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6.1 ( Item# 6.1. 111110yof E1k Ri ver MEMORANDUM TO: Planning Commission FROM: Paul T. Steinman, Director of Economic Development DATE: October 21, 1997 SUBJECT: Modifications to Tax Increment Financing District No. 5 (Alltool) Issue The purpose of this item is to complete a review of the proposed modifications to Tax Increment Financing Plan for Tax Increment Financing District No. 5 • and consider it to be in conformance with the Comprehensive Plan of the City of Elk River. Background The original Tax Increment Financing District No. 5 (Alltool) is scheduled to decertify on December 31, 1997. The purpose of modification of this District at this time is to allow for the use of excess funds which have been generated in that District, to be spent on other eligible activities outside the District. As identified in the modification, approximately $225,000 is to be used to facilitate the purchase of industrial land and additionally to pay for public improvement costs. These two activities are eligible activities under the statute governing tax increment financing activities. As is required in the case of modification of any tax increment financing district, the planning body of the local governing unit is required to take action on the proposed Plan. The Planning Commission is required by State Statute to review and find the Plan modification to be in compliance with the Comprehensive Plan of the City of Elk River. In this case the original District boundaries are not scheduled to be enlarged and the use within such District remains consistent with the original Plan. 111 13065 Orono Parkway • P.O. Box 490 • Elk River, MN 55330 •TDD &Phone: (612) 441-7420 • Fax: (612) 441-7425 • Attachments • Modifications to the Tax Increment Financing Plan for Tax Increment Financing District No. 5 • Original Tax Increment Financing Plan for Tax Increment Financing District No. 5 Recommendation Staff recommends that the Planning Commission find the modifications to Tax Increment Financing Plan for Tax Increment Financing District No. 5 as presented to be in compliance with the City of Elk River Comprehensive Plan. • • • MODIFICATIONS TO THE TAX INCREMENT FINANCING PLAN for Tax Increment Financing District No. 5 (A Economic Development District) The City of Elk River Sherburne County Elk River, Minnesota • Prepared: September 11, 1997 Revised: Adopted: December 1, 1997 Prepared by: City of Elk River 13065 Orono Parkway Elk River Minnesota 55330 (612) 441-7420 With final review by: Doherty Rumble & Butler, PA 3500 Fifth Street Towers 150 South Fifth Street Minneapolis, Minnesota 55402-4235 (612) 340-5584 II . The modifications below are intended to replace specific sections of the Tax Increment Financing Plan for Tax Increment Financing District No. 5, adopted by the Council on June 20, 1988. Please refer to the complete Tax Increment Financing Plan, available from the office of the Economic Development Director, City of Elk River. F. 7. Estimate of Project Costs. The estimate of public costs associated with District No. 5 are outlined in the following line item budget. This estimate of public costs is intended to supplement any previous estimate of project costs found in the Tax Increment Financing Plan for Tax Increment Financing District No. 5, adopted by the City Council on June 20, 1988. The following costs only include costs for projects that have not yet been started. Costs for completed projects within the District that have been completed are not included. The budget below is intended to authorize additional expenditures over and above any expenditures made in any category as of the date of this amendment. Estimate of Public Costs - Project Cost Summary 1. Land Acquisition and Public Improvements Costs: $225,000 • TOTAL: $225,000 Administration costs to cover city staff and overhead and various consulting fees in an amount not to exceed ten percent of total tax increment may also be funded with tax increments from District No. 5 in addition to above-mentioned costs. • • Boundary Map of Tax Increment Financing District No. 5 TIF Di • ...... ,I • :\ low.1J,lll,/11 / -------4.....,4....../....—..t n...J t "lea',r. ___ .«.„ .. 1 • I1 tilt .1•••. /•44:4, f..”.•./ • • • is • J ' • • I% '., ik hz 4 1 . , • ti Q e I es. •• vz • • I. Z (.� O :1-4:N . : ` .. II N. 1 ,....4. 41 n .,...:: _ 2. ':N. • .t . • ac a '. 'r � • e I t ., a =•. I • • s 0,1",447"...s.----'-., ..........7.; •— '� ,,,iii). _ J 4.. . J ZS 14. ,,,.• .Q� . '/ .c 4110 • � ` 5 �0 1'I .