Loading...
022514 Item 6 Attachment Modification to Redevelopment Plan I ���� As of February 18, 2014 Draft for Public Hear�ing Modification to the Redevelopment Plan for the Richfield Redevelopment Project and the Tax Increment Financing Plan for the establishment of the 2014-1 Tax Increment Financing District (City Garage Site) . (a redevelopment district) within the Richfield Redevelopment Project Richfield Housing and Redevelopment Authority City of Richfield ' Hennepin County f- ; State of Minnesota ; Public Hearing: February 25,2014 �s Adopted: �: � 3` E H L E R S Prepared by: EHLERS&ASSOCIATES, WC 3060 Centre Pointe Drive, Roseville, Minnesota 55113-1105 651-697-8500 fax: 651-697-8555 www.ehlers-inc.com Table of Contents (for reference purposes only) Section 1 - Modification to the Redevelopment Plan for the Richfield Redevelopment Project Area . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1-1 Foreword . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1-1 Section 2 - Tax Increment Financing Plan for the 2014-1 Tax Increment Financing District (City Garage Site) . . . . . . . . . . . . . . . . . 2-1 Subsection 2-1. Foreword . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-1 Subsection 2-2. Statutory Authority . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-1 Subsection 2-3. Statement of Objectives . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-1 Subsection 2-4. Redevelopment Plan Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-1 Subsection 2-5. Description of Property in the District and Property To Be Acquired . 2-2 Subsection 2-6. Classification of the District . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-2 Subsection 2-7. Duration and First Year of Tax Increment of the District . . . . . . . . . . . 2-4 Subsection 2-8. Original Tax Capacity, Tax Rate and Estimated Captured Net Tax Capacity Value/Increment and Notification of Prior Planned Improvements . . . . . . . . . . . . . . . . 2-4 Subsection 2-9. Sources of Revenue/Bonds to be Issued . . . . . . . . . . . . . . . . . . . . . . 2-5 Subsection 2-10. Uses of Funds . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-6 Subsection 2-11. Fiscal Disparities Election . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-6 Subsection 2-12. Business Subsidies . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-7 Subsection 2-13. County Road Costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-8 Subsection 2-14. Estimated Impact on Other Taxing Jurisdictions . . . . . . . . . . . . . . . . . 2-8 ' Subsection 2-15. Supporting Documentation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-10 Subsection 2-16. Definition of Tax Increment Revenues . . . . . . . . . . . . . . . . . . . . . . . 2-10 Subsection 2-17. Modifications to the District . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-11 Subsection 2-18. Administrative Expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-11 Subsection 2-19. Limitation of Increment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-12 Subsection 2-20. Use of Tax Increment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-13 Subsection 2-21. Excess Increments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-13 Subsection 2-22. Requirements for Agreements with the Developer . . . . . . . . . . . . . . 2-14 Subsection 2-23. Assessment Agreements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-14 Subsection 2-24. Administration of the District . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-14 Subsection 2-25. Annual Disclosure Requirements . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-14 Subsection 2-26. Reasonable Expectations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-15 Subsection 2-27. Other Limitations on the Use of Tax Increment . . . . . . . . . . . . . . . . . 2-15 Subsection 2-28. Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-16 Appendix A ProjectDescription . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . A-1 Appendix B Map(s) of the Richfield Redevelopment Project Area and the District . . . . . . . . . . . . . . . B-1 Appendix C Description of Property to be Included in the District . . . . . . . . . . . . . . . . . . . . . . . . . . . . C-1 Appendix D Estimated Cash Flow for the District . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . D-1 Appendix E Minnesota Business Assistance Form . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . E-1 Appendix F I Redevelopment Qualifications for the District . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F-1 Appendix G Findings Including But/For Qualifications . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . G-1 II Section 1 -Modification to the Redevelopment Plan for the Richfield Redevelopment Project Area Foreword The following text represents a Modification to the Redevelopment Plan foj�the Richfield Redevelop�nent Project Ai•ea. This modification represents a continuation of the goals and objectives set forth in the Redevelopment Plan for the Ric}lfield Redevelopment Project Area. Generally, tl�e substantive changes inclL�de the establishment of 2014-1 Tax Increment�Financing Disti•ict(City Gat�age Site). � For further info��mation,a review of the Redevelopment Plan for the Richfleld Redevelopment Project Area is recommended. It is available from the Community Development Dit•ector at the City of Richfield. Other relevant info��matio�l is contained in t11e Tax Increment Financing Plans fot•the Tax Iuct�etnent Financi��g Districts located within the Richfleld Redevelopment PI•oject Area. Richfield Housing and Redevelopment Authority Modification to the Redevelopment Plan for the Richfield Redevelopment Project Area 1-1 Section 2- Tax Increment Financing Plan for the 2014-1 Tax Increment Financing District(City Garage Site) Subsection 2-1. Foreword The Ricllfield Housing and Redevelopment Authority (the "HRA"),the City of Richfleld(the "City"),staff and consultants have prepared the following information to expedite the establishment of the 2014-1 Tax Increment Financing District(City Garage Site) (the "Disirict"), a redevelop�nent tax increment financing distt•ict, located in the Richfleld Redevelopment Project�Area. Subsection 2-2. Statutory Authority Within the City, tl�ere exist areas where public involvement is necessaiy to cause development or redevelopment to occur. To this end,the HRA and City have certain statutoty powers pursuant to Minnesota , Statutes ("M.S.'), Sections 469.001 to 469.047, inclusive, as amended, and M.S., Sections 469.174 to � 469.1794, inclusive, as amended (the "Tax Increment Financing Act" ot� °TIF Act"),to assist in financing public costs related to this pt•oject. This section contains the Tax Increment Financing Plan (the °T1F Plan") for the Dist�•ict. Other relevatlt information is contained in the Modification to the Redevelopment Plan fo��the Richfield Redevelopment Project Area. Subsection 2-3. Statement of Objectives The District cur�•ently consists of five parcels of land and adjacent and internal rights-of-way. The District is being created to facilitate the construction ofa multi-phase,rental housing development iil the City. Please see AppendiX A for fut�thet•District infor�nation. The HRA has not entered into an agreement or designated a developef•at the time of pt�eparation of this TIF Plan,but development is likely to occur in 2015. This TIF Plan is expected to achieve many of the objectives outlined in the Redevelopment Plan for the Richfield Redevelop�nent Project Ai•ea. The objectives for the Redevelopment Project Area set forth in the Redevelopment Plan are incorporated herein by reference. The activities contemplated in the Modification to the Redevelopment Plan and the TIF Plan do not preclude the undertaking of other qualified development ot�redevelopment activities. These activities are anticipated to occw�over the life of the Richfield Redevelopment Project Area and the District. Subsection 2-4. Redevelopment Plan Overview 1. Property to be Acquired- Selected property located within the District may be acquit�ed by the HRA or City and is furthei•described in this TIF Plan. 2. Relocation - Relocation services, to the extent requit�ed by law, ar•e available pursuant to M.S., Chapter 117 and other relevant state and federal laws. 3. Upon approval of a developer's plan relating to the project and completion of the necessary legal requirements,the HRA or City may sell to a developer selected properties that it may acquii•e within the District or�nay lease land or facilities to a developei•. 