s s u e s . Di s t r i c t 1 - 2 2 Th e D o w n t o w n T I F D i s t r i c t i s t h e l a r g e s t a n d m o s t co m p l e x . S t a t u t o r y r e s t r i c t i o n s o n p o o l i n g a n d t h e 5- y e a r r u l e l i m i t t h e a b i l i t y t o u s e e x i s t i n g f u n d b a l - an c e s a n d f u t u r e t a x i n c r e m e n t s . T h e m a n a g e m e n t pl a n f o r t h i s d i s t r i c t d e s c r i b e s s t r a t e g i e s f o r m a k i n g t h e mo s t e ff e c t i v e u s e o f t h e s e r e s o u r c e s . Di s t r i c t 1 - 3 5 Th i s d i s t r i c t c o n s i s t s o f t w o p a r c e l s t h a t w e r e r e m o v e d fr o m t h e o r i g i n a l D o w n t o w n d i s t r i c t ( 1 - 2 2 ) a n d m a d e in t o a n e w r e d e v e l o p m e n t d i s t r i c t . T h e d e v e l o p m e n t an t i c i p a t e d i n t h i s d i s t r i c t h a s n o t o c c u r r e d . I t i s i m - po r t a n t t h a t t h e E D A f a c i l i t a t e r e d e v e l o p m e n t w i t h i n th e c o n s t r a i n t s o f t h e e x i s t i n g T I F d i s t r i c t . T h e f a c t o r s th a t e n a b l e d t h e c r e a t i o n o f t h e d i s t r i c t h a v e b e e n r e - mo v e d . I t w o u l d b e d i ffi c u l t t o e s t a b l i s h a n e w T I F di s t r i c t t o t a k e t h e p l a c e o f 1 - 3 5 . Di s t r i c t 1 - 3 6 Th i s d i s t r i c t i s a s i n g l e p a r c e l e c o n o m i c d e v e l o p m e n t di s t r i c t . T h e p r o j e c t i o n s i n t h i s r e p o r t s h o w t h a t e s - ti m a t e d t a x i n c r e m e n t r e v e u e s w i l l n o t b e a d e q u a t e 8Management Plan to r e p a y t h e i n t e r f u n d l o a n u s e d f o r t h i s p r o j e c t . T h e Di s t r i c t a l s o r u n s a n e g a t i v e f u n d b a l a n c e o v e r i t s l i f e . Di s t r i c t 1 - 3 9 Th e T I F P l a n f o r D i s t r i c t 1 - 3 9 w a s a d o p t e d b a s e d o n pr o p e r t y t a x r a t e s a n d t a x c a p a c i t y f o r t a x e s p a y a b l e in 2 0 1 1 . R e q u e s t f o r c e r t i fi c a t i o n o f 1 - 3 9 w a s fi l e d i n Ju n e 2 0 1 2 . T h e r e f o r e , t h e fi n a l b a s e t a x r a t e a n d t a x ca p a c i t y f o r t h e T I F D i s t r i c t w i l l b e b a s e d o n t a x e s p a y - ab l e i n 2 0 1 2 . A f t e r t h e D i s t r i c t i s c e r t i fi e d b y W r i g h t Co u n t y t h e e s t i m a t e d T I F t o b e g e n e r a t e d o v e r t h e l i f e of t h e d i s t r i c t s h o u l d b e r e c a l c u l a t e d a n d c o m p a r e d wi t h e s t i m a t e s i n c l u d e d i n t h e a d o p t e d T I F P l a n f o r th e D i s t r i c t t o c o n fi r m c u r r e n t e s t i m a t e s a r e c o n s i s t e n t wi t h t h e a d o p t e d P l a n . Re g u l a t o r y F r a m e w o r k Th e c h a l l e n g e o f e ff e c t i v e l y m a n a g i n g T I F d i s t r i c t s co m e s f r o m a c o m p l e x r e g u l a t o r y f r a m e w o r k . T h e u s e of t a x i n c r e m e n t s f o r a n y d i s t r i c t i s g o v e r n e d b y f o u r di s t i n c t f a c t o r s : 1. S t a t e L a w a t t h e t i m e t h e d i s t r i c t i s c r e a t e d . 2. C u r r e n t S t a t e L a w . 3. A d o p t e d p l a n f o r t h e T I F d i s t r i c t . 4. D e v e l o p m e n t a g r e e m e n t . Ta x i n c r e m e n t fi n a n c i n g i s g o v e r n e d b y a c o m p l e x s e t of s t a t u t e s t h a t h a v e c h a n g e d o v e r t i m e . A n i m p o r t a n t nu a n c e o f T I F i s t h e r e l e v a n c e o f t h e l a w s i n e x i s t e n c e at t h e t i m e t h e d i s t r i c t i s e s t a b l i s h e d . T h e s e l a w s e s t a b - li s h t h e m a j o r i t y o f c r i t i c a l c r i t e r i a f o r t h e u s e o f t a x i n - cr e m e n t f r o m a d i s t r i c t . M o s t a s p e c t s f o r t h e o n - g o i n g us e o f t a x i n c r e m e n t s f r o m a d i s t r i c t a r e g o v e r n e d b y th e s t a t u t e s i n e ff e c t w h e n t h e d i s t r i c t i s e s t a b l i s h e d . Am o n g t h e s e f a c t o r s a r e : • A b i l i t y t o s p e n d m o n e y o u t s i d e o f t h e T I F d i s t r i c t (p o o l i n g ) • A p p l i c a t i o n o f t h e 5 - y e a r r u l e . • L i m i t a t i o n s o n a d m i n i s t r a t i v e e x p e n s e . Th e i m p l i c a t i o n s o f t h e s e f a c t o r s a r e d i s c u s s e d i n t h i s se c t i o n a n d i n t h e i n d i v i d u a l d i s t r i c t s u m m a r i e s . Cu r r e n t S t a t e L a w s e t s t h e p a r a m e t e r s f o r c r e a t i n g ne w T I F d i s t r i c t s . T h e p r i m a r y o n - g o i n g i n fl u e n c e o f cu r r e n t s t a t u t e s r e l a t e s t o r e p o r t i n g r e q u i r e m e n t s f o r di s t r i c t s . A l l d i s t r i c t s , r e g a r d l e s s o f w h e n c r e a t e d , a r e su b j e c t t o t h e s a m e a n n u a l r e p o r t i n g . Wi t h i n s t a t u t o r y c o n s t r a i n t s , t h e C i t y s e t s t h e p a r a m - et e r s f o r t h e u s e o f t a x i n c r e m e n t fi n a n c i n g i n t h e T I F pl a n . T a x i n c r e m e n t s c a n n o t b e u s e d f o r p u r p o s e s n o t au t h o r i z e d i n t h e p l a n . T h e a m o u n t o f s p e n d i n g c a n - no t e x c e e d t h e e s t i m a t e d p r o j e c t c o s t s c o n t a i n e d i n t h e pl a n . T h e C i t y c a n n o t i n c u r b o n d e d i n d e b t e d n e s s u n - le s s s o a u t h o r i z e d b y t h e p l a n a n d t h e a m o u n t o f d e b t ca n n o t e x c e e d l i m i t s s e t i n t h e p l a n . T h e p l a n a l s o s e t s th e m a x i m u m p e r i o d o f t i m e t h e C i t y c a n c o l l e c t t a x in c r e m e n t f r o m t h e d i s t r i c t . Th i s r e p o r t c o n t a i n s m a n y o f t h e k e y m a n a g e m e n t e l e - me n t s f r o m t h e T I F p l a n s . D i r e c t r e f e r e n c e t o t h e a c t u - al p l a n s h o u l d b e m a d e b e f o r e m a k i n g c h a n g e s o r a u - th o r i z i n g n e w u s e s o f t a x i n c r e m e n t f r o m a n y d i s t r i c t . Th e d e v e l o p m e n t a g r e e m e n t i s t h e fi n a l p i e c e o f t h e re g u l a t o r y f r a m e w o r k . A d e v e l o p m e n t a g r e e m e n t d e - fi n e s t h e f a c t o r s t h a t c o n t r o l t h e u s e o f T I F f o r s p e c i fi c pr o j e c t s . T h e a g r e e m e n t d e s c r i b e s t h e a c t i o n s t o b e ta k e n b y t h e d e v e l o p e r . I f t h e s e a c t i o n s a r e c o m p l e t e d , 9Management Plan th e C i t y a g r e e s t o u s e T I F t o p a y f o r c e r t a i n c o s t s o f de v e l o p m e n t . Mo n t i c e l l o u s e s t w o b a s i c a p p r o a c h e s t o p a y f o r p r o j - ec t c o s t s : i n t e r f u n d l o a n s a n d d e v e l o p e r n o t e s . B o t h ar e c o n s i d e r e d t o b e b o n d s u n d e r t h e T I F s t a t u t e s . A n in t e r f u n d l o a n i s a m e a n s f o r u s i n g E D A r e s e r v e s ( o r ot h e r f u n d s ) t o p r o v i d e i m m e d i a t e a s s i s t a n c e t o a p r o j - ec t . T a x i n c r e m e n t s a r e u s e d t o r e p a y t h e l o a n w i t h in t e r e s t . W i t h a d e v e l o p e r n o t e , t h e C i t y a g r e e s t o re i m b u r s e a d e v e l o p e r f o r s p e c i fi c p r o j e c t c o s t s . T h e ty p i c a l d e v e l o p m e n t a g r e e m e n t u s e s a s p e c i fi e d p e r - ce n t a g e o f a n n u a l t a x i n c r e m e n t f r o m t h e d i s t r i c t ( o r sp e c i fi e d p a r c e l s i n t h e d i s t r i c t ) t o r e p a y t h e d e v e l o p e r at a s t a t e d r a t e o f i n t e r e s t o n t h e u n p a i d b a l a n c e . T h i s ap p r o a c h i s a l s o c a l l e d “ p a y - a s - y o u - g o ” . Ov e r a l l M a n a g e m e n t S t r a t e g y Wh i l e t h e f o c u s o f t h i s r e p o r t i s o n t h e m a n a g e m e n t o f ex i s t i n g T I F d i s t r i c t s , t h e p r o c e s s o f r e v i e w i n g e x i s t - in g d i s t r i c t s i d e n t i fi e d t h e n e e d t o d e s c r i b e a n o v e r a l l st r a t e g y f o r t h e o n g o i n g m a n a g e m e n t o f T I F d i s t r i c t s . Mu c h o f t h e r e c o m m e n d e d s t r a t e g y i s b a s e d o n e x i s t - in g p r a c t i c e s e m p l o y e d b y t h e C i t y . T h e p u r p o s e o f in c l u d i n g t h i s i n f o r m a t i o n i s t o c l e a r l y i d e n t i f y a n d i n - st i t u t i o n a l i z e t h e s e p r a c t i c e s . TI F R e c o r d B o o k s Pr e c e d i n g t h e 2 0 0 9 r e p o r t , t h e C i t y u n d e r t o o k a r e c o r d s ma n a g e m e n t p r o j e c t . T h i s p r o j e c t o r g a n i z e d t h e d o c u - me n t s f o r e a c h T I F d i s t r i c t i n t o a s e t o f r e c o r d b o o k s . Th e u s e o f r e c o r d b o o k s h a s b e e n p a r t C i t y p r a c t i c e fo r n e w d i s t r i c t s i n r e c e n t y e a r s . T h e r e a l v a l u e o f T I F re c o r d b o o k s c o m e s f r o m m a k i n g t h e m t h e c e n t r a l r e - po s i t o r y o f a l l d o c u m e n t a n d r e p o r t i n g r e l a t e d t o t h e TI F d i s t r i c t . I m p o r t a n t d o c u m e n t s s h o u l d b e a d d e d t o th e r e c o r d b o o k s o v e r t h e l i f e o f t h e d i s t r i c t . Co o r d i n a t i o n W i t h W r i g h t C o u n t y Th e C o u n t y i s a c r i t i c a l p l a y e r i n t h e m a n a g e m e n t o f TI F d i s t r i c t s . T h e p r o c e s s o n l y b e g i n s w i t h t h e r e q u e s t fo r c e r t i fi c a t i o n o f a d i s t r i c t . I m p o r t a n t e l e m e n t s o f t h e re l a t i o n s h i p w i t h t h e C o u n t y i n c l u d e : • C e r t i fi c a t i o n I n f o r m a t i o n . I t i s t h e C i t y ’ s r e s p o n s i - bi l i t y t o r e v i e w , t h e O r i g i n a l T a x C a p a c i t y v a l u e , th e O r i g i n a l T a x R a t e a n d t h e p a r c e l l i s t i n g t o e n - su r e t h a t t h e d i s t r i c t i s p r o p e r l y e s t a b l i s h e d . • C h a n g e s i n t h e O r i g i n a l T a x C a p a c i t y V a l u e . T h e Or i g i n a l T a x C a p a c i t y v a l u e m a y c h a n g e f r o m t h e va l u e i n i t i a l l y c e r t i fi e d b y t h e C o u n t y . I n r e a l i t y , th e C o u n t y s e t s t h e b a s e v a l u e o f t h e d i s t r i c t u s i n g th e E s t i m a t e d M a r k e t V a l u e o f t h e p a r c e l s i n t h e Di s t r i c t . T h e O r i g i n a l T a x C a p a c i t y v a r i e s a c c o r d - in g t o t h e p r o p e r t y c l a s s i fi c a t i o n o f t h e p a r c e l s . • P a r c e l I d e n t i fi c a t i o n N u m b e r s . A n n e x a t i o n , p l a t - ti n g a n d p a r c e l s p l i t s m a y a l t e r p a r c e l i d e n t i fi c a - ti o n n u m b e r s a f t e r c e r t i fi c a t i o n o f t h e d i s t r i c t . T h e Ci t y s h o u l d a n n u a l l y r e v i e w p a r c e l s n u m b e r s f o r ea c h d i s t r i c t t o t r a c k a n d v e r i f y d i s t r i c t b o u n d a r i e s . Ch a n g e s i n p a r c e l n u m b e r s s h o u l d b e n o t e d i n t h e TI F r e c o r d b o o k . • K n o c k d o w n . M o n i t o r i n g p a r c e l i d e n t i fi c a t i o n nu m b e r s a l s o a l l o w s t h e C i t y t o t r a c k t h e v a l u e pa r c e l s t h a t h a v e b e e n r e m o v e d t h r o u g h “ k n o c k - do w n ” r e q u i r e m e n t s ( s e e K n o c k d o w n l a t e r i n t h i s se c t i o n ) . A t t h e e n d o f t h e k n o c k d o w n p e r i o d , t h e Ci t y s h o u l d i n f o r m t h e C o u n t y o f t h e p a r c e l s ( i f an y ) t h a t a r e s u b j e c t t o k n o c k d o w n . T h i s a p p r o a c h en s u r e s t h a t p a r c e l s a r e n o t i n c o r r e c t l y r e m o v e d fr o m t h e d i s t r i c t . I t a l s o p l a c e s t h e C i t y i n a g o o d po s i t i o n t o k n o w t h e r e l e v a n t p a r c e l s , m o n i t o r a c - ti v i t y o n e a c h p a r c e l a n d t o s e e k r e s t o r a t i o n o f t h e 10Management Plan va l u e a t t h e e a r l i e s t o p p o r t u n i t y . Ad m i n i s t r a t i v e E x p e n s e Sp e c i a l a tt e n t i o n s h o u l d b e g i v e n t o a c c o u n t i n g f o r ad m i n i s t r a t i v e e x p e n s e . T h e p u r p o s e o f t h i s s t r a t e g y is t w o - f o l d . F i r s t , i t a l l o w s t h e C i t y t o m o n i t o r c o m - pl i a n c e w i t h s t a t u t o r y l i m i t a t i o n s ( s e e A d m i n i s t r a t i v e Ex p e n s e l a t e r i n t h i s s e c t i o n ) . S e c o n d , a c c o u n t i n g f o r ad m i n i s t r a t i v e e x p e n s e i s n e e d e d t o d e t e r m i n e t h e c a - pa c i t y f o r s p e n d i n g t a x i n c r e m e n t s o u t s i d e o f t h e T I F di s t r i c t ( s e e P o o l i n g l a t e r i n t h i s s e c t i o n ) . De v e l o p m e n t A g r e e m e n t s Wh i l e e a c h d e v e l o p m e n t a g r e e m e n t i s u n i q u e , t h e y a l l sh a r e t h e n e e d f o r c l e a r r e c o r d k e e p i n g . A m o n g t h e it e m s t o t r a c k f o r e a c h a g r e e m e n t a r e : • D o c u m e n t a t i o n o f d e v e l o p e r e x p e n d i t u r e s f o r it e m s e l i g i b l e f o r r e i m b u r s e m e n t w i t h T I F . • D o c u m e n t a t i o n o f d e v e l o p e r c o m p l i a n c e w i t h o t h - er e l e m e n t s o f a g r e e m e n t n e e d e d t o r e c e i v e r e i m - bu r s e m e n t . • E s t a b l i s h m e n t o f d a t e ( s ) f o r a c c r u a l o f i n t e r e s t u n - de r d e v e l o p e r n o t e a n d c a l c u l a t i o n o f a d d i t i o n a l pr i n c i p a l f r o m a c c r u e d i n t e r e s t . • O n g o i n g a m o r t i z a t i o n o f d e v e l o p e r n o t e . An n u a l R e p o r t i n g Th e 2 0 0 9 R e p o r t a n d t h i s u p d a t e d 2 0 1 2 R e p o r t i s i n - te n d e d t o b e t h e f o u n d a t i o n f o r o n g o i n g m a n a g e m e n t of T I F d i s t r i c t s . A n i m p o r t a n t r e c o m m e n d a t i o n o f th e 2 0 0 9 R e p o r t w a s t o e x p a n d t h e a n n u a l r e p o r t i n g re q u i r e d b y S t a t e L a w t o i n c l u d e t h e u p d a t i n g o f t h e pr o fi l e s f o r e a c h T I F d i s t r i c t . P a r t s o f t h e 2 0 0 9 r e c o m - me n d a t i o n w e r e i m p l e m e n t e d a n d t h e E D A h a s b e e n re c e i v i n g a n n u a l l y ( i n t h e s p r i n g ) a s u m m a r y o f a l l re v e n u e a n d e x p e n s e s a n d o u t s t a n d i n g o b l i g a t i o n s by d i s t r i c t . T h e a n n u a l r e p o r t p r o v i d e s a p r o c e s s f o r mo n i t o r i n g t h e f a c t o r s d e s c r i b e d i n t h e p r e v i o u s s e c - ti o n . Th e u p d a t i n g p r o c e s s a l s o a l l o w s t h e E D A t o t a k e a pr o a c t i v e a p p r o a c h w i t h T I F m a n a g e m e n t . P l a n n i n g be g i n s p r i o r t o b u d g e t i n g f o r t h e n e x t fi s c a l y e a r . D e - ci s i o n s a b o u t d i s t r i c t d e c e r t i fi c a t i o n c a n b e m a d e i n a ti m e f r a m e t h a t m a k e s t h e d i s t r i c t v a l u e a v a i l a b l e f o r ge n e r a l t a x a t i o n i n t h e n e x t y e a r . Th e c u r r e n t a n n u a l r e p o r t i n g p r o c e s s c o u l d b e e x - pa n d e d t o i n c l u d e a n u p d a t e o f t h e d i s t r i c t p r o fi l e s i n - cl u d e d i n t h i s r e p o r t . St a t u t o r y F a c t o r s Se v e r a l e l e m e n t s o f S t a t e L a w a r e p a r t i c u l a r l y r e l e v a n t to t h e o n g o i n g m a n a g e m e n t o f T I F d i s t r i c t s . Ad m i n i s t r a t i v e E x p e n s e Ad m i n i s t r a t i v e e x p e n s e m a y n o t e x c e e d t h e l e s s e r 1 0 % of t h e t o t a l e s t i m a t e d t a x i n c r e m e n t e x p e n d i t u r e s a u - th o r i z e d b y t h e T I F p l a n o r 1 0 % o f t h e t o t a l t a x i n c r e - me n t s f r o m t h e d i s t r i c t ( e x c l u d i n g a n y e x c e s s t a x e s u n - de r 4 6 9 . 1 7 7 ) . A n e x a m p l e o f e x c e s s t a x e s i s t h e t a x e s pa i d f r o m c a p t u r e d t a x c a p a c i t y p r o d u c e d b y a l o c a l ta x r a t e t h a t e x c e e d s t h e o r i g i n a l t a x r a t e f o r t h e d i s - tr i c t . T h i s r u l e a p p l i e s t o a l l d i s t r i c t s r e q u e s t i n g c e r t i - fi c a t i o n s a f t e r J u l y 3 1 , 2 0 0 1 . A s l i g h t l y d i ff e r e n t l i m i t a t i o n a p p l i e s t o o l d e r d i s t r i c t s . Th e r e s t r i c t i o n o n e x c e s s t a x e s d o e s n o t a p p l y . A d m i n - is t r a t i v e e x p e n s e c a n n o t e x c e e d 1 0 % o f t h e l e s s e r o f t h e to t a l e s t i m a t e d t a x i n c r e m e n t e x p e n d i t u r e s a u t h o r i z e d by t h e T I F p l a n o r 1 0 % o f t h e t o t a l t a x i n c r e m e n t s f o r th e p r o j e c t . T h i s l i m i t a t i o n a p p l i e s t o D i s t r i c t 1 - 2 4 a n d ol d e r . 11Management Plan In c r e m e n t s u s e d t o p a y c o u n t y a d m i n i s t r a t i v e e x p e n s e ar e n o t s u b j e c t t o t h e 1 0 % l i m i t o n a d m i n i s t r a t i v e e x - pe n s e ( 2 0 0 9 a m e n d m e n t t o t h e T I F A c t ) . Kn o c k D o w n A c u r r e n t l i s t i n g o f t h e p a r c e l s i n a T I F d i s t r i c t m a y no t m a t c h t h e p a r c e l s i n t h e T I F P l a n . M i s s i n g p a r c e l s ma y h a v e b e e n r e m o v e d t h r o u g h t h e “ k n o c k d o w n ru l e ” . S t a t e L a w ( M . S . 4 6 9 . 1 7 6 , S u b d . 6 ) r e q u i r e s c e r - ta i n a c t i v i t i e s t o o c c u r o n e a c h p a r c e l i n t h e T I F d i s t r i c t wi t h i n f o u r y e a r s o f c e r t i fi c a t i o n . T h e s e a c t i v i t i e s a r e : • D e m o l i t i o n , r e h a b i l i t a t i o n , o r r e n o v a t i o n o f p r o p - er t y . • Q u a l i fi e d i m p r o v e m e n t o f a s t r e e t a d j a c e n t t o a pa r c e l b u t n o t i n s t a l l a t i o n o f u t i l i t y s e r v i c e i n c l u d - in g s e w e r o r w a t e r s y s t e m s . • O t h e r s i t e p r e p a r a t i o n . Th e v a l u e o f p a r c e l s t h a t f a i l t h i s t e s t a r e r e m o v e d f r o m th e t a x i n c r e m e n t c a l c u l a t i o n s f o r t h e d i s t r i c t . S t a t e La w r e q u i r e s t h e E D A t o p r o v i d e t h e C o u n t y w i t h ev i d e n c e r e l a t e d t o q u a l i f y i n g a c t i v i t y o n e a c h p a r c e l by F e b r u a r y 1 o f t h e y e a r f o l l o w i n g e n d o f t h e k n o c k do w n p e r i o d . It i s i m p o r t a n t t o n o t e t h a t t h e p a r c e l s a r e n o t r e m o v e d fr o m t h e d i s t r i c t . P a r c e l s t h a t a r e k n o c k e d d o w n c a n be r e s t o r e d t o t h e d i s t r i c t w h e n t h e E D A c e r t i fi e s t o th e C o u n t y A u d i t o r t h a t q u a l i f y i n g a c t i v i t y h a s c o m - me n c e d . T h e v a l u e t h a t i s r e s t o r e d t o t h e O r i g i n a l T a x Ca p a c i t y i s t h e m o s t r e c e n t t a x c a p a c i t y v a l u e o f t h e pa r c e l . In 2 0 0 9 , t h e L e g i s l a t u r e e x t e n d e d t h e k n o c k d o w n p e - ri o d f o r c e r t i fi e d o n o r a f t e r J a n u a r y 1 , 2 0 0 5 , a n d b e - fo r e A p r i l 2 0 , 2 0 0 9 , F o r t h e s e d i s t r i c t s , t h e p e r i o d i s ex t e n d e d f r o m f o u r t o s i x y e a r s . T h i s c h a n g e s a ff e c t s Di s t r i c t s 1 - 3 4 , 1 - 3 5 , 1 - 3 6 , 1 - 3 7 a n d 1 - 3 8 . Po o l i n g Po o l i n g i s t h e a b i l i t y t o s p e n d t a x i n c r e m e n t s o u t s i d e of t h e T I F d i s t r i c t . L i m i t s o n p o o l i n g w e r e a d o p t e d b y th e L e g i s l a t u r e i n 1 9 9 0 a n d a p p l y t o d i s t r i c t s r e q u e s t - in g c e r t i fi c a t i o n a f t e r M a y 1 , 1 9 8 8 . O n l y d i s t r i c t s 1 - 5 an d 1 - 6 a r e e x e m p t f r o m t h e r e s t r i c t i o n s o n p o o l i n g . Re d e v e l o p m e n t d i s t r i c t s a r e s u b j e c t t o a 2 5 % l i m i t a - ti o n . T h e l i m i t f o r a l l o t h e r T I F d i s t r i c t s i s 2 0 % . T h e po o l i n g l i m i t i s c a l c u l a t e d b a s e d o n t o t a l r e v e n u e d e - ri v e d f r o m t a x i n c r e m e n t . Ad m i n i s t r a t i v e e x p e n s e a p p l i e s t o t h i s r e s t r i c t i o n . T h e am o u n t t h a t c a n b e s p e n t o u t s i d e o f t h e T I F d i s t r i c t i s ne t o f a d m i n i s t r a t i v e e x p e n s e . Ti m i n g i s a n i m p o r t a n t f a c t o r i n e v a l u a t i n g t h e p o t e n - ti a l f o r e x p e n d i t u r e s o u t s i d e o f a T I F d i s t r i c t . T h e o p - po r t u n i t y f o r p o o l i n g e x i s t s o n l y w h i l e t h e r e a r e o b l i - ga t i o n s t o b e p a i d f r o m t a x i n c r e m e n t s ( s e e F i v e Y e a r Ru l e b e l o w ) . O n c e a l l o b l i g a t i o n s h a v e b e e n p a i d , t h e di s t r i c t m u s t b e d e c e r t i fi e d . A s p e c i a l e x e m p t i o n t o p o o l i n g e x i s t s f o r h o u s i n g T I F di s t r i c t s . T a x i n c r e m e n t s f r o m h o u s i n g T I F d i s t r i c t s ca n b e s p e n t o n o t h e r h o u s i n g p r o j e c t s ( a u t h o r i z e d i n th e T I F p l a n ) w i t h o u t r e g a r d t o l i m i t s o n p o o l i n g o r th e fi v e y e a r r u l e . Fo r o t h e r t y p e s o f T I F d i s t r i c t s , t h e s t a t u t o r y p o o l i n g re s t r i c t i o n s a l l o w f o r a n i n c r e a s e b y u p t o 1 0 % i n t h e ou t o f d i s t r i c t e x p e n d i t u r e s t o p r o v i d e a s s i s t a n c e f o r qu a l i fi e d l o w - i n c o m e h o u s i n g . S t a t e L a w s e t s f o r t h th e c r i t e r i a f o r d e t e r m i n i n g i f h o u s i n g q u a l i fi e s f o r t h i s as s i s t a n c e . T h e T I F p l a n m u s t b e a m e n d e d t o a u t h o - ri z e e x p e n d i t u r e s . 12Management Plan Th e E D A ’ s a b i l i t y t o p o o l i n o r d e r t o m a k e n e w T I F ex p e n d i t u r e s w a s e x p a n d e d o n a t e m p o r a r y b a s i s u n - de r t h e 2 0 1 0 J o b s B i l l ( w i t h a n e x t e n s i o n i n 2 0 1 1 ) . T h e au t h o r i t y g r a n t e d u n d e r M N S t a t u t e s 4 6 9 . 1 7 6 , S u b d . 4m r e q u i r e s a p p r o v a l o f a s p e n d i n g p l a n a n d t h a t p r o j - ec t c o n s t r u c t i o n c o m m e n c e b e f o r e J u l y 1 , 2 0 1 2 a n d t a x in c r e m e n t s e x p e n d e d b y D e c e m b e r 3 1 , 2 0 1 2 . Fi v e Y e a r R u l e Th e fi v e - y e a r r u l e i s o n e o f t h e m o s t i m p o r t a n t T I F ma n a g e m e n t l i m i t a t i o n s . I n s i m p l e t e r m s , t h e E D A ha s fi v e y e a r s f r o m t h e d a t e o f c e r t i fi c a t i o n t o s p e n d o r ob l i g a t e t a x i n c r e m e n t s . A f t e r t h i s t i m e p e r i o d p a s s e s , ta x i n c r e m e n t s c a n o n l y b e s p e n t o n p r i o r o b l i g a t i o n s , on a d m i n i s t r a t i v e e x p e n s e , o r o n a u t h o r i z e d e x p e n d i - tu r e s t h a t c o m p l y w i t h p o o l i n g r e s t r i c t i o n s . T h e p o o l - in g r e s t r i c t i o n s a p p l y r e g a r d l e s s o f w h e t h e r t h e t a x i n - cr e m e n t s a r e s p e n t i n s i d e o r o u t s i d e o f t h e T I F d i s t r i c t . In 2 0 0 9 , t h e L e g i s l a t u r e a d o p t e d a n e x e m p t i o n t o t h e fi v e - y e a r r u l e . F o r a r e d e v e l o p m e n t d i s t r i c t o r a r e - ne w a l a n d r e n o v a t i o n d i s t r i c t c e r t i fi e d a f t e r J u n e 3 0 , 20 0 3 , a n d b e f o r e A p r i l 2 0 , 2 0 0 9 , t h e fi v e - y e a r r u l e p e - ri o d i s e x t e n d e d t o t e n y e a r s a f t e r c e r t i fi c a t i o n o f t h e di s t r i c t . Th i s c h a n g e s a ff e c t s D i s t r i c t s 1 - 3 4 a n d 1 - 3 5 . To a v o i d r e s t r i c t i o n u n d e r t h e fi v e - y e a r r u l e , o n e o f t h e fo l l o w i n g a c t i o n s m u s t t a k e p l a c e w i t h i n fi v e y e a r s o f ce r t i fi c a t i o n o f t h e d i s t r i c t : 1. R e v e n u e s a r e a c t u a l l y p a i d t o a t h i r d p a r t y w i t h re s p e c t t o t h e a c t i v i t y . 2. B o n d s u s e d t o fi n a n c e e l i g i b l e a c t i v i t i e s a r e i s s u e d an d s o l d t o a t h i r d p a r t y . T h e p r o c e e d s o f t h e b o n d s mu s t b e r e a s o n a b l y e x p e c t e d t o b e s p e n t b e f o r e t h e en d o f t h e l a t e r o f ( i ) t h e fi v e - y e a r p e r i o d , o r ( i i ) a re a s o n a b l e t e m p o r a r y p e r i o d w i t h i n t h e m e a n i n g of t h e u s e o f t h a t t e r m u n d e r s e c t i o n 1 4 8 ( c ) ( 1 ) o f th e I n t e r n a l R e v e n u e C o d e , o r a r e d e p o s i t e d i n a re a s o n a b l y r e q u i r e d r e s e r v e o r r e p l a c e m e n t f u n d . 3. B i n d i n g c o n t r a c t s w i t h a t h i r d p a r t y a r e e n t e r e d in t o f o r p e r f o r m a n c e o f t h e a c t i v i t y b e f o r e o r w i t h - in fi v e y e a r s a f t e r c e r t i fi c a t i o n o f t h e d i s t r i c t a n d th e r e v e n u e s a r e s p e n t u n d e r t h e c o n t r a c t u a l o b l i - ga t i o n . 4. C o s t s w i t h r e s p e c t t o t h e a c t i v i t y a r e p a i d b e f o r e or w i t h i n fi v e y e a r s a f t e r c e r t i fi c a t i o n o f t h e d i s t r i c t an d t h e r e v e n u e s a r e s p e n t t o r e i m b u r s e a p a r t y f o r pa y m e n t o f t h e c o s t s , i n c l u d i n g i n t e r e s t o n u n r e i m - bu r s e d c o s t s . 5. E x p e n d i t u r e s a r e f o r s p e c i a l h o u s i n g a n d i n f r a - st r u c t u r e p u r p o s e s a u t h o r i z e d b y S t a t e L a w . Al l d i s t r i c t s w i t h t h e e x c e p t i o n o f 1 - 5 a n d 1 - 6 a r e s u b - je c t t o t h e fi v e - y e a r r u l e . A l l d i s t r i c t s , w i t h t h e e x c e p - ti o n o f 1 - 3 4 , 1 - 3 5 , a n d t h e n e w e s t a b l i s h e d 1 - 3 9 , h a v e pa s s e d t h e fi v e - y e a r p e r i o d a n d a r e s u b j e c t t o t h e sp e n d i n g l i m i t a t i o n s . De c e r t i f i c a t i o n Th e e v o l u t i o n o f S t a t e L a w g o v e r n i n g T I F h a s i n - cr e a s e d t h e i n c e n t i v e t o d e c e r t i f y d i s t r i c t s a t t h e e a r l i - es t o p p o r t u n i t y . T h e f a c t o r s t h a t i n fl u e n c e t h e d e c e r t i - fi c a t i o n d e c i s i o n i n c l u d e : • T h e fi v e - y e a r r u l e a n d p o o l i n g l i m i t s r e s t r i c t t h e ab i l i t y t o u s e u n c o m m i tt e d t a x i n c r e m e n t s t o s u p - po r t o t h e r e n d e a v o r s . • T h e v a l u e o f d e c e r t i fi e d T I F d i s t r i c t s b e c o m e s av a i l a b l e f o r g e n e r a l t a x a t i o n . T h e r e s u l t i s a l o w e r ta x r a t e . • E x c e s s t a x i n c r e m e n t s a r e s e n t t o t h e C o u n t y f o r re d i s t r i b u t i o n t o t a x i n g j u r i s d i c t i o n s . B a s e d o n t h e 13Management Plan ta x r a t e f o r t a x e s p a y a b l e 2 0 1 2 , t h e C i t y w o u l d r e - ce i v e a p p r o x i m a t e l y $ 0 . 4 0 f o r e v e r y d o l l a r o f e x c e s s ta x i n c r e m e n t s ( T o t a l L o c a l T a x R a t e - 1 2 2 . 7 2 7 % , Ci t y T a x R a t e - 4 9 . 