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2019.07.03 EDC Packet
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2019.07.03 EDC Packet
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<br /> <br />VI. Business Items <br />1) Overview of the City’s Past and Present Use of Tax Increment Financing (TIF) <br />Gozola provided the EDC with a presentation on the City’s past and present use of TIF in New <br />Brighton. He discussed the impact TIF had on other taxing authorities. He reviewed the ways <br />increment can be spent noting costs must be associated with new development such as land <br />acquisition, demolition, relocation, site improvements, utilities, streets, sidewalks, <br />environmental cleanup, parking, and for buildings. He explained that taxpayers do not lose <br />money when TIF is used and that current taxes continue to be paid as if the development did <br />not happen. In addition, he reported TIF does not put a burden on school funding. He <br />described why the City uses TIF noting the City was full developed and incentives were <br />sometimes needed when there were issues a development needed to overcome such as land <br />prices, demo of outdated structures, mitigation of contaminates, or there was a need for <br />infrastructure upgrades. He reviewed who was eligible for TIF stating extensive study was <br />needed to show the land meets State mandated criteria for redevelopment, while also passing <br />a “but for” test. Staff then reviewed photographs of the TIF projects that had been completed <br />in the City over the years noting the original market value and the current market value. Lastly, <br />he provided the Commission with a summary of active TIF Districts and talked about how the <br />City has (and will continue to be) positively impacted by TIF District decertification. <br />VII. Adjourn <br />Meeting adjourned by unanimous consent at 8:38 am. <br /> <br /> <br />Respectfully submitted, <br /> <br /> <br /> <br /> <br />Ben Gozola <br />Assistant Director of Community Assets and Development <br /> <br /> <br />
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