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HomeMy WebLinkAbout1996-05-08 TIF Commission MinutesTAX INCRSMSNT FINANCING COMMISSION MINDTSS MAY 8, 1996 The Riverside Tax Increment Financing Commission met at 4712 NW Gateway, Riverside, on May 8, 1996, at 7:00 p.m. Those present were: Betty Burch, Jim Davis, Diza Eskridge, Jimmy Rarr, Ron Super, Al Tunis, Tim Weeks, and Sd Young. Also present were Mayor Sd Rule, Stephen Crystal, Nancy Jacks, and Ann Daniels. The meeting was called to order by Ron Super, Chairman. Mr. Super suggested that he relinquish the title of Chai*~~*+ in favor of Alderman Betty Burch since she was most knowledgeable about the project. Stephen Crystal, attorney for the Commission, reminded the group of the state statute provision that members of the TIF Commission may not be owners of property in the proposed area. Consequently, he stated it was his belief that both Alderman Burch and Sd Young, as property owners, would need to be replaced on the Commission. In addition, Mr. Crystal stated that the appointment of Mayor Ed Rule to act as an Alternate for David Brenner during his convalescence, was not admissible by state statute since there is no provision made in the statutes for Alternates to serve. Mr. Rule, Mrs. Burch, and Mr. Young expressed disappointment at not being able to continue with the project. Mayor Rule stated it was the Board's intention, as well as his own, that everything about this project be followed to the letter so no questions could be asked or criticism be levied about the operations of the Commission in making this plan work. Both Mr. Young and Mrs. Burch shared in this sentiment. Mayor Rule will begin recruiting two new members to serve on the Commission. Following review of the Minutes from the March 13, 1996, meeting, motion was made by Jim Davis, seconded by Al Tunis, that the Minutes be approved as printed. Motion carried unanimously. Stephen Crystal gave an update on progress made since the last meeting, as follows: - A meeting had been held with Martin Lancaster, Assistant Secretary for the Corps of Engineers, to discuss the progress being made by the Riverside contingent to provide the needed funding for the project. Lancaster stated his support but that a letter of funding commitment from a financial advisor would be required by June 1, 1996, to hold the funds in the FY 97 budget. - The Board of Aldermen have adopted a Resolution in support of the proposed project, with the financing as stated at the March 13 meeting. - The Riverside-Quindaro Bend Levee District Board has adopted a similar Resolution of support. - A meeting will be held in the near future with the Platte County Commissioners to solicit their adoption of the same Resolution of support. - A letter was distributed from the Trillium Corporation showing their increased participation. Changes in their position from previous discussions included: a. An increase in the cash contribution from $2.3 million to $2.8 million and a request that the City match this amount b. IIse of state income tax credits which amounts to an additional $1,390,000 in cash contributions c. A letter of credit will be provided for Platte County to fully back the issuance of $4 million in Neighborhood Improvement District Bonds d. An agreement to provide some form of collateral to the City for the $6 million in Neighborhood Improvement District Bonds they will issue e. A request for reimbursement of their contributions through TIF assessments - A suggestion was made that the City of Riverside contribute $500,000 per year for five years to offset the start up costs of the NIDs and reduce the amount paid from property owners until development begins to occur and repayment is available through TIF funds. During a discussion of a means by which to apprise the property owners of the possible assessment to their property, both for the levee district improvement bonds and the neighborhood improvement bonds, Jim Davis suggested using the assessed valuation of the property as it is currently listed on the county's tax rolls. Crystal agreed with this suggestion and will attempt to have a figure computed for each property owner to review by June 1. A discussion was held concerning the inclusion of the new hotel proposed for construction by Argosy and the impact that would have on the county taxing jurisdictions and the school district. Al Tunis, representing the Park Hill School District, stated a concern that the county, city, and developer were being paid back through guarantees and eventual TIF funds and the School District would be losing the revenues with no reimbursement proposed. Mr. Crystal suggested a reimbursement could be considered under the final plan and this would be discussed as plans unfold. Further issues addressed concerned the potential for the City to hold an election in August to ensure the support of the voters in Riverside for city funds to be spent on the levee and the added chance that an election would be required by all the voters in the city to approve issuance of the Neighborhood Improvement District Bonds, pending the ruling from the Supreme Court on the constitutional change to NIDs. The Supreme Court ruling is expected on May 28, 1996. The Board of Aldermen will be asked to consider these issues at their meeting on May 21, 1996. A Resolution was read, stating the TIF Commission was presenting a project for consideration and that the Public Hearing for this plan would be held on June 27, 1996, at 7:00 p.m. at the IInion Hall in Riverside. Motion was made by Jimmy Karr, seconded by Jim Davis, to adopt the Resolution. Motion carried unanimously. Stephen Crystal's firm will handle all the public notices, prepare Agendas for the Hearing, ordinances, etc. thereby relieving city staff of this responsibility. Ann Daniels, Secretary to the Board, requested an estimate of legal fees to continue this project forward. Crystal stated the original $15,000 had been expended it preparing the plan, which was not expected at the time of engaging the firm's services, and estimated an additional $50,000 would be required to complete the process. Daniels stated she would take this amount to the Board of Aldermen for their approval. Crystal stated he would include the reimbursement of the legal fees as a part of the TIF contributions. It was decided that the next meeting would be held on May 22, 1996. The meeting adjourned, by general consent, at 9:20 p.m. Ann Daniels, Secretary to the TIF Commission