Title
New Longview TIF Status update
Body
Issue/Request:
Staff will be providing an informational update to the Mayor and Council on the overall status of the New Longview Tax Increment Financing (TIF) contract and approval process.
Key Issues:
In December of 2015, City Council approved the Second Amended and Restated Longview Farm TIF Plan (2003 Plan) as well as the New Longview TIF Plan (2015 Plan). Both referenced TIF plans are attached to this packet. Since the adoption of these TIF plans, staff has been working with the related parties to develop and propose the TIF contract that must accompany the adopted TIF Plans to set forth the requirements and expectations in executing the TIF plan. At this time, a final and agreed to TIF contract has not been achieved to present to the Mayor and Council for consideration. One of the primary reasons this has yet to occur relates to the developer's request to utilize a City loan to advance funding to finish reimbursement of the Show Horse Arena rehabilitation, as well as undertake stabilization and rehabilitation work related to the barns, houses, mansion, and pergola. With the request to pursue a City loan, the City is awaiting a private settlement agreement between the previous developer and current developer with respect to the 2003 TIF contract to ensure security of a City loan. The City understands the private settlement agreement is nearly complete, and as of a couple weeks ago, the condition and ownership of the north arch has extended the private settlement agreement conditions and approval of said agreement.
The private settlement agreement does have impacts on the TIF contract negotiations and conditions, therefore the City is awaiting execution of the private settlement agreement prior to finalizing and presenting the TIF contract for consideration. A City created draft of the proposed TIF contract was submitted to the current developer on July 20, 2016 for review and feedback. At this time the City has not received formalized proposed revisions to the draft TIF contract - presumably due to the private settlement agreement not being finalized and executed.
Staff will be prepared to update the Mayor and Council on any progress made on these aspects since the creation of this packet at the September 15, 2016 Council meeting.
Proposed City Council Motion:
No motion necessary - informational report only
Background:
See attached December 8, 2015 memorandum prepared by David Bushek, Gilmore & Bell.
Impact/Analysis:
With development projects underway or proposed within the New Longview (2015) TIF area, there is a sense of urgency to the consideration and approval of the TIF contract to bring clarity to the requirements and implementation/execution of the TIF plan.
Other Information/Unique Characteristics:
Recently, B & B Theatre's announced their intent to construct a 7 screen movie theatre within the New Longview development. A preliminary development plan has been submitted and is currently scheduled to be presented at Planning Commission on October 25, 2016 and to the City Council on November 17, 2016 assuming all submittals and deadlines are met. The proposed project requires a preliminary development plan due to this proposal being a significant change from the previously submitted and approved preliminary development plan. At this time, information regarding how this proposed project impacts the TIF Plan has not been presented to staff for review and consideration.
Presenter
Presenter: David Bushek, Gilmore & Bell - City's Economic Development Counsel
Representatives from MIII- Longview, the current developer and the previous developer may be in attendance to provide additional information or answer questions.