HomeMy WebLinkAbout1989-06-08 Publicorp Memorandum 6,`G8:'69 16: � HOLME'S & GRAVEN NOW 002
Fle w: Sr ezoiY Auu,
T. I. P.
Publicotp INc.
410 piUsbuny Camian (6121 317 , 9292
MioN"Ib,MiM 55402
M E M O R A M D U M
Tdt Brad Henning 544 1826
Bob Voto 429 - 5004
Mark Vierling 439 - 2923
Dan Wilson 925 - 2721
FRt Sid Inman
991 Attached Ana lysis
DT: June 8, 1989
Delivered by VAX
Attached is a Copy of the analysis that we discussed at our
last meeting, Based on the city's approach to tax inurement
financing, we have attempted to analyze the project in the
most conservative fashion possible,
1. The city's direction was to assume that the project
would reside in an Economic aevolopment District and
that fiscal disparities would be taken from inside
the district.. The city's position is that 40% of
the market value should be set aside for the fiscal
disparities and not available for tax increment.
The actual fiscal disparities portion for the city
of Oak Park Heights is much less than 40% and
therefor the actual tax increment that will be
generated would potentially be greater than shown on
the runs.
2. The city has told us to asaame that the project will
reside in an Economic Development District. The law
requires that the hAM* value for an economical
district he increased during the life of that
district in a percentage amount equal to the avi
increase in value over the prior five years of tr,
district. The county has informed us that due to
the age of 'Chose records, we are required to write
them a formal letter, along with the deposit to
cover their expenditures in gathering that
information. The information will not he available
for purposes of this run. We have determined in
tt6. `O8 `S9 16:02 • HOLMES & GRAVEN NCO3 0 0 3
reviewing the tax statements, that it is rraeonable
to assume that the value of the Project has not
increased substantially over the past five years and
therefor we will be using a 2.5% increase as our
Adjustment factor. You should be aware that if this
adjustment factor is too high there will be more tax
increment generated than indicated on the run. If
in fact the adjustment figure is too low, there will
be less tax increment available than referenced on
the run,
3. The city has indicated that the they feel that the
county assessor Will revalue the base value of the
Property to more reflect the sale transaction to
Watson. We have therefor established the base value
and added a factor to increase the bass value to the
dollar amount indicated in Mr. voto's memorandum.
If, in fact, the base value is set lower than
indicated, there will be more tax increment
available to the project.
4. The market value of the project was based on
information we received from the county assessor.
Mr. Voto's letter recommends that we use a higher
market value. We have therefore adjusted the market
value of the project upwards to indicate that
change,
5. At the cv.rrent time the run assumes no inflation of
market value during the life of the district. If
the inflation on the new project is higher than the
inflation rate assumed on the base adjustment factor
there will be more tax itrcr€}ment available during
the life of the run. if the inflation factor on the
project is less than the adjustment factor there
will be legs tax increment available.
b. We attempted to analyze whether or not we should
include nr exclude additional parcels in the
economical development district. Due to the short
timeframe allowed for us to calculate this, along
with our inability to acquire accurate data as to
the base value adjustment factor, we have determined
not to include any additional parcels and that ,it is
impossible to speculate on their effect.
6is/08.'89 16:03 is HOLMES GRAVEN hJO. 005
68-im -B9
6t. Croix Ma11 Page 1
Tax Capacity Rite B,s
Inflation Rate 0.000 KEASE REVIEW ALL AS6111pTIM t------- - -----
ThNitian Starts in 0
Re Rite 0, M
CDIlactipr Rata 109.0088'
Fiscal Disparities 40,0099%
���M�aitai!i�t�i#�iMMrl�fliti�i MM1l�+ i++ s+ r�IHlf++++ a+ rrrK* k++ e++ rr+ R, �r+ a+++ w�nre++ t+++ #i�Fi�►e1t�RIFHi1ta11tMr1M1Ff *i�lllFNi1
�ri�ir►al P.D, Original 0� Pro3.ct
Drigial Valum Market Tai Tax + profert Values- Market Value Tax Capacity
Value Capacity Capacity •
District rki Est � �-- - - -- -- - --�#� District f1 Est - --- 100,818 0.0330
4Dmlo;mt Dist) + 7,9N ft 0.8525 414,758
+ 0 r�r� W— Ml$,83fi
Lek I block E 1,140,188 5,199 54,656 +
Action Rental M
+
Lot 4 Black 2 24,600 111 1,17r i
Cane Lakes Res, +
i
Lot 3 Block 2 438,680 1,890 21,027 t
Wards Auto
•
Lot 2 Block 2 1, 654, me 7,376 TT, 546 a
St. Croix Mall +
+
Lot 3 Block 2 150,300 687 7,284 +
Theater
+
Lot X black K M
extra Value 1 6,939 66,821 a
Brand Total .
