EDSR INFORMATION 03-14-2011 - Laserfiche WebLink

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~~~ ~~. 4 ~ ~ :-~ gym„ ; The 2010 State of Minnesota Jobs Bill offers a significant opportunity for cities, HRA's and FDA's to spur our economic recovery. Through June 30, 2011, local governments can use Tax Increment Financing to pay for a broad array of economic development activities. Perhaps the most sweeping change and the most flexible new tool is the new ways in which an Economic Development District can promote new construction and create jobs. - ;n .~ .~~ _ ~ .... .~ ,_.r~, _ .~~, _ .~, ~~~~ u ~~~..w~.: ~~ ..,~. .~.~~w~~., , No. To spur employment in construction and permanent jobs, the State has temporarily allowed local governments to create an Economic Development District for any type of new construction. The site may be raw or improved land. The types of projects that can be assisted with tax increment now include: • Housing subdivision • Market rate apartment building • Retail development • Office building • Agricultural storage or processing facility • Hotel or Tourist Destination • Health care facility • Manufacturing • Call Center • Any building and ancillary facility. Importantly, construction must begin by July 1, 2011. r ~ En Increment from the new Economic Development Districts can be used to pay for any construction costs or typical qualified costs such as land acquisition, demolition, site improvements, building construction, debt service, city fees, or other development costs. The first step is to establish an Economic Development District and request certification no later than June 30, 2011. You will then need to enter into a development agreement that specifies how much increment will be provided, what it will pay for, and what form it will take. FREERS LEADERS IN PU$Ut FCNANCE t ~ 4. `i.s'1 ~~i d Minnesota ~ic~r~~ 651-697-8500 3060 t:rentre Pointe D~fve Offices 2fso in Wisconsin end Illinois $ 651-697-8556 Rosevt7le, MN 55113-1122 _ . ~ _=~ 8U0-fi52-1171