7 7 3 % ) . T h e s e m o n i e s r e t u r n e d to t h e C i t y f r e e o f t h e r e s t r i c t i o n s t h a t e n c u m b e r TI F . T h e r e d i s t r i b u t i o n o f e x c e s s t a x i n c r e m e n t s co u l d b e g i v e n t o t h e E D A a n d u s e d f o r e c o n o m i c or r e d e v e l o p m e n t p u r p o s e s n o t s u i t e d t o a n e w TI F d i s t r i c t . Ho u s i n g a n d r e d e v e l o p m e n t d i s t r i c t s m a y c o l l e c t i n - cr e m e n t s f o r 2 5 y e a r s a f t e r t h e i n i t i a l r e c e i p t o f i n c r e - me n t ( e ff e c t i v e l y 2 6 y e a r s ) . T h e s e d i s t r i c t s w e r e e s t a b - li s h e d b e f o r e t h i s i n t e r p r e t a t i o n o f t h e T I F A c t . A l l o f th e m a x i m u m d e c e r t i fi c a t i o n d a t e s s h o w n i n t h i s r e - po r t h a v e b e e n v e r i fi e d w i t h W r i g h t C o u n t y a n d a r e co n s i s t e n t w i t h t h e C o u n t y ’ s r e c o r d s . Th e E D A i s f a m i l i a r w i t h t h e a c t i o n s r e q u i r e d t o d e - ce r t i f y a d i s t r i c t . O n e o f t h e m a n a g e m e n t s t r a t e g i e s in t h i s r e p o r t i s t o i d e n t i f y t a r g e t d e c e r t i fi c a t i o n d a t e s an d m o n i t o r t h e fi n a n c i a l c o n d i t i o n o f t h e d i s t r i c t s f o r de c e r t i fi c a t i o n . Ex p a n d e d T a x B a s e Th e d e c e r t i f c a t i o n o f a T I F d i s t r i c t n o t o n l y a l l o w s t h e Ci t y t o b e n e fi t f r o m t h e r e d i s t r i b u t i o n o f e x c e s s f u n d s , it a l s o a d d s t o t h e l o c a l t a x b a s e . T h e t a x c a p a c i t y v a l - ue c a p t u r e d b y t h e T I F d i s t r i c t b e c o m e s a v a i l a b l e f o r ge n e r a l t a x a t i o n . Th e r e m o v a l o f p a r c e l s d e s c r i b e d i n t h i s r e p o r t w o u l d ad d a p p r o x i m a t e l y $ 3 1 3 , 0 0 0 i n t a x c a p a c i t y t o t h e Ci t y ’ s t a x b a s e . A t t h e C i t y t a x r a t e f o r 2 0 1 2 , t h i s v a l u e pr o d u c e s $ 1 5 6 , 0 0 0 i n p r o p e r t y t a x e s t o t h e C i t y . T h e so u r c e o f t h i s t a x c a p a c i t y c o m e s f r o m t h e t a x c a p a c i t y ca p t u r e d w i t h i n T I F D i s t r i c t s 1 - 5 a n d 1 - 6 a n d f r o m t h e pa r c e l s w i t h i n 1 - 2 2 t h a t a r e s h o w n t o b e d e c e r t i fi e d a t th e e n d o f 2 0 1 2 . In d u s t r i a l L a n d A n a l y s i s On e o f t h e d e s i r e d o u t c o m e o f t h e 2 0 0 9 s t u d y w a s f o r an a n a l y s i s t o b e p e r f o r m e d o f t h e u s e o f T I F t o w r i t e do w n t h e c o s t o f l a n d f o r i n d u s t r i a l d e v e l o p m e n t . Th e C i t y h a s c o m p i l e d i n f o r m a t i o n o n e x p e n d i t u r e s an d r e v e n u e s f o r t h e M o n t i c e l l o B u s i n e s s C e n t e r O tt e r Cr e e k C r o s s i n g . T h i s i n c l u d e s i n f o r m a t i o n o n l a n d a c - qu i s i t i o n c o s t s , i m p r o v e m e n t c o s t s , a n d t h e o ff s e tt i n g so u r c e s o f r e v e n u e f r o m c a s h p a y m e n t s a n d e s t i m a t e d ta x i n c r e m e n t r e v e n u e s . Pr i o r a n d r e c e n t d e v e l o p m e n t p r o j e c t s p r o v i d e s o m e , bu t n o t a l l o f t h e i n f o r m a t i o n n e e d e d t o c o m p l e t e a mo r e i n - d e p t h a n a l y s i s . T h e c r i t i c a l m i s s i n g i n f o r m a - ti o n i s t h e c o s t o f i n f r a s t r u c t u r e a tt r i b u t a b l e t o i n d u s - tr i a l a r e a s . S t r e e t s a n i t a r y s e w e r , w a t e r , a n d s t o r m wa t e r i m p r o v e m e n t s a r e m a d e a n d fi n a n c e d a s p a r t of l a r g e r i m p r o v e m e n t p r o j e c t s . I m p r o v e m e n t c o s t s ha v e n o t b e e n s p e c i fi c a l l y a l l o c a t e d t o l o t s w i t h i n t h e Ott e r C r e e k B u s i n e s s P a r k . W i t h o u t t h i s i n f o r m a t i o n , th e r e a l c o s t o f l a n d a n d i m p r o v e m e n t s t o a p o t e n t i a l us e r s c a n n o t b e c a l c u l a t e d . T h i s a n a l y s i s s h o u l d b e un d e r t a k e n b y t h e E D A . T h e g u i d a n c e g a i n e d f r o m th i s i n f o r m a t i o n i s i m p o r t a n t f o r p l a n n i n g . P r o v i d i n g ad e q u a t e l o c a t i o n s f o r i n d u s t r i a l d e v e l o p m e n t a n d t h e cr e a t i o n o f j o b s i s a n i m p o r t a n t o b j e c t i v e o f t h e C o m - pr e h e n s i v e P l a n . T h e a b i l i t y t o p r o v i d e a ff o r d a b l e d e - ve l o p m e n t s i t e s i s a c r i t i c a l e l e m e n t o f a s u c c e s s f u l j o b gr o w t h s t r a t e g y . 14District Summary Di s t r i c t S u m m a r i e s Th e s e c o n d c o m p o n e n t o f t h e m a n a g e m e n t p l a n f o r Mo n t i c e l l o T I F d i s t r i c t s i s a n i n d i v i d u a l s u m m a r y f o r ea c h T I F d i s t r i c t . E a c h s u m m a r y i n c l u d e d i n t h i s s e c - ti o n c o n t a i n s t h e f o l l o w i n g i n f o r m a t i o n : 1. S p e c i fi c m a n a g e m e n t r e c o m m e n d a t i o n s f o r t h e di s t r i c t . 2. K e y T I F m a n a g e m e n t d a t e s . 3. L i s t i n g o f p a r c e l s . 4. M a p o f d i s t r i c t b o u n d a r i e s 5. F i n a n c i a l p r o fi l e , i n c l u d i n g p r i o r y e a r s e x p e n d i - tu r e s , d a t a f o r 2 0 1 0 a n d 2 0 1 1 a n n u a l fi n a n c i a l r e - po r t a n d p r o j e c t i o n s f o r t h e r e m a i n i n g l i f e o f t h e di s t r i c t . Th e p r o j e c t e d f u t u r e t a x i n c r e m e n t r e v e n u e i s b a s e d on c u r r e n t ( P a y 2 0 1 2 ) p r o p e r t y v a l u e s a n d t a x r a t e s . (E x c e p t f o r d i s t r i c t s w h e r e t h e o r i g i n a l t a x r a t e i s l e s s th a n t h e P a y 2 0 1 2 r a t e , t h a n t h e l o w e r t a x r a t e i s u s e d as p e r M N S t a t u t e 4 6 9 . 1 7 7 , S u b d . 3 ( 2 ) . ) I n v e s t m e n t ea r n i n g s a p p l y a 2 % i n t e r e s t r a t e t o t h e e n d i n g b a l a n c e in t h e p r e v i o u s y e a r . ( A r a t e t h a t i s g r e a t e r t h a n t h a t pr e s e n t l y e a r n e d . ) T h e s e f a c t o r s w i l l c h a n g e o v e r t h e li f e o f t h e d i s t r i c t a n d a l t e r t h e fi n a n c i a l c o n d i t i o n o f th e d i s t r i c t . 15District Summary Wr i g h t C o u n t y t o d e c e r t i f y t h e D i s t r i c t . C u r r e n t l y , t h e di s t r i c t i s s c h e d u l e d f o r d e c e r t i fi c a t i o n a t t h e e n d o f 20 1 2 . Op t i o n 2 - U s e R e m a i n i n g R e s o u r c e s Pa s t m o d i fi c a t i o n s s h o w t h a t t h e E D A h a s p l a n n e d fo r t h e u s e o f r e v e n u e s f r o m D i s t r i c t 1 - 5 . T h e l a s t y e a r fo r t a x i n c r e m e n t c o l l e c t i o n s i s 2 0 1 2 . T h e p r o j e c t i o n s sh o w a n e s t i m a t e d f u n d b a l a n c e o f $ 4 5 0 , 0 0 0 a t t h e e n d of t h e D i s t r i c t . T h e C i t y c o u l d e x p e n d t h e r e m a i n i n g fu n d b a l a n c e i n 2 0 1 2 o r k e e p t h e f u n d f o r t h i s P r e - 1 9 9 0 Di s t r i c t o p e n a f t e r d e c e r t i fi c a t i o n a n d c o n t i n u e t o e x - Ci t y N u m b e r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 - 5 Co u n t y N u m b e r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 6 Na m e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . C o n s t r u c t i o n 5 Ty p e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . R e d e v e l o p m e n t Es t a b l i s h e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 / 1 5 / 8 5 Ce r t i f i c a t i o n R e q u e s t e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 / 1 5 / 8 5 Ce r t i f i e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 / 1 5 / 8 5 Ye a r o f F i r s t I n c r e m e n t . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 9 8 7 4- Y e a r K n o c k d o w n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 / 1 5 / 8 9 5- Y e a r R u l e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . N A De c e r t i f i c a t i o n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2 / 3 1 / 1 2 Or i g i n a l T a x R a t e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 1 . 3 0 5 % Or i g i n a l T a x C a p a c i t y V a l u e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 0 8 Cu r r e n t B a s e T a x C a p a c i t y V a l u e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 0 8 Cu r r e n t ( P a y 2 0 1 2 ) T a x C a p a c i t y . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 3 , 6 3 8 Pa r c e l s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 1 5 5 - 0 5 0 - 0 0 0 0 1 0 1 5 5 - 0 1 0 - 0 0 0 0 2 0 1 5 5 - 0 1 0 - 0 0 1 0 1 0 1 5 5 - 0 1 0 - 0 0 1 0 2 0 1 5 5 - 0 1 0 - 0 0 1 0 3 0 1 5 5 - 0 1 0 - 0 0 1 0 4 0 1 5 5 - 0 1 0 - 0 0 1 0 5 0 1 5 5 - 0 1 0 - 0 0 2 0 1 0 Di s t r i c t 1 - 5 w a s o r i g i n a l l y e s t a b l i s h e d f o r t h e c o n s t r u c - ti o n o f 7 2 u n i t s o f a p a r t m e n t h o u s i n g . T h e o r i g i n a l TI F p l a n h a s b e e n m o d i fi e d t o a u t h o r i z e a d d i t i o n a l ex p e n d i t u r e s f o r l a n d a c q u i s i t i o n , s i t e i m p r o v e m e n t s an d p u b l i c u t i l i t i e s . T h e D i s t r i c t i s n o t s u b j e c t t o t h e li m i t a t i o n s o f p o o l i n g o r t h e fi v e - y e a r r u l e . I t i s d u e t o be d e c e r t i fi e d b y t h e e n d o f 2 0 1 2 . A l l o b l i g a t i o n s i n t h e Di s t r i c t h a v e b e e n p a i d . Ac t i o n s T a k e n S i n c e 2 0 0 9 Fu n d s f r o m t h i s d i s t r i c t a n d T I F d i s t r i c t 1 - 2 ( w h i c h is n o w c l o s e d ) w e r e u s e d t o p a y f o r a n u p d a t e t o t h e Ci t y ’ s D o w n t o w n R e d e v e l o p m e n t P l a n . T h e s t u d y , “E m b r a c i n g D o w n t o w n , f o c u s e d o n m a r k e t i n g , l a n d us e , t r a n s p o r t a t i o n , fi n a n c i n g , a n d i m p l e m e n t a t i o n st r a t e g i e s . Ad m i n i s t r a t i v e T a s k s Th e T I F p l a n e s t i m a t e s o n fi l e w i t h t h e O ffi c e o f t h e St a t e A u d i t o r ( O S A ) f o r t h i s d i s t r i c t n e e d s r e v i e w t o co n fi r m t h e O S A h a s t h e c o r r e c t a u t h o r i z e d e x p e n d i - tu r e s a m o u n t s . A n y f u t u r e m o d i fi c a t i o n s ( d i s c u s s e d un d e r M a n a g e m e n t S t r a t e g i e s b e l o w ) w o u l d a l s o n e e d to b e fi l e d w i t h t h e O S A . Wh i l e , t h e b u d g e t i n c l u d e d i n t h e o r i g i n a l a n d m o d i - fi e d T I F P l a n s h o w s e x p e n d i t u r e s i n e x c e s s o f t a x i n c r e - me n t r e v e n u e s , t h e d i s t r i c t s h o w s t h e r e h a s b e e n m o r e th a n s u ffi c i e n t t a x i n c r e m e n t s t o c o v e r e x p e n d i t u r e s . Ma n a g e m e n t S t r a t e g i e s Op t i o n 1 - D e c e r t i f y Th e c o n s e r v a t i v e a p p r o a c h f o r t h e D i s t r i c t w o u l d b e t o re q u e s t d e c e r t i fi c a t i o n . E x c e s s t a x i n c r e m e n t s ( i n c l u d - in g t a x i n c r e m e n t s t o b e p a i d i n 2 0 1 2 ) w o u l d b e c o n - ve y e d t o t h e C o u n t y a n d r e d i s t r i b u t e d t o t h e t a x i n g ju r i s d i c t i o n s . T h e E D A w o u l d n e e d t o c o o r d i n a t e w i t h District 1-5 (Construction 5)Redevelopment 16District Summary pe n d f u n d s a s l o n g a s e x p e n d i t u r e s r e m a i n w i t h i n t h e ad o p t e d b u d g e t a m o u n t s . N o f u r t h e r a m e n d m e n t s t o th e b u d g e t c a n b e m a d e a f t e r d e c e r t i fi c a t i o n . Th i s o p t i o n c o n s i s t s o f t w o s t e p s : 1. E v a l u a t e o p t i o n s a n d s e t p l a n f o r u s e o f t h e s e fu n d s . T e c h n i c a l l y , i n c r e m e n t f r o m t h i s D i s t r i c t ca n b e s p e n t w i t h i n t h e b o u n d a r i e s o f t h e P r o j e c t Ar e a f o r u s e a u t h o r i z e d i n t h e T I F P l a n . A s p e c i fi c ac t i o n p l a n f o r t h e u s e o f t h e e x i s t i n g f u n d b a l a n c e sh o u l d b e e s t a b l i s h e d p r i o r t o t h e d e c e r t i fi c a t i o n da t e o f 1 2 / 3 1 / 2 0 1 2 . P o t e n t i a l u s e s i n c l u d e t h e f o l - lo w i n g : • S u p p o r t c o n s t r u c t i o n o f b r i d g e o v e r F a l l e n Av e n u e o v e r p a s s . T h e C o m p r e h e n s i v e P l a n sh o w s a f u t u r e b r i d g e c r o s s i n g i n t h i s a r e a . Ta x i n c r e m e n t s c o u l d b e u s e d f o r t h e b r i d g e im p r o v e m e n t s , r e l a t e d i m p r o v e m e n t s t o s u p - po r t i n g r o a d s , o r r e d e v e l o p m e n t o f p r o p e r t y i n th i s a r e a . • S u p p o r t e a s t i n t e r c h a n g e p r o j e c t . T h e t a x i n - cr e m e n t s f r o m D i s t r i c t 1 - 5 c o u l d b e u s e d t o su p p l e m e n t t h e f u n d i n g f o r t h e e a s t I - 9 4 i n t e r - ch a n g e f u n d e d t h r o u g h D i s t r i c t 1 - 3 4 . • F a c i l i t a t e d e v e l o p m e n t a l o n g 7 t h S t r e e t . T h e ar e a w e s t o f D i s t r i c t 1 - 5 c o n t a i n s s e v e r a l u n - de v e l o p e d p a r c e l s . T h e s e fi n a n c i a l r e s o u r c e s co u l d b e u s e d t o a tt r a c t n e w d e v e l o p m e n t t o th i s a r e a . • I m p r o v e m e n t p r o j e c t s f o r t h e c o r n e r o f 7 t h a n d Hi g h w a y 2 5 . • E n c o u r a g e r e d e v e l o p m e n t o n t h e e a s t s i d e o f Hi g h w a y 2 5 . • S u p p o r t i m p r o v e m e n t s t o H i g h w a y 2 5 . • I m p r o v e p e d e s t r i a n c r o s s i n g o f H i g h w a y 2 5 an d p e d e s t r i a n c o n n e c t i o n s t o D o w n t o w n . • I m p l e m e n t a t i o n o f E m b r a c i n g D o w n t o w n o n Bl o c k 3 4 a n d A n c h o r B l o c k . 2. D e t e r m i n e c o m p l i a n c e w i t h P l a n . T h e T I F P l a n au t h o r i z e s a d d i t i o n a l e x p e n d i t u r e s t h a t c a n o c c u r wi t h i n t h e b o u n d a r i e s o f P r o j e c t A r e a N o . 1 . I d e - al l y , n e w u s e s w i l l h a v e s o m e g e o g r a p h i c a n d d e - ve l o p m e n t r e l a t i o n s h i p t o t h e p r o p e r t y i n D i s t r i c t 1- 5 . P r i o r t o m a k i n g a n y a d d i t i o n a l e x p e n d i t u r e s fr o m D i s t r i c t 1 - 5 , i t i s i m p o r t a n t t o v e r i f y t h a t t h e us e s f a l l w i t h i n t h e b u d g e t a n d a n y p a r c e l s f o r a c - qu i s i t i o n a r e l i s t e d i n t h e p l a n . A t a m i n i m u m , t h e bu d g e t s h o u l d b e a m e n d e d t o a l l o c a t e t h e $ 2 0 0 , 0 0 0 of e x p e n s e s a s s i g n e d t o “ O t h e r P r o j e c t C o s t s ” t o sp e c i fi c p u r p o s e s . 17District Summary D i s t r i c t 1 - 5 O r i g i n a l T I F P l a n B u d g e t A m o u n t C u m u l a t i v e M o d i f i e d T I F P l a n B u d g e t A c c o u n t e d f o r i n P r i o r Y e a r 2 0 1 0 2 0 1 1 2 0 1 2 Estimated Total Life of District R e v e n u e s a n d O t h e r F i n a n c i n g S o u r c e s T a x i n c r e m e n t r e v e n u e 6 2 5 , 0 0 0 4 , 3 6 5 , 0 0 0 1 , 3 9 2 , 6 7 6 5 4 , 3 6 2 4 9 , 0 0 7 5 2 , 6 8 7 1 , 5 4 8 , 7 3 2 M a r k e t V a l u e H o m e s t e a d C r e d i t - I n v e s t m e n t e a r n i n g s 1 1 3 , 3 1 3 6 , 2 7 0 1 3 , 1 1 3 5 , 8 9 4 1 3 8 , 5 9 0 B o n d p r o c e e d s 3 9 0 , 0 0 0 3 9 0 , 0 0 0 3 6 5 , 0 0 0 3 6 5 , 0 0 0 L o a n p r o c e e d s - S p e c i a l a s s e s s m e n t s - S a l e s / l e a s e p r o c e e d s - L o a n / a d v a n c e r e p a y m e n t s - D e v e l o p e r p a y m e n t - I n t e r f u n d l o a n / t r a n s f e r - O t h e r - T r a n s f e r s ( i n ) - T o t a l R e v e n u e s / O F S 1 , 0 1 5 , 0 0 0 4 , 7 5 5 , 0 0 0 1 , 8 7 0 , 9 8 9 6 0 , 6 3 2 6 2 , 1 2 0 5 8 , 5 8 0 2 , 0 5 2 , 3 2 1 E x p e n d i t u r e s a n d O t h e r F i n a n c i n g U s e s L a n d / b u i l d i n g a c q u i s i t i o n 1 , 4 0 0 , 0 0 0 3 6 0 , 3 1 0 3 6 0 , 3 1 0 S i t e i m p r o v e m e n t / p r e p a r a t i o n c o s t s 3 0 1 , 3 0 0 1 , 2 0 1 , 3 0 0 4 6 9 , 8 3 8 4 6 9 , 8 3 8 U t i l i t i e s 9 0 0 , 0 0 0 - P u b l i c p a r k i n g f a c i l i t i e s - S t r e e t s a n d s i d e w a l k s - P u b l i c p a r k f a c i l i t i e s - S o c i a l , r e c r e a t i o n , o r c o n f e r e n c e f a c i l i t i e s - I n t e r e s t r e d u c t i o n p a y m e n t s - B o n d p r i n c i p a l p a y m e n t s 3 9 0 , 0 0 0 3 9 0 , 0 0 0 3 6 5 , 0 0 0 3 6 5 , 0 0 0 B o n d i n t e r e s t p a y m e n t s 4 3 3 , 5 0 0 4 3 3 , 5 0 0 1 8 7 , 3 9 0 1 8 7 , 3 9 0 L o a n p r i n c i p a l p a y m e n t s - L o a n / n o t e i n t e r e s t p a y m e n t s - A d m i n i s t r a t i v e e x p e n s e s 3 0 , 2 0 0 3 7 0 , 2 0 0 5 3 , 8 0 5 3 6 5 3 1 , 3 1 7 5 0 0 8 5 , 9 8 7 P a y i n g a g e n t f e e s - O t h e r 2 0 0 , 0 0 0 - T r a n s f e r s ( o u t ) 1 3 2 , 8 1 1 1 3 2 , 8 1 1 T o t a l E x p e n d i t u r e s / O F U 1 , 1 5 5 , 0 0 0 4 , 8 9 5 , 0 0 0 1 , 5 6 9 , 1 5 4 3 6 5 3 1 , 3 1 7 5 0 0 1 , 6 0 1 , 3 3 6 R e v e n u e s / O F S O v e r ( U n d e r ) E x p e n d i t u r e s / O F U ( 1 4 0 , 0 0 0 ) ( 1 4 0 , 0 0 0 ) 3 0 1 , 8 3 5 6 0 , 2 6 7 3 0 , 8 0 3 5 8 , 0 8 0 4 5 0 , 9 8 5 F u n d B a l a n c e - B e g i n 3 0 1 , 8 3 5 3 6 2 , 1 0 2 3 9 2 , 9 0 5 - F u n d B a l a n c e - E n d 3 6 2 , 1 0 2 3 9 2 , 9 0 5 4 5 0 ,985450,985 18District Summary th e r e m a i n i n g f u n d b a l a n c e p r i o r t o t h e e n d o f 2 0 1 3 or k e e p t h e f u n d f o r t h i s P r e - 1 9 9 0 D i s t r i c t o p e n a f t e r de c e r t i fi c a t i o n a n d c o n t i n u e t o e x p e n d f u n d s a s l o n g as e x p e n d i t u r e s r e m a i n w i t h i n t h e a d o p t e d b u d g e t am o u n t s . N o f u r t h e r a m e n d m e n t s t o t h e b u d g e t c a n be m a d e a f t e r d e c e r t i fi c a t i o n . Th i s o p t i o n c o n s i s t s o f t w o s t e p s : 1. E v a l u a t e o p t i o n s a n d s e t p l a n f o r u s e o f t h e s e fu n d s . T e c h n i c a l l y , i n c r e m e n t f r o m t h i s D i s t r i c t ca n b e s p e n t w i t h i n t h e b o u n d a r i e s o f t h e P r o j e c t Ar e a f o r u s e a u t h o r i z e d i n t h e T I F P l a n . T h e c o n - ti n u e d u s e o f D i s t r i c t 1 - 6 o ff e r s o p p o r t u n i t i e s f o r su p p o r t i n g D o w n t o w n r e d e v e l o p m e n t . A d d i t i o n - Ci t y N u m b e r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 - 6 Co u n t y N u m b e r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 3 Na m e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . R a i n d a n c e Ty p e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . R e d e v e l o p m e n t Es t a b l i s h e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 / 1 2 / 8 5 Ce r t i f i c a t i o n R e q u e s t e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2 / 5 / 8 5 Ce r t i f i e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2 / 5 / 8 5 Ye a r o f F i r s t I n c r e m e n t . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 9 8 8 4- Y e a r K n o c k d o w n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2 / 5 / 8 9 5- Y e a r R u l e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . N A De c e r t i f i c a t i o n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2 / 3 1 / 1 3 Or i g i n a l T a x R a t e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 1 . 3 0 5 % Or i g i n a l T a x C a p a c i t y V a l u e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 8 Cu r r e n t B a s e T a x C a p a c i t y V a l u e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 8 Cu r r e n t ( P a y 2 0 1 2 ) T a x C a p a c i t y . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 8 , 1 5 8 Pa r c e l s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 1 5 5 - 0 1 0 - 0 1 5 0 1 0 1 5 5 - 0 1 9 - 0 1 5 0 4 0 1 5 5 - 0 1 9 - 0 1 5 0 7 0 Di s t r i c t 1 - 6 w a s o r i g i n a l l y e s t a b l i s h e d f o r t h e c o n s t r u c - ti o n o f 3 3 , 0 0 0 s q u a r e f o o t r e t a i l c e n t e r . T h e o r i g i n a l TI F p l a n h a s b e e n m o d i fi e d t o a u t h o r i z e a d d i t i o n a l ex p e n d i t u r e s f o r p u b l i c i m p r o v e m e n t s a n d o t h e r ( u n - sp e c i fi e d ) p r o j e c t c o s t s . T h e D i s t r i c t i s n o t s u b j e c t t o th e l i m i t a t i o n s o f p o o l i n g o r t h e fi v e - y e a r r u l e . I t i s d u e to b e d e c e r t i fi e d b y t h e e n d o f 2 0 1 3 . A l l o b l i g a t i o n s i n th e D i s t r i c t h a v e b e e n p a i d . Ac t i o n s T a k e n S i n c e 2 0 0 9 No a c t i o n s h a v e b e e n t a k e n s i n c e 2 0 0 9 f o r t h i s d i s t r i c t . Ad m i n i s t r a t i v e T a s k s Th e T I F p l a n e s t i m a t e s o n fi l e w i t h t h e O ffi c e o f t h e St a t e A u d i t o r ( O S A ) f o r t h i s d i s t r i c t n e e d s r e v i e w t o co n fi r m t h e O S A h a s t h e c o r r e c t a u t h o r i z e d e x p e n d i - tu r e s a m o u n t s . Ma n a g e m e n t S t r a t e g i e s Op t i o n 1 - D e c e r t i f y Th e c o n s e r v a t i v e a p p r o a c h f o r t h e D i s t r i c t w o u l d b e to r e q u e s t d e c e r t i fi c a t i o n . E x c e s s t a x i n c r e m e n t s ( i n - cl u d i n g t a x i n c r e m e n t s t o b e p a i d i n 2 0 1 2 ) w o u l d b e co n v e y e d t o t h e C o u n t y a n d r e d i s t r i b u t e d t o t h e t a x - in g j u r i s d i c t i o n s . T h e E D A w o u l d n e e d t o c o o r d i n a t e de c e r t i fi c a t i o n o f t h e D i s t r i c t w i t h W r i g h t C o u n t y . Cu r r e n t l y , t h e d i s t r i c t i s s c h e d u l e d f o r d e c e r t i fi c a t i o n in 2 0 1 3 . C o o r d i n a t i o n w i t h t h e C o u n t y w o u l d a l l o w be n e fi t s f r o m t h e e x p a n d e d t a x b a s e i n t h e y e a r f o l l o w - in g d e c e r t i fi c a t i o n . Op t i o n 2 - U s e R e m a i n i n g R e s o u r c e s Pa s t m o d i fi c a t i o n s s h o w t h a t t h e E D A h a s p l a n n e d f o r th e f u t u r e u s e o f r e v e n u e s f r o m D i s t r i c t 1 - 6 . T h e p r o - je c t i o n s s h o w a n e s t i m a t e d f u n d b a l a n c e o f $ 6 9 0 , 0 0 0 a t th e e n d o f t h e D i s t r i c t i n 2 0 1 3 . T h e C i t y c o u l d e x p e n d District 1-6 (Raindance)Redevelopment 19District Summary al p l a n n i n g s h o u l d b e u n d e r t a k e n t o d e t e r m i n e t h e gr e a t e s t n e e d / b e s t u s e f o r t h e e x i s t i n g f u n d b a l a n c e an d f u t u r e t a x i n c r e m e n t s . P o t e n t i a l u s e s i n c l u d e th e f o l l o w i n g ( t h e s e a r e t h e s a m e a s s h o w n f o r D i s - tr i c t 1 - 5 ) : • S u p p o r t c o n s t r u c t i o n o f b r i d g e o v e r F a l l e n Av e n u e o v e r p a s s . T h e C o m p r e h e n s i v e P l a n sh o w s a f u t u r e b r i d g e c r o s s i n g i n t h i s a r e a . Ta x i n c r e m e n t s c o u l d b e u s e d f o r t h e b r i d g e im p r o v e m e n t s , r e l a t e d i m p r o v e m e n t s t o s u p - po r t i n g r o a d s , o r r e d e v e l o p m e n t o f p r o p e r t y i n th i s a r e a . • S u p p o r t e a s t i n t e r c h a n g e p r o j e c t . T h e t a x i n - cr e m e n t s f r o m D i s t r i c t 1 - 5 c o u l d b e u s e d t o su p p l e m e n t t h e f u n d i n g f o r t h e e a s t I - 9 4 i n t e r - ch a n g e f u n d e d t h r o u g h D i s t r i c t 1 - 3 4 . • F a c i l i t a t e d e v e l o p m e n t a l o n g 7 t h S t r e e t . T h e ar e a w e s t o f D i s t r i c t 1 - 5 c o n t a i n s s e v e r a l u n - de v e l o p e d p a r c e l s . T h e s e fi n a n c i a l r e s o u r c e s co u l d b e u s e d t o a tt r a c t n e w d e v e l o p m e n t t o th i s a r e a . • I m p r o v e m e n t p r o j e c t s f o r t h e c o r n e r o f 7 t h a n d Hi g h w a y 2 5 . • E n c o u r a g e r e d e v e l o p m e n t o n t h e e a s t s i d e o f Hi g h w a y 2 5 . • S u p p o r t i m p r o v e m e n t s t o H i g h w a y 2 5 . • I m p r o v e p e d e s t r i a n c r o s s i n g o f H i g h w a y 2 5 an d p e d e s t r i a n c o n n e c t i o n s t o D o w n t o w n . • I m p l e m e n t a t i o n o f E m b r a c i n g D o w n t o w n o n Bl o c k 3 4 a n d A n c h o r B l o c k . 2. D e t e r m i n e c o m p l i a n c e w i t h P l a n . P r i o r t o m a k i n g an y a d d i t i o n a l e x p e n d i t u r e s f r o m D i s t r i c t 1 - 6 , i t is i m p o r t a n t t o v e r i f y t h a t t h e u s e s f a l l w i t h i n t h e bu d g e t a n d a n y p a r c e l s f o r a c q u i s i t i o n a r e l i s t e d in t h e p l a n . I t i s a n t i c i p a t e d t h a t m o d i fi c a t i o n s t o th e T I F p l a n w i l l b e n e e d e d t o a u t h o r i z e a d d i t i o n a l ex p e n d i t u r e s . A t a m i n i m u m , t h e b u d g e t s h o u l d be a m e n d e d t o a l l o c a t e t h e e x p e n s e s a s s i g n e d t o “O t h e r P r o j e c t C o s t s ” ( $ 8 3 , 1 0 0 a n d $ 6 1 0 , 4 0 0 ) t o sp e c i fi c p u r p o s e s . 