4B, Economic Development Authority (EDA) 2013 Work Plan

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1999 - 2000 The EDA completed Round Lake Road, Phase I, in 1999. This project included the relocation of the Round Lake Road/Highway 96 intersection, signalizing the intersection, property acquisition, and the creation of a storm retention pond. An inter-fund loan from the PIR Fund was needed for the acquisition of the Indykiewicz property and was repaid in 2004. The estimated balance in this account as of December 31, 2011 is $1,209,533. The estimated future increment to be collected is $1,386,743, if added to the current estimated balance, less the outstanding bond payments, this would amount to approximately $1,531,276 that could be used for other improvements. Since this is an older district, the City is able to use these fiends for a number of different uses, but not for recreational purposes. It may be used for sidewalks, infrastructure, and other improvements, but a plan would have to be in place before the district decertifies in 2015. The additional tax base that this district has added to the City is $346,686, which is the increment currently received. TIF District No. 3 Cottage Villas Housing was originally certified as a Housing District on May 10, 1993. The district is generally located on the east side of Cleveland Avenue,just south of the County Road E-2/Cleveland Avenue intersection, and encompasses the sixty-four (64) unit Cottage Villas Apartments complex. These apartments are available for low-to-moderate income seniors. The City entered into a "pay-as-you-go" Development Agreement with Cottage Villas of Arden Hills Limited Partnership on February 28, 1994. The Development Agreement calls for the developer to be reimbursed for certain public development activities including: land acquisition, site preparation, site utilities, and financing costs. Repayment to the developer would only be from, and to, the extent tax increment was actually received from the district. The developer was entitled to no more than $57,557 per payment year for 14.5 years. The City was not obligated to make any payments subsequent to February 1, 2010. As a result of the class rate reduction for property taxes, increment received was less than expected, but payments ceased to the developer on February 1, 2010. The district was originally set to decertify on December 31, 2009, but the City Council extended the district in December 2009 to its statutory limit and will now expire in 2019. The estimated balance in this account as of December 31, 2011 is approximately $166,844. The estimated future increment to be collected is $312,500,if added to the current estimated balance this would amount to $479,344 that could be used for "low-to-moderate income housing." TIF District No. 4 This is the new Presbyterian Homes district and we have not yet begun to receive increment on this district or incurred any costs, thus there is no balance in this fund. This is a renovation and renewal district. On December 13, 2010, the City Council modified the development program for Development District No. 1 and establish Tax Increment Financing District No. 4 within Development.District No.1 and adopt the Tax Increment City Council Meeting PAAdmin\Council\Agendas&Packet information\2012\01-30-12 Reg Mtg\Packet Information Page 3 of 4