Explanation
The Polaris Tax Increment Financing District (the TIF) has been proven to be a very successful effort on the part of the City and the developer. Previous ordinances have authorized the City to enter into various agreements and to pay for the costs associated with those agreements with monies borrowed via City issued bonds.
Some of the previous ordinances which speak to this effort are as follows. Ordinance No. 3106-96 adopted 12/16/96 created the TIF, Ordinances No. 627-04 and No. 1560-05 expanded the TIF area, and Ord. No. 733-04 authorized the transfer of monies to provide for the ODOT Agreement. Ord. No. 734-04 authorized the City to enter into an agreement with ODOT in an amount of $27,600,000, and Ord. No. 745-04 authorized the issuance of City bonds in an amount not to exceed $35 million to provide funds to pay the costs of the agreement with ODOT and the Developer and to refund a previous bond issue. Of the $35 million of bonds authorized pursuant to Ordinance 745-04, the City has issued $20 million of Senior TIF bonds on October 28, 2004 and $8,150,000 of Junior TIF bonds on various dates in 2005 and 2006. There is currently an aggregate total of $27.535 million of indebtedness outstanding.
The remaining costs due to the Developer under these agreements are presently estimated at $1.35 million. The TIF has been sufficiently successful to provide for the payment of these costs directly from TIF monies contained in the TIF Fund No. 402 thereby making the additional issuance of bonds unnecessary at this time. This Ordinance will authorize the payment of these costs from TIF Fund No. 402.
The final payment to ODOT was authorized in this same manner via Ordinance No. 674-2008 adopted by this Council on May 5, 2008.
Title
To appropriate and authorize the expenditure of $1.35 million from the Polaris Tax Increment Financing District, Fund No. 402 in order to pay certain costs previously authorized by agreements betw...
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