5.1 Public Hearing TIF Plan 2-2 - Laserfiche WebLink

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CITY OF PEQUOT LAKES —TIF DISTRICT NO. 2 -2 A map showing the location of the TIF District is shown in Exhibit 1. The area encompassed by the TIF District includes all street rights -of -way and utility or drainage easements located upon or adjacent to the property described above. Section 7 Estimated Sources and Uses of Funds (Public Costs) The estimated costs of the proposed development in the TIF District, which are eligible for reimbursement with tax increments of the TIF District, and the projected sources of revenue available to fund these costs are summarized below. Estimated Proiect/Financing Costs to be paid or financed with increment: Project Costs Land Acquisition $ 200,000 Site Improvements $ 340,000 Utilities $ - Total $ 540,000 Finance Costs Bond & Note Interest Expense $ 182,494 Administrative Costs Administration funded with TIF $ 80,249 TOTAL USE OF FUNDS $ 802,743 Estimated Tax Increment Revenues Tax Increments (after OSA tax) $ 802,487 Investment Interest $ 255 TOTAL SOURCE OF FUNDS $ 802,743 Estimated Amount of Bonds to be issued $ 620,249 The Authority reserves the right to adjust the amount of capital line items listed above or to incorporate additional eligible items, so long as the total capital & administrative costs are not increased ($620,249). Adjusting financing costs, principal or interest will require a public hearing and formal TIF Plan modification process pursuant to Minnesota Statutes Section 469.175 Subd. 4. The Authority also reserves the right to fund any of the identified costs with any other legally available revenues, but anticipates that such costs will be primarily financed with tax increments. Therefore, the total estimated costs to be financed with tax increments, including capital costs, administrative costs and financing costs (interest) is $802,743. Section 8 Estimated Impact on Other Taxing Jurisdictions Exhibit 4 shows the estimated impact on other taxing jurisdictions if the projected Retained Captured Net Tax Capacity of the TIF District were hypothetically available to the other jurisdictions. The Authority believes that there will be no adverse impact on other taxing jurisdictions during the life of the TIF District, since the proposed development would not have occurred without the establishment of the TIF District and the provision of public assistance. A positive impact on other taxing jurisdictions will occur when the TIF District is decertified and the development therein becomes part of the general tax base. Section 9 Fiscal and economic implications M.S. Section 469.175 Subdivision 2(b) requires a specific description of the fiscal and economic implications of the proposed TIF District on city operations, plus an estimate of the total TIF to be generated over the life of the 4