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TIF REPORT PART 3
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05-22-2012
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TIF REPORT PART 3
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Allowable Uses: <br /> MN Statute 469.176 sub 4j specifies the activities on which tax increment from a redevelopment district may be spent. In general, <br /> tax increment must be spent correcting those conditions which caused the area to be designated a redevelopment district. Allowable <br /> uses include property acquisition, demolition, rehabilitation, installation of public utilities, road, sidewalks, public parking facilities, <br /> and allowable administrative expenses. <br /> Obligations: <br /> The NWQ Special Law TIF District currently has an interfund loan for $5,194,694 from the Muncipal Development Fund #460. <br /> This district is also obligated to pay 2006A GO TIF Revenue and 2007B GO TIF Revenue Bonds. <br /> In-District Obligations: Interfund Loan from the Municipal Development Fund—Through 2035 <br /> 2006A—Through 2032 <br /> 2007B (Refunded 2006B)—Through 2033 <br /> Pooled Obligations: None <br /> Three Year Rule: <br /> MN Statute 469.176 sub la was repealed in 2005. However, the requirement is still effective for districts which were adopted when <br /> the rule was in place. The three year rule states that, within three years from certification date, bonds must be issued; the authority <br /> has acquired land or has caused public improvements to be constructed in the district. <br /> Four Year Rule: <br /> MN Statute 469.176 sub 6 requires that, within four years from certification date, certain activities must have taken place on each <br /> parcel with the TIF district. Required activities include demolition, rehabilitation, renovation and site improvements. If these <br /> activities have not taken place within the required time, the parcel is `knocked down' from the district, meaning, that no increment <br /> may be collected from that individual parcel for the duration of the district. The law, does, however allow for reinstatement <br /> procedures should the required activity later occur on the parcel.In 2009, the Minnesota Legislature extended the time frame of this <br /> Management Review&Analysis-Tax Increment Financing Districts February 2012 <br /> New Brighton, Minnesota Page 188 <br />
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