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HomeMy WebLinkAbout2G, TIF Guidelines/Policy Review - Ehlers Proposal EN HILLS Request for Council Action 2G -- -- - ........... _ - ----- --- --_.._._...1------.- ------- Prepared By: Patrick Klaers,City Administrator i Work Session Date: July 16, 2012 TIF Guidelines/Policy Review—Ehlers Proposal Budgeted Amount: Actual Amount: Funding Source: N/A N/A N/A Discussion Topic: Staff requests Council direction regarding the Ehlers TIF proposal. Supporting Documents: 1. Memorandum dated July 16,2012, from Patrick Klaers, City Administrator. 2. Attachment A: Ehlers T1F Proposal. ,- VEN HILLS MEMORANDUM DATE: July 16, 2012 TO: Honorable Mayor and Councilmembers FROM: Patrick Klaers, City Administrator ' SUBJECT: TIF Policy Proposal Ehlers has provided the attached proposal for development of a TIF Policy to include a maximum tax capacity to be captured by TIF and a matrix for ranking TIF applications. Staff requests Council direction on the proposal. City of Arden Hills City Council Work Session July 16, 2012 Page 1 of 1 Attachment Ehlers TIF Proposal July 16, 2012 City Council Work Session July 11, 2012 Mr. Patrick Klaers City of Arden Hills 1245 West Highway 96 Arden Hills MN 553112 RE: Proposal for TIF Policy, TIF Application and TIF Report Card Dear Patrick: Thank you for the opportunity to submit a proposal to you with regards to the above referenced proj ect. Based upon our conversations, you stated that assistance will be needed to review and update your current TIF policy to address use of TIF,when the tool should be utilized,limits if any on the amount of tax capacity captured by TIF, separate out the formal TIF application and review and provide recommendation of modifications to the TIF Report Card. Following is a detail of services to be provided and a not-to-exceed estimate for the above referenced services. TIF White Paper and Report Card TIF White Paper and Report Card: Ehlers proposes to complete the following tasks to develop a TIF Policy that will assist the City in determining how and when to provide TIF: 1. Review the TIF White Paper and make recommendations on a maximum tax capacity to be captured by City TIF districts as a percentage of total tax capacity. 2. Review policy considerations for projects to be assisted and make recommendations to meet current and anticipated redevelopment needs of the City; and 3. Create a matrix for ranking or scoring TIF applications to determine which are eligible for further City Council consideration; 4. Review TIF policy to verify that it provides clear understanding to the development community as to the requirements needed to be met to.be considered for TIF assistance; and 5. Review TIF application and recommend updates based on outcomes of tasks described above. The above referenced services will be provided on an hourly basis and shall take 19 hours to complete. Based upon Ehlers hourly fee of$195,the cost to complete this will be$3,705 (meetings as needed with staff are included in this fee). Patrick Klaers Proposal for Services for Redevelopment Feasibility—Mississippi Crossings July 11, 2012 Page 2 I have anticipated two (2) meetings (2 hours) with the Council to overview the TIF White Paper/Policy and report card in the time estimates above,but have not included time for preparation of a staff report,memorandum or power point(if required,these would be billed at an hourly rate).I propose a not to exceed contract for$3,705 to provide the proposed deliverables. If additional work is needed a written proposal for the additional work will be submitted for your review and consideration. I look forward to the opportunity of working with you and the Council on this project. Please contact me at 651-697-8506 with any questions. Sincerely, Stacie Kvilvang Executive Vice President