5.13 PCSR 05-23-1995 - Laserfiche WebLink

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ITEM 5.13. ty of 1k River MEMORANDUM TO: Elk River Planning Commission FROM: William Rubin, EDA Executive Directo L_ DATE: May 23, 1995 SUBJECT: Planning Commission Review of Tax Increment Financing Plan for Tax Increment Financing District No. 12 Introduction On Monday, June 19, 1995, the Elk River City Council will conduct a public hearing to consider a Tax Increment Financing Plan for Tax Increment Financing District No. 12. Pursuant to Minnesota Statutes, the Planning Commission is required to review and comment on each proposed Tax • Increment Financing Plan prior to the City Council conducting a public hearing. This is done to ensure that the project within the proposed Tax Increment Financing District is consistent with the city's Comprehensive Land Use Plan. Background The Elk River Economic Development Authority (EDA) is proposing the creation of Tax Increment Financing District No. 12. The District will be comprised of two parcels, Lots 6 and 7, Block 1, McChesney Industrial Park. The request for tax increment assistance comes from a local manufacturing company, Neos, Inc., 12797 Meadowvale Road, Suite B, Elk River, Minnesota. Neos designs and builds machinery - specializing in packaging machinery. The company seeks $80,000 in tax increment financing assistance to support its proposed construction of a 16,000 square foot facility on Lots 6 and 7. Tax increment funds would be used to write down the acquisition price of the lot and for general site preparation and site development costs. To support the request for assistance, the EDA proposes to create an • Economic Development TIF District. New property taxes generated by the 16,000 square foot facility would be "captured" by the EDA/City in order to 13065 Orono Parkway • P.O. Box 490 • Elk River, MN 55330 • (612) 441-7420 • Fax: (612) 441-7425