8A, Presbyterian Homes TIF - Laserfiche WebLink

Home Browse Search

ARTICLE VI Tax Increment; Taxes Section 6.1. Right to Collect Delinquent Taxes. The Developer acknowledges that the City is pro�iding s�abstantial aid and assistance in furtheranee of the redevelopment through issuance of the Note. The Deve�oper understands tha� tha Tax lncrements plecfged to payment on the Note are derived fram real estate taxes on the Minirnum Irnprovements, which ta�ces mus� be promptly and timely paic�. To that end, the Developer agrees for itself, its successors and assigr�s, in addition to the obligatior� pursuant ta statute to pay real estate taxes, that at is also abligated by reason of this Agreernent, througl� the Maturity Date, to pay before delinquency al� real estate taxes assessed against the Develapment Property and the Minirnum Improvernents. The Developer acknow�edges that this obligation creates a contractual right on behalf of the City to sue the Developer or its successors and assigns to coIiecE de}inquent real estate taxes and any penalty or interest thereon and to pay aver the same as a tax payment to the cour�ty auditor. In any such suit, the City shall alsa be entitled to recover ats costs; expenses and reasonable attorney fees. Nothing ir� this paragraph shal] prevent Devetoper from contesting the amount of real estate taxes {whether because of va�uation, classFfication, or otherwise} in accardance with Minnesota law. Sectian 6.z. Reduction of Taxes. {a} Deveioper agrees that thro�agh the Maturiry Date it vvill not caUse a reduction in the real property taxes paid in respect of the DeveIopment Properiy through: {A) willful destruction of the Development Praperty or any part thereof; (B) willful refusal to recor�struct damaged or destroyed property from insurance proceeds available to Develaper for such purposes; {C) apply for a de%rral of property taY an the Development Property pursuant to any law; or {D) convey or transfer or allow conveyance or transfer of the Development Property to any entity tl�at is exempt from payrr�ent of real property taxes under State law (other than any portion thereof dec�icated or canveyed to the City in accordance with the plat of the Deve�opment Praperty). (b) The Developer may use any administrative or lega] pracess pravided under State law to seek reduction of market value of the Development Aroperty and Minirn�m Improvemer�ts thereon for at! valorern tax purposes, provided that (i} promptly upon fili�g any petition or cla�m with any Tax Official, the Developer snali provide written notice of s�ch action to the City; and (ii) if Developer files such a - petiiian or claim, the City will withhold payment of any Available Tax Increment {without interest) that is attributable to taa�-payable year that is #he suhject of il�e petition ar cIaim unti] the petition or claim is ful�y resolved such that the Caun#y has finally determined the amour�t of �roperty taxes payable with respect to the Development Property for that year. {The remainder oithis page is inte�tionally left blank.} 37899Dv}0 SJB AR200-]0 � g