4. The HRA or City may perform oi•provide for some or all necessa►y acquisition,construction, relocation, demolition,and i�equired utilities and public street work within the District. Richfield Housing and Redevelopment Authority Tax Increment Financing Plan for the 2014-1 Tax Increment Financing District(City Garage Site) 2-1 Subsection 2-5. Description of Property in the District and Property To Be Acquired The Dist��ict encompasses all property and adjacent rights-of-way and abutting roadways identified by the parcels listed in Appendix C of this TIF Plan. Please also see the�nap in Appendix B fot•fut-lher information on the location of the District. The HRA or City curcently owns the property to be included in the District. Subsection 2-6. Classification of the District The HRA and City, in determining the need to c�•eate a tax increment f"inancing distt�ict in accorda�ice with M.S., Sections 469.174 to 469.1794, as amei�ded, inclusive, find that the Distt�ict, to be established, is a redevelopment district pursuant to M.S., Section �69.174, Subd..10(a)(1) as defined below: (a) "Redevelopmentdistyict°�neansatypeoftaxincrernentfinancingdistNictconsistingofaproject, or portions of a pNOject, within which the authoriry finds by resolution that one or more of the follotiving conditions, reasonably distf°ibuted throughout the district, exists: (1) parcels consisting of 70 percent of the area in the district are occupied by buildings,streets, utilities,paved or gravel parking lots or other similar structures and rnore than SO percent of the buildings, not including outbuildings, are stf°ucturally substandar•d to a degree requiring substantial renovation or clea�°ance; (2) The property consists of vacant, unused, underused, inappi•oprzately used, or infi°eguenlly used rail yards, r�ail storage facilities of°excessive or•vacated railroad rights-of-K�ay,- (3) tank facilities, orproperry whose immediatelyprevious use wasfor tank facilities,as defined in Section 11 SC, Subd. 1 S, if the tank faciliry: (i) have or had a capacity of more than one million gallons; � (ii� ar•e located adjacenl to rail facilities; or �� (iii) have been Nemoved, or are unused,underused, inappropriately used or infi^equently � used; or j (4) a qualifying disaster area, as defined in Subd. IOb. �� (b) For purposes of this subdivision, "structurally substandard"shall mean containing defects in structu�al elements or a combination of�deficiencies in essential utilities and facilities, light and ventilation,fire protection including adequate egress,layout and condition ofinter•io�partitions, or similar factors, which defects or deficiencies are of sufficient total significance to justify substantial renovation or cleai•ance. (c) A building is notstructurally substandard if it is in compliance with the building code applicable to new buildings or could be modified to satisfy the building code at a cost of less than 15 percent of the cost of constructing a new s�ructure of the same square footage and type on the site. The municipaliry may find that a building is not disqualified as structurally substandayd under the preceding sentence on the basis of reasonably available evidence, such as the size, rype, and age of the building, the average cost of plumbing, electrical, or stf•uctural repair•s or other similar reliable evidence. The municipality may not inake such a determination without Richfield Housing and Redevelopment Authority Tax Increment Financing Plan for the 2014-1 Tax Increment Financing District(City Garage Site) 2-2 an interior� inspection of the property, but need not have an independent, expert appraisal � prepared of the cost of f•epair and rehabilitation of the building. An interior inspectiorr of the property is not required, if tl�e rnunicipality finds that(1)the municipality or aatithority is unable to gain access to the propefly after using its best efforts to obtain permission fi^orn the parry that owns or controls the property;and(2)the evidence otherwise supports a reasonable conclusion tl�at the building is structu�^ally substandar•d. (d) A parcel is deemed to be occupied by a structurally substandard building fo�•pu�poses of the finding under paragraph (a) or by the improvefnent described in paragraph (e) if all of the following conditions are met: (1) t1�e parcel tivas occupied by a substandaf°d building or��7et the requirements ofparagraph (e), as the case may be, ��ithin thYee years of the�ling of the request for certification of the parcel as par•t of the distf•ict with the counry auditor•; (2) the substandard building or the improve�nents described in paragraph(e)tivere demolished or�emoved by the authoNity or the demolition or removal��as financed by the authority or was done by a developer under a developmenl agreement with the authoriry; (3) the authority found by resolution before the demolition or• removal that the parcel was occupied by a structurally substandard building of•�net the reguirement o fparagraph(e)and that after demolition and clearance the authoriry intended to include the par�cel within a district; and (4) upon filing the request for certification of the tax capacity of the parcel as part of a district, the authority notifies the counry auditor that the original tax capacity of the parcel must be adjusted as provided by�'469.177, subdivision 1,paragraplr (�. (e) For purposes of�this subdivision, a parcel is not occupied by buildings, streets, utilities,paved or gravel parking lots ot� other similar str^uctures unless 1 S per�cent of the area of the parcel contains buildings, streets, utilities,paved or gravel parking lots or other similar structures. (f) For districts consisting of two or fnore noncontiguous areas, each area matst gualify as a redevelopment district under paragraph(a) to be included in the district, and the entire area of the district must satisfy paragNaph (a). In meeting the statutoty ct�itel•ia set forth above the HRA and City ��ely on the following facts and findings based on determinations set forth in a Repoi-� dated January 9, 2014, by LHB, Inc., which is incof�porated hef•ein by reference a�ld on file with the Community Development Director at the City: • The Dist��ict is a t•edevelopment district consisting of five parcels. • An inventoty shows that all of the parcels are occupied because they meet the requirements of M.S., Section 469.174, Subd. 10,para. 2 in that at least 15%of the at•ea of each of the paecels is occupied by buildings,streets,utilities,paved or gravel parking lots or other similar stt�uctures.The occupied pai•cels consists of over 70%of the area of the District. • An inspection of the buildings located within the Dist��ict finds that all of the buildings(which is more than 50 percent of the buildings)are structurally substandard as defined in the TIF Act. (See Appendix F). • Fout�of the five buildings are not in compliance with the building code applicable to new buildings,and the costs of tnodifying such buildings to satisfy the building code is more than 15% of the cost of Richfieid Housing and Redevelopment Authority Tax Increment Financing Plan for the 2014-1 Tax Increment Financing District(City Garage Site) 2-3 consh�ucting a new structure of the saine square footage and type on the site. Pursuant to M.S., Section 469.176, Subd. 7,the District does not contain any parcel oi•pa�•t of a parcel that qualified unde�•the provisions of M.S., Sections 273.111 or 273.112 or Chapter�73H for taxes payable in any of the five calendar years before the filing of the i•equest fo�•certification of the District. Subsection 2-7. Duration and First Year of Tax Increment of the District Pursuant to M.S., Section 469.175, Subd. 1, and Section 469.176, Subd. 1,the dLiration and fiist year of tax increment ofthe District must be indicated within tl�e TIF Plan. Pursuant to M.S.,Section 469.176,Subd. 1 b., the duration of the Disti�ict will be 25 years after receipt of the fitst increment by the HRA or City(a total of 26 yea�s of tax incre�nent). The HRA or City elects to receive the first tax increment� in 20l 8, whicl� is no later than four years following the year of approval of the District. Thus, it is estimated that the District, includi�Ig any modifications of the TIF Plan foi•subsequent phases or other changes, would tet�minate after 2043,o��when the TIF Plan is satisfied. The HRA or City rese�ves the right to decer-tify the District prior to the legally required date. Subsection 2-8. Original Tax Capacity,Tax Rate and Estimated Captured Net Tax Capacity Value/Increment and Notification of Prior Planned Improvements Pursuant to M.S.,Section 469.174,Subd. 7 and M.S.,Section 469.177,Subd. 1,the Original Net Tax Capacity (ONTC)as certified for the Dish•ict will be based on the mat�ket values placed on the property by the assessor in 2013 foi•taxes payable 2014. Put�suant to M.S., Section 469.177, Subds. 1 and 2,the County Auditor shall ce�•tify in each yea��(beginning in the payment yeat•2017)the amount by which the original value has increased ot•decreased as a result of: 1. Change in tax exempt status of propecty; 2. Reduction or enlargement of the geographic bounda��ies of the district; 3. Change due to adjusnnents, negotiated or court-or•dered abatements; 4. Change in the use of the prope�-�y and classification; 5. Change in state law governing class rates; or 6. Change in previously issued building permits. In a�ry yeat•in which the current Net Tax Capacity(NTC)value of the District declines below the ONTC,no value will be captured and no tax increment will be payable to the HRA or City. i �I The original local tax rate for the District will be the local tax rate for taxes payable 2014, assuming the � request for certification is made befo�•e June 30,2014. The ONTC and the Original Local Tax Rate for the Distcict appear in the table below. Pursuant to M.S., Section 469.174 Subd. 4 and M.S., Section 469.177, Subd. 1, 2, and 4, the estimated Captut•ed Net TaX Capacity (CTC) of the District,within the Richfield Redevelopment Project Area, upon completion of the projects within the District, will annually approximate tax increment revenues as shown � in the table below.Pursuant to M.S., Section 469.177,subd. 2,it is found and declared that all of the captured tax capacity generated upon full development of all property within the TIF Disti�ict is necessary to finance or othe�•wise make pe1-missible expenditures