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HomeMy WebLinkAbout[04f] 2016 TIF Reports Council Agenda Item 4f MEETING DATE: July 17, 2017 AGENDA ITEM: 2016 TIF Reports SUBMITTED BY: Finance PREVIOUS COUNCIL/BOARD ACTION: Council approved the creation of the TIF Districts below. st The EDA recommended acceptance on June 21 for submittal to the State Auditor. BACKGROUND INFORMATION: A nnually the City is required to submit TIF reports to the State Auditor for each certified TIF District within the City. State Statute requires filing the reports by August st 1 of each year. For 2016 there are five districts required to report to the State Auditor. The 2016 TIF reports provide information as to the type of TIF district and duration of the district, amount of captured increment, and expenditures against the increments. The reports included are an Economic District with a duration of 9 years (St. Joseph Meat Market and Central MN Credit Union) and a Redevelopment District with a duration of 26 years (Millstream Shops and Lofts; and Bayou Blues and Alley Flats). District 1-4 was an economic district, now decertified. The State allowed excess TIF to be spent on other projects with special legislation approved in 2011. TIF 1-4 issued two deferred loans to Collegeville Communities (restaurant equipment) and the Meat Market. The deferred loans are forgiven after ten years (2021). Reporting is required on TIF 1-4 until the loans are forgiven. All Districts were set up on a Pay-As-You-Go financing plan, meaning the developers accept the risk of the actual amount of increments received to pay down the debt. The spending plans of the Districts, along with their actual costs, are presented in the reports. The increments received are within the range of what was expected to be received. Upon approval by the Council, a summary disclosure of the 2016 reports for each District will be published in the St. Joseph Newsleader and reported to Stearns County and ISD 742. BUDGET/FISCAL IMPACT: Year-end Summary Only ATTACHMENTS: Request for Council Action – TIF Reports TIF Publication Summary REQUESTED COUNCIL ACTION: Accept the 2016 TIF reports as presented. PUBLICNOTICE CITYOFSAINTJOSEPH,MINNESOTA ANNUALDISCLOSUREOFTAXINCREMENTDISTRICTSFORTHE YEARENDEDDECEMBER31,2016 (MinnesotaStatutes,Section469.175(5) TIF1-4TIF2-1TIF2-2TIF3-1TIF2-3 St.JoeSt.JosephMeatCentralMNCredit DevelopmentLLCMillstreamProjectMarketUnionBayouBlues CurrentNetTaxCapacity$0$40,808$10,934$5,006$0 OriginalNetTaxCapacity$0$4,786$7,626$294$2,427 CapturedNetTaxCapacity$0$36,022$3,308$4,712$0 PrincipalandInterestPayments$0$0$9,032$0$0 PayableDuring2016 TaxIncrementReceivedin2016$0$38,579$4,165$6,120$0 TaxincrementExpendedin2016$0$35,067$4,091$6,498$1,406 Month/YearFirstTaxIncr.Receipt May2004July2009July2013July2007July2017 DateofRequiredDecertification 12/31/1212/31/3412/31/2112/31/1512/31/42 Additionalinformationregardingeachdistrictmaybeobtainedfrom: LoriBartlett,FinanceDirector CityofSaintJoseph 75CallwayStreetE. SaintJoseph,MN56374 320-363-7201 Publish:St.JosephNewsleader,Publishon7/28/2017 StJosephTIFPublicationFYE2016