Annual_Report_1985_001 - Laserfiche WebLink

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City Financial HighliQhts Durin� 1985 l. The following 6onds were issued: A. General Improvement Bonds - Series 12 $ 2,885,000 B. General Obligation Tax Increment Bonds - Series 1 14,300,000 C. General Obligation Tax Increment Bonds - Series 2 8,420,000 D. General Obligation State Aid Highway Bonds 2,225,000 2. Moody's Investor's Service bond rating remained at Aa-1 and Standard and Poors bond rating at AA-1. 3. An Economic Development Fund was established and an Economic Development Director was hired to promote future development in the City. Prospects for the Future 1. The need for future economic development has been recognized and the City has responded by establishing four tax increment financing districts, adopting an industrial revenue bond policy and establishing an economic development fund. 2. Two new shopping malls with an estimated market value of $20,000,000 are being built north of Rosedale and will be completed in 1986. Both malls are located in existing tax increment financing districts. 3. Construction of a bridge over Interstate Highway 35W will be started in 1986. When the bridge is complete an area fronting on Interstate Highway 35W will be opened for £uture development. Impact of State Law on Municipal Taxes Fiscal Disparities The State Legislature enacted a Fiscal Disparity Law in 1971, which was not implemented until taxes payable in 1975, due to constitutional challenge. The law provides for the pooling of forty percent of all new commercial and industrial property valuations in the seven-county metropolitan area. In turn, valuations from this pool are to be redistributed to taxing jurisdictions according to specific criteria. Although it is difficult to determine the future impact of the Fiscal Disparity Law on the City, the law had the effect of reducing taxable valuation as follows: Assessed Value Real Estate Personal Property 1985 $362,409,841 5,893,666 1984 $353,872,692 5,735,297 Total $368,303,507 $359,607,989 -3-