20District Summary D i s t r i c t 1 - 6 O r i g i n a l T I F P l a n B u d g e t A m o u n t C u m u l a t i v e M o d i f i e d T I F P l a n B u d g e t A c c o u n t e d f o r i n P r i o r Y e a r 2 0 1 0 2 0 1 1 2 0 1 2 2 0 1 3 Estimated Total Life of District R e v e n u e s a n d O t h e r F i n a n c i n g S o u r c e s T a x i n c r e m e n t r e v e n u e 1 , 0 2 5 , 0 0 0 1 , 6 5 0 , 0 0 0 1 , 2 1 9 , 3 5 2 7 5 , 1 4 4 7 7 , 5 8 3 8 3 , 5 2 8 8 3 , 5 2 8 1 , 5 3 9 , 1 3 5 M a r k e t V a l u e H o m e s t e a d C r e d i t - In v e s t m e n t e a r n i n g s 2 6 7 , 0 0 0 6 4 , 2 6 5 7 , 1 4 2 1 5 , 9 3 0 7 , 6 2 3 8 , 9 8 3 1 0 3 , 9 4 3 B o n d p r o c e e d s 3 5 0 , 0 0 0 3 5 0 , 0 0 0 3 5 0 , 0 0 0 3 5 0 , 0 0 0 L o a n p r o c e e d s - S p e c i a l a s s e s s m e n t s - S a l e s / l e a s e p r o c e e d s 6 2 , 1 5 0 6 5 , 0 0 0 6 4 , 1 5 0 6 4 , 1 5 0 L o a n / a d v a n c e r e p a y m e n t s - D e v e l o p e r p a y m e n t 2 , 5 0 0 - In t e r f u n d l o a n / t r a n s f e r - O t h e r - T r a n s f e r s ( i n ) - T o t a l R e v e n u e s / O F S 1 , 4 3 7 , 1 5 0 2 , 3 3 4 , 5 0 0 1 , 6 9 7 , 7 6 7 8 2 , 2 8 6 9 3 , 5 1 3 9 1 , 1 5 1 9 2 , 5 1 1 2 , 0 5 7 , 2 2 8 E x p e n d i t u r e s a n d O t h e r F i n a n c i n g U s e s L a n d / b u i l d i n g a c q u i s i t i o n 2 2 9 , 0 0 0 2 3 5 , 0 0 0 2 3 2 , 0 7 6 2 3 2 , 0 7 6 S i t e i m p r o v e m e n t / p r e p a r a t i o n c o s t s 2 8 , 0 0 0 2 8 , 0 0 0 2 8 , 0 0 0 U t i l i t i e s 0 P u b l i c p a r k i n g f a c i l i t i e s 0 S t r e e t s a n d s i d e w a l k s 7 5 , 0 0 0 2 5 0 , 0 0 0 1 8 0 , 2 7 6 1 8 0 , 2 7 6 P u b l i c p a r k f a c i l i t i e s 0 S o c i a l , r e c r e a t i o n , o r c o n f e r e n c e f a c i l i t i e s 0 In t e r e s t r e d u c t i o n p a y m e n t s 0 B o n d p r i n c i p a l p a y m e n t s 3 5 0 , 0 0 0 3 5 0 , 0 0 0 3 5 0 , 0 0 0 3 5 0 , 0 0 0 B o n d i n t e r e s t p a y m e n t s 6 9 2 , 0 0 0 6 9 2 , 0 0 0 3 9 7 , 3 7 3 3 9 7 , 3 7 3 L o a n p r i n c i p a l p a y m e n t s 0 L o a n / n o t e i n t e r e s t p a y m e n t s 0 A d m i n i s t r a t i v e e x p e n s e s 3 8 , 1 5 0 4 5 , 0 0 0 3 6 , 5 9 8 3 6 5 2 6 5 0 0 5 0 0 3 7 , 9 8 9 P a y i n g a g e n t f e e s 0 O t h e r 8 3 , 1 0 0 0 0 O t h e r 6 1 0 , 4 0 0 0 0 T r a n s f e r s ( o u t ) 1 4 0 , 6 5 4 1 4 0 , 6 5 4 T o t a l E x p e n d i t u r e s / O F U 1 , 3 8 4 , 1 5 0 2 , 2 9 3 , 5 0 0 1 , 3 6 4 , 9 7 7 3 6 5 2 6 5 0 0 5 0 0 1 , 3 6 6 , 3 6 8 R e v e n u e s / O F S O v e r ( U n d e r ) E x p e n d i t u r e s / O F U 5 3 , 0 0 0 4 1 , 0 0 0 3 3 2 , 7 9 0 8 1 , 9 2 1 9 3 , 4 8 7 9 0 , 6 5 1 9 2 , 0 1 1 6 9 0 , 8 6 0 F u n d B a l a n c e - B e g i n 3 3 2 , 7 9 0 4 1 4 , 7 1 1 5 0 8 , 1 9 8 5 9 8 , 8 4 9 0 F u n d B a l a n c e - E n d 4 1 4 , 7 1 1 5 0 8 , 1 9 8 5 9 8 , 8 4 9 6 9 0 , 8 6 0 6 9 0 , 8 6 0 21District Summary by t h e C i t y t o m o d i f y t h e d e v e l o p m e n t a g r e e m e n t , t h e di s t r i c t w i l l n e e d t o b e d e c e r t i fi e d a t t h e e n d o f 2 0 1 2 . An y t a x i n c r e m e n t s c o l l e c t e d i n 2 0 1 2 w i l l n e e d t o b e re t u r n e d t o t h e C o u n t y a s e x c e s s t a x i n c r e m e n t s . Op t i o n 2 - A m e n d E x i s t i n g D e v e l o p m e n t A g r e e m e n t An o p t i o n t o d e c e r t i fi c a t i o n i s f o r t h e C i t y t o a m e n d th e d e v e l o p m e n t a g r e e m e n t t o e x t e n d t h e d a t e ( s ) i n th e a g r e e m e n t . T h i s i s a n o p t i o n b e c a u s e a b a l a n c e r e - ma i n s o u t s t a n d i n g o n t h e o r i g i n a l n o t e . I f t h e d a t e i s ex t e n d e d , t h e d e v e l o p e r w o u l d c o n t i n u e t o b e s u b j e c t to m e e t i n g t h e a ff o r d a b l e h o u s i n g r e q u i r e m e n t s f o r th e p r o j e c t . St a t e L a w l i m i t s t h e a b i l i t y o f t a x i n c r e m e n t s f r o m t h i s Ci t y N u m b e r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 - 1 9 Co u n t y N u m b e r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 0 Na m e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . M i s s i s s i p p i S h o r e s Ty p e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . H o u s i n g Es t a b l i s h e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 / 1 3 / 9 5 Ce r t i f i c a t i o n R e q u e s t e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 / 2 7 / 9 5 Ce r t i f i e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 / 2 8 / 9 5 Ye a r o f F i r s t I n c r e m e n t . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 9 9 8 4- Y e a r K n o c k d o w n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 / 3 0 / 9 9 5- Y e a r R u l e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 / 3 0 / 0 0 De c e r t i f i c a t i o n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2 / 3 1 / 2 3 Or i g i n a l T a x R a t e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 1 . 7 8 9 % Or i g i n a l T a x C a p a c i t y V a l u e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 , 5 2 3 Cu r r e n t B a s e T a x C a p a c i t y V a l u e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 , 5 2 3 Cu r r e n t ( P a y 2 0 1 2 ) T a x C a p a c i t y . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 2 , 3 1 0 Pa r c e l s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 1 5 5 - 1 0 6 - 0 0 2 0 2 0 1 5 5 - 1 0 6 - 0 0 3 0 2 0 Di s t r i c t 1 - 1 9 p r o v i d e s t h e fi r s t e x a m p l e o f t h e c o n t e m - po r a r y , s i n g l e - p u r p o s e T I F d i s t r i c t i n M o n t i c e l l o . T h e Di s t r i c t w a s i n i t i a l l y e s t a b l i s h e d t o a s s i s t w i t h t h e c o n - st r u c t i o n o f 4 9 u n i t s o f s e n i o r h o u s i n g . T h e t a x i n c r e - me n t f r o m t h e D i s t r i c t i s o b l i g a t e d u n d e r a d e v e l o p - me n t a g r e e m e n t w i t h P r e s b y t e r i a n H o m e s . N i n e t y pe r c e n t ( 9 0 % ) o f a n n u a l t a x i n c r e m e n t i s u s e d t o r e p a y a $ 3 6 3 , 2 1 7 ( w a s o r i g i n a l l y $ 3 3 2 , 1 3 9 ) n o t e a t a n i n t e r - es t r a t e o f 8 % w i t h t h e n o t e t e r m i n a t i n g n o l a t e r t h a n 2/ 1 / 2 0 1 2 . T h e b a l a n c e o u t s t a n d i n g o n t h e n o t e a s o f 12 / 3 1 / 2 0 1 1 i s $ 3 1 8 , 0 4 9 . T h e e n d i n g d a t e i n t h e a g r e e - me n t f o r t h e n o t e h a s p a s s e d ; t h e C i t y s h o u l d a c t t o de c e r t i f y u n l e s s m o d i fi c a t i o n s t o t h e d e v e l o p e r a g r e e - me n t a n d t h e n o t e a r e a p p r o v e d . Ac t i o n s T a k e n S i n c e 2 0 0 9 An n u a l p a y m e n t s o n t h e o u t s t a n d i n g n o t e h a v e c o n - ti n u e d . Ad m i n i s t r a t i v e T a s k s Th e C i t y s h o u l d v e r i f y t h e p r i n c i p a l a m o u n t o f t h e no t e t h a t i s o u t s t a n d i n g t o c o n fi r m t h a t t h e r e p o r t e d am o u n t i s a c c u r a t e b a s e d o n t h e i s s u a n c e a m o u n t o f th e n o t e a n d p r i n c i p a l p a y m e n t s m a d e l i f e t o d a t e . Th e T I F p l a n e s t i m a t e s o n fi l e w i t h t h e O ffi c e o f t h e St a t e A u d i t o r ( O S A ) f o r t h i s d i s t r i c t n e e d s r e v i e w t o co n fi r m t h e O S A h a s t h e c o r r e c t a u t h o r i z e d e x p e n d i - tu r e s a m o u n t s . Ma n a g e m e n t S t r a t e g y Op t i o n 1 - D e c e r t i f y Th e f o c u s o f t h i s D i s t r i c t h a s b e e n t h e r e p a y m e n t o f t h e no t e . T o d a t e t h e d i s t r i c t h a s n o t p r o v i d e d s u ffi c i e n t ta x i n c r e m e n t s t o r e p a y t h e n o t e p r i o r t o t h e n o t e ’ s en d d a t e o f 2 / 1 / 2 0 1 2 . U n l e s s c u r r e n t a c t i o n i s t a k e n District 1-19 (Mississippi Shores)Housing 22District Summary Di s t r i c t t o b e u s e d f o r o t h e r p u r p o s e s : • D i s t r i c t 1 - 1 9 i s a h o u s i n g d i s t r i c t . T a x i n c r e m e n t s fr o m t h i s D i s t r i c t a r e t o b e u s e d s o l e l y t o f a c i l i t a t e th e h o u s i n g p r o j e c t . • T h e D i s t r i c t i s s u b j e c t t o t h e fi v e - y e a r r u l e . T h e fi v e - y e a r p e r i o d e n d e d A p r i l 3 0 , 2 0 0 0 . • A s a h o u s i n g d i s t r i c t , i n c r e m e n t s c a n b e s p e n t o n ot h e r h o u s i n g p r o j e c t s w i t h o u t r e g a r d t o p o o l i n g li m i t s o r t h e fi v e - y e a r r u l e . S u c h e x p e n d i t u r e s mu s t b e a u t h o r i z e d i n t h e T I F p l a n a n d o c c u r b e - fo r e e x i s t i n g o b l i g a t i o n s a r e c o m p l e t e d . 23District Summary Dis t r i c t 1 - 1 9 Ori g i n a l T I F Pla n B u d g e t Am o u n t Cu m u l a t i v e Mo d i f i e d T I F Pla n B u d get Ac c o u n t e d fo r i n P r i o r Ye a r 20 1 0 2 0 1 1 2 0 1 2 2 0 1 3 2 0 1 4 2 0 1 5 2 0 1 6 2 0 1 7 2 0 1 8 2 0 1 9 2 0 2 0 2 0 2 1 2 0 2 2 2 0 2 3 Estimated Total Life of District Re v e n u e s a n d O t h e r F i n a n c i n g S o u r c e s *D e c e r t i f i c a t i o n r e q u i r e d i n 2 0 1 2 , u n d e r O p t i o n 1 . Tax i n c r e m e n t r e v e n u e 1 , 0 6 3 , 7 5 0 1 , 0 6 3 , 7 5 0 3 7 4 , 1 3 5 3 2 , 4 5 7 3 2 , 6 8 7 3 3 , 2 9 9 3 3 , 2 9 9 3 3 , 2 9 9 3 3 , 2 9 9 3 3 , 2 9 9 3 3 , 2 9 9 3 3 , 2 9 9 3 3 , 2 9 9 3 3 , 2 9 9 3 3 , 2 9 9 3 3 , 2 9 9 3 3 , 2 99838,862 Ma r k e t V a l u e H o m e s t e a d C r e d i t 0 In v e s t m e n t e a r n i n g s 6 , 5 4 7 3 9 8 8 6 9 4 1 2 9 1 6 1 , 4 2 8 1 , 9 4 7 2 , 4 7 4 3 , 0 0 9 3 , 5 5 2 4 , 1 0 4 4 , 6 6 3 5 , 2 3 1 5 , 8 0 8 6 , 3 9 3 4 7 , 7 5 0 Bo n d p r o c e e d s 0 Lo a n p r o c e e d s 0 Sp e c i a l a s s e s s m e n t s 0 Sa l e s / l e a s e p r o c e e d s 0 Lo a n / a d v a n c e r e p a y m e n t s 0 De v e l o p e r p a y m e n t 0 (1 4 , 9 1 0 ) (14,910) In t e r f u n d l o a n / t r a n s f e r 0 Oth e r 0 Tra n s f e r s ( i n ) 0 Tot a l R e v e n u e s / O F S 1 , 0 6 3 , 7 5 0 1 , 0 6 3 , 7 5 0 3 8 0 , 6 8 2 1 7 , 9 4 5 3 3 , 5 5 6 3 3 , 7 1 0 3 4 , 2 1 4 3 4 , 7 2 6 3 5 , 2 4 6 3 5 , 7 7 3 3 6 , 3 0 8 3 6 , 8 5 1 3 7 , 4 0 2 3 7 , 9 6 2 3 8 , 5 3 0 3 9 , 1 0 6 3 9 , 6 9 1 8 71,702 Ex p e n d i t u r e s a n d O t h e r F i n a n c i n g U s e s La n d / b u i l d i n g a c q u i s i t i o n 0 Sit e i m p r o v e m e n t / p r e p a r a t i o n c o s t s 1 0 0 , 1 7 3 1 0 0 , 1 7 3 0 Uti l i t i e s 6 2 , 0 0 0 6 2 , 0 0 0 0 Pu b l i c p a r k i n g f a c i l i t i e s 4 8 , 6 5 7 1 4 3 , 6 5 7 0 St r e e t s a n d s i d e w a l k s 0 Pu b l i c p a r k f a c i l i t i e s 0 So c i a l , r e c r e a t i o n , o r c o n f e r e n c e f a c i l i t i e s 0 In t e r e s t r e d u c t i o n p a y m e n t s 0 Bo n d p r i n c i p a l p a y m e n t s 0 Bo n d i n t e r e s t p a y m e n t s 0 PA Y G p r i n c i p a l p a y m e n t s 3 8 , 1 5 4 3 , 2 7 1 3 , 7 4 3 45,168 PA Y G i n t e r e s t p a y m e n t s 7 3 7 , 9 2 0 7 3 7 , 9 2 0 2 7 2 , 8 7 2 2 5 , 9 4 0 2 5 , 6 7 5 324,487 Ad m i n i s t r a t i v e e x p e n s e s 2 0 , 0 0 0 2 0 , 0 0 0 3 4 , 9 6 3 9 1 2 7 1 0 0 1 0 0 1 0 0 1 0 0 1 0 0 1 0 0 1 0 0 1 0 0 1 0 0 1 0 0 1 0 0 1 0 0 3 6 , 2 8 1 Pa y i n g a g e n t f e e s 0 Oth e r 2 0 , 0 0 0 0 0 Oth e r 7 5 , 0 0 0 0 Tra n s f e r s ( o u t ) 0 Tot a l E x p e n d i t u r e s / O F U 1 , 0 6 3 , 7 5 0 1 , 0 6 3 , 7 5 0 3 4 5 , 9 8 9 2 9 , 3 0 2 2 9 , 4 4 5 1 0 0 1 0 0 1 0 0 1 0 0 1 0 0 1 0 0 1 0 0 1 0 0 1 0 0 1 0 0 1 0 0 1 0 0 4 0 5 , 9 3 6 Re v e n u e s / O F S O v e r ( U n d e r ) E x p e n d i t u r e s / O F U 0 0 3 4 , 6 9 3 (1 1 , 3 5 7 ) 4,1 1 1 3 3 , 6 1 0 3 4 , 1 1 4 3 4 , 6 2 6 3 5 , 1 4 6 3 5 , 6 7 3 3 6 , 2 0 8 3 6 , 7 5 1 3 7 , 3 0 2 3 7 , 8 6 2 3 8 , 4 3 0 3 9 , 0 0 6 3 9 , 5 9 1 4 6 5 , 7 6 6 Fu n d B a l a n c e - B e g i n 34 , 6 9 3 2 3 , 3 3 6 2 7 , 4 4 7 6 1 , 0 5 7 9 5 , 1 7 2 1 2 9 , 7 9 8 1 6 4 , 9 4 3 2 0 0 , 6 1 6 2 3 6 , 8 2 4 2 7 3 , 5 7 5 3 1 0 , 8 7 7 3 4 8 , 7 3 9 3 8 7 , 1 6 9 4 2 6 , 1 7 5 0 Fu n d B a l a n c e - E n d 23 , 3 3 6 2 7 , 4 4 7 6 1 , 0 5 7 9 5 , 1 7 2 1 2 9 , 7 9 8 1 6 4 , 9 4 3 2 0 0 , 6 1 6 2 3 6 , 8 2 4 2 7 3 , 5 7 5 3 1 0 , 8 7 7 3 4 8 , 7 3 9 3 8 7 , 1 6 9 4 2 6 , 1 7 5 4 6 5 , 7 6 6 4 6 5 , 7 6 6 No t e O u t s t a n d i n g 32 5 , 0 6 3 3 2 1 , 7 9 2 3 1 8 , 0 4 9 3 1 8 , 0 4 9 3 1 8 , 0 4 9 3 1 8 , 0 4 9 3 1 8 , 0 4 9 3 1 8 , 0 4 9 3 1 8 , 0 4 9 3 1 8 , 0 4 9 3 1 8 , 0 4 9 3 1 8 , 0 4 9 3 1 8 , 0 4 9 3 1 8 , 0 4 9 3 1 8 , 0 4 9 3 1 8 , 0 4 9 24District Summary no t e p r i o r t o i t s e n d i n g d a t e o f 8 / 1 / 2 0 1 8 . R a t h e r t h a n di s c h a r g e t h e n o t e w i t h e x i s t i n g f u n d b a l a n c e , t h e E D A co u l d d e c i d e t o i n c r e a s e t h e s h a r e o f a n n u a l i n c r e m e n t ap p l i e d t o t h e n o t e a f t e r t h e l o a n i s p a i d i n 2 0 1 2 . Th e D i s t r i c t c a n b e d e c e r t i fi e d o n c e t h e l o a n a n d n o t e ar e f u l l y p a i d . T h e t i m i n g o f d e c e r t i fi c a t i o n w i l l d e - pe n d o n d e c i s i o n s m a d e a b o u t u s e o f f u n d b a l a n c e f o r pa y m e n t s . U n d e r e i t h e r o f t h e s e s c e n a r i o s , u s e o f f u n d ba l a n c e o r n o u s e o f f u n d b a l a n c e f o r p a y m e n t s , t h e Ci t y N u m b e r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 - 2 0 Co u n t y N u m b e r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 2 0 Na m e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . P r a i r i e W e s t Ty p e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . R e d e v e l o p m e n t Es t a b l i s h e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 / 2 4 / 9 6 Ce r t i f i c a t i o n R e q u e s t e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2 / 2 0 / 9 6 Ce r t i f i e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2 / 2 3 / 9 6 Ye a r o f F i r s t I n c r e m e n t . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 9 9 9 4- Y e a r K n o c k d o w n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2 / 2 3 / 0 0 5- Y e a r R u l e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2 / 2 3 / 0 1 De c e r t i f i c a t i o n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2 / 3 1 / 2 4 Or i g i n a l T a x R a t e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 0 . 5 8 1 % Or i g i n a l T a x C a p a c i t y V a l u e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 , 0 0 0 Cu r r e n t B a s e T a x C a p a c i t y V a l u e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 , 6 7 2 Cu r r e n t ( P a y 2 0 1 2 ) T a x C a p a c i t y . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 8 , 3 2 3 Pa r c e l s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2 1 5 5 - 1 0 4 - 0 0 1 0 1 0 1 5 5 - 1 0 4 - 0 0 1 0 2 0 1 5 5 - 1 0 4 - 0 0 1 0 3 0 1 5 5 - 1 0 4 - 0 0 1 0 4 0 1 5 5 - 1 0 4 - 0 0 1 1 3 0 1 5 5 - 1 0 4 - 0 0 1 1 4 0 1 5 5 - 1 0 4 - 0 0 1 1 5 0 1 5 5 - 1 0 4 - 0 0 1 1 6 0 1 5 5 - 1 0 4 - 0 0 1 1 7 0 1 5 5 - 1 0 4 - 0 0 1 1 8 0 1 5 5 - 1 0 4 - 0 0 1 1 9 0 1 5 5 - 1 0 4 - 0 0 1 2 0 0 Di s t r i c t 1 - 2 0 i s a r e d e v e l o p m e n t T I F d i s t r i c t e s t a b l i s h e d fo r t h e c o n s t r u c t i o n o f 1 0 s i n g l e - f a m i l y h o u s i n g u n i t s . Th e t a x i n c r e m e n t f r o m t h e D i s t r i c t i s u s e d t o s u p p o r t tw o o b l i g a t i o n s . T h e fi r s t o b l i g a t i o n i s a $ 6 5 , 0 0 0 i n - te r n a l f u n d l o a n . F i f t y - f o u r p e r c e n t ( 5 4 % ) o f t h e t a x in c r e m e n t i s u s e d t o r e p a y t h i s l o a n f r o m t h e E D A . Th e b a l a n c e o u t s t a n d i n g o n t h e l o a n a s o f 1 2 / 3 1 / 2 0 1 1 i s $1 0 , 9 5 7 . T h e s e c o n d o b l i g a t i o n i s a n o t e t o r e i m b u r s e th e d e v e l o p e r f o r l a n d a c q u i s i t i o n e x p e n s e . T h e n o t e i s cu r r e n t l y h e l d b y R i v e r w o o d B a n k . T h e $ 6 5 , 0 0 0 n o t e is p a i d w i t h 3 6 % o f t h e a n n u a l t a x i n c r e m e n t e n d i n g no l a t e r t h a n 8 / 1 / 2 0 1 8 . T h e b a l a n c e o u t s t a n d i n g o n t h e no t e a s o f 1 2 / 3 1 / 2 0 1 1 i s $ 7 6 , 7 2 3 ( i n c l u d i n g i n t e r e s t a c - cr u a l ) . T h e D i s t r i c t w i l l b e d e c e r t i fi e d n o l a t e r t h a n De c e m b e r 3 1 , 2 0 2 4 . Ac t i o n s T a k e n S i n c e 2 0 0 9 An n u a l p a y m e n t s o n t h e o u t s t a n d i n g i n t e r f u n d l o a n an d n o t e h a v e c o n t i n u e d . Ad m i n i s t r a t i v e T a s k s Th e T I F p l a n e s t i m a t e s o n fi l e w i t h t h e O ffi c e o f t h e St a t e A u d i t o r ( O S A ) f o r t h i s d i s t r i c t n e e d s r e v i e w t o co n fi r m t h e O S A h a s t h e c o r r e c t a u t h o r i z e d e x p e n d i - tu r e s a m o u n t s . Ma n a g e m e n t S t r a t e g y Op t i o n 1 - D i s c h a r g e O b l i g a t i o n s Th e f o c u s o f t h i s D i s t r i c t w i l l b e t h e r e p a y m e n t o f t h e lo a n a n d n o t e . U n d e r t h e a s s u m p t i o n s u s e d i n t h i s re p o r t , t h e D i s t r i c t h a s s u ffi c i e n t t a x i n c r e m e n t f u n d ba l a n c e t o p a y b o t h t h e l o a n a n d t h e n o t e . T h e E D A co u l d a c t t o d i s c h a r g e t h e l o a n a n d t h e n o t e w i t h e x i s t - in g f u n d b a l a n c e . Pr o j e c t i o n s s u g g e s t t h a t f u t u r e y e a r s t a x i n c r e m e n t c o l - le c t i o n s w i l l n o t b e s u ffi c i e n t t o f u l l y p a y t h e d e v e l o p e r District 1-20 (Prairie West)Redevelopment 25District Summary Di s t r i c t w i l l h a v e e x c e s s i n c r e m e n t s t h a t w i l l n e e d t o be r e t u r n e d t o t h e C o u n t y f o r r e d i s t r i b u t i o n . Op t i o n 2 - U s e R e m a i n i n g R e s o u r c e s As n o t e d i n t h e P o o l i n g s e c t i o n o f t h e M a n a g e m e n t Pl a n , a d d i t i o n a l o u t - o f - d i s t r i c t e x p e n d i t u r e s a r e a u t h o - ri z e d f o r q u a l i fi e d l o w - i n c o m e h o u s i n g . D i s t r i c t 1 - 2 0 is p r o j e c t e d t o h a v e e x c e s s t a x i n c r e m e n t t h a t c o u l d b e us e t o s u p p o r t a h o u s i n g p r o j e c t a t a n o t h e r l o c a t i o n i n th e P r o j e c t A r e a . B e y o n d t h i s t y p e o f h o u s i n g , S t a t e La w l i m i t s t h e a b i l i t y o f t a x i n c r e m e n t s f r o m t h i s D i s - tr i c t t o b e u s e d f o r o t h e r p u r p o s e s : • T h e D i s t r i c t i s s u b j e c t t o t h e fi v e - y e a r r u l e . T h e fi v e - y e a r p e r i o d e n d e d A p r i l 3 0 , 2 0 0 0 . • T h e D i s t r i c t i s s u b j e c t t o p o o l i n g l i m i t s . 26District Summary Dis t r i c t 1 - 2 0 Or i g i n a l T I F Pla n B u d g e t Am o u n t Cu m u l a t i v e Mo d i f i e d T I F Pla n B u d get Ac c o u n t e d fo r i n P r i o r Ye a r 20 1 0 2 0 1 1 2 0 1 2 2 0 1 3 2 0 1 4 2 0 1 5 2 0 1 6 2 0 1 7 2 0 1 8 2 0 1 9 2 0 2 0 2 0 2 1 2 0 2 2 2 0 2 3 2 0 2 4 Estimated Total Life of District Re v e n u e s a n d O t h e r F i n a n c i n g S o u r c e s *D e c e r t i f i c a t i o n r e q u i r e d u n d e r O p t i o n 1 . Ta x i n c r e m e n t r e v e n u e 6 2 8 , 3 0 0 6 2 8 , 3 0 0 2 0 5 , 2 9 1 2 1 , 9 4 5 2 1 , 0 2 1 1 8 , 4 1 3 1 8 , 4 1 3 1 8 , 4 1 3 1 8 , 4 1 3 1 8 , 4 1 3 1 8 , 4 1 3 1 8 , 4 1 3 1 8 , 4 1 3 1 8 , 4 1 3 1 8 , 4 1 3 1 8 , 4 1 3 1 8 , 4 1 3 1 8,413487,624 Ma r k e t V a l u e H o m e s t e a d C r e d i t 1 6 , 4 6 5 2 , 1 4 6 18,611 In v e s t m e n t e a r n i n g s 2 3 , 1 8 3 2 , 2 1 4 4 , 5 5 0 2 , 1 2 9 2 , 2 0 9 2 , 3 7 2 2 , 5 7 8 2 , 7 8 8 3 , 0 0 0 3 , 2 1 6 3 , 4 3 5 3 , 7 5 6 4 , 0 8 1 4 , 4 1 1 4 , 7 4 5 5 , 0 8 5 7 3 , 7 5 3 Bo n d p r o c e e d s - Lo a n p r o c e e d s 2 0 0 , 0 0 0 2 0 0 , 0 0 0 - Sp e c i a l a s s e s s m e n t s - Sa l e s / l e a s e p r o c e e d s - Lo a n / a d v a n c e r e p a y m e n t s - De v e l o p e r p a y m e n t - In t e r f u n d l o a n / t r a n s f e r - Oth e r - Tr a n s f e r s ( i n ) - To t a l R e v e n u e s / O F S 8 2 8 , 3 0 0 8 2 8 , 3 0 0 2 4 4 , 9 3 9 2 6 , 3 0 5 2 5 , 5 7 1 2 0 , 5 4 2 2 0 , 6 2 2 2 0 , 7 8 5 2 0 , 9 9 1 2 1 , 2 0 1 2 1 , 4 1 3 2 1 , 6 2 9 2 1 , 8 4 8 2 2 , 1 6 8 2 2 , 4 9 4 2 2 , 8 2 3 2 3 , 1 5 8 2 3 , 4 98579,988 Ex p e n d i t u r e s a n d O t h e r F i n a n c i n g U s e s La n d / b u i l d i n g a c q u i s i t i o n 2 0 0 , 0 0 0 2 0 0 , 0 0 0 - Sit e i m p r o v e m e n t / p r e p a r a t i o n c o s t s - Ut i l i t i e s - Pu b l i c p a r k i n g f a c i l i t i e s - St r e e t s a n d s i d e w a l k s - Pu b l i c p a r k f a c i l i t i e s - So c i a l , r e c r e a t i o n , o r c o n f e r e n c e f a c i l i t i e s - In t e r e s t r e d u c t i o n p a y m e n t s - Bo n d p r i n c i p a l p a y m e n t s - Bo n d i n t e r e s t p a y m e n t s - PA Y G p r i n c i p a l 2 0 0 , 0 0 0 2 0 0 , 0 0 0 7 , 2 6 1 3 , 6 2 6 3 7 5 11,262 PA Y G i n t e r e s t 4 0 8 , 3 0 0 4 0 8 , 3 0 0 6 2 , 0 6 7 2 , 6 4 6 8 , 6 1 2 6 , 5 2 1 6 , 5 2 1 6 , 5 2 1 6 , 5 2 1 6 , 5 2 1 6 , 5 2 1 6 , 5 2 1 1 1 8 , 9 7 5 In t e r f u n d l o a n p r i n c i p a l 2 8 , 4 7 8 1 5 , 6 7 3 9 , 8 9 2 8 , 2 1 0 2 , 7 4 7 65,000 In t e r f u n d l o a n i n t e r e s t - Ad m i n i s t r a t i v e e x p e n s e s 2 0 , 0 0 0 2 0 , 0 0 0 1 6 , 1 1 5 9 1 2 6 5 0 0 5 0 0 5 0 0 5 0 0 5 0 0 5 0 0 5 0 0 5 0 0 5 0 0 5 0 0 5 0 0 5 0 0 5 0 0 2 2 , 7 3 2 Pa y i n g a g e n t f e e s - Oth e r - Tr a n s f e r s ( o u t ) - To t a l E x p e n d i t u r e s / O F U 8 2 8 , 3 0 0 8 2 8 , 3 0 0 1 1 3 , 9 2 1 2 2 , 0 3 6 1 8 , 9 0 5 1 5 , 2 3 1 9 , 7 6 8 7 , 0 2 1 7 , 0 2 1 7 , 0 2 1 7 , 0 2 1 7 , 0 2 1 5 0 0 5 0 0 5 0 0 5 0 0 5 0 0 5 0 0 2 1 7 , 9 6 9 Re v e n u e s / O F S O v e r ( U n d e r ) E x p e n d i t u r e s / O F U 0 0 1 3 1 , 0 1 8 4 , 2 6 9 6 , 6 6 6 5 , 3 1 1 1 0 , 8 5 3 1 3 , 7 6 3 1 3 , 9 7 0 1 4 , 1 7 9 1 4 , 3 9 2 1 4 , 6 0 8 2 1 , 3 4 8 2 1 , 6 6 8 2 1 , 9 9 4 2 2 , 3 2 3 2 2 , 6 5 8 2 2 , 9 9 8 3 6 2 , 0 1 9 Fu n d B a l a n c e - B e g i n 13 1 , 0 1 8 1 3 5 , 2 8 7 1 4 1 , 9 5 3 1 4 7 , 2 6 4 1 5 8 , 1 1 7 1 7 1 , 8 8 0 1 8 5 , 8 5 0 2 0 0 , 0 2 9 2 1 4 , 4 2 1 2 2 9 , 0 2 8 2 5 0 , 3 7 7 2 7 2 , 0 4 5 2 9 4 , 0 3 9 3 1 6 , 3 6 2 3 3 9 , 0 2 0 - Fu n d B a l a n c e - E n d 13 5 , 2 8 7 1 4 1 , 9 5 3 1 4 7 , 2 6 4 1 5 8 , 1 1 7 1 7 1 , 8 8 0 1 8 5 , 8 5 0 2 0 0 , 0 2 9 2 1 4 , 4 2 1 2 2 9 , 0 2 8 2 5 0 , 3 7 7 2 7 2 , 0 4 5 2 9 4 , 0 3 9 3 1 6 , 3 6 2 3 3 9 , 0 2 0 3 6 2 , 0 1 9 3 6 2 , 0 1 9 No t e O u t s t a n d i n g 80 , 7 2 4 7 7 , 0 9 8 7 6 , 7 2 3 7 6 , 7 2 3 7 6 , 7 2 3 7 6 , 7 2 3 7 6 , 7 2 3 7 6 , 7 2 3 7 6 , 7 2 3 7 6 , 7 2 3 7 6 , 7 2 3 7 6 , 7 2 3 7 6 , 7 2 3 7 6 , 7 2 3 7 6 , 7 2 3 7 6 , 7 2 3 7 6 , 7 2 3 In t e r f u n d L o a n O u t s t a n d i n g 36 , 5 2 2 2 0 , 8 4 9 1 0 , 9 5 7 2 , 7 4 7 00 0 0 0 0 0 0 0 0 0 0 - 27District Summary Ci t y N u m b e r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 - 2 2 Co u n t y N u m b e r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 2 2 Na m e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . D o w n t o w n D i s t r i c t Ty p e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . R e d e v e l o p m e n t Es t a b l i s h e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 / 1 0 / 9 7 Ce r t i f i c a t i o n R e q u e s t e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 / 2 5 / 9 7 Ce r t i f i e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 / 3 0 / 9 7 Ye a r o f F i r s t I n c r e m e n t . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 9 9 9 4- Y e a r K n o c k d o w n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 / 3 0 / 0 1 5- Y e a r R u l e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 / 3 0 / 0 2 De c e r t i f i c a t i o n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2 / 3 1 / 2 4 Or i g i n a l T a x R a t e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 2 . 6 1 8 % Or i g i n a l T a x C a p a c i t y V a l u e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 5 7 , 3 1 1 Cu r r e n t B a s e T a x C a p a c i t y V a l u e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 7 8 , 8 1 4 Cu r r e n t ( P a y 2 0 1 2 ) T a x C a p a c i t y . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 5 8 , 2 0 8 Pa r c e l s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 8 1 5 5 - 0 1 0 - 0 0 2 0 1 1 1 5 5 - 0 1 0 - 0 3 6 1 3 0 1 5 5 - 0 1 0 - 0 0 5 0 1 0 1 5 5 - 0 1 0 - 0 0 5 0 9 0 1 5 5 - 0 1 0 - 0 5 1 0 6 0 1 5 5 - 0 1 0 - 0 0 6 0 4 0 1 5 5 - 0 1 0 - 0 5 1 1 0 0 1 5 5 - 0 1 0 - 0 0 7 0 2 0 1 5 5 - 0 1 0 - 0 5 2 0 1 0 1 5 5 - 0 1 0 - 0 1 1 0 3 0 1 5 5 - 0 1 0 - 0 5 2 0 6 0 1 5 5 - 0 1 0 - 0 1 1 0 4 0 1 5 5 - 0 1 0 - 0 5 2 1 1 0 1 5 5 - 0 1 0 - 0 1 4 0 5 0 1 5 5 - 0 1 0 - 0 5 3 1 3 0 1 5 5 - 0 1 0 - 0 1 6 0 7 0 1 5 5 - 0 1 0 - 0 5 4 0 3 0 1 5 5 - 0 1 0 - 0 1 6 0 9 0 1 5 5 - 0 1 0 - 0 6 9 0 8 0 1 5 5 - 0 1 0 - 0 1 6 1 0 0 1 5 5 - 0 4 0 - 0 0 2 1 0 0 1 5 5 - 0 1 0 - 0 1 7 0 3 0 1 5 5 - 0 7 6 - 0 0 1 0 1 0 1 5 5 - 0 1 0 - 0 1 7 0 6 0 1 5 5 - 1 3 7 - 0 0 0 1 0 0 1 5 5 - 0 1 0 - 0 1 8 0 6 0 1 5 5 - 1 3 7 - 0 0 0 2 0 0 1 5 5 - 0 1 0 - 0 1 8 0 8 0 1 5 5 - 1 3 7 - 0 0 0 3 0 0 1 5 5 - 0 1 0 - 0 2 0 0 1 0 1 5 5 - 1 3 7 - 0 0 0 4 0 0 1 5 5 - 0 1 0 - 0 2 0 0 3 0 1 5 5 - 1 3 7 - 0 0 0 5 0 0 1 5 5 - 0 1 0 - 0 3 2 0 2 0 1 5 5 - 1 3 7 - 0 0 0 6 0 0 1 5 5 - 0 1 0 - 0 3 3 0 1 1 1 5 5 - 1 3 7 - 0 0 0 7 0 0 1 5 5 - 0 1 0 - 0 3 4 0 6 0 1 5 5 - 1 4 4 - 0 0 0 0 1 0 1 5 5 - 0 1 0 - 0 3 4 1 3 0 1 5 5 - 1 4 4 - 0 0 1 0 2 0 1 5 5 - 0 1 0 - 0 3 4 1 5 0 1 5 5 - 1 4 4 - 0 0 1 0 3 0 1 5 5 - 0 1 0 - 0 3 5 0 6 0 1 5 5 - 1 4 4 - 0 0 1 0 4 0 1 5 5 - 0 1 0 - 0 3 5 1 2 0 1 5 5 - 1 4 4 - 0 0 1 0 5 0 1 5 5 - 0 1 0 - 0 3 5 1 3 0 1 5 5 - 1 4 4 - 0 0 1 0 6 0 1 5 5 - 0 1 0 - 0 3 6 0 4 0 1 5 5 - 1 4 4 - 0 0 1 0 7 0 1 5 5 - 0 1 0 - 0 3 6 0 6 1 1 5 5 - 1 4 4 - 0 0 1 0 8 0 1 5 5 - 0 1 0 - 0 3 6 1 1 0 1 5 5 - 1 4 4 - 0 0 1 0 9 0 1 5 5 - 0 1 0 - 0 3 6 1 1 1 1 5 5 - 0 1 0 - 0 3 6 1 4 0 Th e D o w n t o w n T I F D i s t r i c t ( 1 - 2 2 ) i s t h e l a r g e s t a n d mo s t c o m p l e x d i s t r i c t i n M o n t i c e l l o . T h i s d i s t r i c t pr o v i d e s a n e x c e l l e n t i l l u s t r a t i o n o f t h e c h a l l e n g e s o f im p l e m e n t i n g a l a r g e T I F d i s t r i c t s u b j e c t t o t h e c o n - st r a i n t s o f t h e fi v e - y e a r r u l e . Th e fi v e - y e a r r u l e t i m e p e r i o d h a s e n d e d . F u n d b a l - an c e m a y o n l y b e s p e n t o n t h e f o l l o w i n g a c t i v i t i e s : • E x i s t i n g o b l i g a t i o n s • A d m i n i s t r a t i v e e x p e n s e • D e v e l o p m e n t a c t i v i t i e s a u t h o r i z e d i n t h e T I F pl a n a n d w i t h i n t h e p o o l i n g r e s t r i c t i o n s . Ta x i n c r e m e n t s f r o m D i s t r i c t 1 - 2 2 i s p l e d g e d t o p a y - me n t o f b o n d s . T h e p l e d g e o f i n c r e m e n t t o t h e G . O . Ta x I n c r e m e n t B o n d s , S e r i e s 2 0 0 4 A , e n d e d i n 2 0 1 0 wh e n t h e b o n d s w e r e c a l l e d a n d p r e p a i d i n f u l l . ( T h i s is s u e w a s a c u r r e n t r e f u n d i n g o f t h e o r i g i n a l $ 2 , 1 5 0 , 0 0 0 G. O . T e m p o r a r y T a x I n c r e m e n t B o n d s , S e r i e s 2 0 0 1 . ) In a d d i t i o n t o t h e p r i o r p l e d g e t o t h e n o w r e t i r e d 2 0 0 4 bo n d s , t a x i n c r e m e n t f r o m D i s t r i c t 1 - 2 2 i s p l e d g e d t o th e p a y m e n t o f t w o d e v e l o p e r n o t e s . 1. T h e d e v e l o p m e n t a g r e e m e n t w i t h M a s t e r F i f t h Av e n u e , I n c . p r o v i d e s f o r a n o t e i n t h e a m o u n t o f $1 8 5 , 0 0 0 ( s h o w n a s 2 2 . 5 A m o c o i n p r o j e c t i o n s ) . Th e n o t e i s p a y a b l e w i t h t a x i n c r e m e n t s f r o m pa r c e l s 1 5 5 - 0 1 0 - 0 3 6 1 3 0 a n d 1 5 5 - 0 1 0 - 0 3 6 1 4 0 . T h e no t e h a s a n o u t s t a n d i n g b a l a n c e o f $ 1 8 4 , 8 1 6 a s o f 12 / 3 1 / 2 0 1 1 . T h e n o t e d o e s n o t a c c r u e i n t e r e s t . T h e no t e i s s e t t o t e r m i n a t e n o l a t e r t h a n 2 / 1 / 2 0 2 3 . 2. T h e d e v e l o p m e n t a g r e e m e n t w i t h B B F P r o p e r t i e s , In c . p r o v i d e s f o r a n o t e i n t h e a m o u n t o f $ 5 0 0 , 0 0 0 . Th e t o t a l p r i n c i p a l o n t h e n o t e h a s g r o w n t o $1 , 0 4 7 , 9 1 9 w i t h t h e a c c r u a l o f u n p a i d i n t e r e s t , a s District 1-22 (Downtown)Redevelopment 28District Summary of 1 2 / 3 1 / 2 0 1 1 ( s h o w n a s 2 2 . 1 C u b i n p r o j e c t i o n s ) . Th e n o t e i s p a y a b l e w i t h t a x i n c r e m e n t s f r o m p a r - ce l 1 5 5 - 0 7 6 - 0 0 1 0 1 0 . T h e n o t e i s s e t t o t e r m i n a t e n o la t e r t h a n 2 / 1 / 2 0 2 0 . Ta x i n c r e m e n t f r o m D i s t r i c t 1 - 2 2 w a s p l e d g e d t o p a y fo r u p t o $ 2 8 1 , 2 5 0 i n r e d e v e l o p m e n t c o s t s r e l a t e d t o th e c o n s t r u c t i o n o f t h e C o m m u n i t y C e n t e r . T h e E D A (H R A ) a g r e e d t o p a y t h e C i t y $ 5 , 6 2 5 s e m i - a n n u a l l y b e - gi n n i n g A u g u s t 1 , 2 0 0 0 . T h e s t a t u s o f t h e p a y m e n t s i s un d e r r e v i e w b y t h e C i t y t o c o n fi r m t h e a m o u n t o f t h e ou t s t a n d i n g o b l i g a t i o n , i f a n y . Ac t i o n s T a k e n S i n c e 2 0 0 9 Ou t s t a n d i n g b o n d s f r o m S e r i e s 2 0 0 4 A w e r e c a l l e d a n d pa i d i n f u l l i n 2 0 1 0 . Th e C i t y r e q u e s t e d g u i d a n c e f r o m K e n n e d y & G r a v - en ( m e m o d a t e d F e b r u a r y 2 , 2 0 1 0 ) a n d E h l e r s ( m e m o Da t e d J u l y 5 , 2 0 1 1 ) o n o p t i o n s f o r u s e o f f u n d s f r o m TI F D i s t r i c t 1 - 2 2 . Th e C i t y a d o p t e d a s p e n d i n g p l a n t h a t a l l o w s f o r t h e te m p o r a r y e x p a n s i o n o f s p e n d i n g a u t h o r i t y f o r D i s - tr i c t 1 - 2 2 , a s g r a n t e d b y M N S t a t u t e 4 6 9 . 