authorized by M.S.,Section 469176,subd. 4.The HRA and City request l00 percent of the available increase in tax capacity for repayment of its obligations and current expenditut•es,beginning in the tax year payable 2018. The Project Tax Capacity(PTC)listed is an estimate of values when the projects within the District are coinpleted. Richfield Housing and Redevelopment Authority Tax Increment Financing Plan for the 2014-1 Tax Increment Financing District(City Garage Site) 2-4 Project Estimated Tax Capacity upon Completion (PTC) $399,126 Original Esti�nated Net Tax Capacity(ONTC) $19,028 Fiscal Disparities Reduction $0 ���� Estimated Captui•ed Tax Capacity(CTC) �380,098 ��, Oi•iginal Local Tax Rate L53946 Estimated � Pay 2014 Estimated Annual Tax Increment(CTC x Local Tax Rate) $585,146 Percent Retained b��the HRA 100% Tax capacity includes a 3%inflation factor foe the duration of the District. The taa capacity included in this chart is the estimated tax capacity of the District in year 25. The tax capacity of the llistrict in year one is estimated to be$190,625. Pw�suant to M.S., Section 469.177, Subd. 4,the HRA shall, after a due and diligent search, accompany its request for certification to the County Auditor or its notice of the District enlargement pursuant to M.S., Section 469.175, Subd. 4,with a listing of all pt•operties within the District or area of enlargement for which building permits have been issued during the eighteen (]8)months immediately preceding approval of the TIF Plan by tl�e municipality pursuant to M.S.,Section 469.175, Subd. 3. The County Auditor shall increase the original net tax capacity of the Disn�ict by the net taY capacity of impt•ovements for which a building permit was issued. The City lias reviewed the area to be included in the District and found no parcels for whicl� building permits have been issued during the 18 months im�nediately preceding approval of the TIF Plan by the City. Subsection 2-9. Sources of Revenue/Bonds to be Issued The costs outlined in the Uses of Funds will be financed primai�ily through the annual collection of t� increments. The HRA or City i•eset•ves the right to issue bonds or incur other indebtedness as a result of the TIF Plan. As presently proposed,the pt•ojects within the District will be financed by a pay-as-you-go note. Any refunding amounts will be deemed a budgeted cost without� a formal TIF Plan Modification. This provision does not obligate the HRA or City to incut�debt The HRA or City will issue bonds ot�incur other debt only upon the determination that such action is in the best interest of the City. The total estimated ta�increment revenues for the District are shown in the table below: SOURCES OF FUNDS TOTAL Tax Inct•ement $10,5 l 4,15 l Interest $1,051,415 TOTAL $11,565,566 The HRA or City may issue bonds(as defined in the TIF Act)secured in whole or in part with tax inet•ements from the District in a maximum principal amount of$6,182,219. Such bonds may be in the form of pay-as- Richfield Housing and Redevelopment Authority Tax Increment Financing Plan for the 2014-1 Tax Increment Financing District(City Garage Site) 2-5 you-go notes, �•evenue bonds or notes, general obligation bonds, ot• interfu�ld loans. This estimate of total bonded indebtedness is a cumulative statement of authority under this TIF Plan as of the date of appr•oval. Subsection 2-10. Uses of Funds Currently under consideratio�� for the Distr•ict is a p�•oposal to facilitate the co�lsn•uction of a multi-phase, affordable, rental housing development The HRA and City have determined that it will be necessary to pr•ovide assistance to the project(s) for certain Disri�ict costs,as described below. The HRA has studied the feasibility of the develop�nent or redevelopment of property in and a►•oui�d the District To facilitate the establishment and development or redevelopinent of the District, this TIF Plan authoi•izes the use of tax increment financing to pay foi�the cost of certain eligible expenses. The esti�nate of public costs and uses of funds associated with the Disti•ict is outl�ined in the following table. USES OF TAX INCREM�NT FUNDS TOTAL Land/Building Acquisition $2,000,000 Site Improvements/Preparation $750,000 Other Qualifying Improvements $2,380,805 Administrative Costs (up to ]0%) $1,051,415 PROJECT COST TOTAL $6,182,220 lntet•est $5,383,346 PROJECT AND INTEREST COSTS TOTAL $11,565,566 The total project cost, including flnancing costs(i��terest)listed in the table above does not exceed the total projected tax increments for the District as shown in Subsection 2-9. Estimated costs associated with the District are subject to change among categories without a modification to this TIF Plan. The cost of all activities to be considered for tax increment fivancing will not exceed, without fol�mal modification,the budget above pursuant to the applicable statutory requirements. Pursuant to M.S., Section 469.1763, Subd. 2,no�nore than 25 percent of the tax increment paid by property within the District will be spent on activities related to development or redevelopment outside of the District but within the boundaries of the Richfield Redevelopment Project Area, (including adminish•ative costs, which ar•e considered to be spent outside of the Disn•ict)subject to the limitations as described in this TIF Plan. Subsection 2-11. Fiscal Disparities Election Pursuant to M.S., Section 469.177,Subd. 3,the HRA oi•City may elect one of two methods to calculate flscal disparities. If the calculations pursuant to M.S., Section 469.177, Subd. 3, clause b,(within the Distt�ict)are foll�owed, the following method of computation shall apply: (1) The original net tax capacity shall be deter�nined before the application of the fiscal dispa�ity provisions of Chapter 276A or 473F. The current net tax capaciry shall exclude any fiscal dispariry commercial-industrial net tax capacity increase bettit�een the original year� and the current year multiplied by the fiscal dispaNity ratio determined pursuant to M.S., Section 276A.06, subdivision 7 or M.S., Section 473F.08, subdivision 6. Where tlze oNiginal net tax capacity is equal to of•g�eater than the current net tax capacity�, ther�e is no captured tax capacity Richfield Housing and Redevelopment Authority Tax Increment Financing Plan for the 2014-1 Tax Increment Financing District(City Garage Site) 2-6 and no tax increment deterinination. Where lhe original tax capaciry is less than the current tax capaciry, the difference between the original net tax capacity and the current net tax capaciry is the captured net tax capaciry. This amount less any poNtion thereof which the authoriry has designated, in ils tax incrernent financing plan, to share with the local taxing districts is the retained captured net tax capaciry of the authority. (2) The count��auditor shall exclude the retained captured net tax capaciry of the authority fi^om the net tax capacity of the local taxing districts in determining local taxing district tax�°ates. The local tax rates so determined are to be extended against the retained captured net tax capacity o f the authoriry as tivell as the net tcrx capacity of the local taxing dish^zcts. The tar generated by the extension of the less of(A)the local taxing dist�ict tax rates or(B) the original local tax rate to the retained captured net tax capaciry of the aulhority is the tax incr•ement of the authoriry. � The HRA will cl�oose to calculate fiscal disparities by clause b. � Acco��ding to M.S., Section 469.177, Subd. 3: (c) The method of compulation of ta�increment applied to a district pursuant to parags°aph (a) or (b) shall s°emain the sarne for the duration of the district, except thaf the goveNning body may elect to charrge its election from the method of computation in paragraph (a) to the method in paragraph (b). Subsection 2-12. Business Subsidies Pursuant to M.S., Section 116J.993, Subd. 3,the following forms of finaucial assistance at�e not considef�ed a business subsidy: (1) A business subsidy of less than$150,000; (2) Assistance that is generally available to all businesses or to a general class of similai•businesses, such as a line of business, size, location, or siinilar general critet•ia; (3) Public improvements to buildings or lands owned by the state or local government that serve a public purpose and do not principally beneflt a single business or defined group of businesses at the time the impi•ovements ai•e made; (4) Redevelopment property polluted by contaminants as deflned in M.S., Section 116J.552, Subd. 3; (5) Assistance provided for the sole purpose of renovating old or decaying building stock or bringing it up to code aud assistance pt•ovided for designated histoi•ic presetvation districts, provided that the assistance is equal to or less than 50%of the total cost; (6) Assistance to provide job readiness and training set•vices if the sole pui•pose of the assistance is to provide those services; (7) Assistance for housing; (8) Assistance for pollution control or abatement, including assistance for a tax inerement fina��cing hazardous substance subdisti•ict as defined under M.S., Section 469.174, Subd. 23; (9) Assistance for energy conservation; (10) Taa i•eductions resulting from conformity with federal tax law; (1 l) Worke�s' compensation and unemployment compensation; (12) Benefits derived from regulation; (13) Indirect benefits derived f►�om assistance to educational institutions; (14) Funds fi•om bonds allocated under chapter 474A, bonds