Title
An Ordinance approving the Tax Increment Financing Contract and Community Improvement District Cooperative Agreement for the Oldham Village Redevelopment Project.
(Note: First read by Council on April 8, 2025.)
Body
Issue/Request:
An Ordinance Approving the Tax Increment Financing Contract and CID Cooperative Agreement for the Oldham Village Redevelopment Project
Key Issues:
The TIF Contract and CID Agreement will implement the Oldham Village TIF Plan and the regional CID for the project.
Proposed City Council Motion:
I move for adoption of an Ordinance approving the Tax Increment Financing contract and Community Improvement District Cooperative Agreement for the Oldham Village Redevelopment Project.
Background:
The TIF Contract establishes the rights, duties and obligations of the City and Developer to implement the Oldham Village TIF Plan and the regional CID as it applies to the project. As approved, the TIF Plan alone allows for reimbursement in the maximum principal amount of $12 million, compared to total projected project costs of about $182.2 million. The TIF Plan contained a project budget which itemizes the project costs and lists the items that are reimbursable from public sources (TIF, CID, TDD) in the total amount of about $36 million. That same budget is used as an attachment to the TIF Contract.
Impact/Analysis:
This contract is based largely on the same TIF contract that was used for the Streets of West Pryor TIF Plan by Drake Development. The Contract and CID Agreement have been specifically negotiated for the Oldham Village project. Certain key provisions of the contracts are summarized here:
Financing Structure
The Contract contemplates and implements a “pay-as-you-go” reimbursement structure, The Contract allows for bonds to be issued on terms that are acceptable to the City. Developer will be responsible for funding with private funds all costs of the project that are not funded by bonds. It is not anticipated that bo...
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