4.9. SR 10-18-1993 - Laserfiche WebLink

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rll ---'\) ( )j Ilk ITEM 4.9. TO: FROM: MAYOR & CITY COUNCIL WILLIAM RUBIN, ED COORDINATO~r.i- OCTOBER 12, 1993 DATE: SUBJECT: REQUEST FOR TAX INCREMENT FINANCING ASSISTANCE (EDA MAIN STREET REDEVELOPMENT PROJECT) INTRODUCTION On October 18, 1993, the Elk River City Council will be asked to schedule a public hearing to consider a Tax Increment Financing Plan for Tax Increment Financing District No. 12. A public hearing to consider the Tax Increment Financing Plan is requested for November 15, 1993. BACKGROUND e The request for tax increment assistance comes from Kjellberg's Carpet and Interiors, 16862 Highway 10, Elk River, Minnesota. The company seeks approximately $165,000 in Tax Increment Financing assistance to support its proposed construction of a 12,000 square foot (6,000 square feet per floor) retail building on the EDA Main Street Redevelopment site. If approved, tax increment funds would be used to reimburse the company for extraordinary site preparation costs associated with this site. This request was considered by the Development Authority at its October 11th authorized the following: Elk River meeting. Economic The EDA - The preparation of a Tax Increment Financing Plan. - The scheduling of a public hearing on November 15, to consider the TIF Plan. - A recommendation to the City Council for the scheduling of a public hearing on the TIF Plan. - A second EDA public hearing on November 15, regarding the proposed sale of the redevelopment site to Kjellberg's Carpet. The EDA is district". would last funds would proposing the creation of a "redevelopment TIF Staff estimates that the Kjellberg TIF district 12 to 13 years, during which time tax increment be collected for a period of 10 to 11 years. e To finance the estimated $165,000 in site preparation costs, a privately-placed tax increment bond will be necessitated. P.O. Box 490 · 13065 Orono Parkway · Elk River, MN 55330 · (612) 441-7420 · Fax: (612) 441-7425