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5.4. SR 04-08-1996
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5.4. SR 04-08-1996
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4/8/1996
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Fo <br /> <br />5. Estimated Captured Tax Capacity <br /> <br />The finished market value upon completion of the <br />improvements in Tax Increment Financing District No. 14 is <br />estimated at $400,000. This value translates into a completed <br />net tax capacity estimated at $16,800. The captured net tax <br />capacity is estimated as follows: <br /> <br />Completed Net Tax Capacity <br />Less Original Net Tax Capacity <br />Equals Captured Net Tax Capacity <br /> <br />$16,800 <br />$14,500 <br /> <br />One hundred percent of the captured net tax capacity of Tax <br />Increment Financing District No. 14 will be required to finance <br />the pubhc costs associated with District No. 14. As a result, the <br />City of Elk River elects, pursuant to Minnesota Statute 469.177 <br />Subdivision 2 (a)(1), to retain the full captured net tax capacity <br />of Tax Increment Financing District No. 14. <br /> <br />6. Duration of the Tax Increment Financing District No. 14 <br /> <br />The City of Elk River expects that the first increment it will <br />receive from Tax Increment Financing District No. 14 will be for <br />taxes payable in 1998, and will be based on a completed value as <br />of January 2, 1997. The City expects to continue to receive tax <br />increment from Tax Increment District No. 14 up to and <br />including the year 2002, or until approximately $65,100 in tax <br />increment has been received. Thereafter, no further increments <br />may be received and Tax Increment Financing District No. 14 <br />will terminate. <br /> <br />CASH FLOW ANALYSIS <br /> <br />Attached as Exhibit D is the Cash Flow Analysis for Tax Increment <br />Financing District No. 14. <br /> <br />IMPACT ON OTHER LOCAL TAXING JURISDICTIONS <br /> <br />Estimated Impact of District No. 14 on the Taxing Jurisdictions <br />Assuming the Captured Net Tax Capacity is Available to the <br />Taxing Jurisdictions Without Creation of District No. 14: <br /> <br />Pursuant to Minnesota law, tax increment generated by <br />development within the Tax Increment Financing District may <br />be captured by the City for a period of up to eight years. During <br />this period other taxing jurisdictions will continue to receive <br />taxes from the property within the Tax Increment Financing <br />District based on the current net tax capacity. <br /> <br /> <br />
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