2000-03-29 Packet - Laserfiche WebLink

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MEMO DATE : March 23, 2000 TO : Honorable Mayor and Council FROM : Jim March RE : Northern Forest Products — Tif Issue Included in your packet is a revised memo from Kennedy and Graven in regards to the tax increment district for Northern Forest Products. I have presented this memo to Northern Forest Products and Glen Rehbein Excavating. Paul McDowell has responded that he agrees with the concept in the proposal. At the time of this annotation, I have not heard from the legal counsel for Glenn Rehbein Excavating. I believe that we have reached a negotiated proposal that would be a benefit to all parties involved. I will refresh the Council with the issues that have occurred with this original tax increment district. The issues were beyond the control of the parties involved, including the City. The proposal addresses the methods of payment for the two limited revenue notes that were generated as a result of the creation of the district. I am suggesting that the City of Centerville abate the City share of taxes for a period of one year at the end of the term of the current district in exchange for Northern Forest Products expanding their current facility before the current district expires. Paul McDowell has indicated that they may expand their current building to nearly twice its current size. This would be a great benefit to the community in several ways. If this concept is agreed to by all of the parties involved, the actual dollar amounts would need to be calculated and presented at a later date along with new written agreements.