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HomeMy WebLinkAbout2001-109 - Intergovernmental Agreement with Park Hill School DistrictBILL NO. ~~~G'~- /~~~ ORDINANCE NO. -_~~~~/D~ AN ORDINANCE APPROVING AND AUTHORIZING THE EXECUTION OF AN INTERGOVERNMENTAL AGREEMENT WITH THE PARK HILL SCHOOL DISTRICT IN CONNECTION WITH THE GATEWAY REDEVELOPMENT PLAN AND AUTHORIZING ACTIONS RELATED THERETO WHEREAS, the City and the TIF Commission are considering the proposed Gateway Redevelopment Plan in order to encourage and facilitate the enhancement of real property and other tax bases, the removal of blight and local economic development and redevelopment activities. WHEREAS, under the Redevelopment Plan, Reimbursable Project Costs incurred by the City, the TIF Commission and/or developer(s) selected to implement Redevelopment Project(s) will be funded from Economic Activity Taxes and Payments in Lieu of Taxes. WHEREAS, the City recognizes the importance to the School District of maintaining and enhancing its tax base and the School District recognizes the importance to the City of encouraging development and the removal of blight and the parties desire to enter into the Gateway Intergovernmental Agreement ("Agreement") to facilitate these goals. NOW THEREFORE, BE IT ORDAINED BY THE BOARD OF ALDERMEN OF THE CITY OF RIVERSIDE, MISSOURI AS FOLLOWS: Section 1. The Agreement, in substantially the form attached as Exhibit A, is approved. Section 2. The Mayor and City Clerk are authorized to execute such document with such changes as such officer shall approve, execution of such document being conclusive proof of such approval. The Mayor, City Clerk and City Administrator aze each authorized and directed to perform all acts and execute any other documents necessary or desirable to effectuate the intent of this Ordinance. Section 3. This Ordinance shall be in full force and effect from and after its passage and approval. / ~- Adopted and passed this ~~~~day of ~ - ~L!- ~'-~~~'~-- .2001. A TEST: / ~. - ~ - ~; ~,~. City Clerk ' '1a -', lc'J--'G G'S ~. G'7 Betty Br} ~h, Mayor CITY OF RIVERSIDE, MISSOURI PARK HILL SCHOOL DISTRICT GATEWAY REDEVELOPMENT PLAN INTERGOVERNMENTAL AGREEMENT This Agreement is effective as of the Effective Date (as defined in Section 18), by and between the City of Riverside, Missouri, a Missouri fourth class city (the "City"), the Tax Increment Financing Commission of Riverside, Missouri ("TIF Commission"), and Park Hill School District ("School District"). RECITALS A. The City is a fourth class municipality of the State of Missouri ("State") duly organized and validly existing. B. The School District is a school district duly organized and validly existing. C. The TIF Commission was created pursuant to Ordinance No. 95-64, adopted by the Board of Aldermen of Riverside, Missouri on September 12, 1995 and pursuant to the Real Property Tax Increment Allocation Redevelopment Act, Sections 99.800 to 99.865 of the Revised Statutes of Missouri, as amended (the "Act"). D. The City and the TIF Commission are considering the proposed Gateway Redevelopment Plan (as now and hereafter amended, the "Redevelopment Plan") which could classify the real property (the "Redevelopment Area") legally described in the attached Exhibit "A" as a "blighted area" and designate it as a "redevelopment area" pursuant to the Act; and provide for the redevelopment of the Redevelopment Area. Terms used in this Agreement but not defined herein shall have the meaning ascribed to such term in the Redevelopment Plan. E. The Redevelopment Plan has as its objectives, the enhancement of real property and other tax bases, the removal of blight and the encouragement of local economic development and redevelopment activities. F. Under the Redevelopment Plan, Reimbursable Project Costs incurred by the City, the TIF Commission and/or developer(s) selected to implement Redevelopment Project(s) will be funded from Economic Activity Taxes and Payments in Lieu of Taxes. G. The City recognizes the importance to the School District of maintaining and enhancing its tax base and the School District recognizes the importance to the City of encouraging development and the removal of blight and the parties desire to enter into this Agreement to facilitate those goals. H. The City, the TIF Commission and the School District desire to set forth in this Agreement certain agreements relating to Payments in Lieu of Taxes under the Redevelopment Plan. AGREEMENT NOW THEREFORE, the parties agree as follows: 1. Redevelopment Project. All Redevelopment Projects under the Redevelopment Plan for which Reimbursable Project Costs are requested to be paid or reimbursed from tax increment financing revenues will be considered by the TIF Commissions and the City on an individual case by case basis. 2. No Residential as a Redevelopment Project Area. No residential homes will be designated as a Redevelopment Project Area under the Redevelopment Plan and therefore, no tax increment financing revenues will be collected from residential homes. 