issued to refi�nd outstanding bonds, and bonds issued for the benefit of an organization described in section 501 (c) (3) of the Intet•nal Revenue Code of 1986, as amended through December 31, 1999; Richfield Housing and Redevelopment Authority Tax increment Financing Plan for the 2014-1 Tax Increment Financing District(City Garage Site) 2-7 (I S) Assistance for a collaboi•ation between a Minnesota higher education institution and a b�isiness; (l6) Assistance for a tax increment financing soils condition district as defined under M.S., Section 469.174, Subd. 19; (l7) Redevelopment when the recipient's investment in the purchase of the site and in site preparation is 70 percent or moi•e of the assessor's current year's estimated mat•ket value; 18 General chan es in tax increment flnancin law and other eneral tax law changes of a principally � ) g g g technical�lature; (19) Federal assistance until the assistance has been repaid to, a��d reinvested by, the state o►•local government agency; (20) Funds fi�om dock and wharf bonds issued by a seaway port authority; (21) Business loans aud loan guarantees of$150,000 or less; (22) Feder•al loan fui�ds provided through the llnited States Departmellt of Commerce, Economic Development Administration; and (23) Property tax abatements granted undet� M.S., Section 469.1813 to pt�opet�ty that is subject to valuation under Minuesota Rules, chapter 8100. The HRA will comply with M.S., Sections 116J.993 to 116J.995 to the extent the tax increment assistance under this TIF Plan does not fall under any of the above eaemptions. Subsection 2-13. County Road Costs Pu�•suant to M.S., Section 469.175, Subd. la,the county board may require the HRA or City to pay foi•all or part of the cost of county t�oad improvements if the proposed development to be assisted by tax inci•ement will, in t11e judgment of the county, substantially increase the use of county j•oads requiring construction of 1•oad improvements or other road costs and if the road impt•oveu�ents are not scheduled within the neat five years undet•a capital improvement plan ar within five years under anothet�county plan. If the county elects to use inct•e�nents to improve county roads,it must notify the HRA or City within forty- five days of receipt of this TIF Plan. In the opinion of the HRA and City and consultants, the proposed development outlined in this TIF Plan will have little or no impact upon county roads,therefore the TIF Plan was not forwarded to the county 45 days prior to the public hearing. The HRA and City are aware that the county could claim that tax increment should be used for county t•oads, even after the public heat-ing. Subsection 2-14. Estimated Impact on Other Taxing Jurisdictions The estimated impact on other taxing jurisdictions assumes that the redevelopment contenlplated by the TIF Plan would occm•without the creation of the District. Howevej•,the HRA or City has determined that such development or i•edevelopment would not occur "but for" tax increment flnancing and that, therefore, the fiscal impact on other taxing jurisdictions is $0. The estimated fiscal impact of the District would be as follows if the "but fof�"test was not met: Richfield Housing and Redevelopment Authority Tax Increment Financing Plan for the 2014-1 Tax Increment Financing District(City Garage Site) 2-8 IMPACT ON TAX BASE Estiuiated Estimated Captured ' � Pay 2014 Tax Capacity(CTC) Pei�cent of CTC � Total Net Unon Completion to Entit,� Tax Capacit� Hennepin County 1,236,174,443 380,098 0.0307°/a City of Richfield 22,509,172 380,098 1.6886% Richfield Schools 1SD 280 29,072,073 380,098 1.3074'% IMPACT ON TAX RATES Estimated Percent Potential Pay 2014 of Total CTC Taxes Extension Rates Hennepin Cowlty 0.498590 3239% 380,098 189,513 City of Richfield 0.658890 42.80% 380,098 250,443 Richfield Schools [SD 280 0.275840 ]7.92% 380,098 104,846 Othet' 0.106140 6.89% 380.098 40,344 Total 1.539460 100.00% 585,146 The estimates listed above display the captured tax capacity when all construction is completed. The taX i•ate used fot•calculations is the estimated Pay 2014 i•ate. The total net capacity for the entities listed above are based on estimated Pay 2014 figures. The Dist�•ict will be certified undet�the actual Pay 2014 rates, which were unavailable at the time this TIF Plan was prepared. Pursuant to R7S. Section 469.175 Subd. 2(b): (1) Estimate of total tax increment. It is estimated that the total a�nount of tax increment that will be generated over the life of the District is$10,514,151; (2) Probable impact of the District on cit�provided services and abilitv to issue debt. An impact of the District on police protection is expected. The Richfield Police Deparhnent does track calls by location, type, and date, though not by type of property. With any addition of new residents or businesses, police calls fot�se►vice will be increased. New developments add an increase in tcaffic, and additional overall demands to the call load. The City does not expect that the proposed development, in and of itself, will necessitate new capital investment. The probable impact ofthe District on fire protection is not expected to be significant Typically new buildings generate few calls,if any,and are of superior construction. The existing buildings,which will be eliminated by the new development, have public safety concerns that include several unprotected old buildings with issues such as access, hydrant locations, and converted stiuctures. The impact of the District on public infrastructure is expected to be minimaL The development is not expected to significantly impact any traffic movements in the area. It is anticipated that ihe Richfield Housing and Redevelopment Authority Tax Increment Financing Plan for the 2014-1 Tax Increment Financing District(City Garage Site) 2-9 current infrastructure for sanit�ary sewer,storm sewer and water will be able to handle the additional volume generated from a new development. It is also anticipated that there will not� be additional costs associated with stceet� maintenance, sweeping, plowing, lighting and sidewalks. The development in the Disti•ict would be expected to contribute to sanitary sewer connection fees(SAC). The City curt�ently does not collect water connection fees(WAC). The pt•obable impact of any District genei•al obligation tax increment bonds on the ability to issue debt foi•general fund put•poses is expected to be minimal. It is not anticipated tllat there will be any general obligation debt issued in relation to this District and future projects,thet•efot�e there will be no impact on the City's ability to issue future debt ot•on the City's debt li�nit. (3) Estimated amount of taX increment attributable to school dist�•ict levies. It is estimated that the amount of tax increments over the life of the District that wo�ild be attributable to school disn�ict levies, assuming the school district�'s share of the total local tax rate for all taxing jut�isdictions renlained the same, is $1,884,136; (4) Estimated amount of tax increment attrib�itable to county levies. It is estimated that the amount of tax increments over the life of the District that would be att��ibutable to county levies,assuming the county's share of the total local taa i•ate for all taaing jurisdictions remained the same,is$3,405,534; (5) Additional information requested bv the countv or school district The City is not aware of any standard questions in a county oi•school district written policy regai�ding tax increment�districts and impact on county or school district services. The county or scl�ool district must� i•eguest additional infor�nation pursuant to A7S. Section 469.175 Subd. 2(b) within 15 days after 1•eceipt of the tax increment financing plan. No r•equests for additional information from the county or school distt•ict regarding the pi•oposed development for the Distt•ict have been received. Subsection 2-15. Supporting Documentation Pursuant to M.S. Section 469.175, Subd. 1 (a), clause 7 the TIF Plan must contain identiflcation and description of studies and analyses used to make the detei�mination set forth in M.S. Section 469.175, Subd. 3, clause (b)(2) and the findings ace required in the resolution approving the District. Following is a list of reports and st��dies on file at the City that support the HRA and City's findings: • Report of Inspection Procedures and Results foi� Determining Qualifications of a Tax Increment� Financing District as a Redevelopment Disteicts: Public Works TIF District. Submitted by LHB. January 9, 2014. Subsection 2-16. Definition of Tax Increment Revenues Pursuant to M.S., Section 469.174,Subd. 25,tax increment revenues det•ived ft•om a tax inci•ement financing district include all of the following potential revenue sources: 1. Taxes paid by the captw�ed net tax capacity,but excluding any excess taxes,as computed underM.S., Section 469177; 2. The proceeds fi�om the sale ot�lease of property,tangible or intangible,to the extent the property was purchased by the Autl�ority with tax increments; � 3. Principal and inte�•est received on loans or other advances made by the Authority with tax increments; Richfield Housing and Redevelopment Authority Tax Increment Financing Plan for the 2014-1 Tax Increment Financing District(City Garage Site) 2-10 4. I�lterest or other investment earnings on or from tax increments; 5. Repayments or retu►n of tax inc�•ements made to the Authority under agreements for districts for which