1 7 6 , S u b d . 4 m . Th e s p e n d i n g p l a n p r o v i d e s a u t h o r i t y t o u s e T I F f r o m th i s D i s t r i c t f o r t h e p u r p o s e o f s t i m u l a t i n g c o n s t r u c - ti o n . C o n s t r u c t i o n m u s t c o m m e n c e b e f o r e J u l y 1 , 2 0 1 2 an d t h e T I F m u s t b e s p e n t b y D e c e m b e r 3 1 , 2 0 1 2 . A b - se n t t h e t e m p o r a r y fl e x i b i l i t y o ff e r e d b y t h i s a u t h o r i t y , th e E D A w o u l d h a v e b e e n r e q u i r e d t o r e m o v e a l l b u t th r e e ( 3 ) p a r c e l s f r o m T I F D i s t r i c t 1 - 2 2 a f t e r t h e o u t - st a n d i n g o b l i g a t i o n f o r t h e 2 0 0 4 B o n d s w a s s a t i s fi e d in 2 0 1 0 . Ad m i n i s t r a t i v e T a s k s Th e C i t y i s i n t h e p r o c e s s o f c o m p l e t i n g t h e t a s k o f r e - vi e w i n g e x p e n d i t u r e t r a n s a c t i o n s t h a t o c c u r r e d u n d e r te m p o r a r y p o o l i n g a u t h o r i t y a n d a s a u t h o r i z e d b y t h e sp e n d i n g p l a n a d o p t e d b y t h e E D A . T h e r e s u l t s o f t h i s re v i e w m a y c a u s e t h e p r o j e c t e d f u n d b a l a n c e a m o u n t s to v a r y f r o m w h a t i s s h o w n i n t h i s r e p o r t . Ma n a g e m e n t S t r a t e g i e s Di s t r i c t 1 - 2 2 p o s e s a s i g n i fi c a n t m a n a g e m e n t c h a l l e n g e . Th e a r e a w i t h i n t h e D i s t r i c t i s a n i m p o r t a n t r e d e v e l o p - me n t f o c u s a r e a i n t h e C o m p r e h e n s i v e P l a n . A n e x i s t - in g T I F d i s t r i c t a n d t h e f u n d b a l a n c e i n t h e d i s t r i c t c r e - at e fi n a n c i a l t o o l s n e e d e d t o f a c i l i t a t e r e d e v e l o p m e n t pr o j e c t s . H o w e v e r , t h e fi v e - y e a r r u l e l i m i t s t h e o p t i o n s an d a b i l i t y o f t h e E D A t o u s e t h e s e r e s o u r c e s . Te m p o r a r y P o o l i n g A u t h o r i t y Th e t e m p o r a r y p o o l i n g a u t h o r i t y p r o v i d e d b y t h e L e g - is l a t u r e i n t h e J o b s B i l l p r o v i d e d a s h o r t t e r m w i n d o w to a c c e s s t h e a v a i l a b l e f u n d b a l a n c e f o r o ff e r i n g a s s i s - ta n c e t o p r o j e c t t h a t w o u l d o t h e r w i s e n o t q u a l i f y f o r us e o f f u n d s f r o m D i s t r i c t 1 - 2 2 . I n 2 0 0 9 , t h e E D A a c t e d to a p p r o v e a s p e n d i n g p l a n u n d e r t h e t e m p o r a r y p o o l - in g a u t h o r i t y t o a s s i s t w i t h d e v e l o p m e n t ( W a l g r e e n s ) . Ad d i t i o n a l I n v e s t i g a t i o n s As r e c o m m e n d e d i n t h e 2 0 0 9 T I F M a n a g e m e n t R e p o r t fo r t h i s D i s t r i c t , b e f o r e m a k i n g fi n a l d e c i s i o n s a b o u t a c - ti o n s r e l a t e d t o D i s t r i c t 1 - 2 2 , s e v e r a l a d d i t i o n a l i n v e s t i - ga t i o n s a r e s t i l l n e e d e d . T h i s a d d i t i o n a l i n v e s t i g a t i o n re m a i n s i m p o r t a n t . T h e s e i n v e s t i g a t i o n s w i l l p r o v i d e im p o r t a n t i n f o r m a t i o n a b o u t t h e D i s t r i c t . T h i s w o r k s wa s o u t s i d e o f t h e s c o p e o f t h i s r e p o r t . It i s r e c o m m e n d e d t h a t n o n e w p r o j e c t e x p e n d i t u r e s (o t h e r t h a n a d m i n i s t r a t i v e e x p e n s e ) s h o u l d b e m a d e fr o m t h i s D i s t r i c t u n t i l t h e f o l l o w i n g i s s u e s a r e a d - dr e s s e d : 29District Summary 1. V e r i f y k n o c k d o w n s t a t u s o f p a r c e l s . O v e r t h e l i f e of t h i s D i s t r i c t , i t i s l i k e l y t h a t p a r c e l s h a v e b e e n re m o v e d u n d e r t h e k n o c k d o w n p r o v i s i o n s o f S t a t e La w . I t i s a l s o p o s s i b l e t h a t p a r c e l s t h a t s h o u l d b e dr o p p e d r e m a i n i n t h e D i s t r i c t . I n p l a n n i n g f o r t h e fu t u r e o f t h i s D i s t r i c t ( i n c l u d i n g u s e o f f u n d s u n - de r t h e t e m p o r a r y p o o l i n g a u t h o r i t y ) i t w i l l b e i m - po r t a n t t o e n s u r e t h a t t h e t a x c a p a c i t y c a l c u l a t i o n s ar e b a s e d o n t h e c o r r e c t p a r c e l s . T h i s w a s o u t s i d e of t h e s c o p e o f t h e c u r r e n t s t u d y . 2. A n a l y z e p o o l i n g c a p a c i t y . A c c u r a t e i n f o r m a - ti o n o n t h e a b i l i t y t o m a k e e x p e n d i t u r e s w i t h i n th e p o o l i n g l i m i t s ( n o t i n c l u s i v e o f t h e t e m p o r a r y po o l i n g a u t h o r i t y g r a n t e d b y M N S t a t u t e 4 6 9 . 1 7 6 , Su b d . 4 m ) i s n e e d e d t o e v a l u a t e f u t u r e o p t i o n s f o r th e D i s t r i c t . T h i s a n a l y s i s r e q u i r e s t w o p i e c e s o f in f o r m a t i o n : ( 1 ) t o t a l a d m i n i s t r a t i v e e x p e n s e a n d (2 ) t o t a l r e v e n u e s t h a t m u s t b e i n c l u d e d i n t h i s ca l c u l a t i o n . G i v e n t h e i m p o r t a n c e o f t h i s a n a l y s i s , in f o r m a t i o n s h o u l d n o t b e t a k e n d i r e c t l y f r o m a n - nu a l r e p o r t s . A t h o r o u g h r e v i e w o f r e v e n u e s a n d ex p e n s e s o v e r t h e l i f e o f t h e D i s t r i c t w i l l e n s u r e th a t d a t a i s p r o p e r l y a c c o u n t e d f o r t h i s p u r p o s e . Th i s a n a l y s i s s h o u l d a l s o c o n s i d e r i f a n y q u a l i fi e d ho u s i n g p r o j e c t s c o u l d b e u n d e r t a k e n w i t h t h e ab i l i t y t o i n c r e a s e t h e p o o l i n g a m o u n t . T h i s a n a l y - si s i s b e y o n d t h e s c o p e o f t h e c u r r e n t s t u d y . 3. A n a l y z e D i s t r i c t r e v e n u e s . T h e E D A s h o u l d r e - vi e w a l l r e v e n u e s c o l l e c t e d i n t h i s D i s t r i c t t o d e t e r - mi n e i f a n y f u n d s a r e n o t “ t a x i n c r e m e n t s ” . S u c h mo n i e s c o u l d b e r e t a i n e d b y t h e E D A o n d e c e r t i - fi c a t i o n o f t h e D i s t r i c t . T h e s t a t u t o r y d e fi n i t i o n o f ta x i n c r e m e n t i n c l u d e s t h e a c t u a l t a x r e v e n u e s a n d ot h e r f u n d s t h a t a r e d e r i v e d f r o m t a x i n c r e m e n t s . 4. I d e n t i f y K e y I n v e s t m e n t s . T h e s e s t e p s w i l l l i k e l y sh o w t h a t D i s t r i c t 1 - 2 2 h a s t h e l e g a l a n d fi n a n c i a l ca p a c i t y t o c o n t i n u e t o u n d e r t a k e d e v e l o p m e n t a c - ti v i t i e s i n t h e D o w n t o w n a r e a . Sa t i s f y C o m m i t m e n t t o C o m m u n i t y C e n t e r Th e i n v e s t i g a t i o n s c o n d u c t e d f o r t h i s s t u d y d i d n o t de t e r m i n e t h e t a x i n c r e m e n t s p r e v i o u s l y p a i d t o t h e Ci t y f o r C o m m u n i t y C e n t e r a r e a r e d e v e l o p m e n t c o s t s . Ex i s t i n g f u n d b a l a n c e s h o u l d b e u s e d t o p a y t h e r e - ma i n i n g a m o u n t , i f t h e r e i s a n o u t s t a n d i n g b a l a n c e . Th e C i t y w i l l p e r f o r m t h i s a n a l y s i s . Pa r t i a l D e c e r t i f i c a t i o n R e q u i r e d Th e p r o j e c t i o n s s h o w t h e d e c e r t i fi c a t i o n o f t h e D i s t r i c t fo r a l l p a r c e l s e x c e p t f o r t h e t h r e e p a r c e l s c o m m i tt e d t o de v e l o p e r n o t e s ( 1 5 5 - 0 7 6 - 0 0 1 0 1 0 , 1 5 5 - 0 1 0 - 0 3 6 1 3 0 a n d 15 5 - 0 1 0 - 0 3 6 1 4 0 ) . D i s t r i c t 1 - 2 2 w o u l d r e m a i n i n e x i s - te n c e w i t h t h e s e t h r e e p a r c e l s u n t i l 2 / 1 / 2 0 2 0 a t w h i c h ti m e o n l y t w o p a r c e l s w i l l r e m a i n ( 1 5 5 - 0 1 0 - 0 3 6 1 3 0 an d 1 5 5 - 0 1 0 - 0 3 6 1 4 0 ) u n t i l t h e e n d d e c e r t i fi c a t i o n d a t e . Ba s e d o n c u r r e n t p r o p e r t y v a l u e s a n d t a x r a t e s , a v a i l - ab l e t a x i n c r e m e n t s a r e n o t p r o j e c t e d t o f u l l y p a y t h e de v e l o p e r n o t e s o v e r t h e l i f e o f t h e D i s t r i c t . Re d i s t r i b u t e E x c e s s F u n d s Af t e r t h e t e m p o r a r y p o o l i n g a u t h o r i t y e x p i r e s a t t h e en d o f 2 0 1 2 , u n s p e n t t a x i n c r e m e n t s t h a t a r e n o t c o m - mi tt e d t o p a y m e n t o n t h e t w o o u t s t a n d i n g d e v e l o p e r no t e s w i l l n e e d t o b e d e c l a r e d a s e x c e s s i n c r e m e n t s . Th i s s t r a t e g y l e a d s t o t h e r e d i s t r i b u t i o n o f e x c e s s fu n d s t o W r i g h t C o u n t y f o r r e t u r n t o t h e r e l e v a n t t a x - in g j u r i s d i c t i o n s . C u r r e n t p r o j e c t i o n s p r e s e n t l y s h o w a p o t e n t i a l r e d i s t r i b u t i o n o f $ 3 , 2 6 7 , 0 0 0 i n f u n d b a l - an c e . ( T h i s a m o u n t i s s u b j e c t t o c h a n g e ( b e r e d u c e d ) by e x p e n d i t u r e s t h a t h a v e o r w i l l o c c u r u n d e r t h e te m p o r a r y p o o l i n g a u t h o r i t y a n d a d o p t e d s p e n d i n g 30District Summary pl a n . ) B a s e d o n t h e 2 0 1 2 t a x r a t e s , t h e C i t y w o u l d r e - ce i v e $ 6 4 5 , 0 0 0 ( 2 0 % ) o f t h i s a m o u n t . I t i s e s s e n t i a l t h a t th e C i t y r e v i e w a n d v e r i f y t h e s e r e s u l t s w i t h W r i g h t Co u n t y p r i o r t o t a k i n g a c t i o n s t o r e m o v e p a r c e l s f r o m th e D i s t r i c t . 31District Summary Di s t r i c t 1 - 2 2 Or i g i n a l T I F Pl a n B u d g e t Am o u n t Cu m u l a t i v e Mo d i f i e d T I F Pl a n B u d get Ac c o u n t e d fo r i n P r i o r Ye a r 20 1 0 2 0 1 1 2 0 1 2 2 0 1 3 2 0 1 4 2 0 1 5 2 0 1 6 2 0 1 7 2 0 1 8 2 0 1 9 2 0 2 0 2 0 2 1 2 0 2 2 2 0 2 3 2 0 2 4 Estimated Total Life of District Re v e n u e s a n d O t h e r F i n a n c i n g S o u r c e s *I n c r e m e n t f r o m 3 p a r c e l s r e m a i n i n g i n D i s t r i c t *I n c r e m e n t f r o m 2 r e m a i n i n g p a r c e l s Tax i n c r e m e n t r e v e n u e 3 9 , 0 0 0 , 0 0 0 3 9 , 0 0 0 , 0 0 0 2 , 5 8 1 , 4 3 3 3 6 2 , 0 5 3 3 2 5 , 3 8 0 3 1 4 , 6 4 8 7 8 , 6 2 4 7 8 , 6 2 4 7 8 , 6 2 4 7 8 , 6 2 4 7 8 , 6 2 4 7 8 , 6 2 4 7 8 , 6 2 4 1 4 , 6 5 6 1 4 , 6 5 6 1 4 , 65614,65614,6564,207,161 Ma r k e t V a l u e H o m e s t e a d C r e d i t 1 2 , 9 0 2 1 , 2 1 0 00 0 0 0 0 0 0 0 0 0 0 0 0 1 4 , 1 1 2 In v e s t m e n t e a r n i n g s 4 2 4 , 0 3 6 4 2 , 2 3 7 9 1 , 5 7 2 5 2 , 9 0 1 610,746 Bo n d p r o c e e d s 3 9 , 0 0 0 , 0 0 0 3 9 , 0 0 0 , 0 0 0 3 , 0 9 5 , 0 0 0 3,095,000 Lo a n p r o c e e d s 5 6 , 4 6 8 56,468 Sp e c i a l a s s e s s m e n t s - Sa l e s / l e a s e p r o c e e d s 3 1 3 , 2 3 2 313,232 Lo a n / a d v a n c e r e p a y m e n t s - De v e l o p e r p a y m e n t - In t e r f u n d l o a n / t r a n s f e r 1 4 0 , 1 4 2 140,142 Ot h e r - Lo a n d o w n p a y m e n t - Le g a l f e e r e i m b u r s e m e n t - Ad d i t i o n a l T I F f e e s - Lo c a l c o n t r i b u t i o n 9 5 0 , 0 0 0 9 5 0 , 0 0 0 - TIF a p p l i c a t i o n f e e - Tra n s f e r s ( i n ) 8 9 0 , 0 0 0 890,000 Tot a l R e v e n u e s / O F S 7 8 , 9 5 0 , 0 0 0 7 8 , 9 5 0 , 0 0 0 7 , 5 1 3 , 2 1 3 4 0 5 , 5 0 0 4 1 6 , 9 5 2 3 6 7 , 5 4 9 7 8 , 6 2 4 7 8 , 6 2 4 7 8 , 6 2 4 7 8 , 6 2 4 7 8 , 6 2 4 7 8 , 6 2 4 7 8 , 6 2 4 1 4 , 6 5 6 1 4 , 6 5 6 1 4 , 6 5 6 14,65614,6569,326,861 Ex p e n d i t u r e s a n d O t h e r F i n a n c i n g U s e s La n d / b u i l d i n g a c q u i s i t i o n 4 , 2 7 5 , 0 0 0 4 , 2 7 5 , 0 0 0 6 8 4 , 9 1 2 684,912 Si t e i m p r o v e m e n t / p r e p a r a t i o n c o s t s 4 , 2 7 5 , 0 0 0 4 , 2 7 5 , 0 0 0 1 1 4 , 4 5 5 114,455 In s t a l l a t i o n o f p u b l i c u t i l i t i e s 4 , 2 7 5 , 0 0 0 4 , 2 7 5 , 0 0 0 7 5 , 3 7 7 75,377 Pu b l i c p a r k i n g f a c i l i t i e s 4 , 2 7 5 , 0 0 0 4 , 2 7 5 , 0 0 0 9 0 , 7 5 3 90,753 St r e e t s a n d s i d e w a l k s - Pu b l i c p a r k f a c i l i t i e s - So c i a l , r e c r e a t i o n o r c o n f e r e n c e f a c i l i t i e s 2 7 0 , 0 0 0 270,000 In t e r e s t r e d u c t i o n p a y m e n t s - Bo n d p r i n c i p a l p a y m e n t s 3 9 , 0 0 0 , 0 0 0 3 9 , 0 0 0 , 0 0 0 2 , 6 2 5 , 0 0 0 4 7 0 , 0 0 0 3,095,000 Bo n d i n t e r e s t p a y m e n t s 2 0 , 0 0 0 , 0 0 0 2 0 , 0 0 0 , 0 0 0 3 0 5 , 3 3 6 (1 1 3 , 8 2 1 ) 191,515 PA Y G p r i n c i p a l 1 8 4 0 00 0 0 0 0 0 0 0 0 0 0 0 1 8 4 PA Y G i n t e r e s t 1 9 3 , 6 2 7 6 8 , 9 3 8 6 1 , 4 8 7 7 7 , 7 9 4 7 7 , 7 9 4 7 7 , 7 9 4 7 7 , 7 9 4 7 7 , 7 9 4 7 7 , 7 9 4 7 7 , 7 9 4 7 7 , 7 9 4 1 3 , 8 2 6 1 3 , 8 2 6 1 3 , 8 2 6 1 3 , 8 2 6 1 3 , 8 2 6 1 , 0 1 5 , 5 3 3 In t e r f u n d l o a n p r i n c i p a l 1 4 0 , 1 4 2 140,142 In t e r f u n d l o a n i n t e r e s t - Ad m i n i s t r a t i v e e x p e n s e s 1 , 9 0 0 , 0 0 0 1 , 9 0 0 , 0 0 0 1 5 8 , 2 9 2 1 1 , 4 7 0 1 9 7 1 9 7 1 9 7 1 9 7 1 9 7 1 9 7 1 9 7 1 9 7 1 9 7 1 9 7 1 9 7 1 9 7 1 9 7 1 9 7 1 7 2 , 5 2 0 Pa y i n g a g e n t f e e s - Sc h i e f l o a n - BB F p r o j e c t i n t e r e s t - Bo n d c l o s i n g / p a y i n g a g e n t - En g i n e e r c o s t s - La n d m a r k S Q I i n t e r e s t P A Y G 2 5 , 7 8 5 25,785 Ap p l i c a t i o n f e e r e i m b u r s e m e n t 3 , 0 0 0 3,000 Do w n t o w n S t u d y ( A d m i n i s t r a t i v e ) 2 1 , 0 5 1 21,051 Ha w k i n s l o a n p a y m e n t s 9 5 0 , 0 0 0 9 5 0 , 0 0 0 6 1 , 7 3 7 61,737 Mi s c 7 , 6 3 8 7,638 Pr o p e r t y t a x 7 , 1 1 4 1 , 8 6 0 1 , 7 5 6 10,730 Sc h l i e f C F D p a y m e n t 1 2 , 0 1 7 12,017 Fi s c a l a g e n t f e e s - Pe t e r s o n t r a n s f o r m a t i o n ( p o o l i n g $ ) 1 9 , 8 4 6 19,846 Br e i w i c k t r a n s f o r m a t i o n ( p o o l i n g $ ) 2 0 , 0 0 0 20,000 Tra n s f e r s ( o u t ) 2 0 , 0 0 0 20,000 Tot a l E x p e n d i t u r e s / O F U 7 8 , 9 5 0 , 0 0 0 7 8 , 9 5 0 , 0 0 0 4 , 8 3 5 , 2 1 5 4 3 8 , 4 4 7 8 4 , 4 9 1 7 7 , 9 9 1 7 7 , 9 9 1 7 7 , 9 9 1 7 7 , 9 9 1 7 7 , 9 9 1 7 7 , 9 9 1 7 7 , 9 9 1 7 7 , 9 9 1 1 4 , 0 2 3 1 4 , 0 2 3 1 4 , 0 2314,02314,0236,052,195 Re v e n u e s / O F S O v e r ( U n d e r ) E x p e n d i t u r e 0 0 2 , 6 7 7 , 9 9 8 (3 2 , 9 4 7 ) 33 2 , 4 6 1 2 8 9 , 5 5 8 6 3 3 6 3 3 6 3 3 6 3 3 6 3 3 6 3 3 6 3 3 6 3 3 6 3 3 6 3 3 6 3 3 6 3 3 3 , 2 7 4 , 6 6 6 0 Fu n d B a l a n c e - B e g i n 2, 6 7 7 , 9 9 8 2 , 6 4 5 , 0 5 1 2 , 9 7 7 , 5 1 2 3 , 2 6 7 , 0 7 0 3 , 2 6 7 , 7 0 3 3 , 2 6 8 , 3 3 6 3 , 2 6 8 , 9 6 9 3 , 2 6 9 , 6 0 2 3 , 2 7 0 , 2 3 5 3 , 2 7 0 , 8 6 8 3 , 2 7 1 , 5 0 1 3 , 2 7 2 , 1 3 4 3 , 2 7 2 , 7 6 7 3 , 2 7 3 , 4 0 0 3 ,274,0330 Fu n d B a l a n c e - E n d 2, 6 4 5 , 0 5 1 2 , 9 7 7 , 5 1 2 3 , 2 6 7 , 0 7 0 3 , 2 6 7 , 7 0 3 3 , 2 6 8 , 3 3 6 3 , 2 6 8 , 9 6 9 3 , 2 6 9 , 6 0 2 3 , 2 7 0 , 2 3 5 3 , 2 7 0 , 8 6 8 3 , 2 7 1 , 5 0 1 3 , 2 7 2 , 1 3 4 3 , 2 7 2 , 7 6 7 3 , 2 7 3 , 4 0 0 3 , 2 7 4 , 0 3 3 3 ,274,6663,274,666 Bo n d s O u t s t a n d i n g No t e O u t s t a n d i n g ( 2 2 . 1 C u b ) 93 8 , 3 4 7 1 , 0 1 0 , 0 4 3 1 , 0 8 7 , 2 1 6 1 , 1 7 0 , 2 8 6 1 , 2 5 9 , 7 0 4 1 , 3 5 5 , 9 5 3 1 , 4 5 9 , 5 5 6 1 , 5 7 1 , 0 7 5 1 , 6 9 1 , 1 1 5 1 , 8 2 0 , 3 2 7 1 , 8 8 8 , 5 8 9 1 , 8 8 8 , 5 8 9 1 , 8 8 8 , 5 8 9 1 , 8 8 8 , 5 8 9 1 , 8 88,5891,888,589 No t e O u t s t a n d i n g ( 2 2 . 5 A m o c o ) 18 4 , 8 1 6 1 8 4 , 8 1 6 1 8 4 , 8 1 6 1 8 4 , 8 1 6 1 8 4 , 8 1 6 1 8 4 , 8 1 6 1 8 4 , 8 1 6 1 8 4 , 8 1 6 1 8 4 , 8 1 6 1 8 4 , 8 1 6 1 8 4 , 8 1 6 1 8 4 , 8 1 6 1 8 4 , 8 1 6 1 8 4 , 8 1 6 1 8 4 , 8 1 6 1 8 4 , 8 1 6 32District Summary ot h e r h o u s i n g p r o j e c t s w i t h o u t r e g a r d t o p o o l i n g li m i t s o r t h e fi v e - y e a r r u l e . S u c h e x p e n d i t u r e s mu s t b e a u t h o r i z e d i n t h e T I F p l a n a n d o c c u r b e - fo r e e x i s t i n g o b l i g a t i o n s a r e c o m p l e t e d . Ci t y N u m b e r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 - 2 4 Co u n t y N u m b e r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 2 4 Na m e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . C h u r c h o f S t . H e n r y Ty p e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . H o u s i n g Es t a b l i s h e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 / 2 4 / 9 8 Ce r t i f i c a t i o n R e q u e s t e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 / 4 / 9 9 Ce r t i f i e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 / 8 / 9 9 Ye a r o f F i r s t I n c r e m e n t . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 0 0 1 4- Y e a r K n o c k d o w n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 / 8 / 0 3 5- Y e a r R u l e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 / 8 / 0 4 De c e r t i f i c a t i o n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2 / 3 1 / 2 6 Or i g i n a l T a x R a t e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 8 . 6 4 5 % Or i g i n a l T a x C a p a c i t y V a l u e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 , 5 0 0 Cu r r e n t B a s e T a x C a p a c i t y V a l u e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 4 1 Cu r r e n t ( P a y 2 0 1 2 ) T a x C a p a c i t y . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 1 , 6 3 4 Pa r c e l s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 5 5 - 1 1 5 - 0 0 1 0 4 0 Di s t r i c t 1 - 2 4 w a s e s t a b l i s h e d t o a s s i s t w i t h t h e c o n - st r u c t i o n o f 6 0 u n i t s o f s e n i o r h o u s i n g . T h e t a x i n c r e - me n t f r o m t h e D i s t r i c t i s o b l i g a t e d u n d e r a d e v e l o p - me n t a g r e e m e n t w i t h S t . C l o u d H o s p i t a l C o r p o r a t i o n (d b a S t . B e n e d i c t ’ s C e n t e r ) . N i n e t y p e r c e n t ( 9 0 % ) o f an n u a l t a x i n c r e m e n t i s u s e d t o r e p a y a $ 4 4 0 , 0 0 0 n o t e at a n i n t e r e s t r a t e o f 8 % e n d i n g n o l a t e r t h a n 2 / 1 / 2 0 2 6 . Th e D i s t r i c t w i l l b e d e c e r t i fi e d n o l a t e r t h a n D e c e m b e r 31 , 2 0 2 6 . Ac t i o n s T a k e n S i n c e 2 0 0 9 An n u a l p a y m e n t s o n t h e o u t s t a n d i n g n o t e h a v e c o n - ti n u e d . Ad m i n i s t r a t i v e T a s k s Th e r e a r e n o o u t s t a n d i n g a d m i n i s t r a t i v e i t e m s . Ma n a g e m e n t S t r a t e g y Th e f o c u s o f t h i s D i s t r i c t w i l l b e t h e r e p a y m e n t o f t h e no t e . T h e p r o j e c t i o n s i n t h i s r e p o r t s h o w s t h a t t h e n o t e wi l l b e r e p a i d i n 2 0 1 6 , p r i o r t o t h e fi n a l d e c e r t i fi c a t i o n da t e . Op t i o n 1 - D e c e r t i f y Th e D i s t r i c t s h o u l d b e d e c e r t i fi e d w h e n t h e n o t e i s fu l l y p a i d . Op t i o n 2 - U s e R e m a i n i n g R e s o u r c e s St a t e L a w l i m i t s t h e a b i l i t y o f t a x i n c r e m e n t s f r o m th i s D i s t r i c t t o b e u s e d f o r o t h e r p u r p o s e s : • D i s t r i c t 1 - 2 4 i s a h o u s i n g d i s t r i c t . T a x i n c r e m e n t s fr o m t h i s D i s t r i c t a r e t o b e u s e d s o l e l y t o f a c i l i t a t e th e h o u s i n g p r o j e c t . • T h e D i s t r i c t i s s u b j e c t t o t h e fi v e - y e a r r u l e . T h e fi v e - y e a r p e r i o d e n d e d J a n u a r y 8 , 2 0 0 4 . • A s a h o u s i n g d i s t r i c t , i n c r e m e n t s c a n b e s p e n t o n District 1-24 (Church of St. Henry)Housing 33District Summary Dis t r i c t 1 - 2 4 Ori g i n a l T I F Pla n B u d g e t Am o u n t Cu m u l a t i v e Mod i f i e d T I F Pla n B u d get Acc o u n t e d fo r i n P r i o r Ye a r 20 1 0 2 0 1 1 2 0 1 2 2 0 1 3 2 0 1 4 2 0 1 5 2 0 1 6 2 0 1 7 2 0 1 8 2 0 1 9 2 0 2 0 2 0 2 1 2 0 2 2 2 0 2 3 2 0 2 4 2 0 2 5 2 0 2 6 Estimated Total Life of District Re v e n u e s a n d O t h e r F i n a n c i n g S o u r c e s *D e c e r t i f i c a t i o n w o u l d b e r e q u i r e d , e f f e c t i v e 1 2 / 3 1 / 2 0 1 6 , u n d e r O p t i o n 1 Ta x i n c r e m e n t r e v e n u e 1 , 3 3 5 , 0 0 0 1 , 3 3 5 , 0 0 0 5 1 3 , 1 2 0 4 8 , 1 5 8 4 7 , 0 2 3 4 8 , 8 7 3 4 8 , 8 7 3 4 8 , 8 7 3 4 8 , 8 7 3 4 8 , 8 7 3 4 8 , 8 7 3 4 8 , 8 7 3 4 8 , 8 7 3 4 8 , 8 7 3 4 8 , 8 7 3 4 8 , 8 7 3 4 8 , 87348,87348,87348,8731,341,403 Mar k e t V a l u e H o m e s t e a d C r e d i t - In v e s t m e n t e a r n i n g s 5 , 0 0 0 5 , 0 0 0 5 , 9 2 6 1 9 5 4 7 0 6 7 0 7 6 8 8 6 8 9 7 0 1 , 0 7 5 1 , 8 5 8 2 , 8 6 0 3 , 8 8 2 4 , 9 2 4 5 , 9 8 7 7 , 0 7 1 8 , 1 7 7 9 , 3 0 5 1 0 , 4 5 5 1 1 , 6 2 9 7 7 , 0 8 9 Bo n d p r o c e e d s - Lo a n p r o c e e d s - Sp e c i a l a s s e s s m e n t s - Sa l e s / l e a s e p r o c e e d s - Lo a n / a d v a n c e r e p a y m e n t s - De v e l o p e r p a y m e n t - In t e r f u n d l o a n / t r a n s f e r - Oth e r - TIF a p p l i c a t i o n f e e - Tra n s f e r s ( i n ) - To t a l R e v e n u e s / O F S 1 , 3 4 0 , 0 0 0 1 , 3 4 0 , 0 0 0 5 1 9 , 0 4 6 4 8 , 3 5 3 4 7 , 4 9 3 4 9 , 5 4 3 4 9 , 6 4 2 4 9 , 7 4 2 4 9 , 8 4 4 4 9 , 9 4 8 5 0 , 7 3 2 5 1 , 7 3 3 5 2 , 7 5 5 5 3 , 7 9 7 5 4 , 8 6 0 5 5 , 9 4 4 5 7 , 0 5 0 58,17859,32960,5021,418,491 Ex p e n d i t u r e s a n d O t h e r F i n a n c i n g U s e s La n d / b u i l d i n g a c q u i s i t i o n 1 4 0 , 0 0 0 1 4 0 , 0 0 0 - Sit e i m p r o v e m e n t / p r e p a r a t i o n c o s t s 2 2 0 , 0 0 0 2 2 0 , 0 0 0 - In s t a l l a t i o n o f p u b l i c u t i l i t i e s 1 7 0 , 0 0 0 1 7 0 , 0 0 0 - Pu b l i c p a r k i n g f a c i l i t i e s - Str e e t s a n d s i d e w a l k s - Pu b l i c p a r k f a c i l i t i e s - So c i a l , r e c r e a t i o n o r c o n f e r e n c e f a c i l i t i e s - In t e r e s t r e d u c t i o n p a y m e n t s - Bo n d p r i n c i p a l p a y m e n t s - Bo n d i n t e r e s t p a y m e n t s - PA Y G p r i n c i p a l 2 0 5 , 2 6 5 2 5 , 0 5 5 5 7 , 1 0 9 3 1 , 7 8 0 3 4 , 3 2 3 3 7 , 0 6 9 4 0 , 0 3 4 9 , 3 6 5 440,000 PA Y G i n t e r e s t 6 7 6 , 5 0 0 6 7 6 , 5 0 0 2 3 3 , 7 5 0 2 3 , 2 8 7 (1 4 , 7 8 8 ) 12 , 2 0 6 9 , 6 6 3 6 , 9 1 7 3 , 9 5 2 7 4 9 275,736 Lo a n p r i n c i p a l p a y m e n t s - Lo a n / n o t e i n t e r e s t p a y m e n t s - Ad m i n i s t r a t i v e e x p e n s e s 1 3 3 , 5 0 0 1 3 3 , 5 0 0 8 , 2 2 8 9 1 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 1 8 , 7 0 3 Pa y i n g a g e n t f e e s - Oth e r - TIF d e p o s i t r e f u n d - Tra n s f e r s ( o u t ) 4 2 , 7 5 0 42,750 To t a l E x p e n d i t u r e s / O F U 1 , 3 4 0 , 0 0 0 1 , 3 4 0 , 0 0 0 4 8 9 , 9 9 3 4 8 , 4 3 3 4 2 , 9 7 0 4 4 , 6 3 5 4 4 , 6 3 5 4 4 , 6 3 5 4 4 , 6 3 5 1 0 , 7 6 3 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 7 7 7 , 1 9 0 Re v e n u e s / O F S O v e r ( U n d e r ) E x p e n d i t u r e s / O F U 0 0 2 9 , 0 5 3 (8 0 ) 4,5 2 3 4 , 9 0 8 5 , 0 0 6 5 , 1 0 7 5 , 2 0 9 3 9 , 1 8 5 5 0 , 0 8 3 5 1 , 0 8 4 5 2 , 1 0 6 5 3 , 1 4 8 5 4 , 2 1 1 5 5 , 2 9 5 5 6 , 4 0 1 5 7 , 5 2 9 5 8 , 6 8 0 5 9 , 8 5 3 6 4 1 , 3 0 2 Fu n d B a l a n c e - B e g i n 29 , 0 5 3 2 8 , 9 7 3 3 3 , 4 9 6 3 8 , 4 0 4 4 3 , 4 1 1 4 8 , 5 1 7 5 3 , 7 2 6 9 2 , 9 1 1 1 4 2 , 9 9 3 1 9 4 , 0 7 8 2 4 6 , 1 8 4 2 9 9 , 3 3 2 3 5 3 , 5 4 3 4 0 8 , 8 3 8 4 6 5 , 2 3 9 5 2 2 , 7 6 9 5 8 1 , 4 4 8 0 Fu n d B a l a n c e - E n d 28 , 9 7 3 3 3 , 4 9 6 3 8 , 4 0 4 4 3 , 4 1 1 4 8 , 5 1 7 5 3 , 7 2 6 9 2 , 9 1 1 1 4 2 , 9 9 3 1 9 4 , 0 7 8 2 4 6 , 1 8 4 2 9 9 , 3 3 2 3 5 3 , 5 4 3 4 0 8 , 8 3 8 4 6 5 , 2 3 9 5 2 2 , 7 6 9 5 8 1 , 4 4 8 6 4 1 , 3 0 2 6 4 1 , 3 0 2 No t e O u t s t a n d i n g 23 4 , 7 3 5 2 0 9 , 6 8 0 1 5 2 , 5 7 1 1 2 0 , 7 9 1 8 6 , 4 6 8 4 9 , 3 9 9 9 , 3 6 5 00 0 0 0 0 0 0 0 0 0 0 34District Summary th e h o u s i n g p r o j e c t . • T h e D i s t r i c t i s s u b j e c t t o t h e fi v e - y e a r r u l e . T h e fi v e - y e a r p e r i o d e n d e d A u g u s t 2 2 , 2 0 0 7 . • A s a h o u s i n g d i s t r i c t , i n c r e m e n t s c a n b e s p e n t o n ot h e r h o u s i n g p r o j e c t s w i t h o u t r e g a r d t o p o o l i n g li m i t s o r t h e fi v e - y e a r r u l e . S u c h e x p e n d i t u r e s Ci t y N u m b e r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 - 2 9 Co u n t y N u m b e r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 2 9 Na m e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F r o n t P o r c h A s s o c i a t e s Ty p e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . H o u s i n g Es t a b l i s h e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 / 1 5 / 0 2 Ce r t i f i c a t i o n R e q u e s t e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 / 1 4 / 0 2 Ce r t i f i e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 / 2 2 / 0 2 Ye a r o f F i r s t I n c r e m e n t . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 0 0 4 4- Y e a r K n o c k d o w n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 / 2 2 / 0 6 5- Y e a r R u l e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 / 2 2 / 0 7 De c e r t i f i c a t i o n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2 / 3 1 / 2 9 Or i g i n a l T a x R a t e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 4 5 . 8 5 9 % Or i g i n a l T a x C a p a c i t y V a l u e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 , 1 6 2 Cu r r e n t B a s e T a x C a p a c i t y V a l u e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 7 4 Cu r r e n t ( P a y 2 0 1 2 ) T a x C a p a c i t y . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 1 , 7 2 1 Pa r c e l s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 8 1 5 5 - 1 3 9 - 0 0 1 0 1 0 1 5 5 - 1 3 9 - 0 0 1 0 2 0 1 5 5 - 1 3 9 - 0 0 1 0 3 0 1 5 5 - 1 3 9 - 0 0 1 0 4 0 1 5 5 - 1 3 9 - 0 0 1 0 5 0 1 5 5 - 1 3 9 - 0 0 1 0 6 0 1 5 5 - 1 3 9 - 0 0 1 0 7 0 1 5 5 - 1 3 9 - 0 0 1 0 8 0 1 5 5 - 1 3 9 - 0 0 1 0 9 0 1 5 5 - 1 3 9 - 0 0 1 1 0 0 1 5 5 - 1 3 9 - 0 0 1 1 1 0 1 5 5 - 1 3 9 - 0 0 1 1 2 0 1 5 5 - 1 3 9 - 0 0 1 1 3 0 1 5 5 - 1 3 9 - 0 0 1 1 4 0 1 5 5 - 1 3 9 - 0 0 1 1 5 0 1 5 5 - 1 3 9 - 0 0 1 1 6 0 1 5 5 - 1 3 9 - 0 0 1 1 7 0 1 5 5 - 1 3 9 - 0 0 1 1 8 0 Di s t r i c t 1 - 2 9 i s a h o u s i n g T I F d i s t r i c t e s t a b l i s h e d f o r th e c o n s t r u c t i o n o f o w n e r - o c c u p i e d h o u s i n g f o r p e r - so n s o f l o w a n d m o d e r a t e i n c o m e . T h e t a x i n c r e m e n t fr o m t h e D i s t r i c t i s u s e d t o s u p p o r t a n o t e t o r e i m b u r s e th e d e v e l o p e r f o r l a n d a c q u i s i t i o n a n d s i t e i m p r o v e - me n t e x p e n s e s . T h e $ 2 2 0 , 0 0 0 n o t e , w i t h i n t e r e s t a t a ra t e o f 7 . 