Title
Approving the amended spending plan proposed by the St. Paul Port Authority relating to Tax Increment Balances in Energy Lane and Great Northern South Redevelopment Tax Increment Districts.
Body
BE IT RESOLVED by the City Council (the "Council") of the City of Saint Paul, Minnesota (the "City"), as follows:
Section 1. Recitals.
1.01. Minnesota Statutes, Section 469.176 was amended by the 2010 Legislative Session to add a subdivision 4m (the "2010 Legislation") providing temporary authority to use tax increment balances on hand in any tax increment district to provide for improvements, loans, interest rate subsidies or assistance in any form to private development consisting of the construction or substantial rehabilitation of buildings and ancillary facilities, if doing so will create or retain jobs in the state, including construction jobs.
1.02. Under the provisions of the 2010 Legislation, tax increments were required to be spent by December 31, 2011, for projects on which construction would commence before July 1, 2011.
1.03. 2012 Legislation has extended the deadlines, originally requiring 2011 deadlines, to allow tax increments to be spent by December 31, 2012, for projects on which construction will commence before July 1, 2012.
1.04. By Resolution No. 10-1179 adopted October 20, 2010, the Council has previously approved a spending plan proposed by the Port Authority of the City of Saint Paul ("Port Authority") for tax increment balances totaling approximately $1,800,000 ("Original TIF Balances"). The Port Authority has now advised the Council that it has $500,000 of additional tax increment balances in the Energy Lane Redevelopment Tax Increment District and the Great Northern South Redevelopment Tax Increment District (the "Additional TIF Balances") which are eligible for use under 2012 Legislation, as amended, and the Port Authority, by its Resolution No. 4413 adopted February 28, 2012, has approved the spending plan for the Additional TIF Balances attached hereto as Exhibit A.
1.05. Prior to spending the Additional TIF Balances, the Port Authority is required to obtain the approval of the City of Saint Paul to a written spending plan that specifically authorizes the Port Authority to take the actions described in the 2010 Legislation, as amended, which approval is to be given only after a public hearing as provided in the statutes.
1.06. The Port Authority wishes to spend the Additional TIF Balances according to the plan described in Exhibit A hereto, and has submitted this plan to the City for its approval at this meeting.
1.07. A notice of this hearing has been published as required by the 2010 Legislation.
1.08. The Council has investigated the facts relating to the spending plan and has conducted a public hearing as required by the 2010 Legislation, and believes it is desirable that the Additional TIF Balances be spent by the Port Authority in the way authorized by the 2010 Legislation, in order to create or retain jobs, including construction jobs, by stimulating private development that would not have commenced before July 1, 2012 without the proposed assistance.
Section 2. Findings for the Adoption and Approval of the TIF Spending Plan.
2.01. The Council believes it is desirable and in the best interest of the City to use Additional TIF Balances in the manner described in the spending plan attached hereto as Exhibit A, to stimulate private development that would not have occurred before July 1, 2012 without such assistance, to the end of creating or retaining jobs in the state, including construction jobs, and to that end the spending plan attached to this Resolution as Exhibit A is hereby approved.