4B, Resolution 2009-030, Accepting the 2009 Minnesota Laws, Ch. 88, Article 5

Home Browse Search

�.� EN HILLS MEMORANDUM DATE: November 9, 2009 TO: Honorable Mayor and City Council Members FROM: Ron Moorse, City Administrator James Lehnhoff, Community Development Director SUBJECT: Twin Cities Army Ammunition Plant (TCA.AP) Property Special Tax Increment Financing (TIF) Legislation Action Request Approve Resolution 2009-030 accepting the 2009 Minnesota Laws, Ch. 88, Article S, Section 16 relating to a tax increment �nancing district in the City of Arden Hills Back�round At the conclusion of the 2009 Minnesota Legislative session, the Legislature passed and the Governor approved the City's request for special Tax Increment Financing (TIF) legislation for the Twin Cities Army Ammunition Plant (TCAAP) property. The approved legislation provides the following flexibility from the standard TIF limitations: • It is deemed to be a redevelopment district without meeting the blight test. • The five-year rule is extended to 10 years. • The duration limit of the district is increased from 25 years to 30 years. • The city may elect to delay receipt of the �rst increment which sta�ts the duration running by up to six years. • The authority to create a district under the special law expires on Dec. 31, 2019. In order to have the option of using this special TIF legislation at some point in the future, the City, along with the School Board and County Board, must approve the special legislation. This approval process would need to be completed before the start of the next regular legislative session, which starts in January 2011. However, Mr. Bubul has suggested that if the City wants City of Arden Hills IlAhdocsllahlAHdatalPlanninglCommunity DevelopmentlTCAAPIPIanning - Post May 20091TIFI110909 - CCMemo - TCAAP Special TIF Legislation approval. doc Page 1 of 2