the �•equest for certification was made after August l, 1993; and 6. The market�value homestead credit paid to the Authority under M.S., Section 273.1384. Subsection 2-17. Modifications to the District In accorda�lce with M.S., Section 469.175, Subd. 4,any: 1. Reduction or enlargement of the geographic area of the District, if the reduction does not meet�the requirements ofM.S., Section 469.175, Subd. 4(e); 2. Iucrease in amount� of bonded indebtedness to be incuri•ed; 3. A determination to capitalize interest on debt if that deter�nination was not a part�of the ariginal TIF Plan; 4. Increase in the portion of the captured net tax capacity to be retained by the HRA or City; 5. Increase in the estimate ofthe cost ofthe District,includi�ig administrative expenses,that will be paid or financed with tax inci•ement� from the District; or 6. Designation of additional property to be acquired by the HRA or City, shall be approved upon the notice and after the discussion,public hearing and findings t•equired for appt•oval of the original TIF Plan. Pursuant to M.S.Section 469.175 Subd. 4(�,the geographic area of the District may be reduced,but shall not be enlarged after five years following the date of certification of the original net tax capacity by the county audito�-. If a redevelopment district is enlarged,the reasons and suppot-ting facts for the determination that the addition to the distt�ict meets the ci•iteria of M.S., Section 469.174, Subd. 10, must be documented in writing and retained. The requirements of this paragraph do not apply if(1) the only modifcation is elimination of parcel(s)from the District and (2)(A)the current net tax capacity of the paccel(s)eliminated � from the District equals or exceeds the net tax capacity of those parcel(s) in the District's original net tax ��� capacity or(B) the HRA ageees that, notwithstanding M.S., Section 469.177, Subc�. 1, the original net tax , capacity will be reduced by no mot•e than the current net tax capacity of the parcel(s) eliminated from the District. The HRA or City must�notify the County Auditor of any modification to the District Mociifications to the District in the form of a budget modification or an expansion of the boundaries will be recot•ded in the TIF Plan. Subsection 2-18.Administrative Expenses In accordance with M.S., Section 469.174, Subd. 14, administrative expenses means all expenditures of the HRA or City, other than: l. Amounts paid foi•the purchase of land; 2. Amounts paid to contractors or others providing materials and setvices,including architectut•al and engineering services, dit•ectly connected with the physical development of the real pr•operty in the District; 3. Relocation benefits paid to oi• services provided foj� persons residing or businesses located in the District; or 4. Amounts used to pay principal or interest on, fund a reserve foi•, or sell at a discount�bonds issLied pursuant to M.S., Section 469.178; o►� Richfield Housing and Redevelopment Authority Tax Increment Financing Plan for the 2014-1 Tax Increment Financing District(City Garage Site) 2-11 5. Amounts used to pay other fi�iancial obligations to the extent those obligations were used to finance costs described ii�clauses(1)to(3). For districts for which the request fo��certification were made before August 1, 1979,or after Jwle 30, 1982, and befot•e August],2001,administr•ative expenses also include amounts paid for setvices provided by bond counsel, fiscal consultants, and planning oi•economic development consultants. Pursuant to M.S., Section 469.176, Subd. 3, tax increment may be used to pay any authoi•ized and documentecl administrative expenses for the District up to but�not to exceed 10 percent of the total estimated tax increment expendit�i�•es authol�ized by the TIF Plan or the total tax increments,as defined by M.S., Section 469.174,Subd. 25, clause (1),from the District, whichevet�is less. For districts for which certification was requested after July 31,2001,no tax increinent may be used to pay � any administrative expenses fot� District costs which exceed ten percent of total estimated tax inc�•ement expenditures authorized by the T1F Plan or the total ta�increments,as defined in M.S.,Section 469.174,Subd. 25, clause (1), from the District,whichever is less. Pui•suant to M.S., Section 469.176, Subd. 4h, tax increments may be used to pay for the County's actual administrative expenses incurred in connection with the Disn•ict and at�e not subject to the percentage limits ofM.S.,Section 469.176,Subd. 3. The county may t•equire payment ofthose expenses by February 15 ofthe year following the year the expenses were incurred. Pursuant to M.S., Section 469. 177, Subd. 11, the County Treasurer shall deduct an amount(clirrently .36 percent) of any increment distributed to the HRA or City and the County Treasurer shall pay the amount deducted to the State Commissioner of Management and Budget for deposit in the state general fund to be appt•opriated to the State Auditor for the cost of financial reporting of tax inc��ement financing information and the cost of examining and auditing authorities' use of tax i»crement financing. This amount may be adjusted annually by the Commissioner of Revenue. Subsection 2-19. Limitation of Increment The tax increment pledged to the payment of bonds and interest thereon may be discharged and the Distt�ict may be terminated if sufficient funds have been irrevocably deposited in the debt se�vice fund oi�other escrow account held in trust for all outstandi�lg bonds to provide for the payment of the bonds at matu►�ity or redemption date. Pursuant to M.S., Section 469.176, Subd. 6: if, after four years from the date of certification of the oNiginal net tax capacity of the tax incrementfinancingdistrictpuysuanttoM.S.,Section469.177,nodemolition,Nehabilitation or renovation of property or otheN site preparation, including qualified impr•ovement of a sh�eet adjacent to a parcel but not installation of utiliry service including sewer or water systeins, has been commenced on a parcel located tivithin a tax increment financing district by the authority or by the owner oftheparcel in accordance with the tax incNementfinancing plan, no additional tax incNement may be taken from that parcel and the or�ginal net tax capacity of that parcel shall be excluded from the original net tax capacity of the tax inc�ement financing district. If the authoriry or the otivner of the par•cel subseguently commences demolition,rehabilitation or renovation or other site preparation on thatparcel including qualified improvement of a street adjacent to that parcel, in accordance with the tax incNerrzentfinancing plan,the authority shall certify to the county auditoN that the activiry has commenced and the county auditor shall certify the net tax capaciry thereof as most Richfield Housing and Redevelopment Authority Tax Increment Financing Plan for the 2014-1 Tax Increment Financing District(City Garage Site) 2-12 recently certified by the comfnissioner ofr•evenue and add it to the original net tax capacity of the tax increment financing disb°ict. The county auditor must enforce the pro>>isions ofthis subdivision. The authoriiy must submii to the county auditor evidence that the �equired activit}�has taken place for each paNCel in the district. The evidence for a parcel must be submitted by FebNUary 1 of the frfth year following the yeai°in u�laich the parcel tivas certi fied as included in the districl. For pu�poses of this subdii�ision, qualified improvements of a street are lirnited to (1) construction or opening of a new street, (2) s•elocation of a street, and(3)substan2ial reconstruction or rebuilding of an existing street. The HRA or City or a property owner must improve�a��cels withiu the District by approximately February 2018 and r•eport such actions to the County Auditor. Subsection 2-20. Use of Tax Increment The HRA or City het•eby determines that it will use 100 percent of the captured net tax capacity of taxable property located in the District for the following purposes: 1. To pay the principal of and interest on bonds issued to finance a project; 2. to finance,oi•otherwise pay public redevelopment costs of tlle the Richfield Redevelopment Project Area pursuant to M.S., Sections 469.001 to 469.0�7; 3. To pay fo��project costs as ideiltified in the budget set fot�th in the TIF Plan; 4. To finance, or otherwise pay for other purposes as provided in M.S., Section 469.176, Subd. 4j; 5. To pay principal and interest on any loans,advances or othet�payments�nade to or on behalf of the HRA or City or for the benefit of the Richfield Redevelopment Project Area by a developer; 6. To finance or otherwise pay premiums and other costs fot•insu��ance or other secur•ity guaranteeing the payment when due of principal of and iutet�est on bonds pursuant to the TIF Plan or pursuant to M.S., Chapter 462C. M.S., Sections 469.152 thr•ough 469.165, and/or M.S., Sections 469.178; and 7. To accumulate oi•maintain a reserve securing the payment when due of the pri�lcipal and interest on the tax increment bonds or bonds issued pursuant to M.S., Chapter 462C, M.S., Sections 469.152 through 469.165, and/or•M.S., Sections�69.178. These revenues shall not be used to circumvent any ]evy li�nitations applicable to the City nor for other put•poses pr�ohibited by M.S., Section 469.176, Subd. 4. Tax increments generated in the District will be paid by Hennepin County to the HRA for the Tax lncrement Fund of said