Title
An Ordinance approving the Redevelopment Project for the 2nd and Douglas Tax Increment Financing Plan and activating the collection of tax increment financing revenues therein.
(NOTE: First reading by City Council on April 16, 2019.)
Body
Issue/Request:
An Ordinance approving the Redevelopment Project for the 2nd and Douglas Tax Increment Financing Plan and activating the collection of tax increment financing revenues therein.
Key Issues:
Approval of this ordinance will approve the Redevelopment Project for the 2nd and Douglas Tax Increment Financing Plan and will implement the collection of tax increment financing revenues for the redevelopment project. There are two legislative actions to implement the requested TIF - an ordinance to approve the Plan and an ordinance to approve the Redevelopment Project. Approval of the Redevelopment Project ordinance is the event that starts the 23-year TIF clock, and also locks in the base value of the property for the purpose of determining the captured TIF revenues over the life of TIF. After the April 16, 2019 Council meeting, Developer requested that the Council take up 2nd reading and final action on this bill at the March 7, 2019 Council meeting rather than waiting until next year to take final action on the bill.
To accommodate this request, the bill has been amended and the effective date clause of the ordinance has been revised to provide that the ordinance will not take effect until March 2, 2020, or an earlier date if requested by Developer. The purpose of this delayed effective date is to lock in the base value of the property as of January 1, 2020, when the property will be owned by Cityscape and will be taxable property. Locking in this base taxable value is the method by which the property taxing districts will continue to receive the base property taxes each year (estimated to be about $87,000 per year) for the life of the TIF Plan. The effective date of the ordinance is delayed until March 2, ...
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