�, 9804 000 22,319 227, 732 +
f
Five Year Value t
Lot 1 Block E
Lot 4 Block 2 ESTINATE8 +
Lot 3 Block 2
Lot 2 Block 2
Lot S Block E +
a
Brand Total 4,866, +
Total 534, 909 a
Aw9agn Five Years 106'089 s
psrrat lncreise 192.%% +
SMIN41 Prepared by Pub] icarp Inc. �r�3
06/08/89 16: 03 • HIDLPIES & GRHUEN NCO3 804 `-�
It appears the only major item remaining fe the city�e final
decision as to whether or not, to vary the fisal disparities
policy. c
Plesae feel free to call me if you have any questions,
comments, or Corrections.
scr /jp
Cc: Eugene Ranieri
Jim Holmes
' 06:'08:'89 16:03 • HOLMES & GRW.)EN NOW 086
01 - 1r�ra9
9t. fai* 14111 Paps 2
* rrrr � ,►+ r � ttttrr � rl f+ n rrrtr+ rralw* r+ rr+ s+. arrw�r+++++ t�rrr+.+ +.+strrrrr� +rw
+ Q T, E, N.T.C. C. T. L`,
* E 1EAR F.D. C. T. C. T. C. R. T.I. P. A, Y, B. Tot11 P. V.
86for6 F. t}. After F.D. � 81 pry1Mlnt Wiur 11.75x *
r a.a 89 227,738 227,732 8 91,093
♦ 8.5 89 227,130 227,732 0 0 @ r
* 111 91 227 7M 227,733 0 91 6 $ 8.920314 8 1 8
r 113 91 227,732 227,73t a 8 1.921311 8 0 1 r
9!,893 4 $, 920310
+ 2.0 91 233,433 418,058 194,617
r 2.5 31 73,847 118,770 0.92131$ 0 g 4
233,433 418 49 1 $ r
r 3.8 92 239,271 418,43•$ 176,773 71,519 187,264 4.921318 58 9711 10,97 0 , 0 , 3 r
* 3.5 92 239,271 418,161 178, 773 71,319 117,264 0,98@311 58,971 0,971 ]8 413 64, 9@Q
+ �.@ 93 1'45,268 416.051 17E,792 65,113 103,669 0.983.118 49,358 49,338 1510301 321,093 r
* 4.5 93 245,268 118,861 172,782 69,113 103,654 0.928316 49 49,356 266,559 158,945 +
• 5.1 94 281,409 418,1151 ]66,W 66,157 99,985 0. =if 47,744 47,704 2% A3 192,1418 +
* L 5 % 251, 488 418,02 165, 612 66, 657 99 L 921310 47,704 47,704 2'96, 967 U3, 3918 r
r 6.0 95 2#1,702 418,451 168,348 64,139 96,285 8.9MIa 48,889 48,189 342,875 252,113
* 615 93 257,702 418,050 181,348 64,139 96,219 8. 4311 46,489 46,049 381,894 27% 378 r
t 7.a 96 264,153 418,098 153,837 61,539 92,438 8,968310 44,271 441171 432,351 344, m
* 73 96 264 419,158 153,8(p 61,569 98,13@ 0.928318 441271 44,971 476,626 387,878 r
4 8.8 97 27$,757 418,858 147,283
0 • S 97 58,913 18,370 8,920310 42,490 4P, 490 519,116 349,391
271 +
+ , 797 418, 050 147, 283 5G, 913 98 1 378 0.41:6318 42 498 42, 490 561 389, am s
t 9.0 96 277,543 418,8518 14 5N 54,21$ 84,393 B.92ad16 44,664 48,664 601!, an 388,347 x
r 9.6 99 277,545 418,151 141,88'5 56.28E 14,313 0.928318 48,664 40,854 64,e,934 465,943 +
*10.0 99 284,494 418,066 133,336 53,423 86,134 8.928314 38 39,792 681,726 4"1,873 t
+10.5 99 418,058 418,856 a 0 0 8.921318 38,792 38,792 720,518 436,991
r]1.0 1 418,851! 418,050 0 8 $ 0.920318 8 0 728,518 436,996 +
+] 1.5 a 416,056 418,160 0 a 1 0. 924318 a 1 720,518 436, +
* 12.0 I 418,158 418,850
0 a 0.91;831 @ @ $ 728,51E 436, 990 r
*16,6 1 418,858 418,@68 6 0 0 6.924318 6 0 728,518 436,948
*13 0 g 418,056 416,851 8 a 0 8.424318 0 a 720,518 436,998 t