District The HRA or City will pay to the developer(s) annually an amount not to exceed an amount as specified in a developer's agreement to reimburse the costs of land acquisition, public improvements, demolition and relocatiou,environmental remediation, site preparation,and administration. Remaining increment funds will be used for HRA ot•City administration(up to 10 percent)and for the costs of public impi•ovement activities outside the District. Subsection 2-21. Excess Increments Excess increments,as defined in M.S., Section 469.176, Subd. 2,shall be used only to do one or more of the following: l. Prepay any outstanding bonds; 2. Discharge the pledge of tax increment for any outstanding bonds; 3. Pay into an escrow account dedicated to the payment of any outstanding bonds; ot• 4. Return the excess to the County Auditoi-for redistribution to the respective taxing jurisdictions in Richfield Housing and Redevelopment Authority Tax Increment Financing Plan for the 2014-1 Tax Increment Financing District(City Garage Site) 2-13 pr•oportion to their local tax rates. The HRA or City must spend or return the excess increments under paragraph(c) within nine months after the end of tlle year. In addition,the HRA or City may, subject to the limitations set forth herein,choose to modify the T1F Plan in or•det•to finance additional public costs in the Richfield Redevelopment Project Ai�ea or the District. Subsection 2-22. Requirements for Agreements with the Developer The HRA or City will review any proposal for pt•ivate developinent to deterniine its coilformance with the Redevelopment Plan and with applicable municipal ordinances and codes. To facilitate this effort, the followiilg documents may be 1•equested for review and appr•oval: site plan, constt•uction, mechanical, and electrical system drawings,landscaping plan,grading and storm drainage plan,signage system plan,and any othei•d�•awings or narrative deemed necessary by the HRA or City to demonstr•ate the conformance of the development with City plans and ordinances. The HRA or City may also use an agreement to address other issues related to the development. Pur•suant to M.S., Section 469.176, Subd. 5, no more than 25 percent, by acreage, of the property to be acquired in the District as set fo��th in the TIF Plan shall at any time be owned by the HRA ot•City as a result of acguisition with the proceeds of bonds issued pursuant to M.S., Section 469.178 to which tax increments fi•om property acquired is pledged,unless pt•ioi•to acquisition in excess of 25 percent of the acreage,the HRA or City concluded an agreement for the development or t•edevelop�nent of the property acquired and which � provides recow•se far the HRA or City should the development or t•edevelopment not be completed. Subsection 2-23. Assessment Agreements Pursuant to M.S., Section 469.177, Subd. 8,the HRA or City may enter into a written assessment agreement in recordable form with the developer of pro�erty within the District which establishes a minimum�nai•ket value of the land and completed improvements for the duration of the District. The assessment ag�•eement� shall be presented to the County Assessor who shall review the plans and specifications for the imp�•ovements � to be constructed,review the market value previously assigned to the land upon which the impcovements are to be constt•ucted and,so long as the�ninimum market value contained in the assessme�It ag�•eement appears, in the judgment of the assessor, to be a reasonable estimate, the County Assessor shall also certify the minimum market value agreement. Subsection 2-24.Administration of the District Administt•ation of the Distt�ict will be handled by the Community Development Director. Subsection 2-25.Annual Disclosure Requirements Pui•suant to M.S., Section 469.175, Subds. S, 6, and 6b the HRA or City must undertake financial reporting for all tax increment financing districts to the Office of the State Auditor,County Board and County Auditot• on oj•before August 1 of each year. M.S., Section 469.175, Subd. 5 also pr•ovides that an annual statement shall be published in a newspaper of general cii•culation in the City on oi•before August 15. If the City fails to make a disclosure or submit a report containing the information required by M.S., Section 469.175 Subd. S and Subd. 6, the OSA will direct the County Auditar to withhold the disn�ibution of tax increment from the District. Richfield Housing and Redevelopment Authority Tax Increment Financing Plan for the 2014-1 Tax Increment Financing District(City Garage Site) 2-14 Subsection 2-26. Reasonable Expectations The proposed redevelopment would not occur but for the financial assistance provided in this TIF Plan because of the increased costs related to i•edevelopment of the property inclLiding the high costs of demolishing the buildings and undertaking environment remediation at the site. Given the uniqLie nat�ire of � tlle property,there is no reasonable expectation of any redevelopmei�t occLlr��ing that would generate as much market value increases as is estimated to be generated by the proposed redevelopment. Therefore,the City � and the HRA have concluded that substantial redevelopment at this particlilai•site and any significant increase �� in nlarket value is not reasonably expected to occur unless the City and the HRA pt�ovides tax iucrement � � assistance as desc�•ibed in this TIF Plan. ' As required by the TIF Act,in establishing the District,the determination has been made that the anticipated �'I development would not reasonably be expected to occu�• solely through private investment within the T�easonably foreseeable futut�e and that the incceased market value ofthe site that could reasonably be expected �� to occui- witholit the use of tax inc��ernent financing would be less than the increase in the ma��ket value �i estiinated to result fi•om the pi•oposed develop�nent after subtracting the present value of the projected tax I increments for the maximum duration ofthe District permitted by the TIF Plan.In making said determination, I reliance has been placed upon City staff awareness of the feasibility of developing the pt•oject site(s)within '� the Disn�ict. A comparative analysis of estimated mat•ket values both with and without establishnlent of the I District and the use of tax inci•ements has been per•foi•med as described above. Such analysis is i»cluded with �'I the cashflow in Appendix D, and indicates that the increase in estimated market value of the p�•oposed ��� development (less the indicated subtractions) exceeds the esti�nated market value of the site absent the I�� establishment of the District and the use of tax inct•e�nents. ! The proposed project will permit redevelopment of an unde��utilized site in the City.The T1F Plan will afford ��! maximum oppol-tunity, consistent with the sound needs of the City as a whole, for redevelopment of the I District by private ente�prise. � ��� Any proposed development will be consistent witl�the City's comprehensive plan. As such, the TIF Pla�i '�, conforms to the general plaiis fol�development of the City as a whole. �I Subsection 2-27. Other Limitations on the Use of Tax Increment 1. General Limitations. All revenue derived from tax inc�•ement shall be used in accordance with the TIF ' Plan. The revenues shall be used to finance, or otherwise pay public redevelopment costs of the the ���� Richfield Redevelopment Project Area pursuant to M.S., Sections 469.001 to 469.047. Tax increments '� may not be used to circumvent existing levy limit law. No tax increment may be used for the acquisition, '� const��uction,renovation,ope�•ation, or maintenance of a building to be used primarily and regularly for , conducting the business of a�nunicipality,county,school district,or any other local unit of government �, or the state or federal government. This provision does not pt•ohibit the use of revenues derived f'rom tax '�� increments for the construction ar��enovation of a parking structure. �I 2. Pooling Limitations. At least 75 percent of tax increments from the Disti•ict must be expended on �I activities in the District or to pay bonds,to the extent that the proceeds of the bonds were used to finance activities within said dist�•ict or to pay,or secure payment of,debt se�vice on credit enhanced bonds. Not more than 25 percent of said tax inct•ements may be expended,thf•ough a development fund or otherwise, �, on activities outside ofthe District except to pay,or secure payment of,debt service on credit enhanced � bonds. For purposes of applying this restriction, all administrative expenses must be treated as if they wer•e solely foc activities outside of the Distt•ict. Richfield Housing and Redevelopment Authority Tax Increment Financing Plan for the 2014-1 Tax Increment Financing District(City Garage Site) 2-15 3. Five Year Limitation on Commitment of Tax lncretnents. Ta�increments derived from the District shall be deemed to have satisfied the 75 percent test set forth in paragraph(2)above only if the five year rule set forth in M.S., Section 469.1763, Subd. 3, has beeit satisfied; and beginning with the sixth yeai� following certification of the District, 75 pet•cent of said tax increments that remain after expenditures permitted under said five year t•ule must be used only to pay pi�eviously committed expenditures o�•credit enhanced boncis as mot�e fully set fo►-�h in M.S., Section 469.1763, Subd. 5. 