2 5 % , i s p a i d w i t h 8 0 % o f t h e a n n u a l t a x i n c r e - me n t e n d i n g n o l a t e r t h a n 2 / 1 / 2 0 2 0 . T h e D i s t r i c t w i l l be d e c e r t i fi e d n o l a t e r t h a t D e c e m b e r 3 1 , 2 0 2 9 . Ac t i o n s T a k e n S i n c e 2 0 0 9 Pa y m e n t s o n t h e o u t s t a n d i n g n o t e , p r i n c i p a l a n d i n t e r - es t , h a v e b e e n m a d e t o t h e e x t e n t i n c r e m e n t h a s b e e n av a i l a b l e t o d o s o . Ad m i n i s t r a t i v e T a s k s Th e T I F p l a n e s t i m a t e s o n fi l e w i t h t h e O ffi c e o f t h e St a t e A u d i t o r ( O S A ) f o r t h i s d i s t r i c t n e e d s r e v i e w t o co n fi r m t h e O S A h a s t h e c o r r e c t a u t h o r i z e d e x p e n d i - tu r e s a m o u n t s . Ma n a g e m e n t S t r a t e g y Op t i o n 1 - D e c e r t i f y Th e f o c u s o f t h i s D i s t r i c t w i l l b e t h e r e p a y m e n t o f t h e no t e . T h e p r o j e c t i o n s i n t h i s r e p o r t s h o w s t h a t t h e n o t e wi l l n o t b e r e p a i d i n f u l l b y 2 / 1 / 2 0 2 0 . Th e D i s t r i c t s h o u l d b e d e c e r t i fi e d w h e n t h e n o t e i s fu l l y p a i d o r t h e fi n a l d a t e f o r p a y m e n t o n t h e n o t e i s re a c h e d . Op t i o n 2 - U s e R e m a i n i n g R e s o u r c e s St a t e L a w l i m i t s t h e a b i l i t y o f t a x i n c r e m e n t s f r o m t h i s Di s t r i c t t o b e u s e d f o r o t h e r p u r p o s e s : • D i s t r i c t 1 - 2 9 i s a h o u s i n g d i s t r i c t . T a x i n c r e m e n t s fr o m t h i s D i s t r i c t a r e t o b e u s e d s o l e l y t o f a c i l i t a t e District 1-29 (Front Porch Associates)Housing 35District Summary mu s t b e a u t h o r i z e d i n t h e T I F p l a n a n d o c c u r b e - fo r e e x i s t i n g o b l i g a t i o n s a r e c o m p l e t e d . 36District Summary Dis t r i c t 1 - 2 9 Orig i n a l T I F Pla n B u d g e t Am o u n t Cum u l a t i v e Mod i f i e d T I F Pla n B u d get Acc o u n t e d fo r i n P r i o r Yea r 201 0 2 0 1 1 2 0 1 2 2 0 1 3 2 0 1 4 2 0 1 5 2 0 1 6 2 0 1 7 2 0 1 8 2 0 1 9 2 0 2 0 2 0 2 1 2 0 2 2 2 0 2 3 2 0 2 4 2 0 2 5 2 0 2 6 2 0 2 7 2 0 2 8 2 0 2 9 Estimated Total Life of District Rev e n u e s a n d O t h e r F i n a n c i n g S o u r c e s *D e c e r t i f i c a t i o n w o u l d b e r e q u i r e d , e f f e c t i v e 1 2 / 3 1 / 2 0 1 9 , u n d e r O p t i o n 1 . Tax i n c r e m e n t r e v e n u e 9 2 5 , 0 0 0 9 2 5 , 0 0 0 1 4 6 , 0 8 3 2 6 , 1 6 4 2 8 , 2 0 6 2 5 , 4 6 2 2 5 , 4 6 2 2 5 , 4 6 2 2 5 , 4 6 2 2 5 , 4 6 2 2 5 , 4 6 2 2 5 , 4 6 2 2 5 , 4 6 2 2 5 , 4 6 2 2 5 , 4 6 2 2 5 , 4 6 2 2 5 , 4 6 2 2 5,4 6 2 2 5 , 4 6 2 2 5 , 4 6 2 2 5 , 4 6 2 2 5 , 4 6 2 2 5 , 4 6 2 6 5 8 , 7 7 2 Mark e t V a l u e H o m e s t e a d C r e d i t 1 8 , 9 0 6 3 , 8 1 9 22,725 In v e s t m e n t e a r n i n g s 5 , 0 3 9 7 4 5 1 , 6 6 7 1 , 4 4 7 1 , 5 6 5 1 , 6 8 5 1 , 8 0 8 1 , 9 3 3 2 , 0 6 0 2 , 1 9 0 2 , 3 2 3 2 , 4 5 8 3 , 0 0 4 3 , 5 6 0 4 , 1 2 7 4 , 7 0 6 5 , 2 9 7 5 , 8 9 9 6 , 5 1 3 7 , 1 4 0 7 , 7 7 9 7 2 , 9 4 4 Bon d p r o c e e d s 0 Loa n p r o c e e d s 5 0 0 , 0 0 0 5 0 0 , 0 0 0 0 Spe c i a l a s s e s s m e n t s 0 Sal e s / l e a s e p r o c e e d s 0 Loa n / a d v a n c e r e p a y m e n t s 0 Dev e l o p e r p a y m e n t 0 In t e r f u n d l o a n / t r a n s f e r 0 Oth e r 0 TIF a p p l i c a t i o n 0 Tra n s f e r s ( i n ) 0 Tot a l R e v e n u e s / O F S 1 , 4 2 5 , 0 0 0 1 , 4 2 5 , 0 0 0 1 7 0 , 0 2 8 3 0 , 7 2 8 2 9 , 8 7 3 2 6 , 9 0 9 2 7 , 0 2 7 2 7 , 1 4 7 2 7 , 2 7 0 2 7 , 3 9 5 2 7 , 5 2 2 2 7 , 6 5 2 2 7 , 7 8 5 2 7 , 9 2 0 2 8 , 4 6 6 2 9 , 0 2 2 2 9 , 5 9 0 30, 1 6 8 3 0 , 7 5 9 3 1 , 3 6 1 3 1 , 9 7 5 3 2 , 6 0 2 3 3 , 2 4 1 7 5 4 , 4 4 1 Exp e n d i t u r e s a n d O t h e r F i n a n c i n g U s e s Lan d / b u i l d i n g a c q u i s i t i o n 2 0 0 , 0 0 0 2 0 0 , 0 0 0 3 , 0 3 3 3,033 Site i m p r o v e m e n t / p r e p a r a t i o n c o s t s 2 5 , 0 0 0 2 5 , 0 0 0 - In s t a l l a t i o n o f p u b l i c u t i l i t i e s 7 5 , 0 0 0 7 5 , 0 0 0 - Pub l i c p a r k i n g f a c i l i t i e s 2 5 , 0 0 0 2 5 , 0 0 0 - Str e e t s a n d s i d e w a l k s 8 5 , 0 0 0 8 5 , 0 0 0 - Pub l i c p a r k f a c i l i t i e s - Soc i a l , r e c r e a t i o n o r c o n f e r e n c e f a c i l i t i e s - In t e r e s t r e d u c t i o n p a y m e n t s - Bon d p r i n c i p a l p a y m e n t s - Bon d i n t e r e s t p a y m e n t s - PAY G O p r i n c i p a l p a y m e n t s 5 0 0 , 0 0 0 5 0 0 , 0 0 0 2 3 , 0 0 1 6 , 7 6 9 5 , 6 0 3 6 , 9 8 4 7 , 4 9 1 8 , 0 3 4 8 , 6 1 6 9 , 2 4 1 9 , 9 1 1 1 0 , 6 2 9 1 1 , 4 0 0 107,679 PAY G O i n t e r e s t p a y m e n t s 4 2 5 , 0 0 0 4 2 5 , 0 0 0 8 1 , 6 1 7 1 2 , 5 2 7 1 3 , 6 9 3 1 3 , 3 8 5 1 2 , 8 7 9 1 2 , 3 3 6 1 1 , 7 5 4 1 1 , 1 2 9 1 0 , 4 5 9 9 , 7 4 0 8 , 9 7 0 198,489 Adm i n i s t r a t i v e e x p e n s e s 9 0 , 0 0 0 9 0 , 0 0 0 1 1 , 2 9 2 9 1 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 2 3 , 7 1 4 Pay i n g a g e n t f e e s - Oth e r - Leg a l p u b l i c a t i o n - Vin e P l a c e f e e s - Tra n s f e r s ( o u t ) - Tot a l E x p e n d i t u r e s / O F U 1 , 4 2 5 , 0 0 0 1 , 4 2 5 , 0 0 0 1 1 8 , 9 4 3 1 9 , 3 8 7 1 9 , 9 4 5 2 1 , 0 1 9 2 1 , 0 1 9 2 1 , 0 1 9 2 1 , 0 1 9 2 1 , 0 1 9 2 1 , 0 1 9 2 1 , 0 1 9 2 1 , 0 1 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9 6 4 9649649649332,915 Rev e n u e s / O F S O v e r ( U n d e r ) E x p e n d i t u r e s / O F U 0 0 5 1 , 0 8 5 1 1 , 3 4 1 9 , 9 2 8 5 , 8 9 1 6 , 0 0 8 6 , 1 2 8 6 , 2 5 1 6 , 3 7 6 6 , 5 0 4 6 , 6 3 4 6 , 7 6 6 2 7 , 2 7 1 2 7 , 8 1 7 2 8 , 3 7 3 2 8 , 9 4 1 2 9 , 5 1 9 3 0 , 1 1 0 3 0 , 7 1 2 3 1 , 3 2 6 3 1 , 9 5 3 3 2 , 5 9 2 4 2 1 , 5 2 6 Fun d B a l a n c e - B e g i n 51, 0 8 5 6 2 , 4 2 6 7 2 , 3 5 4 7 8 , 2 4 5 8 4 , 2 5 3 9 0 , 3 8 1 9 6 , 6 3 2 1 0 3 , 0 0 8 1 0 9 , 5 1 2 1 1 6 , 1 4 6 1 2 2 , 9 1 2 1 5 0 , 1 8 4 1 7 8 , 0 0 0 2 0 6 , 3 7 4 2 3 5 , 3 1 4 2 6 4 , 8 3 4 2 9 4 , 9 4 3 3 2 5 , 6 5 6 3 5 6 , 9 8 2 3 88,9350 Fun d B a l a n c e - E n d 62, 4 2 6 7 2 , 3 5 4 7 8 , 2 4 5 8 4 , 2 5 3 9 0 , 3 8 1 9 6 , 6 3 2 1 0 3 , 0 0 8 1 0 9 , 5 1 2 1 1 6 , 1 4 6 1 2 2 , 9 1 2 1 5 0 , 1 8 4 1 7 8 , 0 0 0 2 0 6 , 3 7 4 2 3 5 , 3 1 4 2 6 4 , 8 3 4 2 9 4 , 9 4 3 3 2 5 , 6 5 6 3 5 6 , 9 8 2 3 8 8 , 9 3 5 421,526421,526 Not e O u t s t a n d i n g 196 , 9 9 9 1 9 0 , 2 3 0 1 8 4 , 6 2 7 1 7 7 , 6 4 3 1 7 0 , 1 5 2 1 6 2 , 1 1 8 1 5 3 , 5 0 2 1 4 4 , 2 6 1 1 3 4 , 3 5 1 1 2 3 , 7 2 1 1 1 2 , 3 2 1 1 1 2 , 3 2 1 1 1 2 , 3 2 1 1 1 2 , 3 2 1 1 1 2 , 3 2 1 1 1 2 , 3 2 1 1 1 2 , 3 2 1 1 1 2 , 3 2 1 1 12,321112,321112,321112,321 37District Summary Di s t r i c t t o b e u s e d f o r o t h e r p u r p o s e s : • D i s t r i c t 1 - 3 0 i s a h o u s i n g d i s t r i c t . T a x i n c r e m e n t s fr o m t h i s D i s t r i c t a r e t o b e u s e d s o l e l y t o f a c i l i t a t e th e h o u s i n g p r o j e c t . • T h e D i s t r i c t i s s u b j e c t t o t h e fi v e - y e a r r u l e . T h e fi v e - y e a r p e r i o d e n d e d A u g u s t 2 2 , 2 0 0 7 . • A s a h o u s i n g d i s t r i c t , i n c r e m e n t s c a n b e s p e n t o n ot h e r h o u s i n g p r o j e c t s w i t h o u t r e g a r d t o p o o l i n g Ci t y N u m b e r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 - 3 0 Co u n t y N u m b e r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 3 0 Na m e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . C e n t r a l M N H o u s i n g P a r t n e r s h i p Ty p e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . H o u s i n g Es t a b l i s h e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 / 2 4 / 0 2 Ce r t i f i c a t i o n R e q u e s t e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 / 2 8 / 0 2 Ce r t i f i e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 / 2 2 / 0 2 Ye a r o f F i r s t I n c r e m e n t . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 0 0 4 4- Y e a r K n o c k d o w n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 / 2 2 / 0 6 5- Y e a r R u l e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 / 2 2 / 0 7 De c e r t i f i c a t i o n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2 / 3 1 / 2 9 Or i g i n a l T a x R a t e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 4 5 . 8 5 9 % Or i g i n a l T a x C a p a c i t y V a l u e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 , 9 1 8 Cu r r e n t B a s e T a x C a p a c i t y V a l u e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 , 1 0 7 Cu r r e n t ( P a y 2 0 1 2 ) T a x C a p a c i t y . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 , 3 9 5 Pa r c e l s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 1 5 5 - 1 4 5 - 0 0 1 0 1 0 1 5 5 - 1 4 5 - 0 0 1 0 2 0 1 5 5 - 1 4 5 - 0 0 1 0 3 0 1 5 5 - 1 4 5 - 0 0 1 0 4 0 1 5 5 - 1 4 5 - 0 0 1 0 5 0 1 5 5 - 1 4 5 - 0 0 1 0 6 0 1 5 5 - 1 4 5 - 0 0 1 0 7 0 1 5 5 - 1 4 5 - 0 0 1 0 8 0 1 5 5 - 1 4 5 - 0 0 1 0 9 0 1 5 5 - 1 4 5 - 0 0 1 1 0 0 1 5 5 - 1 4 5 - 0 0 1 1 1 0 Di s t r i c t 1 - 3 0 i s a h o u s i n g T I F d i s t r i c t e s t a b l i s h e d f o r th e c o n s t r u c t i o n o f 1 1 o w n e r - o c c u p i e d h o u s i n g u n i t fo r p e r s o n s o f l o w a n d m o d e r a t e i n c o m e . T h e t a x in c r e m e n t f r o m t h e D i s t r i c t i s u s e d t o s u p p o r t a n i n - te r f u n d l o a n i n t h e a m o u n t o f $ 1 6 3 , 0 1 3 . T h e l o a n i s re p a i d w i t h a n i n t e r e s t r a t e o f 5 % u s i n g 9 0 % o f a n n u a l ta x i n c r e m e n t . T h e b a l a n c e o n t h e l o a n i s $ 1 5 3 , 1 6 7 , a s of 1 2 / 3 1 / 2 0 1 1 , e n d i n g n o l a t e r t h a n 2 / 1 / 2 0 3 0 . T h e D i s - tr i c t w i l l b e d e c e r t i fi e d n o l a t e r t h a t D e c e m b e r 3 1 , 2 0 2 9 . Ac t i o n s T a k e n S i n c e 2 0 0 9 Pa y m e n t s h a v e b e e n m a d e o n t h e i n t e r f u n d l o a n , b o t h pr i n c i p a l a n d i n t e r e s t . Ad m i n i s t r a t i v e T a s k s Th e T I F p l a n e s t i m a t e s o n fi l e w i t h t h e O ffi c e o f t h e St a t e A u d i t o r ( O S A ) f o r t h i s d i s t r i c t n e e d s r e v i e w t o co n fi r m t h e O S A h a s t h e c o r r e c t a u t h o r i z e d e x p e n d i - tu r e s a m o u n t s . Ma n a g e m e n t S t r a t e g y Op t i o n 1 - D i s c h a r g e O b l i g a t i o n Th e f o c u s o f t h i s D i s t r i c t w i l l b e t h e r e p a y m e n t o f t h e in t e r n a l l o a n . T h e p r o j e c t i o n s s h o w s t h a t t a x i n c r e - me n t c o l l e c t i o n f o r t h e m a x i m u m l i f e o f t h e D i s t r i c t wi l l n o t b e s u ffi c i e n t t o r e p a y t h e l o a n . I t i s a n t i c i p a t e d th a t t h e D i s t r i c t w i l l b e n o t b e d e c e r t i fi e d u n t i l t h e e n d of t h e D i s t r i c t i n 2 0 2 9 . Th e C i t y m a y w a n t t o p u r s u e a p o t e n t i a l o p t i o n o f po o l i n g t a x i n c r e m e n t f r o m a n o t h e r h o u s i n g d i s t r i c t th a t h a s s u ffi c i e n t f u n d b a l a n c e i n o r d e r t o d i s c h a r g e th e o b l i g a t i o n f r o m D i s t r i c t 1 - 3 0 , a l s o a h o u s i n g d i s - tr i c t . Op t i o n 2 - U s e R e m a i n i n g R e s o u r c e s St a t e L a w l i m i t s t h e a b i l i t y o f t a x i n c r e m e n t s f r o m t h i s District 1-30 (CMHP)Housing 38District Summary li m i t s o r t h e fi v e - y e a r r u l e . S u c h e x p e n d i t u r e s mu s t b e a u t h o r i z e d i n t h e T I F p l a n a n d o c c u r b e - fo r e e x i s t i n g o b l i g a t i o n s a r e c o m p l e t e d . 39District Summary Dis t r i c t 1 - 3 0 Ori g i n a l T I F Pla n B u d g e t Am o u n t Cu m u l a t i v e Mod i f i e d T I F Pla n B u d g e t Acc o u n t e d fo r i n P r i o r Ye a r 20 1 0 2 0 1 1 2 0 1 2 2 0 1 3 2 0 1 4 2 0 1 5 2 0 1 6 2 0 1 7 2 0 1 8 2 0 1 9 2 0 2 0 2 0 2 1 2 0 2 2 2 0 2 3 2 0 2 4 2 0 2 5 2 0 2 6 2 0 2 7 2 0 2 8 2 0 2 9 Estimate d Total Life of District Re v e n u e s a n d O t h e r F i n a n c i n g S o u r c e s Tax i n c r e m e n t r e v e n u e 5 4 5 , 0 0 0 5 4 5 , 0 0 0 6 0 , 5 5 1 1 0 , 9 8 2 1 1 , 3 3 8 7 , 7 1 7 7 , 7 1 7 7 , 7 1 7 7 , 7 1 7 7 , 7 1 7 7 , 7 1 7 7 , 7 1 7 7 , 7 1 7 7 , 7 1 7 7 , 7 1 7 7 , 7 1 7 7 , 7 1 7 7 , 7 1 7 7 , 7 1 7 7 , 7 1 7 7,7177,7177,717221,778 Mar k e t V a l u e H o m e s t e a d C r e d i t 1 2 , 4 9 1 2 , 3 8 7 14,878 In v e s t m e n t e a r n i n g s 9 , 3 0 7 9 4 1 1 , 9 6 7 9 9 6 1 , 0 1 8 1 , 0 4 1 1 , 0 6 4 1 , 0 8 8 1 , 1 1 2 1 , 1 3 7 1 , 1 6 2 1 , 1 8 7 1 , 2 1 4 1 , 2 4 0 1 , 2 6 8 1 , 2 9 5 1 , 3 2 4 1 , 3 5 3 1 , 3 8 2 1 , 4 1 2 1 , 4 4 3 3 3 , 9 4 8 Bo n d p r o c e e d s - Lo a n p r o c e e d s 2 5 0 , 0 0 0 2 5 0 , 0 0 0 1 6 3 , 0 1 3 163,013 Sp e c i a l a s s e s s m e n t s - Sa l e s / l e a s e p r o c e e d s - Lo a n / a d v a n c e r e p a y m e n t s - Dev e l o p e r p a y m e n t - In t e r f u n d l o a n / t r a n s f e r - Oth e r - Tra n s f e r s ( i n ) 4 2 , 7 5 0 42,750 Tota l R e v e n u e s / O F S 7 9 5 , 0 0 0 7 9 5 , 0 0 0 2 8 8 , 1 1 2 1 4 , 3 1 0 1 3 , 3 0 5 8 , 7 1 3 8 , 7 3 5 8 , 7 5 8 8 , 7 8 1 8 , 8 0 5 8 , 8 2 9 8 , 8 5 4 8 , 8 7 9 8 , 9 0 4 8 , 9 3 1 8 , 9 5 7 8 , 9 8 5 9 , 0 1 2 9 , 0 4 1 9 , 0 7 0 9 , 0999,1299,160476,368 Ex p e n d i t u r e s a n d O t h e r F i n a n c i n g U s e s La n d / b u i l d i n g a c q u i s i t i o n 1 2 5 , 0 0 0 1 2 5 , 0 0 0 1 2 5 , 0 0 0 125,000 Sit e i m p r o v e m e n t / p r e p a r a t i o n c o s t s 7 0 , 0 0 0 7 0 , 0 0 0 1 7 , 7 5 0 17,750 Uti l i t i e s 2 5 , 0 0 0 2 5 , 0 0 0 2 5 , 0 0 0 25,000 Pu b l i c p a r k i n g f a c i l i t i e s - Str e e t s a n d s i d e w a l k s 2 5 , 0 0 0 2 5 , 0 0 0 - Pu b l i c p a r k f a c i l i t i e s - So c i a l , r e c r e a t i o n , o r c o n f e r e n c e f a c i l i t i e s - In t e r e s t r e d u c t i o n p a y m e n t s - Bo n d p r i n c i p a l p a y m e n t s - Bo n d i n t e r e s t p a y m e n t s - In t e r f u n d l o a n p r i n c i p a l 2 5 0 , 0 0 0 2 5 0 , 0 0 0 5 , 8 0 9 4 , 0 3 8 9,847 In t e r f u n d l o a n i n t e r e s t 2 0 0 , 0 0 0 2 0 0 , 0 0 0 2 4 , 2 8 6 4 , 0 7 5 3 , 9 3 0 6 , 9 4 5 6 , 9 4 5 6 , 9 4 5 6 , 9 4 5 6 , 9 4 5 6 , 9 4 5 6 , 9 4 5 6 , 9 4 5 6 , 9 4 5 6 , 9 4 5 6 , 9 4 5 6 , 9 4 5 6 , 9 4 5 6 , 9 4 5 6 , 9 4 56,9456,9456,945157,308 Ad m i n i s t r a t i v e e x p e n s e s 5 0 , 0 0 0 5 0 , 0 0 0 6 , 9 7 5 9 1 6 5 0 6 5 0 6 5 0 6 5 0 6 5 0 6 5 0 6 5 0 6 5 0 6 5 0 6 5 0 6 5 0 6 5 0 6 5 0 6 5 0 6 5 0 6 5 0 6 5 0 6 5 0 6 5 0 1 9 , 4 1 6 Pro p e r t y t a x e s 4 , 5 0 0 4,500 Pa y i n g a g e n t f e e s - Tra n s f e r o f l a n d s a l e s t o H R A 1 0 , 8 4 3 10,843 Hou s i n g d e v e l o p m e n t 5 0 , 0 0 0 5 0 , 0 0 0 3 3 , 0 0 0 33,000 Tra n s f e r s ( o u t ) - To t a l E x p e n d i t u r e s / O F U 7 9 5 , 0 0 0 7 9 5 , 0 0 0 2 4 7 , 3 5 4 9 , 9 7 5 8 , 6 1 8 7 , 5 9 5 7 , 5 9 5 7 , 5 9 5 7 , 5 9 5 7 , 5 9 5 7 , 5 9 5 7 , 5 9 5 7 , 5 9 5 7 , 5 9 5 7 , 5 9 5 7 , 5 9 5 7 , 5 9 5 7 , 5 9 5 7 , 5 9 5 7 , 5 9 57,5957,5957,595402,664 Re v e n u e s / O F S O v e r ( U n d e r ) E x p e n d i t u r e s / O F U 0 0 4 0 , 7 5 8 4 , 3 3 5 4 , 6 8 7 1 , 1 1 7 1 , 1 4 0 1 , 1 6 2 1 , 1 8 6 1 , 2 0 9 1 , 2 3 4 1 , 2 5 8 1 , 2 8 3 1 , 3 0 9 1 , 3 3 5 1 , 3 6 2 1 , 3 8 9 1 , 4 1 7 1 , 4 4 5 1 , 4 7 4 1 , 5 0 4 1 , 5 3 4 1 , 5 6 5 7 3 , 7 0 4 Fu n d B a l a n c e - B e g i n 40 , 7 5 8 4 5 , 0 9 3 4 9 , 7 8 0 5 0 , 8 9 7 5 2 , 0 3 7 5 3 , 1 9 9 5 4 , 3 8 5 5 5 , 5 9 5 5 6 , 8 2 8 5 8 , 0 8 6 5 9 , 3 7 0 6 0 , 6 7 9 6 2 , 0 1 4 6 3 , 3 7 6 6 4 , 7 6 5 6 6 , 1 8 2 6 7 , 6 2 8 6 9 , 1 0 2 7 0 , 6 0 6 7 2 , 1 4 0 0 Fu n d B a l a n c e - E n d 0 4 5 , 0 9 3 4 9 , 7 8 0 5 0 , 8 9 7 5 2 , 0 3 7 5 3 , 1 9 9 5 4 , 3 8 5 5 5 , 5 9 5 5 6 , 8 2 8 5 8 , 0 8 6 5 9 , 3 7 0 6 0 , 6 7 9 6 2 , 0 1 4 6 3 , 3 7 6 6 4 , 7 6 5 6 6 , 1 8 2 6 7 , 6 2 8 6 9 , 1 0 2 7 0 , 6 0 6 7 2 , 1 4 0 7 3 , 7 0 4 7 3 , 7 0 4 In t e r n a l L o a n O u t s t a n d i n g 16 3 , 0 1 3 1 5 7 , 2 0 4 1 5 3 , 1 6 7 1 5 3 , 1 6 7 1 5 3 , 1 6 7 1 5 3 , 1 6 7 1 5 3 , 1 6 7 1 5 3 , 1 6 7 1 5 3 , 1 6 7 1 5 3 , 1 6 7 1 5 3 , 1 6 7 1 5 3 , 1 6 7 1 5 3 , 1 6 7 1 5 3 , 1 6 7 1 5 3 , 1 6 7 1 5 3 , 1 6 7 1 5 3 , 1 6 7 1 5 3 , 1 6 7 1 53,167153,167153,167153,167 40District Summary th i s D i s t r i c t w i l l b e u s e d t o p a y d e b t s e r v i c e f o r t h e en t i r e l i f e o f t h e D i s t r i c t . Th e fi n a n c e p l a n f o r t h e 2 0 1 1 A B o n d s c a l l s f o r $ 2 8 0 , 6 9 7 pe r y e a r i n t a x i n c r e m e n t r e v e n u e s . T h i s i s g r e a t e r t h a n th e e s t i m a t e d a n n u a l r e v e n u e f r o m c u r r e n t v a l u e s a n d ra t e s . A d d i t i o n a l d e v e l o p m e n t i n t h i s D i s t r i c t m a y in c r e a s e t a x i n c r e m e n t r e v e n u e s b e y o n d t h e p l a n n e d am o u n t . H o w e v e r , t h e i n c r e a s e m a y n o t b e s u ffi c i e n t Ci t y N u m b e r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 - 3 4 Co u n t y N u m b e r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 3 4 Na m e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . M o n t i c e l l o I n t e r c h a n g e Ty p e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . R e n e w a l a n d R e n o v a t i o n Es t a b l i s h e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 / 1 2 / 0 5 Ce r t i f i c a t i o n R e q u e s t e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2 / 2 9 / 0 5 Ce r t i f i e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 / 1 / 0 6 Ye a r o f F i r s t I n c r e m e n t . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 0 0 7 4- Y e a r K n o c k d o w n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 / 1 / 1 2 5- Y e a r R u l e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 / 1 / 1 6 De c e r t i f i c a t i o n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2 / 3 1 / 2 2 Or i g i n a l T a x R a t e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 0 . 2 9 7 % Or i g i n a l T a x C a p a c i t y V a l u e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 7 , 8 9 7 Cu r r e n t B a s e T a x C a p a c i t y V a l u e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 2 , 5 4 8 Cu r r e n t ( P a y 2 0 1 2 ) T a x C a p a c i t y . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 8 5 , 6 6 2 Pa r c e l s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 3 1 5 5 - 0 1 1 - 0 0 0 1 5 1 1 5 5 - 0 1 1 - 0 0 0 1 5 2 1 5 5 - 0 1 1 - 0 0 0 1 6 1 1 5 5 - 0 1 1 - 0 0 0 1 6 2 1 5 5 - 0 1 1 - 0 0 0 1 6 5 1 5 5 - 1 7 8 - 0 0 0 0 4 0 1 5 5 - 2 0 5 - 0 0 1 0 1 0 1 5 5 - 2 0 5 - 0 0 1 0 2 0 1 5 5 - 2 0 5 - 0 0 1 0 3 0 1 5 5 - 5 0 0 - 1 8 2 3 0 0 1 5 5 - 5 0 0 - 1 8 2 3 0 2 1 5 5 - 5 0 0 - 1 8 2 3 0 3 1 5 5 - 1 7 8 - 0 0 1 0 1 0 Di s t r i c t 1 - 3 4 i s t h e o n l y r e n e w a l a n d r e n o v a t i o n T I F di s t r i c t . T h i s D i s t r i c t w a s e s t a b l i s h e d t o p r o v i d e a p o r - ti o n o f t h e f u n d i n g t o c o n s t r u c t t h e e a s t i n t e r c h a n g e wi t h I n t e r s t a t e 9 4 . T h e t a x i n c r e m e n t s f r o m t h i s D i s - tr i c t a r e p l e d g e d t o p a y a p o r t i o n o f d e b t s e r v i c e o n t h e $1 0 , 7 3 5 , 0 0 0 G . O . R e f u n d i n g B o n d s , S e r i e s 2 0 1 1 A ( t h e or i g i n a l i s s u a n c e w a s S e r i e s 2 0 0 5 A ) . Bo n d r e c o r d s c o n t a i n a s p e c i fi c fl o w o f f u n d s f o r t h e “T I F P o r t i o n ” o f t h e d e b t s e r v i c e p l a n . T h i s p o r t i o n o f th e b o n d i s s u e c o n s i s t s o f $ 5 , 3 2 5 , 0 0 0 i n p r i n c i p a l . T h e fl o w o f f u n d s a s s u m e s $ 2 8 0 , 6 9 7 o f a n n u a l t a x i n c r e - me n t r e v e n u e s f o r t h e y e a r s 2 0 1 3 t h r o u g h 2 0 2 2 . O t h e r re v e n u e s n e e d e d t o p a y d e b t s e r v i c e o n t h i s p o r t i o n o f th e b o n d i s s u e i n c l u d e s p e c i a l a s s e s s m e n t s , g e n e r a l t a x le v y a n d C o u n t y r e v e n u e s . Di s t r i c t 1 - 3 4 i s s c h e d u l e d t o b e d e c e r t i fi e d n o l a t e r t h a n De c e m b e r 3 1 , 2 0 2 2 . Ac t i o n s T a k e n S i n c e 2 0 0 9 Th e C i t y h a s t r a n s f e r r e d f u n d s f r o m t h i s D i s t r i c t f o r pa y m e n t o f t h e B o n d s w h i c h h a s b e e n i n e x c e s s o f av a i l a b l e t a x i n c r e m e n t . T h i s D i s t r i c t i s i n a n e g a t i v e fu n d b a l a n c e p o s i t i o n . Ad m i n i s t r a t i v e S t e p s Th e T I F p l a n e s t i m a t e s o n fi l e w i t h t h e O ffi c e o f t h e St a t e A u d i t o r ( O S A ) f o r t h i s d i s t r i c t n e e d s r e v i e w t o co n fi r m t h e O S A h a s t h e c o r r e c t a u t h o r i z e d e x p e n d i - tu r e s a m o u n t s . Ma n a g e m e n t S t r a t e g y Op t i o n 1 - D i s c h a r g e O b l i g a t i o n s Th e f o c u s o f t h i s D i s t r i c t w i l l b e t h e r e p a y m e n t a n d ma n a g e m e n t o f t h e o u t s t a n d i n g 2 0 1 1 A B o n d s . I t i s an t i c i p a t e d t h a t a l l o f t h e t a x i n c r e m e n t r e v e n u e f r o m District 1-34 (Monticello Interchange)Renewal & Renovation 41District Summary to c o v e r t h e p l a n n e d t r a n s f e r o f f u n d s f o r p a y m e n t o n th e o u t s t a n d i n g B o n d s a n d t o e l i m i n a t e t h e c u m u l a - ti v e n e g a t i v e c a s h b a l a n c e f o r t h i s D i s t r i c t . Ad d i t i o n a l f u n d s w i l l l i k e l y b e n e e d e d f r o m t h e C i t y fo r f u t u r e c a s h fl o w m a n a g e m e n t o f t h i s c o m p l e x b o n d is s u e . Th i s D i s t r i c t b e n e fi t s f r o m e x t e n d e d k n o c k - d o w n a n d fi v e - y e a r r u l e p e r i o d s a p p r o v e d b y t h e L e g i s l a t u r e i n 20 0 9 . 42District Summary Dis t r i c t 1 - 3 4 Ori g i n a l T I F Pla n B u d g e t Am o u n t Cu m u l a t i v e Mo d i f i e d T I F Pla n B u d get Ac c o u n t e d fo r i n P r i o r Ye a r 20 1 0 2 0 1 1 2 0 1 2 2 0 1 3 2 0 1 4 2 0 1 5 2 0 1 6 2 0 1 7 2 0 1 8 2 0 1 9 2 0 2 0 2 0 2 1 2 0 2 2 Estimated Total Life of District Re v e n u e s a n d O t h e r F i n a n c i n g S o u r c e s Ta x i n c r e m e n t r e v e n u e 5 , 5 0 0 , 0 0 0 5 , 5 0 0 , 0 0 0 5 8 4 , 4 0 6 3 0 1 , 5 1 7 2 6 9 , 2 9 0 2 7 9 , 1 7 7 2 7 9 , 1 7 7 2 7 9 , 1 7 7 2 7 9 , 1 7 7 2 7 9 , 1 7 7 2 7 9 , 1 7 7 2 7 9 , 1 7 7 2 7 9 , 1 7 7 2 7 9 , 1 7 7 2 7 9 , 177279,1774,226,162 Ma r k e t V a l u e H o m e s t e a d C r e d i t 0 In v e s t m e n t e a r n i n g s 1 0 0 , 0 0 0 1 0 0 , 0 0 0 6 1 2 4 , 1 5 9 7 , 6 4 2 (2 , 6 6 7 ) ( 2 , 7 5 3 ) ( 2 , 8 4 0 ) ( 2 , 9 2 9 ) ( 3 , 0 2 0 ) ( 3 , 1 1 3 ) ( 3 , 2 0 8 ) ( 3 , 3 0 4 ) ( 3 , 4 0 3 ) ( 3 , 5 0 3 ) ( 3 , 6 0 6 ) ( 2 1 , 9 3 4 ) Bo n d p r o c e e d s 5 , 4 0 0 , 0 0 0 5 , 4 0 0 , 0 0 0 0 Lo a n p r o c e e d s 5 0 0 , 0 0 0 5 0 0 , 0 0 0 0 Sp e c i a l a s s e s s m e n t s 0 Sa l e s / l e a s e p r o c e e d s 0 Lo a n / a d v a n c e r e p a y m e n t s 0 De v e l o p e r p a y m e n t 0 In t e r f u n d l o a n / t r a n s f e r 0 Oth e r 0 0 Tra n s f e r s ( i n ) 0 To t a l R e v e n u e s / O F S 1 1 , 5 0 0 , 0 0 0 1 1 , 5 0 0 , 0 0 0 5 8 5 , 0 1 8 3 0 5 , 6 7 6 2 7 6 , 9 3 2 2 7 6 , 5 1 0 2 7 6 , 4 2 4 2 7 6 , 3 3 7 2 7 6 , 2 4 8 2 7 6 , 1 5 7 2 7 6 , 0 6 4 2 7 5 , 9 6 9 2 7 5 , 8 7 3 2 7 5 , 7 7 4 2 7 5 , 6 74275,5714,204,228 Ex p e n d i t u r e s a n d O t h e r F i n a n c i n g U s e s La n d / b u i l d i n g a c q u i s i t i o n 3 , 0 0 0 , 0 0 0 3 , 0 0 0 , 0 0 0 0 Sit e i m p r o v e m e n t / p r e p a r a t i o n c o s t s 5 0 0 , 0 0 0 5 0 0 , 0 0 0 0 Uti l i t i e s 1 0 0 , 0 0 0 1 0 0 , 0 0 0 0 Pu b l i c p a r k i n g f a c i l i t i e s 0 Str e e t s a n d s i d e w a l k s 1 , 0 0 0 , 0 0 0 1 , 0 0 0 , 0 0 0 3 , 9 8 3 3983 Pu b l i c p a r k f a c i l i t i e s 0 So c i a l , r e c r e a t i o n , o r c o n f e r e n c e f a c i l i t i e s 0 In t e r e s t r e d u c t i o n p a y m e n t s 0 Bo n d p r i n c i p a l p a y m e n t s 5 , 4 0 0 , 0 0 0 5 , 4 0 0 , 0 0 0 0 Bo n d i n t e r e s t p a y m e n t s 7 5 0 , 0 0 0 7 5 0 , 0 0 0 0 Lo a n p r i n c i p a l p a y m e n t s 5 0 0 , 0 0 0 5 0 0 , 0 0 0 0 Lo a n / n o t e i n t e r e s t p a y m e n t s 0 Ad m i n i s t r a t i v e e x p e n s e s 5 5 0 , 0 0 0 5 5 0 , 0 0 0 2 5 , 7 0 4 9 1 1 0 0 1 0 0 1 0 0 1 0 0 1 0 0 1 0 0 1 0 0 1 0 0 1 0 0 1 0 0 1 0 0 1 0 0 2 6 9 9 5 Pa y i n g a g e n t f e e s 0 Oth e r 0 In t e r e s t P A Y G O 0 Tra n s f e r s ( o u t ) f o r d e b t s e r v i c e 6 3 7 , 5 4 6 3 1 7 , 2 7 7 3 1 6 , 2 7 9 2 8 0 , 6 9 6 2 8 0 , 6 9 6 2 8 0 , 6 9 6 2 8 0 , 6 9 6 2 8 0 , 6 9 6 2 8 0 , 6 9 6 2 8 0 , 6 9 6 2 8 0 , 6 9 6 2 8 0 , 6 9 6 280,696 280,696 4,358,758 To t a l E x p e n d i t u r e s / O F U 1 1 , 8 0 0 , 0 0 0 1 1 , 8 0 0 , 0 0 0 6 6 7 , 2 3 3 3 1 7 , 3 6 8 3 1 6 , 3 7 9 2 8 0 , 7 9 6 2 8 0 , 7 9 6 2 8 0 , 7 9 6 2 8 0 , 7 9 6 2 8 0 , 7 9 6 2 8 0 , 7 9 6 2 8 0 , 7 9 6 2 8 0 , 7 9 6 2 8 0 , 7 9 6 2 80,796280,7964,389,736 Re v e n u e s / O F S O v e r ( U n d e r ) E x p e n d i t u r e s / O F U (3 0 0 , 0 0 0 ) ( 3 0 0 , 0 0 0 ) ( 8 2 , 2 1 5 ) ( 1 1 , 6 9 2 ) ( 3 9 , 4 4 7 ) ( 4 , 2 8 6 ) ( 4 , 3 7 2 ) ( 4 , 4 5 9 ) ( 4 , 5 4 8 ) ( 4 , 6 3 9 ) ( 4 , 7 3 2 ) ( 4 , 8 2 7 ) ( 4 , 9 2 3 ) ( 5 , 0 2 2 ) ( 5 , 1 2 2 ) ( 5 , 2 2 5 ) ( 1 8 5 , 5 0 8 ) Fu n d B a l a n c e - B e g i n (8 2 , 2 1 5 ) ( 9 3 , 9 0 7 ) ( 1 3 3 , 3 5 4 ) ( 1 3 7 , 6 4 0 ) ( 1 4 2 , 0 1 2 ) ( 1 4 6 , 4 7 1 ) ( 1 5 1 , 0 1 9 ) ( 1 5 5 , 6 5 8 ) ( 1 6 0 , 3 9 0 ) ( 1 6 5 , 2 1 7 ) ( 1 7 0 , 1 4 0 ) ( 1 7 5 , 1 6 2 ) ( 1 8 0 , 2 8 4 ) 0 Fu n d B a l a n c e - E n d (9 3 , 9 0 7 ) ( 1 3 3 , 3 5 4 ) ( 1 3 7 , 6 4 0 ) ( 1 4 2 , 0 1 2 ) ( 1 4 6 , 4 7 1 ) ( 1 5 1 , 0 1 9 ) ( 1 5 5 , 6 5 8 ) ( 1 6 0 , 3 9 0 ) ( 1 6 5 , 2 1 7 ) ( 1 7 0 , 1 4 0 ) ( 1 7 5 , 1 6 2 ) ( 1 8 0 , 2 8 4 ) ( 1 8 5 , 5 0 8 ) ( 1 8 5 , 5 0 8 ) Bo n d O u t s t a n d i n g 3,4 0 3 , 9 3 5 3 , 0 8 7 , 6 5 6 2 , 8 0 6 , 9 6 0 2 , 5 2 6 , 2 6 4 2 , 2 4 5 , 5 6 8 1 , 9 6 4 , 8 7 2 1 , 6 8 4 , 1 7 6 1 , 4 0 3 , 4 8 0 1 , 1 2 2 , 7 8 4 8 4 2 , 0 8 8 5 6 1 , 3 9 2 2 8 0 , 6 9 6 0 43District Summary pl a c e b y A u g u s t 1 , 2 0 1 6 . Th e fi n a n c i a l i m p l i c a t i o n s a n d o p t i o n s f o r t h i s D i s t r i c t ca n n o t b e f u l l y a n a l y z e d u n t i l d e v e l o p m e n t o c c u r s . Ci t y N u m b e r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 - 3 5 Co u n t y N u m b e r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 3 5 Na m e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . L a n d m a r k S q u a r e I I Ty p e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . R e d e v e l o p m e n t Es t a b l i s h e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 / 1 2 / 0 5 Ce r t i f i c a t i o n R e q u e s t e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2 / 2 9 / 0 5 Ce r t i f i e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 / 1 / 0 6 Ye a r o f F i r s t I n c r e m e n t . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 0 0 8 4- Y e a r K n o c k d o w n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 / 1 / 1 2 5- Y e a r R u l e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 / 1 / 1 6 De c e r t i f i c a t i o n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2 / 3 1 / 3 3 Or i g i n a l T a x R a t e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 0 . 2 9 7 % Or i g i n a l T a x C a p a c i t y V a l u e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 , 4 0 9 Cu r r e n t B a s e T a x C a p a c i t y V a l u e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 , 0 6 8 Cu r r e n t ( P a y 2 0 1 2 ) T a x C a p a c i t y . