05.01 TIF District - Heart of the godd Life Development

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Although Xcel is not requesting assistance,the business park is in need of infrastructure to support its future development. Setting up a TIF district,will allow the City to capture increment from the Xcel parcel,along with the other parcels in the park,to redirect it to support this needed infrastructure. Proposed Scope of Services David Drown Associates proposes to provide all services necessary to research,prepare and establish a TIF District for the City. Our duties will include the following: 1. We will attend initial meetings with City staff,consultants and the business owner as necessary to identify objectives and evaluate potential alternatives and strategies for designing the TIF District. 2. We will coordinate the collection of all data required to prepare the tax increment financing plan, including projections of tax increment revenues to be generated by proposed development(s). 3. We will prepare all documents associated with the creation of the TIF District including the tax increment financing plan,supporting schedules,resolutions and filing documents. 4. We will be responsible for preparing all notifications and publications required by state law for TIF and the Business Subsidy. 5. We will attend and make a presentation at public hearing(s) required for the TIF District. 6. We will prepare all documents necessary to certify the District with the County and State. 7. We will prepare a complete transcript of documents associated with this TIF District, including an initial set of sample State Auditor TIF reports for the district to make future reporting duties clearer and easier. 8. We will provide general advice and assistance in managing the TIF Distrid in the future. Schedule for Completion All work to create the TIF District must be completed before a building permit can be issued for the project. Attached is a proposed schedule of events for the creation of TIF District 2-1. Public hearing for the TIF district is tentatively scheduled for Tuesday, March 2,2021. Compensation We wi11 provide consulting services outlined above for the lump sum of$5,500, plus expenses(not to exceed$500). In the event the City stops work on the project,we shall be entitled to compensation for work completed to that date calculated at our standard hourly rates. David Drown Associates has an exclusive service agreement with Sourcewell,under which Sourcewell pays for 50%of DDA professional services provided to Region 5 communities, up to$7,500. Billing for this work will take place after luly 1,2021. Based on this billing date,Sourcewell may provide assistance totaling$3,000,with the City responsible for the remaining$3,000. If the City proceeds with the establishment of the TIF district, DDA will make a formal request to Sourcewell in support of this work. The City will be responsible for any additional expenses,such as of legal publication, legal or bond counsel fees and/or other costs related to the TIF District.