Laserfiche WebLink
Economic Development District <br />Throughout its Development Program, New Brighton has nearly always established <br />Redevelopment TIF districts, which generally run for 25 years. This project is not <br />eligible because the land has no primary structures on it, therefore substandard conditions <br />(sometimes referred to as "blight") do not legally exist. The establishment of an <br />Economic Development District does not require the same test as does a Redevelopment <br />District. This is basically an incentive program. <br />The attached calculations assume that a new building of this type would be valued at <br />$60.00 per square foot, local tax rates would remain stable, and administrative fees of <br />10% would be subtracted. Also, the increase in the metropolitan fiscal disparities <br />contribution caused by project would be deducted, so that there would be no net City <br />cost. <br />If the Council elects to proceed with the establishment of an Economic Development <br />District, staff would recommend that the applicant pay in advance for the consultant's <br />costs, estimated at $12,000-15,000. Revenues of approximately $6,665 would then be <br />refunded to the owner after each semi-annual property tax payment for nine years, <br />beginning with the first year of full taxes in 2010. <br />