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�� Request for Action <br /> Elk - <br /> River <br /> To Item Number <br /> Economic Development Authori 7.3 <br /> Agenda Section Meeting Date Prepared by <br /> General Business September 20, 2021 Brent O'Neil, Economic Development Director <br /> Item Description Reviewed by <br /> Resolution Establishing the 2022 Referendum Tax Lori Ziemer,Finance Director <br /> Levy as Approved by Voters for a Recreational Reviewed by <br /> Facility to be Leased to the YMCA Cal Portner, City Administrator <br /> Action Requested <br /> Approve,by motion, a resolution establishing the 2022 referendum tax levy as approved by voters for a <br /> recreational facility to be leased to the YCMA. <br /> Background/Discussion <br /> In 2007, the EDA issued $12 million in bonds for the construction of a recreational facility to be leased <br /> to the YCMA. In 2013, the EDA issued $9,685,000 crossover refunding bonds to redeem the Series 2007 <br /> Bonds on February 1, 2017,which started showing interest savings in 2017. <br /> As part of the lease agreement with the YMCA, the YMCA pays one-third of the debt service payments. <br /> The EDA establishes a levy annually which covers the remaining two-thirds of the bond payments. <br /> Here is how the calculation is made for the levy for taxes payable in 2022: <br /> Debt service amount—city portion $491,958 <br /> 105% coverage requirement x 1.05 <br /> Total levy for taxes payable 2021 $516,556 <br /> Financial Impact <br /> Levy for taxes payable in 2022 is $516,556. <br /> Attachments <br /> ■ Resolution Establishing Levy <br /> The Elk River Vision <br /> A Y�elcoming community nvith revolutionary and spirited resourcefulness, exceptional P U W E H E o s r <br /> service, and community engagement that encourages and inspires prosperity ,g /` UR <br />