3.0. EDSR 06-02-1997 - Laserfiche WebLink

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TAX INCREMENT FINANCING POLICY ELK RIVER, MINNESOTA SECTION I- COMPREHENSIVE PLAN • All requests for Tax Increment Financing shall be consistent with the City's Comprehensive Land Use Plan and its components. Only those requests that are comprehensive in nature will be accepted. Fragmented projects that exclude adjacent parcels will not be encouraged. SECTION II - DEMONSTRATED NEED The request for Tax Increment Financing assistance must demonstrate that the proposed development or redevelopment would not reasonably be expected to occur solely through private investment within the reasonably foreseeable future and, therefore, the use of Tax Increment Financing is deemed necessary. SECTION III - QUALIFYING IMPROVEMENTS A request for Tax Increment Financing shall specify in detail the proposed uses of the Tax Increment Financing subsidy. Qualifying improvements may include but are not limited to site acquisition, land write down costs, site preparation, soil correction, demolition, relocation costs, interest reduction costs, or the construction of public infrastructure. • SECTION IV-EXTRAORDINARY DEVELOPMENT STANDARDS Preference shall only be given to those projects requesting Tax Increment Financing assistance which meet or exceed the City's development standards. These standards include building design, type of construction, and extraordinary landscaping. SECTION V-MAXIMUM SUBSIDY All requests for Tax Increment Financing shall be subject to a subsidy cap. The subsidy shall be based on a percentage of the project's finished market value (for tax purposes) as determined by the County Assessor. Except for redevelopment projects which may require more assistance than other projects, the average Tax Increment subsidy shall not exceed 15% of the project's finished value. The following projects shall be eligible for Tax Increment Financing: Redevelopment Industrial/Manufacturing Service Companies/High Technology Commercial • Housing Under extraordinary circumstances, the City Council reserves the right to adjust the average subsidy level.