CCP 05-27-1997 - Laserfiche WebLink

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I I i' all modifications to the Tax Increment Financing Plan for Tax Increment Financing District No.2. A modified estimatcd cost breakdown of Development District No. I costs associated with financing Tax Increment Financing District No.2 is as follows: I Cost June 26, 1989 Original Total including the Budget May 27, 1997 Modification I Land Acquisition $10,500,000 $10,500,000 Demolition $500,000 I Bridge Construction $600,000 $1,200,000 Relocation $500,000 I Road Improvements $1,700,000 $3,400,000 I Utilities $500,000 $800,000 Site Improvements $600,000 I Administration costs $838.938 $1,500,000 Interest $11,000,000 Ie Total Cost $14,138,938 $30,000,000 I Section 3.10 Estimated Amount of Bonded Indebtedness. It is anticipated that $0 of bonded indebtedness will be incurred with respect to this portion of Development District No.1 at this time. Pursuant to Minnesota I Statutes, Section 469.178, Subdivision I, General Obligation Tax Increment Bonds may be used as required to amortize the costs identified in Article I, Section 1.5. It is further anticipated that future bond sales will be based on availability of tax increment. It is also contemplated that future bonds will not be issued at one time I but as they are needed. (As Modified May 27, 1997) I The City has established a pooled internal interfund loan for the costs of the Kern Milling site acquisition and demolition in Tax Increment Financing District No.2 in the original principal amount of $585,135 in 1990, payable primarily from tax increments in District No.2. Tax increments from I District No, 1 are pledged to this loan and have been nsed for some debt service, but the tax increments from District No.1 are also an interfund loan which may be repaid at a later date by increased tax increment receipts from District No.2. I The City also expects to issue up to $5,000,000 in general obligation tax increment bonds in the next year for land acquisition, demolition, road and utility work in and adjacent to District No.2 boundaries. I As future redevelopment needs arise and development occurs, the City may issue an additional re $6,000,000 of revenue bonds, limited revenue notes, interfund loans, or general obligation bonds for budgeted project costs. The additional debt would be incurred only after a thorough analysis of the Modification to the Tax Increment Financing Plan for Tax Increment Financing District No.2 111.2 I --.----------