7. HRSR 08-02-2010 - Laserfiche WebLink

Home Browse Search

ITEM # 7. REQUEST FOR ACTION To Item Number Housin & Redevelo went Authori Agenda Section Meeting Date Prepared by August 2, 2010 Catherine Mehelich, Director of Economic Develo ment Item Description Reviewed by Consider Year 2011 HRA Budget and Resolution Regarding HRA Levy Reviewed by Action Requested Staff recommends the HRA review and approves the Year 2011 HRA Budget as presented and approve the attached Resolution Establishing the HRA Tax Levy for Collection in Year 2011. Following the HRA's action, the City Council must approve and certify the EDA and HRA levies to Sherburne County in September. Background/Discussion The Economic Development Division consists of two separate budgets including: ^ Economic Development Authority ^ Housing & Redevelopment Authority Revenues Since 2003, the EDA and HRA levies have been sufficient to balance the Economic Development Division without tapping City General Fund revenues. In 2008 the HRA acted to maintain the general operating levy at 0.0144% of taxable market value, despite a statutory increase allowing HRA's to levy a maximum of 0.0185%. The attached Budget Worksheet has been prepared using the 0.0144% levy as in previous years. Revenues generated from the HRA tax levy fox 2011 budget purposes are estimated based on a 3% decrease in taxable market value. In the past the HRA revenues have included a transfer from TIF District #16 (King & Main) to reimburse the HRA for eligible redevelopment expenses. Per recent HRA action, the final reimbursement will be deferred unti12012 in order to establish a special temporary TIF fund as authorized by recent legislation to be used to stimulate new construction or renovation by July 1, 2011. The proposed 2011 revenue does not include any amount of rental income anticipated from the HRA buildings at 716 & 720 Main Street, however the Arts Alliance does reimburse the HRA for insurance. The lease with Arts Alliance runs through 2012 and therefore the 2011 budget assumes their continued occupancy of 716 Main Street. 2011 HRA Budget Action Requested