Laserfiche WebLink
is publicly traded. One wonders whether the Legislators would <br /> provide an exemption to the owner of a 15,000 square foot <br /> precision metal fabricating plant. <br /> E. Future of TIF - Whether or not TIF remains as a valid economic <br /> development tool remains to be seen. Time and time again, <br /> public administrators have been alerted that a senator or <br /> representative intends to introduce a bill to eliminate it. The <br /> 1995 League of Minnesota Cities Legislative Agenda includes <br /> not only retaining TIF, but also seeking specific legislation to <br /> eliminate the LGA/HACA aid penalty for TIF use. It is safe to <br /> assume that if TIF is not eliminated, it will be subjected to <br /> further restrictions. <br /> 2. THE UNEVEN PLAYING FIELD <br /> Pre-1990 Districts Versus Post-1993 Districts - Today, Elk River is in <br /> an uncompetitive position as it relates to creating new TIF Districts. If <br /> new Districts are created, it will result in the loss of state aid. Prior to <br /> 1993, companies and developers reimbursed the city for this loss. In <br /> 1993, this practice was prohibited. <br /> • Communities with pre-1990 TIF Districts have learned to perpetuate <br /> the life of these Districts so as to avoid: a.) state aid losses, and, b.) the <br /> need to create new Districts. <br /> Competing with these communities in an effort to attract <br /> manufacturing companies is very difficult. <br /> 3. TIF AND THE BUSINESS PARK <br /> Because of the long build-out period of an industrial park/business <br /> park, it may be necessary to utilize TIF as an incentive program to <br /> help attract manufacturing companies into this area. Finance Director <br /> Lori Johnson has provided a summary which highlights the <br /> implications of creating a new TIF District to support a hypothetical <br /> manufacturing project. This information is necessary to help <br /> determine the implications of utilizing TIF as a viable economic <br /> development tool. Please refer to Lori's summary on this topic. <br /> Although there are short-term losses associated with the creation of <br /> each new TIF District, there are also long-term benefits that each new <br /> manufacturing company brings to Elk River. These spin-off effects <br /> have been documented in numerous studies sponsored by the US <br /> Chamber of Commerce. That is, one hundred new manufacturing jobs <br />