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 , 9 6 2 Pa r c e l s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 5 5 - 0 1 0 - 0 3 6 0 3 0 Di s t r i c t 1 - 3 5 i s a r e d e v e l o p m e n t T I F d i s t r i c t . T h e D i s - tr i c t w a s e s t a b l i s h e d t o a s s i s t w i t h t h e c o n s t r u c t i o n o f 11 , 0 0 0 s q u a r e f o o t c o m m e r c i a l b u i l d i n g . T h e D i s t r i c t wa s c r e a t e d f r o m p a r c e l s r e m o v e d f r o m D i s t r i c t 1 - 2 2 . Th i s a p p r o a c h e s t a b l i s h e d n e w t i m e l i m i t s t h a t c o n - st r a i n u s e o f i n c r e m e n t s i n D i s t r i c t 1 - 2 2 . T h e t a x i n c r e - me n t f r o m D i s t r i c t 1 - 3 5 i s o b l i g a t e d t o r e p a y a $ 1 7 0 , 0 0 0 de v e l o p e r n o t e a t a n i n t e r e s t r a t e o f 6 % . T h e n o t e w i l l en d a t a d a t e n o l a t e r t h a n 2 / 1 / 2 0 2 3 . N i n e t y p e r c e n t (9 0 % ) o f a n n u a l t a x i n c r e m e n t i s u s e d t o m a k e p a y - me n t o n t h e n o t e . T h e D i s t r i c t w i l l b e d e c e r t i fi e d n o la t e r t h a n D e c e m b e r 3 1 , 2 0 3 3 . Th e d e v e l o p m e n t p l a n n e d f o r D i s t r i c t 1 - 3 5 h a s n o t ha p p e n e d . Ac t i o n s T a k e n S i n c e 2 0 0 9 Fu n d s h a v e b e e n t r a n s f e r r e d i n t o T I F D i s t r i c t 1 - 3 5 fr o m T I F D i s t r i c t 1 - 2 2 t o c o v e r a d m i n i s t r a t i v e e x p e n s e s in c u r r e d f o r T I F 1 - 3 5 . Ad m i n i s t r a t i v e S t e p s Th e r e a r e n o o u t s t a n d i n g a d m i n i s t r a t i v e i t e m s . Ma n a g e m e n t S t r a t e g y Th e s t r a t e g y f o r D i s t r i c t 1 - 3 5 f o c u s e s o n u s i n g t h e e x - is t i n g d i s t r i c t t o u n d e r t a k e r e d e v e l o p m e n t o n t h i s p a r - ce l . T h e f a c t o r s t h a t a l l o w t h e c r e a t i o n o f a n e w r e - de v e l o p m e n t d i s t r i c t h a v e b e e n r e m o v e d . A n e w T I F di s t r i c t i s n o t a n o p t i o n . Cl e a r a n c e o f t h e s i t e s a t i s fi e d t h e c r i t e r i a o f t h e 4 - y e a r kn o c k d o w n r e q u i r e m e n t s . Ma n a g e m e n t o f t h i s D i s t r i c t b e n e fi t s f r o m 2 0 0 9 a m e n d - me n t s t o t h e T I F A c t . T h e l i m i t a t i o n s o f t h e fi v e - y e a r ru l e a r e e x t e n d e d t o t e n y e a r s f o r t h e D i s t r i c t . O b l i - ga t i o n s f o r t h e u s e o f t a x i n c r e m e n t s m u s t n o w b e i n District 1-35 (Landmark Square II)Redevelopment 44District Summary Dis t r i c t 1 - 3 5 Orig i n a l T I F Pla n B u d g e t Am o u n t Cum u l a t i v e Mod i f i e d T I F Pla n B u d get Acc o u n t e d fo r i n P r i o r Yea r 201 0 2 0 1 1 2 0 1 2 2 0 1 3 2 0 1 4 2 0 1 5 2 0 1 6 2 0 1 7 2 0 1 8 2 0 1 9 2 0 2 0 2 0 2 1 2 0 2 2 2 0 2 3 2 0 2 4 2 0 2 5 2 0 2 6 2 0 2 7 2 0 2 8 2 0 2 9 2 0 3 0 2 0 3 1 2 0 3 2 2 0 3 3 Estimated Total Life of District Rev e n u e s a n d O t h e r F i n a n c i n g S o u r c e s Tax i n c r e m e n t r e v e n u e 4 5 0 , 0 0 0 000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Mark e t V a l u e H o m e s t e a d C r e d i t 0 In v e s t m e n t e a r n i n g s 1 , 0 8 2 2 0 4 4 1 5 9 6 9 7 9 9 1 0 0 1 0 2 1 0 3 1 0 5 1 0 6 1 0 8 1 0 9 1 1 1 1 1 3 1 1 4 1 1 6 1 1 8 1 2 0 1 2 2 1 2 4 1 2 5 1 2 7 1 2 9 1 3 1 4 , 1 7 6 Bon d p r o c e e d s 0 Loa n p r o c e e d s 0 Spe c i a l a s s e s s m e n t s 0 Sal e s / l e a s e p r o c e e d s 0 Loa n / a d v a n c e r e p a y m e n t s 0 Dev e l o p e r p a y m e n t 0 In t e r f u n d l o a n / t r a n s f e r 0 Oth e r 0 Dep o s i t ( 2 0 0 4 ) 0 Tra n s f e r s ( i n ) 2 7 , 5 0 0 (7 , 5 0 0 ) 20000 Tot a l R e v e n u e s / O F S 4 5 0 , 0 0 0 0 2 8 , 5 8 2 (7 , 2 9 6 ) 415 9 6 9 7 9 9 1 0 0 1 0 2 1 0 3 1 0 5 1 0 6 1 0 8 1 0 9 1 1 1 1 1 3 1 1 4 1 1 6 1 1 8 1 2 0 1 2 2 1 2 4 1 2 5 1 2 7 1 2 9 1 3 1 2 4 , 1 7 6 Exp e n d i t u r e s a n d O t h e r F i n a n c i n g U s e s Lan d / b u i l d i n g a c q u i s i t i o n 1 0 0 , 0 0 0 5 0 3 503 Site i m p r o v e m e n t / p r e p a r a t i o n c o s t s 3 5 , 0 0 0 0 Pub l i c p a r k i n g f a c i l i t i e s 3 5 , 0 0 0 0 Str e e t s a n d s i d e w a l k s 3 5 , 0 0 0 0 Pub l i c p a r k f a c i l i t i e s 1 0 , 0 0 0 0 Soc i a l , r e c r e a t i o n , o r c o n f e r e n c e f a c i l i t i e s 0 Oth e r q u a l i f y i n g i m p r o v . , s o c i a l / r e c / c o n f f a c i l i t i e s 0 In t e r e s t r e d u c t i o n p a y m e n t s 0 PAYG p r i n c i p a l 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 PAY G i n t e r e s t 1 9 0 , 0 0 0 000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Lo a n p r i n c i p a l p a y m e n t s 0 Loa n / n o t e i n t e r e s t p a y m e n t s 0 Adm i n i s t r a t i v e e x p e n s e s 4 5 , 0 0 0 1 6 , 2 8 4 9 1 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 1 6 , 9 9 6 Pay i n g a g e n t f e e s 0 Oth e r 0 In t e r e s t P A Y G O 0 Tra n s f e r s ( o u t ) 0 Tot a l E x p e n d i t u r e s / O F U 4 5 0 , 0 0 0 0 1 6 , 7 8 7 9 1 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 2 7 1 7 , 4 9 9 Rev e n u e s / O F S O v e r ( U n d e r ) E x p e n d i t u r e s / O F U 0 0 1 1 , 7 9 5 (7 , 3 8 7 ) 388 6 9 7 0 7 2 7 3 7 5 7 6 7 8 7 9 8 1 8 2 8 4 8 6 8 7 8 9 9 1 9 3 9 5 9 7 9 8 1 0 0 1 0 2 1 0 4 6 , 6 7 7 Fun d B a l a n c e - B e g i n 11, 7 9 5 4 , 4 0 8 4 , 7 9 6 4 , 8 6 5 4 , 9 3 5 5 , 0 0 7 5 , 0 8 0 5 , 1 5 5 5 , 2 3 1 5 , 3 0 8 5 , 3 8 8 5 , 4 6 8 5 , 5 5 1 5 , 6 3 5 5 , 7 2 0 5 , 8 0 8 5 , 8 9 7 5 , 9 8 8 6 , 0 8 1 6 , 1 7 5 6 , 2 7 2 6 , 3 7 0 6 , 4 7 1 6 , 5 7 3 0 Fun d B a l a n c e - E n d 4,4 0 8 4 , 7 9 6 4 , 8 6 5 4 , 9 3 5 5 , 0 0 7 5 , 0 8 0 5 , 1 5 5 5 , 2 3 1 5 , 3 0 8 5 , 3 8 8 5 , 4 6 8 5 , 5 5 1 5 , 6 3 5 5 , 7 2 0 5 , 8 0 8 5 , 8 9 7 5 , 9 8 8 6 , 0 8 1 6 , 1 7 5 6 , 2 7 2 6 , 3 7 0 6 , 4 7 1 6 , 5 7 3 6 , 6 7 7 6 , 6 7 7 Not e O u t s t a n d i n g 170 , 0 0 0 1 7 0 , 0 0 0 1 7 0 , 0 0 0 1 7 0 , 0 0 0 1 7 0 , 0 0 0 1 7 0 , 0 0 0 1 7 0 , 0 0 0 1 7 0 , 0 0 0 1 7 0 , 0 0 0 1 7 0 , 0 0 0 1 7 0 , 0 0 0 1 7 0 , 0 0 0 1 7 0 , 0 0 0 1 7 0 , 0 0 0 1 7 0 , 0 0 0 1 7 0 , 0 0 0 1 7 0 , 0 0 0 1 7 0 , 0 0 0 1 70,000170,000170,000170,000170,000170,000 45District Summary Ci t y N u m b e r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 - 3 6 Co u n t y N u m b e r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 3 6 Na m e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . R o c k y M o u n t a i n G r o u p Ty p e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . E c o n o m i c D e v e l o p m e n t Es t a b l i s h e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 / 2 2 / 0 5 Ce r t i f i c a t i o n R e q u e s t e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2 / 3 0 / 0 5 Ce r t i f i e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 / 1 / 0 6 Ye a r o f F i r s t I n c r e m e n t . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 0 0 7 4- Y e a r K n o c k d o w n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 / 1 / 1 2 5- Y e a r R u l e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 / 1 / 1 1 De c e r t i f i c a t i o n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2 / 3 1 / 1 5 Or i g i n a l T a x R a t e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 0 . 2 9 7 % Or i g i n a l T a x C a p a c i t y V a l u e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 , 3 5 4 Cu r r e n t B a s e T a x C a p a c i t y V a l u e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 , 3 5 4 Cu r r e n t ( P a y 2 0 1 2 ) T a x C a p a c i t y . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 6 , 7 8 4 Pa r c e l s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 5 5 - 1 8 1 - 0 0 1 0 1 0 Di s t r i c t 1 - 3 6 i s a n e c o n o m i c d e v e l o p m e n t T I F d i s t r i c t . Th e D i s t r i c t w a s e s t a b l i s h e d t o a s s i s t w i t h t h e c o n s t r u c - ti o n o f 5 4 , 0 0 0 s q u a r e f o o t o ffi c e / w a r e h o u s e f a c i l i t y f o r Da h l h e i m e r D i s t r i b u t i n g . T h e t a x i n c r e m e n t f r o m t h e Di s t r i c t i s o b l i g a t e d t o r e p a y a n i n t e r f u n d l o a n d f r o m th e E D A i n t h e a m o u n t o f $ 4 3 9 , 2 2 4 . T h e l o a n i s p a y - ab l e u n t i l t h e l a s t d a t e o f i n c r e m e n t i s c o l l e c t e d . A l l av a i l a b l e t a x i n c r e m e n t i s c o m m i tt e d f o r p a y m e n t s o n th e n o t e . T h e D i s t r i c t w i l l b e d e c e r t i fi e d n o l a t e r t h a n De c e m b e r 3 1 , 2 0 1 5 . Ac t i o n s T a k e n S i n c e 2 0 0 9 Pa y m e n t s o n t h e n o t e a r e b e i n g m a d e . I n a d d i t i o n , th e r e h a s b e e n a c t i v i t y w i t h t r a n s f e r s i n a n d o u t o f fu n d s e a c h y e a r t o c o v e r t h e n e g a t i v e b a l a n c e t h a t e x - is t s . I n 2 0 1 1 , t h e C i t y t r a n s f e r r e d i n $ 6 2 , 0 1 5 o f c a s h t o el i m i n a t e t h e n e g a t i v e b a l a n c e . Ad m i n i s t r a t i v e T a s k s Th e r e a r e n o o u t s t a n d i n g a d m i n i s t r a t i v e t a s k s . Ma n a g e m e n t S t r a t e g y Th e p r o j e c t i o n s f o r t h i s D i s t r i c t s h o w a s t a b l e c a s h fl o w p o s i t i o n . H o w e v e r , f u t u r e p r o j e c t e d t a x i n c r e - me n t s m a y n o t b e s u ffi c i e n t t o r e p a y t h e o u t s t a n d i n g ba l a n c e o n t h e n o t e . District 1-36 (Rocky Mountain Group)Economic Development 46District Summary D i s t r i c t 1 - 3 6 O r i g i n a l T I F P l a n B u d g e t A m o u n t C u m u l a t i v e M o d i f i e d T I F P l a n B u d g e t A c c o u n t e d f o r i n P r i o r Y e a r 2 0 1 0 2 0 1 1 2 0 1 2 2 0 1 3 2 0 1 4 2 0 1 5 Estimated Total Life of District R e v e n u e s a n d O t h e r F i n a n c i n g S o u r c e s T a x i n c r e m e n t r e v e n u e 6 8 0 , 0 0 0 1 8 8 , 2 6 4 6 8 , 1 8 5 6 8 , 1 8 5 6 8 , 8 5 8 6 8 , 8 5 8 6 8 , 8 5 8 6 8 , 8 5 8 6 0 0 , 0 6 8 M a r k e t V a l u e H o m e s t e a d C r e d i t - In v e s t m e n t e a r n i n g s 2 0 , 0 0 0 4 , 1 1 6 8 7 6 1 , 8 4 5 1 7 1 2 3 3 2 9 7 3 6 2 7 , 9 0 0 B o n d p r o c e e d s 5 0 0 , 0 0 0 - L o a n p r o c e e d s 1 0 0 , 0 0 0 - S p e c i a l a s s e s s m e n t s - S a l e s / l e a s e p r o c e e d s - L o a n / a d v a n c e r e p a y m e n t s - D e v e l o p e r p a y m e n t - In t e r f u n d l o a n / t r a n s f e r 7 7 , 8 1 8 7 5 , 1 6 3 - 1 5 2 , 9 8 1 O t h e r - D e p o s i t - T r a n s f e r s ( i n ) 6 2 , 0 1 5 6 2 , 0 1 5 T o t a l R e v e n u e s / O F S 1 , 3 0 0 , 0 0 0 0 2 7 0 , 1 9 8 1 4 4 , 2 2 4 1 3 2 , 0 4 5 6 9 , 0 2 9 6 9 , 0 9 2 6 9 , 1 5 5 6 9 , 2 2 0 8 2 2 , 9 6 3 E x p e n d i t u r e s a n d O t h e r F i n a n c i n g U s e s L a n d / b u i l d i n g a c q u i s i t i o n 5 0 , 0 0 0 1 , 5 0 0 1,500 S i t e i m p r o v e m e n t / p r e p a r a t i o n c o s t s 5 0 , 0 0 0 3 8 , 5 6 8 38,568 P u b l i c p a r k i n g f a c i l i t i e s 2 0 0 , 0 0 0 - S t r e e t s a n d s i d e w a l k s - P u b l i c p a r k f a c i l i t i e s 2 0 0 , 0 0 0 - U t i l i t i e s 1 1 6 , 2 2 1 116,221 S o c i a l , r e c r e a t i o n , o r c o n f e r e n c e f a c i l i t i e s - S o c i a l , r e c r e a t i o n o r c o n f e r e n c e f a c i l i t i e s - In t e r e s t r e d u c t i o n p a y m e n t s - B o n d p r i n c i p a l p a y m e n t s 5 0 0 , 0 0 0 - B o n d i n t e r e s t p a y m e n t s 1 3 2 , 0 0 0 - P A Y G p r i n c i p a l 8 8 , 9 6 4 4 2 , 6 9 2 4 5 , 5 1 2 4 8 , 3 8 2 5 1 , 5 2 7 5 4 , 8 7 6 58,443 390,395 P A Y G i n t e r e s t 2 2 , 0 8 4 1 9 , 2 6 4 1 7 , 0 3 4 1 3 , 8 8 9 1 0 , 5 4 0 6,973 89,783 In t e r f u n d l o a n p r i n c i p a l 7 7 , 8 1 8 7 5 , 1 6 3 1 5 2 , 9 8 1 In t e r f u n d l o a n i n t e r e s t 1 0 0 , 0 0 0 - A d m i n i s t r a t i v e e x p e n s e s 6 8 , 0 0 0 8 , 1 5 9 1 , 9 4 8 2 6 5 0 0 5 0 0 5 0 0 5 0 0 1 2 , 1 3 3 P a y i n g a g e n t f e e s - O t h e r - P r o p e r t y t a x e s - T r u n k f e e s - T r a n s f e r s ( o u t ) - T o t a l E x p e n d i t u r e s / O F U 1 , 3 0 0 , 0 0 0 0 3 3 1 , 2 3 0 1 4 1 , 8 8 7 6 4 , 8 0 2 6 5 , 9 1 5 6 5 , 9 1 5 6 5 , 9 1 5 6 5 , 9 1 5 8 0 1 , 5 8 1 R e v e n u e s / O F S O v e r ( U n d e r ) E x p e n d i t u r e s / O F U 0 0 ( 6 1 , 0 3 2 ) 2 , 3 3 7 6 7 , 2 4 3 3 , 1 1 4 3 , 1 7 6 3 , 2 4 0 3 , 3 0 4 2 1 , 3 8 2 F u n d B a l a n c e - B e g i n ( 6 1 , 0 3 2 ) ( 5 8 , 6 9 5 ) 8 , 5 4 8 1 1 , 6 6 2 1 4 , 8 3 8 1 8 , 0 7 8 0 F u n d B a l a n c e - E n d ( 5 8 , 6 9 5 ) 8 , 5 4 8 1 1 , 6 6 2 1 4 , 8 3 8 1 8 , 0 7 8 2 1 , 3 8 2 2 1 , 3 8 2 I n t e r f u n d L o a n 1 O u t s t a n d i n g 7 5 , 1 6 3 - - - - - - - I n t e r f u n d L o a n 2 O u t s t a n d i n g 3 5 0 , 2 6 0 3 0 7 , 5 6 8 2 6 2 , 0 5 6 2 1 3 , 6 7 4 1 6 2 , 1 4 7 1 0 7 , 2 7 2 48,829 48,829 47District Summary Ci t y N u m b e r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 - 3 7 Co u n t y N u m b e r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 3 7 Na m e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . S L R e a l E s t a t e H o l d i n g s Ty p e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . E c o n o m i c D e v e l o p m e n t Es t a b l i s h e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 / 2 4 / 0 6 Ce r t i f i c a t i o n R e q u e s t e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 / 1 9 / 0 6 Ce r t i f i e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 / 1 6 / 0 7 Ye a r o f F i r s t I n c r e m e n t . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 0 0 8 4- Y e a r K n o c k d o w n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 / 1 6 / 1 3 5- Y e a r R u l e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 / 1 6 / 1 2 De c e r t i f i c a t i o n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2 / 3 1 / 1 6 Or i g i n a l T a x R a t e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 9 . 2 6 9 % Or i g i n a l T a x C a p a c i t y V a l u e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 , 6 1 4 Cu r r e n t B a s e T a x C a p a c i t y V a l u e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 , 6 1 4 Cu r r e n t ( P a y 2 0 1 2 ) T a x C a p a c i t y . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 6 , 4 3 4 Pa r c e l s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 5 5 - 1 9 1 - 0 0 1 0 1 0 Di s t r i c t 1 - 3 7 i s a n e c o n o m i c d e v e l o p m e n t T I F d i s t r i c t . Th e D i s t r i c t w a s e s t a b l i s h e d t o a s s i s t w i t h t h e c o n - st r u c t i o n o f 2 0 , 0 0 0 s q u a r e f o o t p r o d u c t i o n / w a r e h o u s e fa c i l i t y f o r K a r l s b u r g e r F o o d s . T h e t a x i n c r e m e n t f r o m th e D i s t r i c t i s o b l i g a t e d t o r e p a y a $ 1 4 2 , 1 1 3 i n t e r f u n d lo a n f r o m t h e E D A a t a n i n t e r e s t r a t e o f 6 % . A l l a v a i l - ab l e t a x i n c r e m e n t i s c o m m i tt e d f o r p a y m e n t s o n t h e lo a n . T h e D i s t r i c t w i l l b e d e c e r t i fi e d n o l a t e r t h a n D e - ce m b e r 3 1 , 2 0 1 6 . Ad m i n i s t r a t i v e T a s k s Th e r e a r e n o o u t s t a n d i n g a d m i n i s t r a t i v e t a s k s f o r t i h s di s t r i c t . Ac t i o n s T a k e n S i n c e 2 0 0 9 Pa y m e n t o n t h e o u t s t a n d i n g n o t e h a s b e e n m a d e . Ma n a g e m e n t S t r a t e g y Th e f o c u s o f t h i s D i s t r i c t w i l l b e t h e r e p a y m e n t o f t h e no t e . C a s h fl o w p r o j e c t i o n s f o r t h i s D i s t r i c t s h o w t h e no t e p a i d i n f u l l i n 2 0 1 5 , o n e y e a r b e f o r e s c h e d u l e d d e - ce r t i fi c a t i o n . T h e D i s t r i c t s h o u l d b e d e c e r t i fi e d w h e n th e n o t e i s f u l l y p a i d . St a t e L a w l i m i t s t h e a b i l i t y o f t a x i n c r e m e n t s f r o m t h i s Di s t r i c t t o b e u s e d f o r o t h e r p u r p o s e s : • D i s t r i c t 1 - 3 7 i s a n e c o n o m i c d e v e l o p m e n t d i s t r i c t . Ta x i n c r e m e n t s f r o m t h i s D i s t r i c t a r e t o b e u s e d so l e l y t o f a c i l i t a t e e l i g i b l e e c o n o m i c d e v e l o p m e n t ac t i v i t i e s . • T h e D i s t r i c t i s s u b j e c t t o t h e fi v e - y e a r r u l e . T h e fi v e - y e a r p e r i o d w i l l e n d A p r i l 1 6 , 2 0 1 2 . • T h e D i s t r i c t c o n s i s t s o f a s i n g l e p a r c e l a n d i s s u b - je c t t o p o o l i n g l i m i t s . District 1-37 (SL Real Estate Holdings)Economic Development 48District Summary D i s t r i c t 1 - 3 7 Or i g i n a l T I F Pl a n B u d g e t A m o u n t Cu m u l a t i v e M o d i f i e d T I F Pl a n B u d get A c c o u n t e d fo r i n P r i o r Ye a r 20 1 0 2 0 1 1 2 0 1 2 2 0 1 3 2 0 1 4 2 0 1 5 2 0 1 6 Estimated Total Life of District Re v e n u e s a n d O t h e r F i n a n c i n g S o u r c e s Tax i n c r e m e n t r e v e n u e 1 7 5 , 0 0 0 4 8 , 0 9 3 2 4 , 7 8 7 2 4 , 7 8 7 2 4 , 6 3 9 2 4 , 6 3 9 2 4 , 6 3 9 2 4 , 6 3 9 2 4 , 6 3 9 2 2 0 , 8 6 0 Ma r k e t V a l u e H o m e s t e a d C r e d i t 0 In v e s t m e n t e a r n i n g s 9 , 0 9 0 1 , 7 9 8 3 , 6 6 5 1 4 6 8 0 3 5 1 4 3 0 1 1 5 , 1 3 0 Bo n d p r o c e e d s 0 Lo a n p r o c e e d s 0 Sp e c i a l a s s e s s m e n t s 0 Sa l e s / l e a s e p r o c e e d s 0 Lo a n / a d v a n c e r e p a y m e n t s 0 De v e l o p e r p a y m e n t 0 In t e r f u n d l o a n / t r a n s f e r 0 Ot h e r 0 In t e r f u n d l o a n 1 5 0 , 0 0 0 0 TIF a p p l i c a t i o n f e e 0 Tra n s f e r s ( i n ) 0 Tot a l R e v e n u e s / O F S 3 2 5 , 0 0 0 0 5 7 , 1 8 3 2 6 , 5 8 5 2 8 , 4 5 2 2 4 , 7 8 5 2 4 , 7 1 8 2 4 , 6 7 4 24,65324,940235,989 Ex p e n d i t u r e s a n d O t h e r F i n a n c i n g U s e s La n d / b u i l d i n g a c q u i s i t i o n 9 4 , 0 0 0 2 , 7 3 7 2,737 Pu b l i c p a r k i n g f a c i l i t i e s 5 , 0 0 0 5 , 0 0 0 5,000 St r e e t s a n d s i d e w a l k s 5 , 0 0 0 5 , 9 5 9 5,959 Pu b l i c p a r k f a c i l i t i e s - So c i a l , r e c r e a t i o n , o r c o n f e r e n c e f a c i l i t i e s 5 , 0 0 0 - Pu b l i c p a r k f a c i l i t i e s - So c i a l , r e c r e a t i o n o r c o n f e r e n c e f a c i l i t i e s - In t e r e s t r e d u c t i o n p a y m e n t s - Bo n d p r i n c i p a l p a y m e n t s - Bo n d i n t e r e s t p a y m e n t s - PA Y G p r i n c i p a l 3 5 , 7 2 4 17 , 1 7 1 1 9 , 2 9 6 1 9 , 2 1 1 2 0 , 3 6 4 21 , 5 8 6 8 , 7 6 1 1 4 2 , 1 1 3 PA Y G i n t e r e s t 5 0 , 0 0 0 6 , 0 0 1 7 , 1 9 7 4 , 2 1 6 4 , 1 9 5 3 , 0 4 3 1 , 8 2 1 5 2 6 (0)26,998 In t e r f u n d l o a n p r i n c i p a l - In t e r f u n d l o a n i n t e r e s t 4, 1 9 5 3 , 0 4 3 1 , 8 2 1 5 2 6 (0)9,584 Ad m i n i s t r a t i v e e x p e n s e s 1 6 , 0 0 0 1 , 4 9 1 9 1 2 6 5 0 0 5 0 0 5 0 0 5 0 0 5 0 0 4 , 1 0 8 Pa y i n g a g e n t f e e s - Ot h e r - In t e r f u n d l o a n s 1 5 0 , 0 0 0 - Tra n s f e r s ( o u t ) - Tot a l E x p e n d i t u r e s / O F U 3 2 5 , 0 0 0 0 5 6 , 9 1 2 2 4 , 4 5 9 2 3 , 5 3 8 2 8 , 1 0 2 2 6 , 9 4 9 2 5 , 7 2 7 1 0 , 3 1 2 5 0 0 1 9 6 , 5 0 0 Re v e n u e s / O F S O v e r ( U n d e r ) E x p e n d i t u r e s / O F U 0 0 2 7 1 2 , 1 2 6 4 , 9 1 4 (3 , 3 1 7 ) ( 2 , 2 3 1 ) ( 1 , 0 5 4 ) 14,34024,44039,489 Fu n d B a l a n c e - B e g i n 27 1 2 , 3 9 7 7 , 3 1 1 3 , 9 9 4 1 , 7 6 3 7 0 9 1 5 , 0 5 0 0 Fu n d B a l a n c e - E n d 2, 3 9 7 7 , 3 1 1 3 , 9 9 4 1 , 7 6 3 7 0 9 1 5 , 0 5 0 3 9 , 4 8 9 3 9 , 4 8 9 No t e o u t s t a n d i n g 10 6 , 3 8 9 8 9 , 2 1 8 6 9 , 9 2 2 5 0 , 7 1 1 3 0 , 3 4 7 8 , 7 6 1 (0)(0)(0) 49District Summary Di s t r i c t 1 - 3 8 i s a n e c o n o m i c d e v e l o p m e n t T I F d i s t r i c t . Th e D i s t r i c t w a s e s t a b l i s h e d t o a s s i s t w i t h t h e c o n s t r u c - ti o n o f a p r o d u c t i o n / w a r e h o u s e f a c i l i t y f o r W a l k e r I n - St o r e . T h e t a x i n c r e m e n t f r o m t h e D i s t r i c t i s o b l i g a t e d to r e p a y a $ 1 5 2 , 4 6 0 i n t e r f u n d l o a n f r o m t h e E D A a t a n in t e r e s t r a t e o f 8 % . A l l a v a i l a b l e t a x i n c r e m e n t i s c o m - mi tt e d f o r p a y m e n t s o n t h e l o a n . T h e D i s t r i c t w i l l b e de c e r t i fi e d n o l a t e r t h a n D e c e m b e r 3 1 , 2 0 1 7 . Ad m i n i s t r a t i v e T a s k s Th e r e a r e n o r e c o m m e n d e d a d m i n i s t r a t i v e t a s k s f o r th i s d i s t r i c t . Ac t i o n s T a k e n S i n c e 2 0 0 9 Pa y m e n t o n t h e o u t s t a n d i n g n o t e h a s b e e n m a d e . Ma n a g e m e n t S t r a t e g y Ba s e d o n c u r r e n t p r o p e r t y v a l u e s , t h e t a x i n c r e m e n t fr o m t h i s D i s t r i c t w i l l n o t r e p a y t h e n o t e . T h e c u r r e n t es t i m a t e d a n n u a l t a x i n c r e m e n t w i l l o n l y p a y i n t e r e s t on t h e n o t e . F u t u r e v a l u e i n t h e D i s t r i c t w i l l d e t e r m i n e th e a c t u a l a b i l i t y t o r e t i r e t h i s d e b t . St a t e L a w l i m i t s t h e a b i l i t y o f t a x i n c r e m e n t s f r o m t h i s Di s t r i c t t o b e u s e d f o r o t h e r p u r p o s e s : • D i s t r i c t 1 - 3 8 i s a n e c o n o m i c d e v e l o p m e n t d i s t r i c t . Ta x i n c r e m e n t s f r o m t h i s D i s t r i c t a r e t o b e u s e d so l e l y t o f a c i l i t a t e e l i g i b l e e c o n o m i c d e v e l o p m e n t ac t i v i t i e s . • T h e D i s t r i c t i s s u b j e c t t o t h e fi v e - y e a r r u l e . T h e fi v e - y e a r p e r i o d w i l l e n d O c t o b e r 1 , 2 0 1 2 . • T h e D i s t r i c t c o n s i s t s o f a s i n g l e p a r c e l a n d i s s u b - je c t t o p o o l i n g l i m i t s . Ci t y N u m b e r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 - 3 8 Co u n t y N u m b e r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 3 8 Na m e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . W a l k e r Ty p e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . E c o n o m i c D e v e l o p m e n t Es t a b l i s h e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 / 1 1 / 0 7 Ce r t i f i c a t i o n R e q u e s t e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 0 / 1 / 0 7 Ce r t i f i e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 0 / 1 / 0 7 Ye a r o f F i r s t I n c r e m e n t . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 0 0 9 4- Y e a r K n o c k d o w n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 0 / 1 / 1 3 5- Y e a r R u l e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 0 / 1 / 1 2 De c e r t i f i c a t i o n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2 / 3 1 / 1 7 Or i g i n a l T a x R a t e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 0 6 . 3 6 4 % Or i g i n a l T a x C a p a c i t y V a l u e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 , 7 8 1 Cu r r e n t B a s e T a x C a p a c i t y V a l u e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 , 7 8 1 Cu r r e n t ( P a y 2 0 1 2 ) T a x C a p a c i t y . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 3 , 6 7 4 Pa r c e l s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 5 5 - 1 9 4 - 0 0 1 0 2 0 District 1-38 (Walker)Economic Development 50District Summary Di s t r i c t 1 - 3 8 Or i g i n a l T I F Pl a n B u d g e t Am o u n t Cu m u l a t i v e Mo d i f i e d T I F Pl a n B u d get Ac c o u n t e d fo r i n P r i o r Ye a r 20 1 0 2 0 1 1 2 0 1 2 2 0 1 3 2 0 1 4 2 0 1 5 2 0 1 6 Estimated Total Life of District Re v e n u e s a n d O t h e r F i n a n c i n g S o u r c e s Ta x i n c r e m e n t r e v e n u e 1 2 0 , 0 0 0 1 2 , 6 0 4 1 2 , 6 0 4 1 3 , 5 9 6 1 2 , 6 5 0 1 2 , 6 5 0 1 2 , 6 5 0 1 2 , 6 5 0 1 2 , 6 5 0 1 0 2 , 0 5 3 Ma r k e t V a l u e H o m e s t e a d C r e d i t 0 In v e s t m e n t e a r n i n g s 00 0 0 0 0 Bo n d p r o c e e d s 0 Lo a n p r o c e e d s 0 Sp e c i a l a s s e s s m e n t s 0 Sa l e s / l e a s e p r o c e e d s 0 Lo a n / a d v a n c e r e p a y m e n t s 0 De v e l o p e r p a y m e n t 0 In t e r f u n d l o a n / t r a n s f e r 0 Ot h e r 0 In t e r f u n d l o a n 1 6 0 , 0 0 0 0 TI F a p p l i c a t i o n f e e 0 Tr a n s f e r s ( i n ) 0 To t a l R e v e n u e s / O F S 2 8 0 , 0 0 0 0 1 2 , 6 0 4 1 2 , 6 0 4 1 3 , 5 9 6 1 2 , 6 5 0 1 2 , 6 5 0 1 2 , 6 5 0 1 2 , 6 5 0 1 2 , 6 5 0 1 0 2 , 0 5 3 Ex p e n d i t u r e s a n d O t h e r F i n a n c i n g U s e s La n d / b u i l d i n g a c q u i s i t i o n 5 3 , 0 0 0 4 0 1 401 Pu b l i c p a r k i n g f a c i l i t i e s 5 , 0 0 0 0 St r e e t s a n d s i d e w a l k s 5 , 0 0 0 0 Pu b l i c p a r k f a c i l i t i e s 0 So c i a l , r e c r e a t i o n , o r c o n f e r e n c e f a c i l i t i e s 5 , 0 0 0 0 Pu b l i c p a r k f a c i l i t i e s 0 So c i a l , r e c r e a t i o n o r c o n f e r e n c e f a c i l i t i e s 0 In t e r e s t r e d u c t i o n p a y m e n t s 0 Bo n d p r i n c i p a l p a y m e n t s 0 Bo n d i n t e r e s t p a y m e n t s 0 Lo a n p r i n c i p a l p a y m e n t s 1 6 0 , 0 0 0 9 , 4 6 9 3 , 2 6 2 3 , 2 6 1 1 , 7 0 0 1 , 7 0 0 1 , 7 0 0 1 , 7 0 0 1 , 7 0 0 2 4 4 9 3 . 8 8 5 Lo a n / n o t e i n t e r e s t p a y m e n t s 4 0 , 0 0 0 3 , 1 3 5 1 4 , 8 4 3 9 , 3 8 4 1 0 , 3 1 7 1 0 , 3 1 7 1 0 , 3 1 7 1 0 , 3 1 7 1 0 , 3 1 7 7 8 9 4 7 Ad m i n i s t r a t i v e e x p e n s e s 1 2 , 0 0 0 4 5 2 9 1 2 6 2 6 2 6 2 6 2 6 2 6 6 9 9 Pa y i n g a g e n t f e e s 0 Ot h e r 0 In t e r f u n d l o a n s 0 Tr a n s f e r s ( o u t ) 0 To t a l E x p e n d i t u r e s / O F U 2 8 0 , 0 0 0 0 1 3 , 4 5 7 1 8 , 1 9 6 1 2 , 6 7 1 1 2 , 0 4 3 1 2 , 0 4 3 1 2 , 0 4 3 1 2 , 0 4 3 1 2 , 0 4 3 1 0 4 , 5 4 1 Re v e n u e s / O F S O v e r ( U n d e r ) E x p e n d i t u r e s / O F U 00 (8 5 3 ) ( 5 , 5 9 2 ) 92 5 6 0 6 6 0 6 6 0 6 6 0 6 6 0 6 (2,488) Fu n d B a l a n c e - B e g i n 0 (8 5 3 ) ( 6 , 4 4 5 ) ( 5 , 5 2 0 ) ( 4 , 9 1 4 ) ( 4 , 3 0 7 ) ( 3 , 7 0 1 ) ( 3 , 0 9 4 ) 0 Fu n d B a l a n c e - E n d (8 5 3 ) ( 6 , 4 4 5 ) ( 5 , 5 2 0 ) ( 4 , 9 1 4 ) ( 4 , 3 0 7 ) ( 3 , 7 0 1 ) ( 3 , 0 9 4 ) ( 2 , 4 8 8 ) ( 2 , 4 8 8 ) No t e o u t s t a n d i n g 14 2 , 9 9 1 1 4 7 , 6 3 8 1 4 4 , 3 7 7 1 4 2 , 6 7 7 1 4 0 , 9 7 6 1 3 9 , 2 7 6 1 3 7 , 5 7 5 1 3 5 , 8 7 5 1 3 5 , 8 7 5 51District Summary Di s t r i c t 1 - 3 9 i s a n e c o n o m i c d e v e l o p m e n t T I F d i s t r i c t . Th e D i s t r i c t w a s e s t a b l i s h e d t o a s s i s t w i t h t h e c o n - st r u c t i o n o f a 4 0 , 0 0 0 s q u a r e f o o t m a n u f a c t u r i n g f a c i l i t y in t h e C i t y . T h e t a x i n c r e m e n t f r o m t h e D i s t r i c t i s o b l i - ga t e d t o r e p a y a $ 4 1 3 , 9 9 4 i n t e r f u n d l o a n a t a n i n t e r e s t ra t e o f 4 % . T h e n o t e i s p a y a b l e t h r o u g h t h e l a s t d a t e of r e c e i p t o f i n c r e m e n t . A l l a v a i l a b l e t a x i n c r e m e n t i s co m m i tt e d f o r p a y m e n t s o n t h e l o a n . Ac t i o n s T a k e n S i n c e 2 0 0 9 Th i s D i s t r i c t w a s e s t a b l i s h e d a f t e r t h e 2 0 0 9 T I F M a n - ag e m e n t R e p o r t . Ad m i n i s t r a t i v e T a s k s Th e d i s t r i c t w a s a d o p t e d o n A u g u s t 2 2 , 2 0 1 1 . T h e D i s - tr i c t w a s s u b m i tt e d f o r c e r t i fi c a t i o n t o W r i g h t C o u n t y in J u n e 2 0 1 2 . Ma n a g e m e n t S t r a t e g y Th e f o c u s o f t h i s D i s t r i c t w i l l b e t h e r e p a y m e n t o f t h e in t e r f u n d l o a n . Th e r e i s n o fi n a n c i a l d a t a i n c l u d e d f o r t h i s r e c e n t l y a d - op t e d T I F D i s t r i c t . Ci t y N u m b e r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 - 3 9 Co u n t y N u m b e r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 3 9 Na m e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . O t t e r C r e e k C r o s s i n g Ty p e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . E c o n o m i c D e v e l o p m e n t Es t a b l i s h e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 / 2 2 / 1 1 Ce r t i f i c a t i o n R e q u e s t e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . P e n d i n g Ce r t i f i e d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . P e n d i n g Ye a r o f F i r s t I n c r e m e n t . