5.16. SR 06-19-1995 - Laserfiche WebLink

Home Browse Search

2. • 3. The Economic Development Authority of the City of Elk River has determined that the Neos, Inc., project would not reasonably be expected to occur without the creation of TIF District No. 12 and the use of tax increment financing is necessary. Therefore, none of the net tax capacity captured during the term of this TIF District would be available to other taxing jurisdictions without the creation of this district. Additional information on the impact of Tax Increment Financing District No. 12 on the other local taxing jurisdictions can be found in Exhibit E. H. STUDIES AND ANALYSIS USED TO DETERMINE THE NEED FOR TAX INCREMENT FINANCING The Elk River EDA and City Council have determined that the Neos, Inc., expansion project cannot reasonably be expected to occur solely through private investment within the reasonably foreseeable future. Therefore, the use of Tax Increment Financing assistance is deemed necessary. This determination has been made based on the following: • The company currently occupies leased space at 12797 Meadowvale Road and this expansion into a permanent facility is its first. Tax increment assistance is needed to reduce the overall project costs -thereby preserving scarce capital to ensure that Neos, Inc., remains financially stable after the expansion. • In addition, tax increment assistance is necessary because the project will result in increased employment in the State, and, it will result in the preservation and enhancement of the tax base of the State. I. PARCELS INCLUDED IN TAX INCREMENT FINANCING DISTRICT NO. 12 Tax Increment Financing District No. 12 is comprised of two parcels of land. They are listed below: 1994 Original Parcel 1994 EMV Payable 1995 Net Tax Capacity 75-433-0150 $25,000 $1,150 75-433-0160 $25,000 $1,150 •