HomeMy WebLinkAbout1995-11-22 TIF Commission MinutesRIVERSIDE TAX INCREMENT FINANCING COMMISSION
NOVEMBER 22, 1995
Members present: Betty Burch, Jim Davis, Diza Eskridge, Jimmy
Karr, Ron Super, Al Tunis, Jim Wedua, Tim Weeks
Also present: Dick Smith, Don Witt, Tony Curp, Kent Cripen,
Richard King, John Brown, Dan Peak, Ray Beard, and Ann Daniels
The meeting was called to order at 7:05 p.m. by Chairman Ron Super.
A motion was made by Jimmy Karr, seconded by Betty Burch, to
approve the minutes of the November 8, 1995, meeting as printed.
The vote was unanimous.
During a review of the Minutes from the November 13, 1995, Public
Hearing, the following corrections were made: corrections in the
wording to reflect the Public Hearing was "closed" rather than
"adjourned"; Diza Eskridge's comment referring to a commitment
Trillium had made previously with the "city" rather than the
"county"; and the time the hearing was closed changed from 9:45
p.m. to 11:30 p.m.
A Motion was made by Jimmy Karr, seconded by Betty Burch, that the
Minutes of the November 13, 1995 Public Hearing be approved as
corrected. The vote was unanimous.
The Treasurer, Betty Burch, brought a recommendation and made a
motion that the Commission Secretary, Ann Daniels, be paid her
hourly overtime rate of $30 for administrative services performed
on behalf of the TIF Commission. The motion was seconded by Al
Tunis. The vote was unanimous.
Treasurer Burch then presented the following bills for approval to
pay: Ann Daniels, 10-6-95 through 11-22-95, $1,920.00; Dick Smith,
9-28-10-26 - $1,597.07; Don Witt, 9-28-10-31, $4,075.44. (A copy
of these billings are attached as a part of the Minutes.)
A Motion to approve payment of the bills was made by Jimmy Karr,
seconded by Diza Eskridge. The vote was unanimous.
The Chairman announced a Closed Session had been placed on the
Agenda if the Commission members felt the need to hear from their
Attorney with legal advice concerning the matter pending. No
motion to do so was forthcoming at this time.
Ed Young entered the meeting at 7:25 p.m.
Richard King, representing the Trillium Corporation, asked for time
to highlight the new proposals included in the information
submitted to the Commission in the past three days. The Board
agreed to hear his presentation.
King stated the changes presented to the plan are twofold:
1. The revised projections will allow the City of Riverside
to make a one-time contribution of $2.3 million in the
first year of the TIF Plan. This money would be held in
escrow and expended in 1999, after a commitment is
received for placement of bonds required to insure
construction of the L-385 Levee Project. The one-time
payment would result in a net present value savings to
the City of $141,477.
2. The revised financing plan would allow a minimum of 25
percent of the payment in lieu of taxes generated
annually by the land based improvements associated with
the Argosy Riverside Casino to be returned to the Park
Hill School District and other taxing districts. This
would result in total revenues od $1,136,262 being
returned to these taxing districts during the first five
years of the TIF Plan. Of this amount, 75.66 percent, or
$859,696, will be paid to the Park Hill School District.
King further explained that the main item involved in bringing
about these proposed changes is that a series of four bonds would
be issued rather than to take the City's contribution so that
interest would accrue to pay the bonds in the first year.
Mr. King reviewed the responses his firm had sent to Dr. Gayden
Carruth, Superintendent of the Park Hill School District. He
restated that the capitol levy increases would be collected on the
entire amount of assessment but the operating levy would not.
A discussion followed King's statement that the Platte County R-5
School District is receiving $305,000 a year, in the School
Foundation formula, from the Argosy's profits paid to education in
the State of Missouri. Opinions and interpretations differed on
this issue and no resolution was reached.
Dick Smith, attorney for the Commission, asked what costs were
detailed in Section 10.1-10.3 of the response to the School
District and whether they were talking about recapturing funds to
pay for infrastructure and private property improvements. King
stated this was not the case.
Mr. Young asked what form the $8.5 million, shown as a contribution
from Trillium, would take. King stated it would be a letter of
credit used to back the bonds; if there is a default, the letter of
credit would be used to pay back all those involved with the
developer being paid back last.
A discussion was held concerning the appropriateness of requesting
funds for the Developer's costs associated with developing the plan
and the "up front" administrative costs. Dick Smith stated this
was customary and legal.
Mr. Young expressed concern that the members of the Board of
Aldermen are already being "pressured" to decide something that the
TIF Commission has not decided nor recommended.
Dick Smith inquired as to how the developers we
the 25o refund to the school district. King
happen because the construction period would
issuances of the four series of bonds allows the
further spread out; and the City's contribution
front.
Other questions asked included:
re able to propose
stated this could
be shortened, the
amortization to be
lets this occur up
How much is projected to come from the area in retail
growth? Referred to Exhibit C.
If a property tax were to be voted by the residents of
Riverside in order to keep the City financially
solvent in the event the Argosy funds should be
reduced, would all the property tax received in
the city be captured or only that for the properties
located in the TIF area. Answer: Only that in the
TIF area and only on real property; not personal
property.
Why is the levy assessment only calculated for 20 years?
Answer: That is the amount of time projected to
cover the costs for the needed funds.
Kent Crippen was introduced and reviewed his latest letter, of
November 22, 1995, detailing his support about the access of the
Interchange from 635 to the entire area, but even to Argosy. (A
copy of his letter is attached to these Minutes.)
Mr. King inquired of Mr. Crippen if the 60 acres owned by Argosy
would, indeed, benefit from the levee and the Interchange. Mr.
Crippen responded, "Most definitely".
In closing his remarks, Mr. King stated that his clients had
addressed the issue of a Closed Session to discuss legal actions
which may be threatened or under consideration by the Commission.
He and his clients were trusting the Commission's attorneys to see
that nothing inappropriate was discussed if such a session was
entered into.
Dick Smith stated he believed the State Statutes, 610.021(1)
allowed for an attorney to give privileged counsel to his clients
and he believed this was perfectly legal if the Commission chose to
do so.
A motion to enter into closed session pursuant to RSMO 610.021(1)
"legal actions, causes of action or litigation involving a public
governmental body and any confidential or privileged communications
between a public governmental body or its representatives and its
attorneys", was made by Diza Eskridge, seconded by Jim Wedua. The
vote was unanimous. The Commission entered into Closed Session at
8:35 p.m.
A motion was made by Betty Burch, seconded by Jimmy Karr, to
reenter Open Session at 9:30 p.m. The vote was unanimous.
A discussion on the timeline for reaching a decision was held. Don
Witt stated the Commission would have to make a recommendation to
the Board of Aldermen prior to December 13, 1995.
Al Tunis inquired as to whether this was the best use of funds with
the highest priority of need for the City of Riverside.
Mayor Burch responded that negotiations had not ceased with
Trillium Corporation and that decision would have to be made when
the final limits had been reached.
A motion was made by Diza Eskridge, seconded by Jimmy Karr, that
the next meeting be held on November 27, 1995, at 7:00 p.m. The
vote was unanimous. The Agenda will consist of making a decision
on the recommendation to be forwarded to the Board of Aldermen.
The meeting adjourned at 9:45 p.m
C~~
Ann Daniels, Secretary
TIF Commission