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . P e n d i n g 4- Y e a r K n o c k d o w n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . P e n d i n g 5- Y e a r R u l e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . P e n d i n g De c e r t i f i c a t i o n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . P e n d i n g Or i g i n a l T a x R a t e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . P e n d i n g Or i g i n a l T a x C a p a c i t y V a l u e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . P e n d i n g Cu r r e n t B a s e T a x C a p a c i t y V a l u e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . P e n d i n g Cu r r e n t ( P a y 2 0 1 2 ) T a x C a p a c i t y . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . P e n d i n g Pa r c e l s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 15 5 - 1 9 1 - 0 0 0 0 3 0 District 1-39 (Otter Creek Crossing)Economic Development 52Appendix Th i s a p p e n d i x c o n t a i n e d s e l e c t e d e l e m e n t s o f S t a t e La w g o v e r n i n g t h e u s e o f T I F a n d r e l a t e d t o t h e m a n - ag e m e n t o f M o n t i c e l l o T I F d i s t r i c t s . T h e s e s t a t u t e s a r e cu r r e n t i n 2 0 1 1 . L a w s g o v e r n i n g T I F m a y c h a n g e i n th e f u t u r e . T h i s a p p e n d i x i s i n t e n d e d s o l e l y a s a n i n - fo r m a t i o n a l r e f e r e n c e . S p e c i fi c m a n a g e m e n t a c t i o n s mu s t b e b a s e d o n a r e v i e w o f t h e r e l e v a n t s t a t u t o r y la n g u a g e i n e ff e c t a t t h e t i m e . Ad m i n i s t r a t i v e E x p e n s e Ad m i n i s t r a t i v e E x p e n s e D e f i n e d ( 4 6 9 . 1 7 4 , S u b d . 1 4 ) “A d m i n i s t r a t i v e e x p e n s e s ” m e a n s a l l e x p e n d i t u r e s o f an a u t h o r i t y o t h e r t h a n : (1 ) a m o u n t s p a i d f o r t h e p u r c h a s e o f l a n d ; (2 ) a m o u n t s p a i d t o c o n t r a c t o r s o r o t h e r s p r o v i d i n g ma t e r i a l s a n d s e r v i c e s , i n c l u d i n g a r c h i t e c t u r a l a n d e n - gi n e e r i n g s e r v i c e s , d i r e c t l y c o n n e c t e d w i t h t h e p h y s i - ca l d e v e l o p m e n t o f t h e r e a l p r o p e r t y i n t h e p r o j e c t ; (3 ) r e l o c a t i o n b e n e fi t s p a i d t o o r s e r v i c e s p r o v i d e d f o r pe r s o n s r e s i d i n g o r b u s i n e s s e s l o c a t e d i n t h e p r o j e c t ; (4 ) a m o u n t s u s e d t o p a y p r i n c i p a l o r i n t e r e s t o n , f u n d a r e s e r v e f o r , o r s e l l a t a d i s c o u n t b o n d s i s s u e d p u r s u - an t t o s e c t i o n 4 6 9 . 1 7 8 ; o r (5 ) a m o u n t s u s e d t o p a y o t h e r fi n a n c i a l o b l i g a t i o n s t o th e e x t e n t t h o s e o b l i g a t i o n s w e r e u s e d t o fi n a n c e c o s t s de s c r i b e d i n c l a u s e s ( 1 ) t o ( 3 ) . Fo r d i s t r i c t s f o r w h i c h t h e r e q u e s t s f o r c e r t i fi c a t i o n s we r e m a d e b e f o r e A u g u s t 1 , 1 9 7 9 , o r a f t e r J u n e 3 0 , 1 9 8 2 , “a d m i n i s t r a t i v e e x p e n s e s ” i n c l u d e s a m o u n t s p a i d f o r se r v i c e s p r o v i d e d b y b o n d c o u n s e l , fi s c a l c o n s u l t a n t s , an d p l a n n i n g o r e c o n o m i c d e v e l o p m e n t c o n s u l t a n t s . Li m i t a t i o n o n A d m i n i s t r a t i v e E x p e n s e s ( 4 6 9 . 1 7 6 , S u b d . 3 ) (a ) F o r d i s t r i c t s f o r w h i c h c e r t i fi c a t i o n w a s r e q u e s t e d be f o r e A u g u s t 1 , 1 9 7 9 , o r a f t e r J u n e 3 0 , 1 9 8 2 a n d b e - fo r e A u g u s t 1 , 2 0 0 1 , n o t a x i n c r e m e n t s h a l l b e u s e d t o pa y a n y a d m i n i s t r a t i v e e x p e n s e s f o r a p r o j e c t w h i c h ex c e e d t e n p e r c e n t o f t h e t o t a l e s t i m a t e d t a x i n c r e m e n t ex p e n d i t u r e s a u t h o r i z e d b y t h e t a x i n c r e m e n t fi n a n c - in g p l a n o r t h e t o t a l t a x i n c r e m e n t e x p e n d i t u r e s f o r t h e pr o j e c t , w h i c h e v e r i s l e s s . (b ) F o r d i s t r i c t s f o r w h i c h c e r t i fi c a t i o n w a s r e q u e s t e d af t e r J u l y 3 1 , 1 9 7 9 , a n d b e f o r e J u l y 1 , 1 9 8 2 , n o t a x i n c r e - me n t s h a l l b e u s e d t o p a y a d m i n i s t r a t i v e e x p e n s e s , a s de fi n e d i n M i n n e s o t a S t a t u t e s 1 9 8 0 , s e c t i o n 2 7 3 . 7 3 , f o r a d i s t r i c t w h i c h e x c e e d s fi v e p e r c e n t o f t h e t o t a l t a x i n - cr e m e n t e x p e n d i t u r e s a u t h o r i z e d b y t h e t a x i n c r e m e n t fi n a n c i n g p l a n o r t h e t o t a l e s t i m a t e d t a x i n c r e m e n t e x - pe n d i t u r e s f o r t h e d i s t r i c t , w h i c h e v e r i s l e s s . (c ) F o r d i s t r i c t s f o r w h i c h c e r t i fi c a t i o n w a s r e q u e s t e d af t e r J u l y 3 1 , 2 0 0 1 , n o t a x i n c r e m e n t m a y b e u s e d t o pa y a n y a d m i n i s t r a t i v e e x p e n s e s f o r a p r o j e c t w h i c h ex c e e d t e n p e r c e n t o f t o t a l e s t i m a t e d t a x i n c r e m e n t e x - pe n d i t u r e s a u t h o r i z e d b y t h e t a x i n c r e m e n t fi n a n c i n g pl a n o r t h e t o t a l t a x i n c r e m e n t s , a s d e fi n e d i n s e c t i o n 46 9 . 1 7 4 , s u b d i v i s i o n 2 5 , c l a u s e ( 1 ) , f r o m t h e d i s t r i c t , wh i c h e v e r i s l e s s . (d ) I n c r e m e n t s u s e d t o p a y t h e c o u n t y ’ s a d m i n i s t r a t i v e ex p e n s e s u n d e r s u b d i v i s i o n 4 h a r e n o t s u b j e c t t o t h e pe r c e n t a g e l i m i t s i n t h i s s u b d i v i s i o n . Di s t r i c t L i m i t a t i o n s Re d e v e l o p m e n t D i s t r i c t s ( 4 6 9 . 1 7 6 , S u b d . 4 j ) At l e a s t 9 0 p e r c e n t o f t h e r e v e n u e s d e r i v e d f r o m t a x in c r e m e n t s f r o m a r e d e v e l o p m e n t d i s t r i c t o r r e n e w a l Excerpts from TIF Act 2011 Statutes 53Appendix an d r e n o v a t i o n d i s t r i c t m u s t b e u s e d t o fi n a n c e t h e co s t o f c o r r e c t i n g c o n d i t i o n s t h a t a l l o w d e s i g n a t i o n of r e d e v e l o p m e n t a n d r e n e w a l a n d r e n o v a t i o n d i s - tr i c t s u n d e r s e c t i o n 4 6 9 . 1 7 4 . T h e s e c o s t s i n c l u d e , b u t ar e n o t l i m i t e d t o , a c q u i r i n g p r o p e r t i e s c o n t a i n i n g st r u c t u r a l l y s u b s t a n d a r d b u i l d i n g s o r i m p r o v e m e n t s or h a z a r d o u s s u b s t a n c e s , p o l l u t i o n , o r c o n t a m i n a n t s , ac q u i r i n g a d j a c e n t p a r c e l s n e c e s s a r y t o p r o v i d e a s i t e of s u ffi c i e n t s i z e t o p e r m i t d e v e l o p m e n t , d e m o l i t i o n an d r e h a b i l i t a t i o n o f s t r u c t u r e s , c l e a r i n g o f t h e l a n d , th e r e m o v a l o f h a z a r d o u s s u b s t a n c e s o r r e m e d i a t i o n ne c e s s a r y t o d e v e l o p m e n t o f t h e l a n d , a n d i n s t a l l a t i o n of u t i l i t i e s , r o a d s , s i d e w a l k s , a n d p a r k i n g f a c i l i t i e s f o r th e s i t e . T h e a l l o c a t e d a d m i n i s t r a t i v e e x p e n s e s o f t h e au t h o r i t y , i n c l u d i n g t h e c o s t o f p r e p a r a t i o n o f t h e d e - ve l o p m e n t a c t i o n r e s p o n s e p l a n , m a y b e i n c l u d e d i n th e q u a l i f y i n g c o s t s . Ho u s i n g D i s t r i c t s ( 4 6 9 . 1 7 6 , S u b d . 4 d ) Re v e n u e d e r i v e d f r o m t a x i n c r e m e n t f r o m a h o u s i n g di s t r i c t m u s t b e u s e d s o l e l y t o fi n a n c e t h e c o s t o f h o u s - in g p r o j e c t s a s d e fi n e d i n s e c t i o n s 4 6 9 . 1 7 4 , s u b d i v i s i o n 11 , a n d 4 6 9 . 1 7 6 1 . T h e c o s t o f p u b l i c i m p r o v e m e n t s d i - re c t l y r e l a t e d t o t h e h o u s i n g p r o j e c t s a n d t h e a l l o c a t e d ad m i n i s t r a t i v e e x p e n s e s o f t h e a u t h o r i t y m a y b e i n - cl u d e d i n t h e c o s t o f a h o u s i n g p r o j e c t . Ec o n o m i c D e v e l o p m e n t D i s t r i c t s ( 4 6 9 . 1 7 6 , S u b d . 4 c ) (a ) ( a ) R e v e n u e d e r i v e d f r o m t a x i n c r e m e n t f r o m a n ec o n o m i c d e v e l o p m e n t d i s t r i c t m a y n o t b e u s e d t o pr o v i d e i m p r o v e m e n t s , l o a n s , s u b s i d i e s , g r a n t s , i n t e r - es t r a t e s u b s i d i e s , o r a s s i s t a n c e i n a n y f o r m t o d e v e l o p - me n t s c o n s i s t i n g o f b u i l d i n g s a n d a n c i l l a r y f a c i l i t i e s , if m o r e t h a n 1 5 p e r c e n t o f t h e b u i l d i n g s a n d f a c i l i t i e s (d e t e r m i n e d o n t h e b a s i s o f s q u a r e f o o t a g e ) a r e u s e d fo r a p u r p o s e o t h e r t h a n : (1 ) t h e m a n u f a c t u r i n g o r p r o d u c t i o n o f t a n g i b l e p e r - so n a l p r o p e r t y , i n c l u d i n g p r o c e s s i n g r e s u l t i n g i n t h e ch a n g e i n c o n d i t i o n o f t h e p r o p e r t y ; (2 ) w a r e h o u s i n g , s t o r a g e , a n d d i s t r i b u t i o n o f t a n g i b l e pe r s o n a l p r o p e r t y , e x c l u d i n g r e t a i l s a l e s ; (3 ) r e s e a r c h a n d d e v e l o p m e n t r e l a t e d t o t h e a c t i v i t i e s li s t e d i n c l a u s e ( 1 ) o r ( 2 ) ; (4 ) t e l e m a r k e t i n g i f t h a t a c t i v i t y i s t h e e x c l u s i v e u s e o f th e p r o p e r t y ; (5 ) t o u r i s m f a c i l i t i e s ; (6 ) q u a l i fi e d b o r d e r r e t a i l f a c i l i t i e s ; o r (7 ) s p a c e n e c e s s a r y f o r a n d r e l a t e d t o t h e a c t i v i t i e s l i s t - ed i n c l a u s e s ( 1 ) t o ( 6 ) . (b ) N o t w i t h s t a n d i n g t h e p r o v i s i o n s o f t h i s s u b d i v i - si o n , r e v e n u e s d e r i v e d f r o m t a x i n c r e m e n t f r o m a n ec o n o m i c d e v e l o p m e n t d i s t r i c t m a y b e u s e d t o p r o - vi d e i m p r o v e m e n t s , l o a n s , s u b s i d i e s , g r a n t s , i n t e r - es t r a t e s u b s i d i e s , o r a s s i s t a n c e i n a n y f o r m f o r u p t o 15 , 0 0 0 s q u a r e f e e t o f a n y s e p a r a t e l y o w n e d c o m m e r - ci a l f a c i l i t y l o c a t e d w i t h i n t h e m u n i c i p a l j u r i s d i c t i o n of a s m a l l c i t y , i f t h e r e v e n u e s d e r i v e d f r o m i n c r e m e n t s ar e s p e n t o n l y t o a s s i s t t h e f a c i l i t y d i r e c t l y o r f o r a d - mi n i s t r a t i v e e x p e n s e s , t h e a s s i s t a n c e i s n e c e s s a r y t o de v e l o p t h e f a c i l i t y , a n d a l l o f t h e i n c r e m e n t s , e x c e p t th o s e f o r a d m i n i s t r a t i v e e x p e n s e s , a r e s p e n t o n l y f o r ac t i v i t i e s w i t h i n t h e d i s t r i c t . (c ) A c i t y i s a s m a l l c i t y f o r p u r p o s e s o f t h i s s u b d i v i - si o n i f t h e c i t y w a s a s m a l l c i t y i n t h e y e a r i n w h i c h t h e re q u e s t f o r c e r t i fi c a t i o n w a s m a d e a n d a p p l i e s f o r t h e re s t o f t h e d u r a t i o n o f t h e d i s t r i c t , r e g a r d l e s s o f w h e t h - er t h e c i t y q u a l i fi e s o r c e a s e s t o q u a l i f y a s a s m a l l c i t y . 54Appendix (d ) N o t w i t h s t a n d i n g t h e r e q u i r e m e n t s o f p a r a g r a p h (a ) a n d t h e fi n d i n g r e q u i r e m e n t s o f s e c t i o n 4 6 9 . 1 7 4 , su b d i v i s i o n 1 2 , t a x i n c r e m e n t s f r o m a n e c o n o m i c d e - ve l o p m e n t d i s t r i c t m a y b e u s e d t o p r o v i d e i m p r o v e - me n t s , l o a n s , s u b s i d i e s , g r a n t s , i n t e r e s t r a t e s u b s i d i e s , or a s s i s t a n c e i n a n y f o r m t o d e v e l o p m e n t s c o n s i s t i n g of b u i l d i n g s a n d a n c i l l a r y f a c i l i t i e s , i f a l l t h e f o l l o w i n g co n d i t i o n s a r e m e t : (1 ) t h e m u n i c i p a l i t y fi n d s t h a t t h e p r o j e c t w i l l c r e a t e or r e t a i n j o b s i n t h i s s t a t e , i n c l u d i n g c o n s t r u c t i o n j o b s , an d t h a t c o n s t r u c t i o n o f t h e p r o j e c t w o u l d n o t h a v e co m m e n c e d b e f o r e J u l y 1 , 2 0 1 2 , w i t h o u t t h e a u t h o r - it y p r o v i d i n g a s s i s t a n c e u n d e r t h e p r o v i s i o n s o f t h i s pa r a g r a p h ; (2 ) c o n s t r u c t i o n o f t h e p r o j e c t b e g i n s n o l a t e r t h a n J u l y 1, 2 0 1 2 ; (3 ) t h e r e q u e s t f o r c e r t i fi c a t i o n o f t h e d i s t r i c t i s m a d e no l a t e r t h a n J u n e 3 0 , 2 0 1 2 ; a n d (4 ) f o r d e v e l o p m e n t o f h o u s i n g u n d e r t h i s p a r a g r a p h , th e c o n s t r u c t i o n m u s t b e g i n b e f o r e J a n u a r y 1 , 2 0 1 2 . Th e p r o v i s i o n s o f t h i s p a r a g r a p h m a y n o t b e u s e d t o as s i s t h o u s i n g t h a t i s d e v e l o p e d t o q u a l i f y u n d e r s e c - ti o n 4 6 9 . 1 7 6 1 , s u b d i v i s i o n 2 o r 3 , o r s i m i l a r r e q u i r e - me n t s o f o t h e r l a w , i f c o n s t r u c t i o n o f t h e p r o j e c t b e g i n s la t e r t h a n J u l y 1 , 2 0 1 1 . Kn o c k D o w n Ac t i o n R e q u i r e d ( 4 6 9 . 1 7 6 , S u b d . 6 ) (a ) I f , a f t e r f o u r y e a r s f r o m t h e d a t e o f c e r t i fi c a t i o n o f th e o r i g i n a l n e t t a x c a p a c i t y o f t h e t a x i n c r e m e n t fi - na n c i n g d i s t r i c t p u r s u a n t t o s e c t i o n 4 6 9 . 1 7 7 , n o d e m o - li t i o n , r e h a b i l i t a t i o n , o r r e n o v a t i o n o f p r o p e r t y o r o t h e r si t e p r e p a r a t i o n , i n c l u d i n g q u a l i fi e d i m p r o v e m e n t o f a st r e e t a d j a c e n t t o a p a r c e l b u t n o t i n s t a l l a t i o n o f u t i l - it y s e r v i c e i n c l u d i n g s e w e r o r w a t e r s y s t e m s , h a s b e e n co m m e n c e d o n a p a r c e l l o c a t e d w i t h i n a t a x i n c r e m e n t fi n a n c i n g d i s t r i c t b y t h e a u t h o r i t y o r b y t h e o w n e r o f th e p a r c e l i n a c c o r d a n c e w i t h t h e t a x i n c r e m e n t fi n a n c - in g p l a n , n o a d d i t i o n a l t a x i n c r e m e n t m a y b e t a k e n fr o m t h a t p a r c e l , a n d t h e o r i g i n a l n e t t a x c a p a c i t y o f th a t p a r c e l s h a l l b e e x c l u d e d f r o m t h e o r i g i n a l n e t ta x c a p a c i t y o f t h e t a x i n c r e m e n t fi n a n c i n g d i s t r i c t . I f th e a u t h o r i t y o r t h e o w n e r o f t h e p a r c e l s u b s e q u e n t l y co m m e n c e s d e m o l i t i o n , r e h a b i l i t a t i o n , o r r e n o v a t i o n or o t h e r s i t e p r e p a r a t i o n o n t h a t p a r c e l i n c l u d i n g q u a l - ifi e d i m p r o v e m e n t o f a s t r e e t a d j a c e n t t o t h a t p a r c e l , i n ac c o r d a n c e w i t h t h e t a x i n c r e m e n t fi n a n c i n g p l a n , t h e au t h o r i t y s h a l l c e r t i f y t o t h e c o u n t y a u d i t o r t h a t t h e ac t i v i t y h a s c o m m e n c e d , a n d t h e c o u n t y a u d i t o r s h a l l ce r t i f y t h e n e t t a x c a p a c i t y t h e r e o f a s m o s t r e c e n t l y c e r - ti fi e d b y t h e c o m m i s s i o n e r o f r e v e n u e a n d a d d i t t o t h e or i g i n a l n e t t a x c a p a c i t y o f t h e t a x i n c r e m e n t fi n a n c i n g di s t r i c t . T h e c o u n t y a u d i t o r m u s t e n f o r c e t h e p r o v i - si o n s o f t h i s s u b d i v i s i o n . T h e a u t h o r i t y m u s t s u b m i t to t h e c o u n t y a u d i t o r e v i d e n c e t h a t t h e r e q u i r e d a c t i v - it y h a s t a k e n p l a c e f o r e a c h p a r c e l i n t h e d i s t r i c t . T h e ev i d e n c e f o r a p a r c e l m u s t b e s u b m i tt e d b y F e b r u a r y 1 o f t h e fi f t h y e a r f o l l o w i n g t h e y e a r i n w h i c h t h e p a r - ce l w a s c e r t i fi e d a s i n c l u d e d i n t h e d i s t r i c t . F o r p u r - po s e s o f t h i s s u b d i v i s i o n , q u a l i fi e d i m p r o v e m e n t s o f a s t r e e t a r e l i m i t e d t o ( 1 ) c o n s t r u c t i o n o r o p e n i n g o f a ne w s t r e e t , ( 2 ) r e l o c a t i o n o f a s t r e e t , a n d ( 3 ) s u b s t a n t i a l re c o n s t r u c t i o n o r r e b u i l d i n g o f a n e x i s t i n g s t r e e t . (b ) F o r d i s t r i c t s w h i c h w e r e c e r t i fi e d o n o r a f t e r J a n u - ar y 1 , 2 0 0 5 , a n d b e f o r e A p r i l 2 0 , 2 0 0 9 , t h e f o u r - y e a r p e - ri o d u n d e r p a r a g r a p h ( a ) i s i n c r e a s e d t o s i x y e a r s . 55Appendix Po o l i n g a n d F i v e - Y e a r R u l e ( 4 6 9 . 1 7 6 3 ) Su b d i v i s i o n 1 . D e f i n i t i o n s . (a ) F o r p u r p o s e s o f t h i s s e c t i o n , t h e f o l l o w i n g t e r m s ha v e t h e m e a n i n g s g i v e n . (b ) “ A c t i v i t i e s ” m e a n s a c q u i s i t i o n o f p r o p e r t y , c l e a r i n g of l a n d , s i t e p r e p a r a t i o n , s o i l s c o r r e c t i o n , r e m o v a l o f ha z a r d o u s w a s t e o r p o l l u t i o n , i n s t a l l a t i o n o f u t i l i t i e s , co n s t r u c t i o n o f p u b l i c o r p r i v a t e i m p r o v e m e n t s , a n d ot h e r s i m i l a r a c t i v i t i e s , b u t o n l y t o t h e e x t e n t t h a t t a x in c r e m e n t r e v e n u e s m a y b e s p e n t f o r s u c h p u r p o s e s un d e r o t h e r l a w . (c ) “ T h i r d p a r t y ” m e a n s a n e n t i t y o t h e r t h a n ( 1 ) t h e pe r s o n r e c e i v i n g t h e b e n e fi t o f a s s i s t a n c e fi n a n c e d wi t h t a x i n c r e m e n t s , o r ( 2 ) t h e m u n i c i p a l i t y o r t h e d e - ve l o p m e n t a u t h o r i t y o r o t h e r p e r s o n s u b s t a n t i a l l y u n - de r t h e c o n t r o l o f t h e m u n i c i p a l i t y . (d ) “ R e v e n u e s d e r i v e d f r o m t a x i n c r e m e n t s p a i d b y pr o p e r t i e s i n t h e d i s t r i c t ” m e a n s o n l y t a x i n c r e m e n t a s de fi n e d i n s e c t i o n 4 6 9 . 1 7 4 , s u b d i v i s i o n 2 5 , c l a u s e ( 1 ) , an d d o e s n o t i n c l u d e t a x i n c r e m e n t a s d e fi n e d i n s e c - ti o n 4 6 9 . 1 7 4 , s u b d i v i s i o n 2 5 , c l a u s e s ( 2 ) , ( 3 ) , a n d ( 4 ) . Su b d . 2 . E x p e n d i t u r e s o u t s i d e d i s t r i c t . (a ) F o r e a c h t a x i n c r e m e n t fi n a n c i n g d i s t r i c t , a n am o u n t e q u a l t o a t l e a s t 7 5 p e r c e n t o f t h e t o t a l r e v e n u e de r i v e d f r o m t a x i n c r e m e n t s p a i d b y p r o p e r t i e s i n t h e di s t r i c t m u s t b e e x p e n d e d o n a c t i v i t i e s i n t h e d i s t r i c t or t o p a y b o n d s , t o t h e e x t e n t t h a t t h e p r o c e e d s o f t h e bo n d s w e r e u s e d t o fi n a n c e a c t i v i t i e s i n t h e d i s t r i c t o r to p a y , o r s e c u r e p a y m e n t o f , d e b t s e r v i c e o n c r e d i t e n - ha n c e d b o n d s . F o r d i s t r i c t s , o t h e r t h a n r e d e v e l o p m e n t di s t r i c t s f o r w h i c h t h e r e q u e s t f o r c e r t i fi c a t i o n w a s ma d e a f t e r J u n e 3 0 , 1 9 9 5 , t h e i n - d i s t r i c t p e r c e n t a g e f o r pu r p o s e s o f t h e p r e c e d i n g s e n t e n c e i s 8 0 p e r c e n t . N o t mo r e t h a n 2 5 p e r c e n t o f t h e t o t a l r e v e n u e d e r i v e d f r o m ta x i n c r e m e n t s p a i d b y p r o p e r t i e s i n t h e d i s t r i c t m a y be e x p e n d e d , t h r o u g h a d e v e l o p m e n t f u n d o r o t h e r - wi s e , o n a c t i v i t i e s o u t s i d e o f t h e d i s t r i c t b u t w i t h i n t h e de fi n e d g e o g r a p h i c a r e a o f t h e p r o j e c t e x c e p t t o p a y , or s e c u r e p a y m e n t o f , d e b t s e r v i c e o n c r e d i t e n h a n c e d bo n d s . F o r d i s t r i c t s , o t h e r t h a n r e d e v e l o p m e n t d i s - tr i c t s f o r w h i c h t h e r e q u e s t f o r c e r t i fi c a t i o n w a s m a d e af t e r J u n e 3 0 , 1 9 9 5 , t h e p o o l i n g p e r c e n t a g e f o r p u r p o s - es o f t h e p r e c e d i n g s e n t e n c e i s 2 0 p e r c e n t . T h e r e v e n u e de r i v e d f r o m t a x i n c r e m e n t s f o r t h e d i s t r i c t t h a t a r e ex p e n d e d o n c o s t s u n d e r s e c t i o n 4 6 9 . 1 7 6 , s u b d i v i s i o n 4h , p a r a g r a p h ( b ) , m a y b e d e d u c t e d fi r s t b e f o r e c a l c u - la t i n g t h e p e r c e n t a g e s t h a t m u s t b e e x p e n d e d w i t h i n an d w i t h o u t t h e d i s t r i c t . (b ) I n t h e c a s e o f a h o u s i n g d i s t r i c t , a h o u s i n g p r o j e c t , as d e fi n e d i n s e c t i o n 4 6 9 . 1 7 4 , s u b d i v i s i o n 1 1 , i s a n a c - ti v i t y i n t h e d i s t r i c t . (c ) A l l a d m i n i s t r a t i v e e x p e n s e s a r e f o r a c t i v i t i e s o u t - si d e o f t h e d i s t r i c t , e x c e p t t h a t i f t h e o n l y e x p e n s e s f o r ac t i v i t i e s o u t s i d e o f t h e d i s t r i c t u n d e r t h i s s u b d i v i s i o n ar e f o r t h e p u r p o s e s d e s c r i b e d i n p a r a g r a p h ( d ) , a d - mi n i s t r a t i v e e x p e n s e s w i l l b e c o n s i d e r e d a s e x p e n d i - tu r e s f o r a c t i v i t i e s i n t h e d i s t r i c t . (d ) T h e a u t h o r i t y m a y e l e c t , i n t h e t a x i n c r e m e n t fi - na n c i n g p l a n f o r t h e d i s t r i c t , t o i n c r e a s e b y u p t o t e n pe r c e n t a g e p o i n t s t h e p e r m i tt e d a m o u n t o f e x p e n d i - tu r e s f o r a c t i v i t i e s l o c a t e d o u t s i d e t h e g e o g r a p h i c a r e a of t h e d i s t r i c t u n d e r p a r a g r a p h ( a ) . A s p e r m i tt e d b y se c t i o n 4 6 9 . 1 7 6 , s u b d i v i s i o n 4 k , t h e e x p e n d i t u r e s , i n - cl u d i n g t h e p e r m i tt e d e x p e n d i t u r e s u n d e r p a r a g r a p h (a ) , n e e d n o t b e m a d e w i t h i n t h e g e o g r a p h i c a r e a o f 56Appendix th e p r o j e c t . E x p e n d i t u r e s t h a t m e e t t h e r e q u i r e m e n t s of t h i s p a r a g r a p h a r e l e g a l l y p e r m i tt e d e x p e n d i t u r e s of t h e d i s t r i c t , n o t w i t h s t a n d i n g s e c t i o n 4 6 9 . 1 7 6 , s u b d i - vi s i o n s 4 b , 4 c , a n d 4 j . T o q u a l i f y f o r t h e i n c r e a s e u n d e r th i s p a r a g r a p h , t h e e x p e n d i t u r e s m u s t : (1 ) b e u s e d e x c l u s i v e l y t o a s s i s t h o u s i n g t h a t m e e t s th e r e q u i r e m e n t f o r a q u a l i fi e d l o w - i n c o m e b u i l d i n g , as t h a t t e r m i s u s e d i n s e c t i o n 4 2 o f t h e I n t e r n a l R e v - en u e C o d e ; a n d (2 ) n o t e x c e e d t h e q u a l i fi e d b a s i s o f t h e h o u s i n g , a s de fi n e d u n d e r s e c t i o n 4 2 ( c ) o f t h e I n t e r n a l R e v e n u e Co d e , l e s s t h e a m o u n t o f a n y c r e d i t a l l o w e d u n d e r se c t i o n 4 2 o f t h e I n t e r n a l R e v e n u e C o d e ; a n d (3 ) b e u s e d t o : (i ) a c q u i r e a n d p r e p a r e t h e s i t e o f t h e h o u s i n g ; (i i ) a c q u i r e , c o n s t r u c t , o r r e h a b i l i t a t e t h e h o u s i n g ; o r (i i i ) m a k e p u b l i c i m p r o v e m e n t s d i r e c t l y r e l a t e d t o th e h o u s i n g ; o r (4 ) b e u s e d t o d e v e l o p h o u s i n g : (i ) i f t h e m a r k e t v a l u e o f t h e h o u s i n g d o e s n o t e x - ce e d t h e l e s s e r o f : (A ) 1 5 0 p e r c e n t o f t h e a v e r a g e m a r k e t v a l u e o f si n g l e - f a m i l y h o m e s i n t h a t m u n i c i p a l i t y ; o r (B ) $ 2 0 0 , 0 0 0 f o r m u n i c i p a l i t i e s l o c a t e d i n t h e m e t - ro p o l i t a n a r e a , a s d e fi n e d i n s e c t i o n 4 7 3 . 1 2 1 , o r $1 2 5 , 0 0 0 f o r a l l o t h e r m u n i c i p a l i t i e s ; a n d (i i ) i f t h e e x p e n d i t u r e s a r e u s e d t o p a y t h e c o s t o f si t e a c q u i s i t i o n , r e l o c a t i o n , d e m o l i t i o n o f e x i s t i n g st r u c t u r e s , s i t e p r e p a r a t i o n , a n d p o l l u t i o n a b a t e - me n t o n o n e o r m o r e p a r c e l s , i f t h e p a r c e l c o n t a i n s a r e s i d e n c e c o n t a i n i n g o n e t o f o u r f a m i l y d w e l l i n g un i t s t h a t h a s b e e n v a c a n t f o r s i x o r m o r e m o n t h s an d i s i n f o r e c l o s u r e a s d e fi n e d i n s e c t i o n 3 2 5 N . 1 0 , su b d i v i s i o n 7 , b u t w i t h o u t r e g a r d t o w h e t h e r t h e re s i d e n c e i s t h e o w n e r ’ s p r i n c i p a l r e s i d e n c e , a n d on l y a f t e r t h e r e d e m p t i o n p e r i o d s t a t e d i n t h e n o - ti c e p r o v i d e d u n d e r s e c t i o n 5 8 0 . 0 6 h a s e x p i r e d . (e ) F o r a d i s t r i c t c r e a t e d w i t h i n a b i o t e c h n o l o g y a n d he a l t h s c i e n c e s i n d u s t r y z o n e a s d e fi n e d i n s e c t i o n 46 9 . 3 3 0 , s u b d i v i s i o n 6 , o r f o r a n e x i s t i n g d i s t r i c t l o - ca t e d w i t h i n s u c h a z o n e , t a x i n c r e m e n t d e r i v e d f r o m su c h a d i s t r i c t m a y b e e x p e n d e d o u t s i d e o f t h e d i s t r i c t bu t w i t h i n t h e z o n e o n l y f o r e x p e n d i t u r e s r e q u i r e d fo r t h e c o n s t r u c t i o n o f p u b l i c i n f r a s t r u c t u r e n e c e s s a r y to s u p p o r t t h e a c t i v i t i e s o f t h e z o n e , l a n d a c q u i s i t i o n , an d o t h e r r e d e v e l o p m e n t c o s t s a s d e fi n e d i n s e c t i o n 46 9 . 1 7 6 , s u b d i v i s i o n 4 j . T h e s e e x p e n d i t u r e s a r e c o n s i d - er e d a s e x p e n d i t u r e s f o r a c t i v i t i e s w i t h i n t h e d i s t r i c t . (f ) T h e a u t h o r i t y u n d e r p a r a g r a p h ( d ) , c l a u s e ( 4 ) , e x - pi r e s o n D e c e m b e r 3 1 , 2 0 1 6 . I n c r e m e n t s m a y c o n t i n u e to b e e x p e n d e d u n d e r t h i s a u t h o r i t y a f t e r t h a t d a t e , i f th e y a r e u s e d t o p a y b o n d s o r b i n d i n g c o n t r a c t s t h a t wo u l d q u a l i f y u n d e r s u b d i v i s i o n 3 , p a r a g r a p h ( a ) , i f De c e m b e r 3 1 , 2 0 1 6 , i s c o n s i d e r e d t o b e t h e l a s t d a t e o f th e fi v e - y e a r p e r i o d a f t e r c e r t i fi c a t i o n u n d e r t h a t p r o - vi s i o n . Su b d . 