8.2. HRSR 12-06-2021 - Laserfiche WebLink

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City of Elk River, Minnesota Baker Tilly Municipal Advisors, LLC Page 5 Section K Estimated Public Costs The estimated public costs of the TIF District are listed below. Such costs are eligible for reimbursement from tax increments of the TIF District. Estimated Project Costs Land/Building acquisition $0 Site Improvements/Preparation costs $850,000 Utilities $0 Other public improvements $579,256 Construction of Affordable Housing $0 Administrative expenses $158,806 Estimated Tax Increment Project Costs $1,588,062 Estimated Financing Costs Interest Payments $0 Total Estimated Project/Financing Costs to be Paid from Tax Increment $1,588,062 The City anticipates using tax increment revenues to finance eligible costs associated with development of the housing project site including primarily site development, soil remediation, and other extraordinary affordable housing costs, as well as related administrative expenses. The City reserves the right to administratively adjust the amount of any of the items listed above or to incorporate additional eligible items, so long as the total estimated public cost ($1,588,062) is not increased. The City also reserves the right to fund any of the identified costs with any other legally available revenues, such as grants and/or loans, but anticipates that such costs will be primarily financed with tax increments. Section L Estimated Sources of Revenue Tax Increment revenue $1,588,062 Interest on invested funds Land Sale Proceeds Other Total $1,588,062 The City anticipates providing financial assistance through the terms of a pay-as-you go note in which the developer will finance costs upfront. As tax increments are collected from the TIF District in future years, a portion of these taxes will be used by the City to reimburse itself for public costs incurred (see Section M). The City reserves the right to finance any or all public costs of the TIF District using pay-as-you- go assistance, internal funding, general obligation or revenue debt, or any other financing mechanism authorized by law. The City also reserves the right to use other sources of revenue legally applicable to the Project Area to pay for such costs including, but not limited to, special assessments, utility revenues, federal or state funds, and investment income.