3. Policy Statement. The City recognizes the importance to the School District, as well as other Taxing Districts, of maintaining and enhancing their respective tax bases. The School District recognizes the importance to the City of encouraging development and the removal of blight which, in turn, increases the tax base of the School District. In connection with the Redevelopment Plan, PILOTS will only be used to the extent necessary to accomplish a Redevelopment Project which demonstrates financial and economic need such that the Redevelopment Project would not otherwise go forward and be viable. PILOTS will not be used when they are no longer necessary. Further, prior to approval, each and every Redevelopment Project under the Redevelopment Plan will come before the TIF Commission and the City for consideration and as a part of such consideration, information will be presented which (i) demonstrates the financial and economic need that such Redevelopment Project would not otherwise go forward and be viable, and (ii) estimates the amount of TIF Revenues necessary for the Redevelopment Project. 4. Determination of Initial Equalized Assessed Value and Initial School Taxes. Immediately after the City approves a Redevelopment Project under the Redevelopment Plan and adopts tax increment financing for the corresponding Redevelopment Project Area under the Redevelopment Plan, the County Assessor is required under the Act to certify the initial equalized assessed value of such Redevelopment Project Area. Further, there shall be determined from records of the County Assessor's office, the dollar amount of ad valorem taxes assessed by the School District against such Redevelopment Project Area under the Redevelopment Plan based upon such initial equalized assessed value (the "Initial School Taxes"). 5. Determination of PILOTS. Under the Redevelopment Plan, only 50% of PILOTS will be collected and deposited into the Special Allocation Fund with the remaining 50% going to the applicable taxing jurisdictions. The term during which such PILOTS will be collected under the Redevelopment Plan will be as follows: -2- a. For a Redevelopment Project which is anticipated to at least triple the then assessed value of the applicable Redevelopment Project Area upon completion, not more than 10 years. b. For all other Redevelopment Projects, not more than 5 years. 6. Initial Tax Levv. As of the date hereof, the School District tax levy is 4.9932 % ("Initial Tax Levy"). For purposes of calculating PILOTs under the Redevelopment Plan, the tax levy of the School District shall not exceed the Initial Tax Rate and amounts attributable to the then current School District tax levy being in excess of the Initial Tax Levy shall not be considered PILOTS but rather real estate taxes distributed to the School District. 7. School District Hold Harmless. For each calendar year of the Redevelopment Plan, the School District Hold Harmless Amount shall be determined as set forth below for each Redevelopment Project Area (but only during the term of such area) under the Redevelopment Plan: a. First, there shall be determined the total taxes, PILOTS and other amounts received by the School District with respect to such Redevelopment Project Area ("Total School Taxes"). b. Second, there shall be determined the Initial School Taxes with respect to such Redevelopment Project Area. c. The School District Hold Harmless Amount shall be the amount by which the Total School Taxes is less than the Initial School Taxes. For example, if the Total School Taxes are $4,500 and the Initial School Taxes are $S,000,the School District Hold Harmless Amount is $500. If the Total School Taxes are $6,000 and the Initial School Taxes are $5,000, the School District Hold Harmless Amount is $0. 8. Gateway Redevelopment Plan Special Allocation Fund. a. Application of City EATS in Special Allocation Fund. Under the Redevelopment Plan, disbursements from the Special Allocation Fund to pay Reimbursable Project Costs will be made FIRST from EATS deposited into the Special Allocation Fund which are attributable to taxes imposed by the City on economic activities ("City EATS"). Only after all City EATs have been utilized shall other TIF Revenues be used to pay Reimbursable Project Costs. b. Priority on PILOTS in Special Allocation Fund. With respect to each Redevelopment Project Area under the Redevelopment Plan, each year during which PILOTS are collected and paid into the Special Allocation Fund, the City will first distribute to the School District an amount equal to the School District -3- Hold Harmless Amount for such year; provided that in no event shall the School District Hold Harmless Amount and related distribution exceed the amount of PILOTS collected from such Redevelopment Project Area for such year. 9. Hold Harmless in the Event of Condemnation. a. Notwithstanding anything to the contrary contained in this Agreement, if the City has designated a Redevelopment Project Area and condemned property therein pursuant to the Redevelopment Plan and has issued, is in the process of issuing or intends to issue a request for proposals to privately develop such property ("RFP Property"), then solely with respect to the RFP Property, if sufficient PILOTS are not available in the Special Allocation Fund, the City shall, during the time the City owns the RFP Property, pay to the School District an amount equal to the difference between the amount paid to the School District from PILOTS and the School District Hold Harmless Amount applicable to the RFP Property. This exception shall not apply and no amount shall be due with respect to any property converted to a public use. b. For example, if the School District Hold Harmless Amount with respect to the RFP Property is $500 and amount paid to the School District from the PILOTs in the Special Allocation Fund is $250, then the City shall pay to the School District the remaining $250. If the School District Hold Harmless Amount with respect to the RFP Property is $500 and amount paid to the School