4.5 SR 03-04-2024 - Laserfiche WebLink

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SCOPE APPENDIX to Engagement Letter dated: February 14, 2024 Between the City of Elk River, Minnesotaand Baker Tilly US, LLP 4.EMMA Issuer Homepage (Upon request. Hourly rates will apply.) BTMA will assist the Client on the creation of an Issuer Homepage on EMMA where Client and related entity filings may be shown. The Client will have the option to review the Homepage and provide additional information related to the Client. 5.Other post issuance services (Upon Request. Hourly rates will apply.) If requested, BTMA will provide to the Client other post issuance services including, but not limited to, consultation related to disclosure operating procedures, post issuance policies and procedures, and debt management. E.Housing and Economic DevelopmentServices 1.Preparation of preliminary tax increment or tax abatement revenues projections for proposed new project.Estimation of future values and tax increments for a targeted area. Forecast the projected tax increment revenues to be generated over the life of the district based on those assumptions. Estimated range of available revenues based on valuations. 2.Assist Client with establishment of tax increment financing (TIF) district including drafting of TIF Plan and required notifications, presentations and attendance at workshops and/or public hearings, etc. 3.Assist Client with the creation of tax abatement, identification of tax abatement properties, drafting of required notice(s) and supporting documentation, presentations and attendance at workshops and/or public hearings, etc. 4.Assist Client with incentive portfolio development and potential for availability of financing tools including review of federal, state, and local tax credits and incentives available. 5.Assist Client with financial needs (But-For) analysis through review of developer information and determination on the reasonableness of assumptions. In certain cases, suggest alternative assumptions and provide sensitivity analysis, as necessary. 6.Assist Client with completion of rate of return calculation including Cash-on-Cash Return and Internal Rate of Return. Assist Client with defining appropriate level of assistance based on developer’s rates of return comparing developer rate of return to the “market” return for similar projects, commenting on reasonableness of return considering type of project, current market and developer at risk equity. 7.Assist Client with negotiating public assistance agreements with developers. 8.Provide financial feasibility review to assist Client with assessment ofthe sufficiency of tax increment/tax abatement and other available revenues to support total project costs based on developer-provided total development costs and project assumptions. As necessary, suggest alternative assumptions and provide sensitivity analysisto assess sufficiency of tax increment or tax abatement revenues to support costs with considerations for timing of financing needs to provide financial support. Prepare cash flow analysis based on sensitivity analysis. 9.Provide background developer reviews to assist Client with learning more about prospective developers by performing in-depth business credit analyses, evaluating market conditions, assessing proposed business plans, and checking credentials and references. 10.Preparation of tax increment financing (TIF) management program to assist Client with analysis of existing TIF districts that includes an overview of current district status, preparation of cash flow analysis, suggestions for ongoing administrative goals, and recommendations for future opportunities or required compliance items. Page SA - 12| 18 (Scopev20230309)