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.
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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