4. Redevelopment District. At least 90 percent of the revenues derived from tax increment from a redevelopment district must be used to finance the cost of correcting conditions that allow designation ofredevelopment and renewal and renovation districts u�1de1•M.S.,Section 469.176Subd. 4j. These costs include, but are not limited to, acquiring properties containing structucally substandard buildings or improvements or hazardous substances,pollution,or contaminants,acquiring adjacent parcels necessaty �� to pt•ovide a site of sufficient size to permit developmei�t, demolition and rehabilitation of sn•uctures, clearing of the land,the removal of hazardous substances or f�emediation necessa�y for development of the land, and installation of utilities, roads, sidewalks, and parking facilities far the site. The allocated administrative expenses of the HRA or City,including the cost of preparation of the development action response plan, may be included in the qualifying costs. Subsection 2-28. Summary The Richfield Housing and Redevelopment Authority is establishing the District to preset�ve and enhance the tax base,redevelop substandard areas,and provide employment opportunities in the City. The TIF Plan for the District was prepared by Ehlers & Associates, Inc., 3060 Cent�•e Pointe Drive, Roseville, Minnesota � 55113,telephone(651)697-8500. Richfield Housing and Redevelopment Authority Tax Increment Financing Plan for the 2014-1 Tax Increment Financing District(City Garage Site) 2-16 Appendix A Project Description The 2014-1 Tax Inct•ement Financing District (Garage Site) is being establisl�ed to facilitate the redevelopment ofthe former City Garage Site and adjacent p1•operties owned by the City and HRA.The HRA anticipates that multi-family housing will be developed o�l the site; however, the HRA has not received proposals for development, and a developer has not been identified. Appendix A-1 Appendix B Map(s) of the Richfield Redevelopment Project Area and the District Appendix B-1 The 2014-1 Tax Increment Financing District(City Garage Site) � y � - LL > � " o � ? � � � o � m a � u i °� a a � g � - �, P o _ g � 'o ° _ � � 3 > > � v, � 'o o E � s -, x G � 3 � N a ,� a o a u w � � � � < < m � � _ u 82ntl �I 1 : � -._- I I 62ntl f s3.d I i il � r � 1 II ����F�� � . �� ��� � '� 1 ^ I I , F q i ' I �i� i� � I�� I i ��t���7�?I �� i ���� I I� � � i��-I 1 _i�n � i ss�a � � __ � �1 � � � � 1 � � I % :I I i � i. r I � =r�i I t snw �. I i -.i i� -- - - � i�, �', , �- - � enn, ` I I� � i �- � �I�I� ����� (-. t �� - , , _ I i j I I '; ___ . 5sw �'. I � I �' �� _. ���� � � � � � � � � ' � �: as�n I �) � � I - I J ; � I i f I I�� � I -�� `� � f� 1 esm � �� '� � ._ _ ��F I I . l � � ���� � � � �� � �� I �— ���f�fa� 1 �� , �, �� I i �,�n � �t � �� � = i � i � �Ih(�!�- 1 ���k � � �i � � � ��,��,� i i i - I ; � f I � z� i ��= ��� f I ._` t �� I � , �� �� i �i � ' � ��,I I � t, i - r ' ;-. ,LL ��' �� � � r ����� ��� � � � � ���� � ;� � �,�, , �. � ' , i , , ��� � � �� ._�� t � � ii� i i i; r�, �, � � ; � � � I i� � , ' � i� ��� i ; �� . ��� , i - � � ( � �ii �l � � � L_� � ` �'' � cen, � ( � - � � i � If 1� I f � _ - . asin �� { ��3 , I I I I � i� l � l �F � f= I �on, 1 � i � `� } - G . � '� ' il� �� � . i �fj ;I 1�1 F I_� ."�.. �h � - i W I�� I �I �- � F-r�,f � /,,->-, �. �o�n iou,vs _ , � h I . ,i �I��.i � ' 'i �i i . _�, al � ,�� ,y���l !; I ��s� ' � � ` i - 1 I 1 r� i i ii � t �� �.y. '� i - � � = � ' � � r � � - nr �is�uz � _ � . I I I I �� - � _ � � i �� � � � � i i I' i i ll u � �i' -- �z�a - �I - li � �z�a �II �r II �� 'i i��l�_� . �� �.�I i � �'' I i� ' i I i� �1� <- il � 1 - -��' ..� . . - ,I -{. . 7 ._. ., �„!. - �am - � �C- ���� I 1 � � I � � I��I � � I I ���: I � = r�m ' FI Ir} � i � � !� F � i 1 � � � t j il I �I � I��� - `�� �� i�, � �� � - - ' � ;�. i � { S { � II , i >an� �� � _ �an� � '-"-� �� ' Fy ��F i� _ �_ ��� , ,5,�, _ � � � � � = 1 , �� , � , � �s,n _ - ��L��li �r I : � I `_. i � ; i i I .I E � i�:lf ' ' � ����_:����,1 _ � —.� �� �� - t I`�F I"-1.� �`. � '� , -- .��,�� � � 1 ` la I - �6tii - _ - ' -_ _ �' _ — ]6ti� J � � I� �i ,�'—�_�� �_I�t �� �%'1 � � � � ,_�� ' �� 1 J ., __ �� � � nm .: = .- T _ li� r/n I � � � I I ', , '�.�.� nm � � ��,_ i � �am t . � - � _� i i_ � �, _. . . .. . .. wea �ein I �7 � - � _.-�._ , .. . . _ . - i-asa rc o " � W, � w o z a o " o ° z o � ° z � � 1 � o 0 0 _ s _ _ _ .. ` _ " ` _ i � � - "� '- 3 � o r � o � � - � ` � � ' � m � � a � a 4 _ � ,- .. ,- � ° � � .- o x N - � � ° ° � � ' - � W o � m Q i c� a � m - 3 y � i � 3 ' �, �. � � a z �, � ° °a Legend W � The boundaries of the Richfield Redevelopment 3 Richfeld Redevelopmem Pmjcei Arex Project Area are cotenninous with the co�porate �o,a-�r�F u�,«����c��Y m���o�s���� boundaries of the City of Richfield. �.���� Tax Licrement Financing District No. 2014-1 (City Garage Site) � t, f'� � x Z� � � ;ah t.f � ,. 4 ''Ii �����'��iy`J �� �i���e..1}�� rf � '�' 4- _ �� �-; �rs��.. � �....�•�. d�i:i�� F�•�.` �..,�z f: ' . . eJ l�F➢t.1 '_ r� � _ ,� ... �� �����"i,�f�iE;Cx�` .�_ • � -,._ �� � � �.. ', y,� �� �- �-- � .� , ,*�t r- .�� " _ _ .�. .«.�;�s ..:.af..�. ; �',rE.��l! _ R ��I�i.�..w` . ���� ��� � � �'Si� �����. , �� � � :-_�_ .�� �i �� �t,: �� � � �� _ I� ;.�J 1�`.' ,a .i .•t � I� p . � �' ,� , � .. f�. , i� ,..(. i .'�-�� '� '1.'� i��,�„ �'':� t� . 1•� � r � � � � i: a.-� -� � � � � � � � � � v,o � ,� �V �, r= r "�`�,:�> � '�� �<_���. ,{ a�. �..�►�� �, f �_ �?` � � 3{ `S y� � ��'� t . �5�♦'� � ' i c��'� `� �' � '��e - a�'��� � `-,� '�11���,�.,� I,��..;� � ; , , 1 � � ' �`+r ` :�s ' 'fl �, ��le�,�, • �, �'�2 � ` ys. �, e'�::x � ; � � � , , �', �.�•�I, ��� � �' �t I t��� °si�� � y�� . t -� � t - t , 1 �,�' . ��. � � -� � '�����` — -- -- �� `F'� .��'?�� �:� '�,* , j � ip.'= �; � . ,�; : �„�� ��' a��`.; ���:.�y ��,� i �� � ,, J , '� 's t,; � ' �: , . , .�4� �� � � � ��� f ,� �4 , � ,� , � , 1 �� � �.� �y,�'';�r '� !l�. �� -��'`� s a. , ,, ,4 ��Y 1� z�' ,,��t-: ��'" ,� �, . .� .��..� _ ���.,�—� ._��rr►«�.. � � ��- , . :s �. . s'��, ��� , _ t, �, r � . i �1 ��.. `' ;'r ,I 3 ' '71"1 � �� �� ' T � i�, r}'�a � r= -'� � r' � Tl ` ��,: � '� t�o °���:; ,� �4_, � �' � „-�" ,� ��:. r� � ..r - � � � ( �'m�� � �����. �" - , ,� � , ' - � � ; �.�`��{ E �1; f�'� �4' _� , � F r�,��,h�� j � •, � . :� � : .,j ��� �� � �} � � �� ,� �,� '� �i ;' � .�it �:" .�= � �� � ! , '�.� _ � , � �'� o .t. �.y,. p� �l ^��(.�� r `� . � ! j ' ' ,:� ; � !��W �,, ; ''' I; � � r��� �. `�� , ,� r;�_��■*: l� �'�� ' ': �� ��'��. _. ,� �� �� i�. � � i � � ,��'� � � s .� _� � � ;,� . . , .. ,, r ,� ��y ', h',� �y �� � � � � . . � ��,� .r. 3�� �' ��' � � � �� ��' � � �- � ��-� �� ,f �: j_ �;; � ` � �.., --. r �� t�},,�•i:. , � , � � , � �' ' �i � ��� ; -;�� i - ��_' i � �� ^' �� x � �� � � � �j I 4. ; k� i __ f ; !� � �• i �`. �e� �. `v''� ' �r . ��` F r�' r �i �� . �.iti�PwS�eid ` �� f�?� �. �'.�p" � , a�p' '` 1 ,. ��', ' '.� ... � v�x,•.,.-.8 9iRr��ra_ � 'fi`.... . - . �, _ �� � �� ,�'���; . . . ��-� . , �� . . _ .,< < .�._u_ _ _.� ._. _ ._ , � +E�IiIiQ'�#r'��+ ...ti ' , _.. '. _-_' _____' ' �,: ., .. � �r--.,z ., "t . _ _ _. . F. _ -. . _�..,`.t , . w _ .F�. � ... �e � �: w i 7L�`�j.�.r. +i�•x.-..-,.�. 'v'�5-�1..n' ,.-�,' i � '!i . . �. ` ... � �� �,� . .�,. ... . K� �''..... , - . �-i.`.4.:' �5 .� . . �� �, ,� �..� �� t� s'H,1�.' .� ;_. . . + ,t �}l. ' �± `�IA" ' '' i� 'i\ �, � � , �, f' _ , ,� �, � �� �; � �, �„,� , �� �� �,� ,� , � • . � ; '� ..� _.�� . ' ` , k �� ,� �,` �'�' �� , � �4�f^ � - F �: . . . . ���' . -�f,�',, . ` � r�ti � a . ! , . . �!" `� ��1i.�` ��.. � s4�: i - - � �=�M����,�:� .: .r� t"'� l JLi�«,. � ;r:k:�f �rr.'��,p�� �� 1!�°'�_�u �±�1!4"�A�11/rl�.�- l. � �, `L +��a.. - ... . ,.:.�:. � � I eW A' � i ,� ��� ��� ��� �; ' ������'• �7 , � ``I r �'-?j1 � ;�� ;�.� �' � � ; r��r� ��, � ,�� 6.��.5. . ,`i i . � .__ . + � '• . .t- - � ��� �. �'�^� . � � • `.� r; � �- ,� t � �;. F �...�� � �`- +_-,�- � � � _:�� � � ;. � , � !� ' �; �'� ����`� � �, � . �� � _"' r�' r�' r/, P rr �., �..: � N 0 25 50 100 150 200 � Feet TIF Distriet Boundaries Appendix C Description of Property to be Included in the District The District encompasses all property and adjacent� 1•ights-of-way and abutting roadways identified by the parcels listed below. Parcel Numbe►•s Addt�ess Owner �I � 34-028-24-34-0070 2l 1 76`� St. W Richfield HRA 34-028-24-34-0049 7600 Pillsbu�y Richfield HRA 34-028-24-34-0067 7608 Pillsbuiy Richfield HRA 34-028-24-34-0072 Pending City of Richfield 34-028-24-34-0073 7700 Pillsbuiy City of Richfield Right-of-way Appendix C-1 Appendix D Estimated Cash Flow for the District Appendix D-1 2/18/2014 Base Va�ue Assumptions-Page 1 EHLERS 2014-1 TIF District(Garage Site)-No Inflation City of Richfield,MN Mulli-Family Housiny Develo�mant • � OistrictType: Redevelopment Maximum/Frozen Local Tax Rate: 153.946% Est.Pay 2014 Distric[Name/Num6er. 2074-1 TIF Current Local Tax Rate:(Use lesser of Current or M11ax.) 153.946% Est.Pay 2014 County District#: TBD State-wide Tax Rate(Comm./Ind.only used for total taxes) 53.0000% Est Pay 2014 First Year Construction or InTlation on Value 2016 Market Value Tax Rate(Used for total taxes) 0.16019% Est Pay 2074 Ezisting District-Specity No.Years Remaining Exempt Class Rate(Exempt) OA�% Inflation Rate-Every Year: 3.00% Commercial Industrial Preferred Class Rate(C/I Pref.) InterestRate: 5.50% First $150,000 1.50% Present Value Date: 1-Feb-16 Over 5150,000 2.00% First Period Ending 1-Aug-16 Commercial Industrial Class Rate(C/l) 2.00% Tax Year District was Certified�. Pay 2014 Rental Housing Class Rate(Rental) 1.25% CashflmvAssumes