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DRAFT MEMORANDUM T0: FROM: DATE: SUBJECT '� �.i r s c � '� _`; ?_ � f.� Pat Trudgeon, City Manager Paul Bilotta, Community Development Director Mikaela Huot, ConsultantlVice President July 8, 2015 Financing Summary for TIF 17 (Twin Lakes) Attachment B Springsted Incorporatetl 380 Jackson Street, Suite 300 Saint Paul, MN 55101-2887 Tel: 651-223-3000 Fax: 651-223-3002 www.springsted.com The City of Roseville established Tax Increment Financing (Redevelopment) District No. 17 in 2005 for the redevelopment of certain properties. TIF District No. 17 was certified in 2005 and the first increment revenue was received in 2006. The final date that the district can collect increment revenue is 2031 with a maximum term of collection of 25 years after receipt of first increment. Because of the certification date, the TIF District is subject to the 5 year rule (which limits future financing activities). Due to the economic recession, the five year rule was modified in 2009 to allow certain districts an additional 5 years, with TIF District No. 17 had a total of 10 years in which qualifying activities could occur. The five year period (extended to 10 years for this district) is up on September 3, 2015. Tax Increment Analvsis Springsted prepared tax increment revenue projections based on information provided by Ramsey County and the City of Roseville. Assumptions used to prepare the revenues include the following: • Maximum TIF District term o Total 25+ years (through 2031) 0 17 years remaining (2015-2031) • Payable 2015 values as provided by County o Base net tax capacity of $496,071 o Current net tax capacity of $663,672 o Captured net tax capacity of $167,601 o Estimated tax increment of $171,084 • Commencing payable 2017 o Additional increment available from two new hotels ■ Building permit value of $7 million each ■ Total estimated new value of $14 million • 75% of estimated value assumed for revenue projections Public S�ctor Advisors