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5.3 Resolutions regarding TIF 2-2 and Business Subsidy
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11-06-2023 Council Meeting
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5.3 Resolutions regarding TIF 2-2 and Business Subsidy
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9. The Developer agrees to keep current on all payments of property taxes. <br />10. The Developer will not contest or challenge its market valuation during the <br />duration of the TIF district. <br />11. The Developer agrees to indemnify the City for the project. <br />CITY COMMITMENTS: <br />1. The City finds the following public purposes for this subsidy (as required by the <br />City's Business Subsidy Policy): <br />a. Increase tax base <br />b. Foster economic and commercial diversity in the community <br />c. Create new jobs in the community <br />d. Assist in the development public improvement or facilities (new growth <br />in the HOTGL Development) <br />2. Establish an Economic Development TIF District, TIF District 2 -2, for this parcel. <br />3. The City will provide tax increment financing assistance to the project on a "pay - <br />as- you -go" basis. This pay -as- you -go assistance requires the developer to pay <br />all up -front project costs, with the City reimbursing a portion of the increment for <br />those eligible project costs. Eligible costs include, land acquisition, footings and <br />foundations, site preparation, grading and earthwork, engineering, surveying, <br />onsite utilities, storm water ponding, onsite road, curb, gutter, driveway, sidewalk <br />and streetscape improvements, landscaping, parking, and SAC/WAC <br />connections. <br />4. The City will reimburse the developer 90% of the tax increments generated by <br />the project, up to $400,000, over the nine (9) year district life. <br />5. Payments will be paid semi - annually on August 1St and February 151 of each year, <br />commencing August 1, 2026, and continuing through February 1, 2035, or until <br />payments total $400,000. <br />6. The note shall bear an interest rate of 5 %. <br />
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