First Tau Increment For Development 2018 Affordable Rental Housing Class Rate(Aff.Rentaq 075% Years of Tax Increment 26 Non-Homestead Residential(Non-H Res.1 Unit) AssumesLastYearofTaxlncrement 2043 First 5500,000 7.00% Fiscal Disparities Election[Outside(A),Inside(B),or NA] Inside(B) Over 5500,000 125% Incremental or Total Fiscal Disparities Incremental Homestead Residental qass Rate(Hmstd.Res.) Fiscal Disparities Contribution Ratio 33.7176% Est.Pay2014 First 5500,000 1.00% Fiscal Disparities PAetro-Wide Tax Rate 163.1210% Est.Pay 2014 Over 5500,000 125% Agricultural Non-Homestead 1.00% •" • • Bui�ding Total Percentage TaxYear Property Current Class After Land Market Market Of Value Used Original Original Tax Original After Conversion Area/ Ma q PID Owner Address Market Value Value Value for District Market Value Market Value Class Tax Ca acit Conversion Ori .Tax Ca . Phase 34-028-2434-0070 Richfield HRA 211 76th St.W. 184,007 100% 184.001 Pay 2014 Euempt - Rental 2,300 34-028-24340049 Richfield HRA 7600 Pillsbury 152,000 100"/0 152,000 Pay 2014 Exempt - Rental 1,900 34-028-2434-0067 RichfieldHRA 7608Pillsbury 152,000 100% 752,000 Pay2074Exempt - Rental 1,900 34-028-24-34-0072 RichfieldCity Pending 519,252 100% 579,252 Pay2014Exempt - Rental 6,491 34-028-2434-0073 RichfieldCity 7700Pillsbury 575,000 100% 515,000 Pay2014Exempt - Rental 6,438 ROW ROW 0 0 700% 0 Pey2014 - - 0 100% 0 Pay 2014 - - 1,522,253 0 19,028 Note: i.I;a�. v I� ...i.�l ., , .0 � dIIL-P.;p� .� tr:.t3.-_vdi:..,�.illf r .I--..�, . �, i viy7„�u �r,ubi�. Preparetl by Eh!ers 8 Associates,Inc.-Estimafes Only N:1f.!inrsola\Rlchfield\HOUSing-ED-Redevelopmenl\TIF\TIF D:slncts�2014-1 Redeve:opmer.�TIF-Clly Garage Site�TlF ca=_hflow-TIF Plan for 2018.x1s 2/18/2074 Base Value Assumptions-Page 2 EHLERS 2014-1 TIF District(Garage Site)-No Inflation City of Richfield,MN MuHi-Family Housing Development '� •" • Estimated Tazahle TotalTaxable Property Percen[age Percentage Percentage Percentage FirstYea� Market Value Market Value Total Market Tax Project Project Tax Comple[ed Completed Completed Completed Full Taxes Area/Phase New Use Per Sq.FL/Unit Per Sq.Ft./Uni[ Sq.Ft./Units Value Class Taz Capaciry Capacity/Unit 2016 2077 2018 2019 Payable Rental-North 125,000 125,000 106 13,250,000 Rental 165,625 1,563 0% 100% 100% 100% 2019 Rental-South 125,000 125,000 i6 2,000,000 Rental 25,000 1,563 0% 100% 100% 100% 2019 TOTAL 15,250,000 190,625 Su6total Residential 122 15,250,000 190,625 Subtotal Commercial/Ind. 0 0 0 Note: 'I.P,i:u�k_4.J e._:foi fii�..n�i�t ;i�i .�4 a.c�{i� t- .i�...,u�i,rhou�,ng dv�Ic E ,:�.nf�-. . � Totat Fiscal Local Local Fiscal State-wi e arket Tax Disparities Taz Property Disparkies Property Value Total Tazes Per New Uae Ca acit Tax Ca acit Ca aci Taxes Taxes Taxes Taxes Taxes S .Ft.lUnit Rental-North 165,625 0 165,625 254,973 0 0 21,225 276,798 2,605.64 Rental-South 25,000 0 25,000 38,487 0 0 3 204 41,69U 2,605.64 TOTAL 190,625 0 790,625 293,460 0 0 24,429 377,889 rm��: 1.1-�.�;cs nn�l Pax inci�cinanf�vill vaiy si�ynfic,�ntly from yearto year dependiny u�ion vali�es,rates,state law,tiscal iiispaiiti:�s a,id o9liorf::ctnr= t��iiicli cannot bc prei{ict.-il. 2'I:�r,iates arc esYiin�tes trom Hoirncpin Couuty's XU'13-2tltq ProFmsed Tax Itatr.s, � � •• •' Total Property Taxes 317,889 Current Market Value-Es[. 1,522,253 less State-wide Taxes 0 New PAarket Value-Est. 15,250,000 less Fiscal Disp.Adj. 0 DiHerence 13,727,747 less Market Value Taxes (24p29) Present Value of Tax Increment 4,549,031 less Base Value Taxes (29,293) Difference 9,178,776 Annual Gross TIF 264,166 Value likel m occur without Tax Increment is less ihan: Piepared by El::ers 8 Associates,Inc-Estimalez Only N:IPAinnsofa\R�chfie:tl\Housing-ED-Redevelopmen�\TIF\TIF Dislricts�2014-1 Rerleve!opiner,l TIF�Ciry Garage S�Ae\TIF cash�ow-TIF Plan for 2018 xls y�g�p�q Tax Increment Cashflow-Page 3 EHLERS 2014-1 TIF District(Garage Site)-No Inflation City of Richfield,MN Multi-Family Housing Development • Project Original Fiscal Capturetl Local Annual Semi-Annual State Admin. Semi-Annual Semi-Annual PERIOD %of Taz Tax Oisparities Taz Taz Gross Tax Gross Taz Auditor at Net Tax Present ENDING Taz Payment OTC Ca aci[ Ca acit Incremental Ca acit Ra[e Increment Increment 0.36% 10% Increment Value Vrs. Vear Date - - - - OB/01/16 - . - - 02/01/17 " - ' - OB/01/17 - - - - ovovie 100% "I90,625 (19,028) - �71597 �53.946% 26A,166 132,083 (475) (13,t6�) 118,447 103,422 �.5 2018 08l01/18 132,083 (475) (t3,t61) 118,447 204,077 9 2018 02l01/19 900% 196,344 (19,028) � 177,316 153.946% 272,970 136.465 (491) (13,599) �22,394 305,302 1.5 2019 08l01/19 138,485 (491) (13,599) 122,384 403,8t8 2 2018 02/01/20 100% 202,234 (19,028) - 183,206 153.�J46% 282,038 t4'IOt9 (508) (�4,051) 126,460 502,883 25 202� 08/01/20 �4�,0�9 (506) (�4,051) 128,480 599,296 3 2020 02/Oi/21 100% 208,301 (19,028) - 189,273 153.946% 291,378 145,689 (524) (14,516) 130,648 696,238 3.5 2021 OB/Ot/21 145.689 (524) (14,516) 130,648 790,581 4 2021 02lO1/22 100% 214.550 (19,028) - t95,522 �53.846% 300,998 150,499 (542) (14990") 134,962 885,433 4.5 2022 OB/0122 150,499 (542) (14 99G) 134,902 977,746 5 2022 02/01/23 t00% 220,987 (19028) - 201,958 153.946% 310,907 155,453 (560) (15,489) t39,404 1,070,547 5.5 2023 OB/01/23 155,453 (560) ('15,489) 139,404 �,t60,863 6 2023 02/0�24 100°h 227,616 (19,028) - 208,588 153946% 329,9'13 '160,556 (578) ('15,988) 143,981 �259,648 6.5 2024 08/01/24 180,556 (578� (�5,998) 143,981 1,340,003 7 2024 02l01/25 100% 234,445 (19,028) - 215,417 153.946% 331,625 1fi5,ei3 (597) (16,522) 148,694 1,428,808 7.5 2025 08l01/25 �65,813 (597) (16,522) 948694 1,St5,237 8 2025 02/01/26 100% 241,478 (19,028) - 222,450 153.946% 342,453 171,226 (6�6) (17,061) 153,549 1602,099 8.5 2026 08/01/26 - 171,226 (616) (17.061) 153,549 1,686,635 9 2026 02/01/27 100% 248,722 (19,028) - 229,694 �53.946% 353,605 176,803 (636) (17617) 158,54�J 1,771,589 9.5 2027 OB/Ot/27 176,803 (636) (17,617) 158,549 t,854,269 �0 2027 02/OV28 100% 256,184 (i�J,028) - 237,756 153.946% 365,092 182,546 (657) (18.189) 163,700 1,937,351 10.5 2028 OB/01/28 , 182,546 (657) (18,te9) 163,700 2,018,208 11 2026 02/01/29 100% 263,870 (79,028) - 244,841 153.946% 376,924 186,462 (678) (18,778) 169,005 2,099,452 t1.5 2029 OB/01/2�J 188,462 (678) (18,778) 169,005 2,t78,62� 12 2029 02/01/30 100% 27t.786 (19,028) - 252,758 153.946% 389,110 t94,555 (700) (t9,385) 174,469 2,257,°62 12.5 2030 08/01/30 t94,555 (700) (�9,385) 174,469 2335,277 13 2030 02/01/31 100% 279,939 (19,026) - 260,91t t53.946% 401fi62 200,83� (723) (20,011) 160,097 2,412,951 13.5 2031 08/01/31 200,83� (723) (2q011) 180,097 2,488,545 94 2031 02/01/32 t00% 288,337 (19028) - 269,309 953946% 414,59t 207,295 (746) (20,fi55) 185,894 2,564,484 14.5 2032 08/01/32 207,295 (746) (20,855� 185.884 2,638,381 15 2032 02f01/33 900% 296,988 (t9,028) � 277,959 153.946% 427,907 213,954 (770) �21,318) 191,865 2,712,629 15.5 2033 08/Ot/33 2�3,954 (770) (2�,318) 191,865 2,784,882 16 2033 02lOi/34 100% 305,897 (19,028) - 286,869 153.'J46% 441,623 220,8�2 (795) (22,002) 198,�15 2,857454 'I6.5 2034 OB/0�/34 220,812 (795) (22 002) 198,Ot5 2,928,084 17 2034 02i01/35 100% 315,074 (19.028) - 296,046 153.946% 455,751 227,875 (8201 (22,700) 204,350 2,999,022 175 2035 OBl01/35 227,875 (820) (22,706) 204,350 3,068,062 18 2035 02l01/36 100% 324,520" (19,026) - 305,498 153.946% 470,302 235,15� (847) (23,430) 210,874 3,�37400 18.5 2036 08l01/36 235,151 (647) (23,430) 2�0,874 3,204,881 18 2038 02(01/37 �00% 334,262 (19028) - 315,234 153946% 485,250 242,645 (674) (24,177� 2�7594 3,272,650 19.5 2037 08/01/37 242,645 (874) (24.177) 217,594 3,338605 20 2037 02/01/38 100% 344,290 (19,028) - 325,262 153946% 500,728 250,364 (901) (24,946) 224,516 3,404,837 20.5 2038 08/01/38 250,364 (901) (24,946) 224,5�6 3,468,288 21 2038 02/01/3B 10�% 354,619 (19.028) - 335,590 153.946% 516,628 258,314 (930) (25,736) 231,646 3,534,022 21.5 2039 08/01/39 256,314 (930) (25,738) 231 fi46 3,597,015 22 2039 02/Oi/40 100% 365,257 (19,028) - 346,229 153.�J46% 533,006 266,503 (959) (26,554) 238,989 3,6fi0,266 225 2040 OBlOt/40 286,503 (958) (23,554) 238,989 3,721,825 23 2040 02/01/41 100% 376,215 (19,026) - 357,187 153.946% 549,875 274,937 (990) (27,395) 246,553 3,783,631 23.5 2041 OB/0�/4t 274,937 (99�) (27,395) 246,553 3,843,784 24 2041 02/01/42 100'/0 387,50'I (19,028) - 368473 153.946% 567,250 283,625 (1,021) (28,260) 254,343 3,904.177 24.5 2042 OB/01/42 263,625 (�021) (28,260) 254343 3,962,953 25 2042 02/0�/43 100% 399,126 (19,028) - 380,098 153.946% 585,146 292,573 (�053) (29,152) 262,368 4,021 901 25.5 2043 OBl01/43 292573 (1053) (29152) 262,368 4,079,389 26 2043 02l01/44 Total '10,552,738 (37,987) (1,051,415) 9,462,736 Presen[ValueFrom02/01/2016 PresenfValueRate 5.50% 4549031 (16376) (453265� 4,079,389 P�epa�ed by EF'cis 8 Assoca:es.Inc.-Est',males Or:y N:'l.!'.rrc,oU`Ricfi�ielG`Hcus:�ng�EDReM�:eleEm=n1\TIF\TIF Dislrids�2014-1 Retle�.elepmert TIF�CM1y Garage Sf,x1TIF casY.POVi�TIF Plan br 2019 xls Appendix E Minnesota Business Assistance Form (Minnesota Department of Employment and Economic Development) A Minnesota Business Assistance Form(MBAF)should be used to report and/ot•update each calendar year's activity by Api•il 1 of the following year. Please see the Minnesota Deparhnent of Employme�lt and Economic Development (DEED) website at http://www.deed.state.mn.us/Community/subsidies/MBAFForm.htm for information and forms. Appendix E-1 Appendix F Redevelopment Qualifications for the District � Appendix F-1