District from the PILOTS in the Special Allocation Fund is $500, then the remaining amount would be zero. 10. Notices. Any notice or other communication required, permitted or contemplated by this Agreement must be in writing and may be given by United States Mail, postage prepaid, or registered or certified mail, return receipt requested, and shall be deemed delivered when deposited in the United States mail addressed as follows: For City of Riverside: City of Riverside 2950 Vivion Riverside, Missouri 64150 Attn: City Administrator Phone: 816-741-3993 Fax: 816-746-8349 -4- with a copy to: Stephen A. Crystal, Esq. Armstrong Teasdale, LLP 2345 Grand Boulevard, Suite 2000 Kansas City, Missouri 64108 Phone: 816-221-3420 fax: 816-221-0786 For Riverside TIF Commission: TIF Commission 2950 Vivion Riverside, Missouri 64150 Attn: Ron Super, Chairman with a copy to: Stephen A. Crystal, Esq. Armstrong Teasdale, LLP 2345 Grand Boulevard, Suite 2000 Kansas City, Missouri 64108 Phone: 816-221-3420 fax: 816-221-0786 For School District: Dennis Fisher Park Hill School District 7703 NW Barry Road Kansas City, Missouri 64153 Phone: 816-741-1521 -5- Notice given in any other manner shall be deemed delivered when actually received. Any party may change its notice address by giving the other parties written notice of such change. 11. Cooperation. The parties agree to work together to accomplishment the goals and objectives of the Redevelopment Plan and this Agreement. 12. Successors and Assiens. Neither this Agreement nor any right or obligation under it may be assigned by any party without the prior written approval of the other parties. This Agreement shall be binding upon the parties and their respective successors and permitted assigns. 13. Governing Law. This Agreement shall be construed and interpreted in accordance with the laws of the State of Missouri without regard to conflict of law statutes. 14. Amendments. This Agreement may not be amended or modified except by a written instrument signed by the party against whom enforcement of such amendment or modification is sought. The parties agree to modify the procedures set forth in this Agreement as may be needed to meet the specific needs of Redevelopment Plan adopted in the future, any amendments to the Act, policies or rules adopted by the Missouri Department of Revenue, or court orders or rulings affecting the procedures set forth in this Agreement. 15. Conflict. If any provision of this Agreement conflicts with the Act, the Act shall control. 16. Interpretation. Where required for proper interpretation, words in the singular shall include the plural, and words of any gender shall include all genders. The descriptive headings of the articles and sections of this Agreement are for convenience only and shall not control or affect the meaning or construction of any of the provisions of this Agreement. 17. Waiver. No waiver by any party of any of its rights or remedies under this Agreement shall be considered a waiver of any other or subsequent right or remedy. No waiver by any party of any of its rights or remedies under this Agreement shall be effective unless evidenced by a written instrument executed by the waiving party. 18. Effective Date. The effective date ("Effective Date") of this Agreement shall be deemed to be the last of the dates indicated below at the signatures of the parties, and such date shall be the "date hereof" for the purpose of computing the time periods set forth in this Agreement. 19. Term of Agreement. This Agreement concerns the Redevelopment Plan. This Agreement shall continue in effect for the term of the Redevelopment Plan and shall terminate upon the termination of the Redevelopment Plan. -6- EXECUTED as of the Effective Date. CITY OF RIVERSIDE, MISSOURI B ~ ~ ~~,c ~~.~~ ~~ Y• Betty B ch, Mayor APPROVED AS TO FORM: City Attorney STATE OF MISSOURI ) ss COUNTY OF f'~ c; + ~ ) On this ` ` r °: ~ day of ~ ' _ ~,: _ ;;.. ~ y, 2002, before me, appeared Betty Burch, to me personally known, who being by me duly sworn, did say that she is the Mayor of the City of Riverside, Missouri, and that said instrument was signed in behalf of said City by authority of its Board of Aldermen, and said Betty Burch acknowledged said instrument to be the free act and deed of said City. IN WITNESS WHEREOF, I have hereunto set my hand and affixed my notarial seal at my office the day and year last above written. ~~ - ~iotary Public' My commission expires: SHIRLEY NIXON Notary Public ~ PJotary Seal Jackson County Stag :,' : iiissouri nay Commiss;~, >_ :,,res: June 17, 2003 -7- PARK HILL SCHOOL DISTRICT Date: ~~ ,~ ~ ~~ ~-' ATTEST: Secretary APPROVED AS TO FORM: School District Attorney STATE OF MISSOURI COUNTY OF ss ~l '' Name: -~ ~~ „ ~~ s }. Title: ~~ ~~.~~.. ~ v-~:~ On this, 1 day of~C!~_j"/6'I~ i , 2001 before me, appeared Ld~G I{'I ~ ~, ~ ~ -~ `f'" , to me personally known, who being by me duly sworn, did say that I; ~~r is the ,r : "~, ~1 of the Park Hill School District of Platte County, Missouri, and that said instrument as signed in behalf of said school district by authority of its Board ,and said ~ °?j acknowledged said instrument to be the free act and deed of said school district. S~ ~~ a ~,~; ~~; ~ ) ; ~ ~ ~~. (~ Ir i ~ -~~ , IN WITNESS WHEREOF, I have hereunto set my hand and affixed my notarial seal at my office the day and year last above written. My commission expires: oEa pH' ~1(~OD[9~Lt. rY ubllc -Notary Beal STATE OF MISSOURf Commissioned in Platte County '`~Y Commission Expires Oct. 3, 2003 Notary Public -8-