3 . F i v e - y e a r r u l e . (a ) R e v e n u e s d e r i v e d f r o m t a x i n c r e m e n t s a r e c o n s i d - er e d t o h a v e b e e n e x p e n d e d o n a n a c t i v i t y w i t h i n t h e di s t r i c t u n d e r s u b d i v i s i o n 2 o n l y i f o n e o f t h e f o l l o w - in g o c c u r s : (1 ) b e f o r e o r w i t h i n fi v e y e a r s a f t e r c e r t i fi c a t i o n o f t h e di s t r i c t , t h e r e v e n u e s a r e a c t u a l l y p a i d t o a t h i r d p a r t y 57Appendix wi t h r e s p e c t t o t h e a c t i v i t y ; (2 ) b o n d s , t h e p r o c e e d s o f w h i c h m u s t b e u s e d t o fi - na n c e t h e a c t i v i t y , a r e i s s u e d a n d s o l d t o a t h i r d p a r t y be f o r e o r w i t h i n fi v e y e a r s a f t e r c e r t i fi c a t i o n , t h e r e v - en u e s a r e s p e n t t o r e p a y t h e b o n d s , a n d t h e p r o c e e d s of t h e b o n d s e i t h e r a r e , o n t h e d a t e o f i s s u a n c e , r e a - so n a b l y e x p e c t e d t o b e s p e n t b e f o r e t h e e n d o f t h e la t e r o f ( i ) t h e fi v e - y e a r p e r i o d , o r ( i i ) a r e a s o n a b l e te m p o r a r y p e r i o d w i t h i n t h e m e a n i n g o f t h e u s e o f th a t t e r m u n d e r s e c t i o n 1 4 8 ( c ) ( 1 ) o f t h e I n t e r n a l R e v - en u e C o d e , o r a r e d e p o s i t e d i n a r e a s o n a b l y r e q u i r e d re s e r v e o r r e p l a c e m e n t f u n d ; (3 ) b i n d i n g c o n t r a c t s w i t h a t h i r d p a r t y a r e e n t e r e d in t o f o r p e r f o r m a n c e o f t h e a c t i v i t y b e f o r e o r w i t h i n fi v e y e a r s a f t e r c e r t i fi c a t i o n o f t h e d i s t r i c t a n d t h e r e v - en u e s a r e s p e n t u n d e r t h e c o n t r a c t u a l o b l i g a t i o n ; (4 ) c o s t s w i t h r e s p e c t t o t h e a c t i v i t y a r e p a i d b e f o r e o r wi t h i n fi v e y e a r s a f t e r c e r t i fi c a t i o n o f t h e d i s t r i c t a n d th e r e v e n u e s a r e s p e n t t o r e i m b u r s e a p a r t y f o r p a y - me n t o f t h e c o s t s , i n c l u d i n g i n t e r e s t o n u n r e i m b u r s e d co s t s ; o r (5 ) e x p e n d i t u r e s a r e m a d e f o r h o u s i n g p u r p o s e s a s pe r m i tt e d b y s u b d i v i s i o n 2 , p a r a g r a p h s ( b ) a n d ( d ) , or f o r p u b l i c i n f r a s t r u c t u r e p u r p o s e s w i t h i n a z o n e a s pe r m i tt e d b y s u b d i v i s i o n 2 , p a r a g r a p h ( e ) . (b ) F o r p u r p o s e s o f t h i s s u b d i v i s i o n , b o n d s i n c l u d e su b s e q u e n t r e f u n d i n g b o n d s i f t h e o r i g i n a l r e f u n d e d bo n d s m e e t t h e r e q u i r e m e n t s o f p a r a g r a p h ( a ) , c l a u s e (2 ) . (c ) F o r a r e d e v e l o p m e n t d i s t r i c t o r a r e n e w a l a n d r e n o - va t i o n d i s t r i c t c e r t i fi e d a f t e r J u n e 3 0 , 2 0 0 3 , a n d b e f o r e Ap r i l 2 0 , 2 0 0 9 , t h e fi v e - y e a r p e r i o d s d e s c r i b e d i n p a r a - gr a p h ( a ) a r e e x t e n d e d t o t e n y e a r s a f t e r c e r t i fi c a t i o n of t h e d i s t r i c t . T h i s e x t e n s i o n i s p r o v i d e d p r i m a r i l y t o ac c o m m o d a t e d e l a y s i n d e v e l o p m e n t a c t i v i t i e s d u e t o un a n t i c i p a t e d e c o n o m i c c i r c u m s t a n c e s . Su b d . 4 . U s e o f r e v e n u e s f o r d e c e r t i f i c a t i o n . (a ) I n e a c h y e a r b e g i n n i n g w i t h t h e s i x t h y e a r f o l l o w i n g ce r t i fi c a t i o n o f t h e d i s t r i c t , i f t h e a p p l i c a b l e i n - d i s t r i c t pe r c e n t o f t h e r e v e n u e s d e r i v e d f r o m t a x i n c r e m e n t s pa i d b y p r o p e r t i e s i n t h e d i s t r i c t e x c e e d s t h e a m o u n t of e x p e n d i t u r e s t h a t h a v e b e e n m a d e f o r c o s t s p e r m i t - te d u n d e r s u b d i v i s i o n 3 , a n a m o u n t e q u a l t o t h e d i f - fe r e n c e b e t w e e n t h e i n - d i s t r i c t p e r c e n t o f t h e r e v e n u e s de r i v e d f r o m t a x i n c r e m e n t s p a i d b y p r o p e r t i e s i n t h e di s t r i c t a n d t h e a m o u n t o f e x p e n d i t u r e s t h a t h a v e b e e n ma d e f o r c o s t s p e r m i tt e d u n d e r s u b d i v i s i o n 3 m u s t b e us e d a n d o n l y u s e d t o p a y o r d e f e a s e t h e f o l l o w i n g o r be s e t a s i d e t o p a y t h e f o l l o w i n g : (1 ) o u t s t a n d i n g b o n d s , a s d e fi n e d i n s u b d i v i s i o n 3 , pa r a g r a p h s ( a ) , c l a u s e ( 2 ) , a n d ( b ) ; (2 ) c o n t r a c t s , a s d e fi n e d i n s u b d i v i s i o n 3 , p a r a g r a p h (a ) , c l a u s e s ( 3 ) a n d ( 4 ) ; (3 ) c r e d i t e n h a n c e d b o n d s t o w h i c h t h e r e v e n u e s d e - ri v e d f r o m t a x i n c r e m e n t s a r e p l e d g e d , b u t o n l y t o th e e x t e n t t h a t r e v e n u e s o f t h e d i s t r i c t f o r w h i c h t h e cr e d i t e n h a n c e d b o n d s w e r e i s s u e d a r e i n s u ffi c i e n t t o pa y t h e b o n d s a n d t o t h e e x t e n t t h a t t h e i n c r e m e n t s fr o m t h e a p p l i c a b l e p o o l i n g p e r c e n t s h a r e f o r t h e d i s - tr i c t a r e i n s u ffi c i e n t ; o r (4 ) t h e a m o u n t p r o v i d e d b y t h e t a x i n c r e m e n t fi n a n c - in g p l a n t o b e p a i d u n d e r s u b d i v i s i o n 2 , p a r a g r a p h s (b ) , ( d ) , a n d ( e ) . (b ) T h e d i s t r i c t m u s t b e d e c e r t i fi e d a n d t h e p l e d g e o f ta x i n c r e m e n t d i s c h a r g e d w h e n t h e o u t s t a n d i n g b o n d s 58Appendix ha v e b e e n d e f e a s e d a n d w h e n s u ffi c i e n t m o n e y h a s be e n s e t a s i d e t o p a y , b a s e d o n t h e i n c r e m e n t t o b e c o l - le c t e d t h r o u g h t h e e n d o f t h e c a l e n d a r y e a r , t h e f o l l o w - in g a m o u n t s : (1 ) c o n t r a c t u a l o b l i g a t i o n s a s d e fi n e d i n s u b d i v i s i o n 3, p a r a g r a p h ( a ) , c l a u s e s ( 3 ) a n d ( 4 ) ; (2 ) t h e a m o u n t s p e c i fi e d i n t h e t a x i n c r e m e n t fi n a n c - in g p l a n f o r a c t i v i t i e s q u a l i f y i n g u n d e r s u b d i v i s i o n 2, p a r a g r a p h ( b ) , t h a t h a v e n o t b e e n f u n d e d w i t h t h e pr o c e e d s o f b o n d s q u a l i f y i n g u n d e r p a r a g r a p h ( a ) , cl a u s e ( 1 ) ; a n d (3 ) t h e a d d i t i o n a l e x p e n d i t u r e s p e r m i tt e d b y t h e t a x in c r e m e n t fi n a n c i n g p l a n f o r h o u s i n g a c t i v i t i e s u n d e r an e l e c t i o n u n d e r s u b d i v i s i o n 2 , p a r a g r a p h ( d ) , t h a t ha v e n o t b e e n f u n d e d w i t h t h e p r o c e e d s o f b o n d s qu a l i f y i n g u n d e r p a r a g r a p h ( a ) , c l a u s e ( 1 ) . Su b d . 5 . C r e d i t e n h a n c e d b o n d s . Ex c e p t a s o t h e r w i s e p r o v i d e d i n t h i s s e c t i o n , r e v e n u e s de r i v e d f r o m t a x i n c r e m e n t s m a y b e u s e d t o p a y d e b t se r v i c e o n c r e d i t e n h a n c e d b o n d s i s s u e d t o fi n a n c e a c - ti v i t i e s o u t s i d e o f t h e d i s t r i c t f r o m w h i c h t h e r e v e n u e s ar e d e r i v e d , r e g a r d l e s s o f w h e n t h e d i s t r i c t i s c r e a t e d . Fo r p u r p o s e s o f t h i s s u b d i v i s i o n , “ d i s t r i c t ” i n c l u d e s a di s t r i c t o r a p r o j e c t a r e a f o r w h i c h c e r t i fi c a t i o n t o c o l - le c t i n c r e m e n t s w a s r e q u e s t e d b e f o r e A u g u s t 1 , 1 9 7 9 . Su b d . 6 . P o o l i n g p e r m i t t e d f o r d e f i c i t s . (a ) T h i s s u b d i v i s i o n a p p l i e s o n l y t o d i s t r i c t s f o r w h i c h th e r e q u e s t f o r c e r t i fi c a t i o n w a s m a d e b e f o r e A u g u s t 1, 2 0 0 1 , a n d w i t h o u t r e g a r d t o w h e t h e r t h e r e q u e s t f o r ce r t i fi c a t i o n w a s m a d e p r i o r t o A u g u s t 1 , 1 9 7 9 . (b ) T h e m u n i c i p a l i t y f o r t h e d i s t r i c t m a y t r a n s f e r a v a i l - ab l e i n c r e m e n t s f r o m a n o t h e r t a x i n c r e m e n t fi n a n c i n g di s t r i c t l o c a t e d i n t h e m u n i c i p a l i t y , i f t h e t r a n s f e r i s ne c e s s a r y t o e l i m i n a t e a d e fi c i t i n t h e d i s t r i c t t o w h i c h th e i n c r e m e n t s a r e t r a n s f e r r e d . T h e m u n i c i p a l i t y m a y tr a n s f e r i n c r e m e n t s a s p r o v i d e d b y t h i s s u b d i v i s i o n wi t h o u t r e g a r d t o w h e t h e r t h e t r a n s f e r o r e x p e n d i t u r e is a u t h o r i z e d b y t h e t a x i n c r e m e n t fi n a n c i n g p l a n f o r th e d i s t r i c t f r o m w h i c h t h e t r a n s f e r i s m a d e . A d e fi c i t in t h e d i s t r i c t f o r p u r p o s e s o f t h i s s u b d i v i s i o n m e a n s th e l e s s e r o f t h e f o l l o w i n g t w o a m o u n t s : (1 ) ( i ) t h e a m o u n t d u e d u r i n g t h e c a l e n d a r y e a r t o p a y pr e e x i s t i n g o b l i g a t i o n s o f t h e d i s t r i c t ; m i n u s (i i ) t h e t o t a l i n c r e m e n t s c o l l e c t e d o r t o b e c o l l e c t e d fr o m p r o p e r t i e s l o c a t e d w i t h i n t h e d i s t r i c t t h a t a r e av a i l a b l e f o r t h e c a l e n d a r y e a r i n c l u d i n g a m o u n t s co l l e c t e d i n p r i o r y e a r s t h a t a r e c u r r e n t l y a v a i l a b l e ; pl u s (i i i ) t o t a l i n c r e m e n t s f r o m p r o p e r t i e s l o c a t e d i n o t h e r di s t r i c t s i n t h e m u n i c i p a l i t y i n c l u d i n g a m o u n t s c o l - le c t e d i n p r i o r y e a r s t h a t a r e a v a i l a b l e t o b e u s e d t o me e t t h e d i s t r i c t ’ s o b l i g a t i o n s u n d e r t h i s s e c t i o n , e x - cl u d i n g t h i s s u b d i v i s i o n , o r o t h e r p r o v i s i o n s o f l a w (b u t e x c l u d i n g a s p e c i a l t a x u n d e r s e c t i o n 4 6 9 . 1 7 9 1 an d t h e g r a n t p r o g r a m u n d e r L a w s 1 9 9 7 , c h a p t e r 23 1 , a r t i c l e 1 , s e c t i o n 1 9 , o r L a w s 2 0 0 1 , F i r s t S p e c i a l Se s s i o n c h a p t e r 5 ) ; o r (2 ) t h e r e d u c t i o n i n i n c r e m e n t s c o l l e c t e d f r o m p r o p - er t i e s l o c a t e d i n t h e d i s t r i c t f o r t h e c a l e n d a r y e a r a s a re s u l t o f t h e c h a n g e s i n c l a s s r a t e s i n L a w s 1 9 9 7 , c h a p - te r 2 3 1 , a r t i c l e 1 ; L a w s 1 9 9 8 , c h a p t e r 3 8 9 , a r t i c l e 2 ; a n d La w s 1 9 9 9 , c h a p t e r 2 4 3 , a n d L a w s 2 0 0 1 , F i r s t S p e c i a l Se s s i o n c h a p t e r 5 , o r t h e e l i m i n a t i o n o f t h e g e n e r a l ed u c a t i o n t a x l e v y u n d e r L a w s 2 0 0 1 , F i r s t S p e c i a l S e s - si o n c h a p t e r 5 . 59Appendix Th e a u t h o r i t y m a y c o m p u t e t h e d e fi c i t a m o u n t u n - de r c l a u s e ( 1 ) o n l y ( w i t h o u t r e g a r d t o t h e l i m i t u n d e r cl a u s e ( 2 ) ) i f t h e a u t h o r i t y m a k e s a n i r r e v o c a b l e c o m - mi t m e n t , b y r e s o l u t i o n , t o u s e i n c r e m e n t s f r o m t h e di s t r i c t t o w h i c h i n c r e m e n t s a r e t o b e t r a n s f e r r e d a n d an y t r a n s f e r r e d i n c r e m e n t s a r e o n l y u s e d t o p a y p r e - ex i s t i n g o b l i g a t i o n s a n d a d m i n i s t r a t i v e e x p e n s e s f o r th e d i s t r i c t t h a t a r e r e q u i r e d t o b e p a i d u n d e r s e c t i o n 46 9 . 1 7 6 , s u b d i v i s i o n 4 h , p a r a g r a p h ( a ) . (c ) A p r e e x i s t i n g o b l i g a t i o n m e a n s : (1 ) b o n d s i s s u e d a n d s o l d b e f o r e A u g u s t 1 , 2 0 0 1 , o r bo n d s i s s u e d p u r s u a n t t o a b i n d i n g c o n t r a c t r e q u i r - in g t h e i s s u a n c e o f b o n d s e n t e r e d i n t o b e f o r e J u l y 1 , 20 0 1 , a n d b o n d s i s s u e d t o r e f u n d s u c h b o n d s o r t o re i m b u r s e e x p e n d i t u r e s m a d e i n c o n j u n c t i o n w i t h a si g n e d c o n t r a c t u a l a g r e e m e n t e n t e r e d i n t o b e f o r e A u - gu s t 1 , 2 0 0 1 , t o t h e e x t e n t t h a t t h e b o n d s a r e s e c u r e d by a p l e d g e o f i n c r e m e n t s f r o m t h e t a x i n c r e m e n t fi - na n c i n g d i s t r i c t ; a n d (2 ) b i n d i n g c o n t r a c t s e n t e r e d i n t o b e f o r e A u g u s t 1 , 20 0 1 , t o t h e e x t e n t t h a t t h e c o n t r a c t s r e q u i r e p a y m e n t s se c u r e d b y a p l e d g e o f i n c r e m e n t s f r o m t h e t a x i n c r e - me n t fi n a n c i n g d i s t r i c t . (d ) T h e m u n i c i p a l i t y m a y r e q u i r e a d e v e l o p m e n t a u - th o r i t y , o t h e r t h a n a s e a w a y p o r t a u t h o r i t y , t o t r a n s f e r av a i l a b l e i n c r e m e n t s i n c l u d i n g a m o u n t s c o l l e c t e d i n pr i o r y e a r s t h a t a r e c u r r e n t l y a v a i l a b l e f o r a n y o f i t s ta x i n c r e m e n t fi n a n c i n g d i s t r i c t s i n t h e m u n i c i p a l i t y to m a k e u p a n i n s u ffi c i e n c y i n a n o t h e r d i s t r i c t i n t h e mu n i c i p a l i t y , r e g a r d l e s s o f w h e t h e r t h e d i s t r i c t w a s es t a b l i s h e d b y t h e d e v e l o p m e n t a u t h o r i t y o r a n o t h e r de v e l o p m e n t a u t h o r i t y . T h i s a u t h o r i t y a p p l i e s n o t - wi t h s t a n d i n g a n y l a w t o t h e c o n t r a r y , b u t a p p l i e s o n l y to a d e v e l o p m e n t a u t h o r i t y t h a t : (1 ) w a s e s t a b l i s h e d b y t h e m u n i c i p a l i t y ; o r (2 ) t h e g o v e r n i n g b o d y o f w h i c h i s a p p o i n t e d , i n wh o l e o r p a r t , b y t h e m u n i c i p a l i t y o r a n o ffi c e r o f t h e mu n i c i p a l i t y o r w h i c h c o n s i s t s , i n w h o l e o r p a r t , o f me m b e r s o f t h e g o v e r n i n g b o d y o f t h e m u n i c i p a l i t y . Th e m u n i c i p a l i t y m a y u s e t h i s a u t h o r i t y o n l y a f t e r i t ha s fi r s t u s e d a l l a v a i l a b l e i n c r e m e n t s o f t h e r e c e i v i n g de v e l o p m e n t a u t h o r i t y t o e l i m i n a t e t h e i n s u ffi c i e n c y an d e x e r c i s e d a n y p e r m i tt e d a c t i o n u n d e r s e c t i o n 46 9 . 1 7 9 2 , s u b d i v i s i o n 3 , f o r p r e e x i s t i n g d i s t r i c t s o f t h e re c e i v i n g d e v e l o p m e n t a u t h o r i t y t o e l i m i n a t e t h e i n - su ffi c i e n c y . (e ) T h e a u t h o r i t y u n d e r t h i s s u b d i v i s i o n t o s p e n d t a x in c r e m e n t s o u t s i d e o f t h e a r e a o f t h e d i s t r i c t f r o m wh i c h t h e t a x i n c r e m e n t s w e r e c o l l e c t e d : (1 ) i s a n e x c e p t i o n t o t h e r e s t r i c t i o n s u n d e r s e c t i o n 46 9 . 1 7 6 , s u b d i v i s i o n s 4 b , 4 c , 4 d , 4 e , 4 i , a n d 4 j ; t h e e x - pe n d i t u r e l i m i t s u n d e r s e c t i o n 4 6 9 . 1 7 6 , s u b d i v i s i o n 1c ; a n d t h e o t h e r p r o v i s i o n s o f t h i s s e c t i o n ; a n d t h e pe r c e n t a g e r e s t r i c t i o n s u n d e r s u b d i v i s i o n 2 m u s t b e ca l c u l a t e d a f t e r d e d u c t i n g i n c r e m e n t s s p e n t u n d e r th i s s u b d i v i s i o n f r o m t h e t o t a l i n c r e m e n t s f o r t h e d i s - tr i c t ; a n d (2 ) a p p l i e s n o t w i t h s t a n d i n g t h e p r o v i s i o n s o f t h e Ta x I n c r e m e n t F i n a n c i n g A c t i n e ff e c t f o r d i s t r i c t s f o r wh i c h t h e r e q u e s t f o r c e r t i fi c a t i o n w a s m a d e b e f o r e Ju n e 3 0 , 1 9 8 2 , o r a n y o t h e r l a w t o t h e c o n t r a r y . (f ) I f a p r e e x i s t i n g o b l i g a t i o n r e q u i r e s t h e d e v e l o p m e n t au t h o r i t y t o p a y a n a m o u n t t h a t i s l i m i t e d t o t h e i n c r e - me n t f r o m t h e d i s t r i c t o r a s p e c i fi c d e v e l o p m e n t w i t h - 60Appendix in t h e d i s t r i c t a n d i f t h e o b l i g a t i o n r e q u i r e s p a y i n g a hi g h e r a m o u n t t o t h e e x t e n t t h a t i n c r e m e n t s a r e a v a i l - ab l e , t h e m u n i c i p a l i t y m a y d e t e r m i n e t h a t t h e a m o u n t du e u n d e r t h e p r e e x i s t i n g o b l i g a t i o n e q u a l s t h e h i g h e r am o u n t a n d m a y a u t h o r i z e t h e t r a n s f e r o f i n c r e m e n t s un d e r t h i s s u b d i v i s i o n t o p a y u p t o t h e h i g h e r a m o u n t . Th e e x i s t e n c e o f a g u a r a n t e e o f o b l i g a t i o n s b y t h e i n d i - vi d u a l o r e n t i t y t h a t w o u l d r e c e i v e t h e p a y m e n t u n d e r th i s p a r a g r a p h i s d i s r e g a r d e d i n t h e d e t e r m i n a t i o n o f el i g i b i l i t y t o p o o l u n d e r t h i s s u b d i v i s i o n . T h e a u t h o r - it y t o t r a n s f e r i n c r e m e n t s u n d e r t h i s p a r a g r a p h m a y on l y b e u s e d t o t h e e x t e n t t h a t t h e p a y m e n t o f a l l o t h e r pr e e x i s t i n g o b l i g a t i o n s i n t h e m u n i c i p a l i t y d u e d u r i n g th e c a l e n d a r y e a r h a v e b e e n s a t i s fi e d . (g ) F o r t r a n s f e r s o f i n c r e m e n t s m a d e i n c a l e n d a r y e a r 20 0 5 a n d l a t e r , t h e r e d u c t i o n i n i n c r e m e n t s a s a r e s u l t of t h e e l i m i n a t i o n o f t h e g e n e r a l e d u c a t i o n t a x l e v y f o r pu r p o s e s o f p a r a g r a p h ( b ) , c l a u s e ( 2 ) , f o r a t a x e s p a y - ab l e y e a r e q u a l s t h e g e n e r a l e d u c a t i o n t a x r a t e f o r t h e sc h o o l d i s t r i c t u n d e r M i n n e s o t a S t a t u t e s 2 0 0 0 , s e c t i o n 27 3 . 1 3 8 2 , s u b d i v i s i o n 1 , f o r t a x e s p a y a b l e i n 2 0 0 1 , m u l - ti p l i e d b y t h e c a p t u r e d t a x c a p a c i t y o f t h e d i s t r i c t f o r th e c u r r e n t t a x e s p a y a b l e y e a r . Mo d i f i c a t i o n o f P l a n ( 4 6 9 . 1 7 5 , S u b d . 4 ) (a ) A t a x i n c r e m e n t fi n a n c i n g p l a n m a y b e m o d i fi e d b y an a u t h o r i t y . (b ) T h e a u t h o r i t y m a y m a k e t h e f o l l o w i n g m o d i fi c a - ti o n s o n l y u p o n t h e n o t i c e a n d a f t e r t h e d i s c u s s i o n , pu b l i c h e a r i n g , a n d fi n d i n g s r e q u i r e d f o r a p p r o v a l o f th e o r i g i n a l p l a n : (1 ) a n y r e d u c t i o n o r e n l a r g e m e n t o f g e o g r a p h i c a r e a of t h e p r o j e c t o r t a x i n c r e m e n t fi n a n c i n g d i s t r i c t t h a t do e s n o t m e e t t h e r e q u i r e m e n t s o f p a r a g r a p h ( e ) ; (2 ) i n c r e a s e i n a m o u n t o f b o n d e d i n d e b t e d n e s s t o b e in c u r r e d ; (3 ) a d e t e r m i n a t i o n t o c a p i t a l i z e i n t e r e s t o n t h e d e b t i f th a t d e t e r m i n a t i o n w a s n o t a p a r t o f t h e o r i g i n a l p l a n ; (4 ) i n c r e a s e i n t h e p o r t i o n o f t h e c a p t u r e d n e t t a x c a - pa c i t y t o b e r e t a i n e d b y t h e a u t h o r i t y ; (5 ) i n c r e a s e i n t h e e s t i m a t e o f t h e c o s t o f t h e p r o j e c t , in c l u d i n g a d m i n i s t r a t i v e e x p e n s e s , t h a t w i l l b e p a i d or fi n a n c e d w i t h t a x i n c r e m e n t f r o m t h e d i s t r i c t ; o r (6 ) d e s i g n a t i o n o f a d d i t i o n a l p r o p e r t y t o b e a c q u i r e d by t h e a u t h o r i t y . (c ) I f a n a u t h o r i t y c h a n g e s t h e t y p e o f d i s t r i c t t o a n - ot h e r t y p e o f d i s t r i c t , t h i s c h a n g e i s n o t a m o d i fi c a t i o n bu t r e q u i r e s t h e a u t h o r i t y t o f o l l o w t h e p r o c e d u r e s e t fo r t h i n s e c t i o n s 4 6 9 . 1 7 4 t o 4 6 9 . 1 7 9 f o r a d o p t i o n o f a ne w p l a n , i n c l u d i n g c e r t i fi c a t i o n o f t h e n e t t a x c a p a c i t y of t h e d i s t r i c t b y t h e c o u n t y a u d i t o r . (d ) I f a r e d e v e l o p m e n t d i s t r i c t o r a r e n e w a l a n d r e n o - va t i o n d i s t r i c t i s e n l a r g e d , t h e r e a s o n s a n d s u p p o r t i n g fa c t s f o r t h e d e t e r m i n a t i o n t h a t t h e a d d i t i o n t o t h e d i s - tr i c t m e e t s t h e c r i t e r i a o f s e c t i o n 4 6 9 . 1 7 4 , s u b d i v i s i o n 10 , p a r a g r a p h ( a ) , c l a u s e s ( 1 ) a n d ( 2 ) , o r s u b d i v i s i o n 10 a , m u s t b e d o c u m e n t e d . (e ) T h e r e q u i r e m e n t s o f p a r a g r a p h ( b ) d o n o t a p p l y i f (1 ) t h e o n l y m o d i fi c a t i o n i s e l i m i n a t i o n o f p a r c e l s f r o m th e p r o j e c t o r d i s t r i c t a n d ( 2 ) ( A ) t h e c u r r e n t n e t t a x c a - pa c i t y o f t h e p a r c e l s e l i m i n a t e d f r o m t h e d i s t r i c t e q u a l s or e x c e e d s t h e n e t t a x c a p a c i t y o f t h o s e p a r c e l s i n t h e di s t r i c t ’ s o r i g i n a l n e t t a x c a p a c i t y o r ( B ) t h e a u t h o r i t y ag r e e s t h a t , n o t w i t h s t a n d i n g s e c t i o n 4 6 9 . 1 7 7 , s u b d i v i - si o n 1 , t h e o r i g i n a l n e t t a x c a p a c i t y w i l l b e r e d u c e d b y no m o r e t h a n t h e c u r r e n t n e t t a x c a p a c i t y o f t h e p a r c e l s 61Appendix el i m i n a t e d f r o m t h e d i s t r i c t . T h e a u t h o r i t y m u s t n o t i f y th e c o u n t y a u d i t o r o f a n y m o d i fi c a t i o n t h a t r e d u c e s o r en l a r g e s t h e g e o g r a p h i c a r e a o f a d i s t r i c t o r a p r o j e c t ar e a . (f ) T h e g e o g r a p h i c a r e a o f a t a x i n c r e m e n t fi n a n c i n g di s t r i c t m a y b e r e d u c e d , b u t s h a l l n o t b e e n l a r g e d a f - te r fi v e y e a r s f o l l o w i n g t h e d a t e o f c e r t i fi c a t i o n o f t h e or i g i n a l n e t t a x c a p a c i t y b y t h e c o u n t y a u d i t o r o r a f t e r Au g u s t 1 , 1 9 8 4 , f o r t a x i n c r e m e n t fi n a n c i n g d i s t r i c t s au t h o r i z e d p r i o r t o A u g u s t 1 , 1 9 7 9 . De c e r t i f i c a t i o n ( 4 6 9 . 1 7 7 , S u b d 1 2 ) Th e c o u n t y a u d i t o r s h a l l d e c e r t i f y a t a x i n c r e m e n t fi n a n c i n g d i s t r i c t w h e n t h e e a r l i e s t o f t h e f o l l o w i n g ti m e s i s r e a c h e d : (1 ) t h e a p p l i c a b l e m a x i m u m d u r a t i o n l i m i t u n d e r s e c - ti o n 4 6 9 . 1 7 6 , s u b d i v i s i o n s 1 a t o 1 g ; (2 ) t h e m a x i m u m d u r a t i o n l i m i t , i f a n y , p r o v i d e d b y th e m u n i c i p a l i t y p u r s u a n t t o s e c t i o n 4 6 9 . 1 7 6 , s u b d i v i - si o n 1 ; (3 ) t h e t i m e o f d e c e r t i fi c a t i o n s p e c i fi e d i n s e c t i o n 46 9 . 1 7 6 1 , s u b d i v i s i o n 4 , i f t h e c o m m i s s i o n e r o f r e v - en u e i s s u e s a n o r d e r o f n o n c o m p l i a n c e a n d t h e m a x i - mu m d u r a t i o n l i m i t f o r e c o n o m i c d e v e l o p m e n t d i s - tr i c t s h a s b e e n e x c e e d e d ; (4 ) u p o n c o m p l e t i o n o f t h e r e q u i r e d a c t i o n s t o a l l o w de c e r t i fi c a t i o n u n d e r s e c t i o n 4 6 9 . 1 7 6 3 , s u b d i v i s i o n 4 ; or (5 ) u p o n t h e l a t e r o f r e c e i p t b y t h e c o u n t y a u d i t o r o f a w r i tt e n r e q u e s t f o r d e c e r t i fi c a t i o n f r o m t h e a u t h o r - it y t h a t r e q u e s t e d c e r t i fi c a t i o n o f t h e o r i g i n a l n e t t a x ca p a c i t y o f t h e d i s t r i c t o r i t s s u c c e s s o r o r t h e d e c e r t i fi - ca t i o n d a t e s p e c i fi e d i n t h e r e q u e s t . CityCouncilAgenda:07/09/12 1 8.UpdateonactionbytheEDAandConsiderationofcommercialpropertypurchase (Lot2,Block1,JeffersonCommons1st Addition)andreviewofdevelopment conceptsrequestedbyMikeKrutzig (JO) A.REFERENCEANDBACKGROUND: Asyourecall,atthepreviousmeetingoftheCouncilonthistopic,theCityCouncil forwardedthistopictotheEDAforpotentialfundingthroughEDAsources.TheEDA mettwiceonthetopicandfirstdiscussedusingEDAGeneralFundsforthispurpose. Thisconceptofusinggeneralfundsdidnotpass;howeverthedoorwasleftopentousing GreaterMonticelloRevolvingLoan(GMEF)funds.Afteradditionalreview,theconcept ofusingGMEFfundsdidnotresultinsupport;however,itwasnotunanimousasBrian Stumpfremainedsupportiveoftheconcept.EDAturneddowntheideabasedonthe concernthattherearehigherprioritiesforspending.Also,therewasaconcernthatthe statestandardsforgrantingloansforeconomicdevelopmentmightbedifficulttomeet becausetheassociatedjobcreatingdevelopmentprojectwasspeculative. CouncilisnowaskedifitwishestoutilizeCityfundstobuyandholdthelandfor Krutzigforaperiodoftwoyeartoenablehisdevelopmentconceptstocometofruition. Restatingtheproposal,MikeKrutzigrequeststhattheCityconsiderassistanceinholding his2.7acreparceladjacenttoApplebee’sinJeffersonCommonsknownasLot2,Block 1ofJeffersonCommons1st.Inessence,Mr.KrutzigisaskingthattheCitypurchasethe propertyfromhimintheamountof$670,000,whichistheamountthathecurrentlyowes toKleinBankincludingtaxes.HethenwouldpayoffthisdebtandtheCitywouldhave theland.Inexchange,theCitywouldprovideMr.Krutzigwith24monthstobuyback theparcelattheoriginalpurchasepriceplus7-8%additionalinterests.IntheeventMr. Krutzigisunabletopurchasethepropertybackduringthistimeperiod,theCitywouldbe freetosellthepropertytoothers.PleaseseeMikeKrutzig’sproposalforadditional information. ItwasproposedbyTomKellythatthefundingforthispurchasecouldbederivedthrough aninternalloanviatheWaterTowerFund.Thisfundcurrentlyholdsjustover$1 milliondollars,whichhasnotbeenspecificallyallocatedforadistinctpurposeatthis time. B.ALTERNATIVEACTIONS: 1.MotiontoacceptMr.Krutzig’sproposalanddirecttheCityAdministratorand CityAttorneytopreparedocumentsandexecuteagreementsaccordingly. Councilcouldtakethepositionthatapublicpurposeexiststoassist,asproposed byMr.Krutzig,becausedoingsoenablesapropertyownertoindirectlymaintain controloveraparcelthatmayhaveoneormorebusinessprospectsthatcouldfall throughifhiscontroloftheparcelislost.Further,thecollaborationbytheCity withthispropertyownerservesapublicpurposebecauseitshowsawillingnessto collaborateorfacilitatetheeconomicdevelopmentinitiativesbyothers,whileat thesametimenottakingonriskindoingso.Thisisapositiveeconomic CityCouncilAgenda:07/09/12 2 developmentposturethattheCityneedstodevelopandsustainthroughworking withbusinessesdedicatedtotheirholdingsinMonticello. 2.Motionsupportingtheconceptbuttabledecisionpendingcompletionofappraisal onthevalueoftheproperty. Thisoptionmaynotbefeasibleasitmaybedifficulttogetanappraisaldone priortothedatethatadecisionneedstoberendered(July17th)inorderfor Krutzigtoretaintheland. 3.MotiontodenyrequestfromMikeKrutzig. CouncilmaywishtodenytherequestbasedonthebeliefthattheCityshouldnot beinvestingfundsinpurchasingaparcelregardlessoftheinvestmentvalueofthe propertyandassociatedinterestearned.Publicpurposeintermsofgeneratingjobs orotherwiseencouragingeconomicdevelopmenthasnotbeensufficiently demonstratedtosupportthispurchase. C.STAFFRECOMMENDATION: IfCouncilsupportstheconcept,Councilmaywishtodirectstafftoresearchlandvalues makingsurethatthatthelandcouldbeboughtbackwithouttheCitytakingaloss.Please note,however,thatthereisnotmuchtimeavailableforthisadditionalresearch. D.SUPPORTINGDATA: LetterofrequestfromMikeKrutzig Aerialmapofproperty Krutzigpropertyinformation MinutesfromSpecialCouncilMeeting–June11,2012 (EDAMeetingminutesareinprocessofbeingtranscribed–willemailcopiespriortothe Councilmeeting) 2.7 AC