Posted: April 15, 2019
Rapid City
Agenda Item Summary

Agenda Item Ref. #: 18TI002 - Park Hill

Agenda Item Title:

18TI002 - Resolution Creating Park Hill Tax Increment District and Approving Project Plan

Origination Group:
Planning Commission
Origination Meeting Date:
03/21/2019
Stage 2 Group Name:
Legal & Finance Committee
Stage 2 Meeting Date:
04/10/2019
City Council Hearing Date:
04/01/2019
City Council First Reading Date:
04/15/2019
Petitioner:
Sperlich Consulting, Inc for Park Hill Development, Inc.
Staff Contact:
Patsy Horton, Long Range Planning Manager
Location:
North of Sydney Drive, east of Smith Avenue and west of Cambell Street
Agenda Item Summary:
The Tax Increment District will capture residential incremental tax funds in order to complete site improvements including topsoil import, drainage improvements, offsite sidewalk extension, offsite street improvements and landscape screening between the industrial and residential properties. Professional and contingency costs, as well as financing costs, are also included in the proposal. The developer agrees to comply with the State’s definition of “affordable housing.” Therefore, the school district’s incremental revenues are paid by all statewide property taxpayers.

Funding Source & Fiscal Impact (if applicable):

Funding Cost Center
$406,745.00 Total Capital Costs
$24,404.70 Professional Fees
$12,202.35 Contingency Costs
$222,714.73 Financing / Interest (5.5%)
$666,066.78 Total TIF Financed Expenditures
$20,000 City of Rapid City – Imputed Administrative Fee

Recommendations:

Origination Recommendation Notes:
Staff recommends approving the application to create a tax incremental district and approve the Project Plan allowing TIF funded project costs in the amount of $987,393.72, provided that the applicant enter into a restrictive covenant agreement to ensure that the affordable housing requirements are met by all future property owners until the TID is dissolved. --------------------------- Planning Commission continued to 1/10/2019 Planning Commission meeting: 11/21/2018; Planning Commission continued to the February 7, 2019 Planning Commission Meeting per applicant’s request: 1/10/2019; Planning Commission continued to the March 21, 2019 Planning Commission meeting: 2/7/2019; Planning Commission approved the application to create a tax incremental district and approve the Project Plan allowing TIF funded project costs in the amount of $987,393.72, provided that the applicant enter into a restrictive covenant agreement to ensure that the affordable housing requirements are met by all future property owners until the TID is dissolved. (8-1); Legal and Finance Committee recommended to Approved with Stipulations noted above: 4/10/2019
City Council Recommendation Action:
Approve with Stipulations
City Council Recommendation Notes:
Set for Hearing to be heard on 4/15/2019; City Council Approved with Stipulations (7-1) with Laurenti voting no: 4/15/2019

Attachments & Links to Download:

18TI002 Housing Information:
SDCL TIF Housing Definition
Rapid City Housing TIF Income Criteria
18TI002 Park Hill Housing Requirements

18TI002 Staff Review - Attchments & Links:
pdf 18TI002 Staff Report (76 KB)
pdf 18TI002 Park Hill TID Project Plan (2.02 MB)
pdf 18TI002 Aerial Photo (2.73 MB)
pdf 18TI002 Resolution 2018 081 Creating Park Hill Tax Increment District (19 KB)
pdf 18TI002 Resolution 2018 082 Approving Park Hill Tax Increment District Project Plan (19 KB)
pdf 18TI002 Public Comment (778 KB)
18TI002 PC Minutes 3/21/2019

18TIF002 Staff Review - Attachments & Links:
18TIF002 Staff Report
18TIF002 Aerial Photo / Vicinity Map
17PL137 – Park Hill #7 Preliminary Subdivision Plan – Staff Report
17PL137 – Park Hill #7 Preliminary Subdivision Plan – Supporting Attachments
17PL137 – Park Hill #7 Preliminary Subdivision Plan – Council approval on 1/16/18 
TIF Committee Minutes 8/28/2018
pdf TIF Committee Minutes 10/23/2018 (24 KB)

18TIF002 Revised Submittal Information - Attachments & Links:
 18TIF002 Revised TIF Application
 18TIF002 Revised TIF Policy Checklist
 18TIF002 Revised TID Boundary
 18TIF002 Revised Applicant Pro Forma
 18TIF002 Revised Engineer Estimate
 18TIF002 Revised Project Costs
 18TIF002 Landscape Plan
 18TIF002 Landscaping Costs
 18TIF002 Amortization Schedule w/o TID
 18TIF002 Amortization Schedule w/TID
 18TIF002 Property Valuations

18TIF002 Submittal Information – Attachments & Links:
 18TIF002 TIF Application
 18TIF002 TIF Policy Checklist
 18TIF002 Proposed TIF Boundary
 18TIF002 Public Improvements Map
 18TIF002 Grading, Irrigation and Waste Plan Sheets
 18TIF002 Phasing Plan
 18TIF002 Project Costs
 18TIF002 Landscape Buffer Costs
 18TIF002 Applicant Pro Forma
 18TIF002 Applicant Revenue Projections
 18TIF002 Applicant Amortization Schedule

Other Resources - Attachments & Links:
 TIF Guidelines
 SDCL 11-9 – Tax Increment Financing
 2017 Tax Valuation Spreadsheet

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