*13.5 2 418,@68 418,858 6 0 a 0.920318 8 @ 720,518 436,9%
+14,0 3 418,858 418,451 a 0 0 4.928318 0 0 721,518 436,956 +
+14.5 3 416,136 418,898 1 0 8 8.920318 a 8
+15.0 4 418,151 416,151 41 8 728,518 436, 8 0 728,618 431,, 950
CA Yt
*15.5 4 419 a51 0 1 8 4.928310
+16.8 5 & 0 0 6 924310 6 0 728,518 436,998 +
316,851 418,054 0 a 0 @.924310 q a 72@,510 436,990 t
418,861 418,151 4 4 8 8.920318 0
ri ?.0 6 418,158 418,858 8 0 721,518 436,991 *
0 1 S 920314 0 8 720 436,998 r
*17.5 6 418,158 418,054 @ 0 a 8.920314 0 8 ,
418,891 418,058 a 7214,518 43 998 r
e 8.920318 0 0 80 ,518 436,998
*11.5 7 410,858 418,050 0
4.928314 B 4 ?28, 518 436, 990 *
*19.0 8 418,856 418,858 0 0 a 0198831a 0 @ 728,518 4 36,998
*115 8 418,060 418,031 a 8 6 a. 928318 4 6 721,518 436,994 +
r24� 9 416,364 416,454 a a 0 0.966310 a 0 720,518 436,996 +
+1'0.5 9 418, 650 418,154 8 $ 8 0, 924311 6 1 720,518 436, 998
*21.0 18 418,258 416,@60 e a a 8.928314 0 P 720,518 436,994 t
+21.5 !0 418,055 418,050 a 1 a 1.920318 $ B
122.0 11 418,058 418,858 8 B 721, 470,
a 0.920311+ 0 0 728,516 6 436,990 +
*22 3 11 418,858 418,850 8 1 0 8.92@318 0 0 720,518 436,990 *
*23.0 12 318,858 418,868 1 8 0 01920310 a a 726,518 436,990 r
*23.5 12 418,468 418,858 8 0 8 4.920319 1 8 71'0,519 436,998 r
r24.0 13 418,451 419,05@ 6 a B a, 924318 8 P 720,518 436,99@
#24 13 418,158 410, a 0 A 0.9 43 fa a
a 720,511 436 , 990 r
5N180-81 Prtparrd by Pub) icorp Inc.
911FINR1
CIE 06 16:04 • HOLMES ;1 GRRVEN hJO� 007
A0-3an -49 94. Croix maI1
Rage 3
Tax ExtW Tax lmvwwnk Uilibad Revanw N#ff
a+�awa++i►+a+a�Ra�siar ss .- trRa+a�f
P.P.
T. P. E. B. �
M e.0 89
M
01 89 #
• 1, 9e
+ 2. 91 4364 990
8 46;478 +
4bA 4i$ 24 7S1 0 A 0 483,229
a 3. a 9e 485, a 26, 08 44, 890
2,971 40.339 a
+ 3.5 92 460, 339 a 14,743 26, 2� 8 a0, 971 431,118 i
* 4.6 93 434,110 0 23,333 16,824 49,330 406,006
• 4.5 93 406,086 a 81,93 27,423 491356 308,663 a
1 518 94 39 663 8 2A, 461 27,243 41,704 34419 :
M 5.5 94 354 e IN 996 2$,708 47, 704 324,71 t a
+ 6.5 95 294 156 0 17,453 88,5 46,009 M i 156 r
9 A 15, 918 30, 898 46,009 X6, 066 *
7.3 96 B'+Bi 0 14,301 29,970 44,271 236,096 s
a 8.e 97 236 4 12,690 31,681 44 20~,515 *
04,515 0 le, 993 31,497 42, 4911 173,015 +
6.5 97 173,814 0 9,381 33,191 42,490 139,628 a
+ 9.0 94 139,888 e 7 516 33 14$
a + , 4e, 664 18fi, 679 r
9.5 98 1066679 0 5, 734 34,930 40, 664 71, 749 +1
410.0 99 71 + 149 0
+10.3 3 99 36 8 34,936 380 36, a
36 ,BE4 38,79e B s
t11, s 8 A re) e p
0 0 e tee a 8�
•12.8 1 e e 0 se} 0 0•
a e r
+13.0 2 e 0 0 t
0 e e t8} 0 ® •
a15, e 4 e e A
e 0 4 t0) 0 A a
++16.0 5 8 0 0 (01 e
•16 5 B 0 8 0
*17.0 6 (e} 0 0 •
e 0 8 r8) A 8 t}
x17.3 6 0 0 A t0} a 0•
118.8 T 8 A e fA} 0 B ti
48, w Lm, 289 405, 229 74 518 s
* ' �' � r** � F+ rra4rexl r+ Ktt aart resaaa+ � w +firs+rrefssss+r�►r,F.++aa*wrt *ter *taa
SN1ee -91 roared by Publirarp Inc.
911FINA1