� 111 �, ...2 ...... ......... .. . 17.------- ; •.,• 1b pr, a 1• •,.y.%; ............, j = ^y Tz �' •i d!/Qir.:..l. N'S:C'r, l...w.{ • a .X1'6 `��: / ~ 7:�i tii R . • • X51 i% .rt�•,1....-�•7. 1 I Testi `-1 �_�•/ < f .�' `� 3 i .` •• TAX INCREMENT FINANCING PLAN Tax Increment Financing District No. 5 • City of Elk River June 20, 1988, as amended October , 1988 • FINANCING TEAM 411 CITY COUNCIL Estelle Gunkel, Mayor G. Schuldt, Councilmember J. Tralle, Councilmember H. Dobel, Councilmember R. Holmgren, Councilmember PLANNING COMMISSION D. Kropuenske, Chairman A. Fuchs, Commissioner D. Barret, Commissioner B. Morton, Commissioner P. Kimball, Commissioner R. Johnson, Commissioner N. Olson, Commissioner CITY OFFICIALS Patrick Klaers, City Administrator i Richard Fursman, Economic Development Coordinator Lori Johnson, Finance Director CONSULTANTS City Attorneys : LARKIN, HOFFMAN, DALY & LINDGREN, Ltd. David C. Sellergren Peter K. Beck City Engineers : MAIER STEWART AND ASSOCIATES Terry Maurer Financial Consultants : SPRINGSTED INCORPORATED Ronald W. Langness David N. MacGillivray Business Development Services, Inc. Michael J. Mulrooney • TABLE OF CONTENTS • TAX INCREMENT FINANCING PLAN TAX INCREMENT FINANCING DISTRICT NO. 5 DEFINITIONS A. STATEMENT OF OBJECTIVES 1 B. CLASSIFICATION OF THE TIF DISTRICT 4 C. DEVELOPMENT PROGRAM 5 1 . Development Program for the Development District 5 2 . Property to be Included in the TIF District 5 3 . Property Acquired and to be Acquired 5 4 . Development to Occur Within the TIF District 6 5 . Jobs to be Created 6 6 . Future TIF Districts 6 D. DEVELOPMENT ACTIVITIES 7 • 1 . Private Development Activity 7 2 . Public Development Activities 7 E . OTHER DEVELOPMENT 8 F. FINANCIAL ANALYSIS OF THE TIF DISTRICT 8 1 . Preliminary Cost Estimates of the Improvements to be Financed 8 2 . Amount of Indebtedness to be Incurred 9 3 . Sources of Revenue 9 4 . Original Assessed Value 9 5 . Captured Assessed Value 10 6 . Duration of the TIF District 11 G. CASH FLOW ANALYSIS 11 H. ESTIMATED IMPACT OF THE TIF DISTRICT ON OTHER TAXING JURISDICTIONS 12 1 . Estimated Impact of the TIF District on Assessed Values of Other Taxing Jurisdictions Assuming that the Estimated Captured Assessed Value Would be Available • to Other Taxing Jurisdictions Without Creation of TIF District No. 5 . 12 i. 2 . Estimated Impact of the TIF District on Assessed Values of Other Taxing Jurisdictions Assuming that None of the Captured Assessed Value Would be Available to Other Taxing Jurisdictions Without Creation of TIF District No. 5 13 I . STUDIES AND ANALYSIS USED TO DETERMINE THE NEED FOR TAX INCREMENT FINANCING 14 J. ADMINISTRATIVE PROCEDURES AND REQUIREMENTS 14 1 . Modification of the TIF Plan or Change in Boundaries of the TIF District 14 2 . Use of Tax Increment 15 3 . Excess Tax Increments 15 4 . Tax Increment Account 16 5 . Limitation on Administrative Expenses 16 6 . Limitation on Increment 16 7 . Annual Disclosure 17 8 . Administration of the TIF District 18 • EXHIBIT A: Development Program for Development District No . 1 EXHIBIT B: Certification of County Auditor EXHIBIT C: Cash Flow Analysis EXHIBIT D: Impact on Other Taxing Jurisdictions • ii . DEFINITIONS The following terms used in this document have the meanings given them. "City" means the City of Elk River, Minnesota. "Development Districts Act" means the Minnesota Development Districts Act, Minnesota Statutes, § 469 . 124, et seq. , as amended. "Development District" means Development District No. 1, the Development District established by the City, pursuant to the Development Districts Act. "Development Program" means the development program for Development District No. 1, adopted by the City pursuant to the Development Districts Act, as amended through November 30, 1987 . "TIF District" means Tax Increment Financing District No. 5, an Economic Development Tax Increment Financing District established by the City pursuant to the TIF Act. • "TIF Plan" means the tax increment financing plan for Tax Increment Financing District No. 5 . "TIF Act" means the Minnesota Tax Increment Financing Act, Minnesota Statutes , §§ 469 . 174 et seq. , as amended. iii. TAX INCREMENT FINANCING PLAN • TAX INCREMENT FINANCING DISTRICT NO. 5 A. STATEMENT OF OBJECTIVES Tax Increment Financing District No. 5 is located entirely within the City' s Development District No. 1 , a municipal development district created and established pursuant to the Development Districts Act. The Development Program for Development District No. 1, adopted by the City on April 1, 1985, and amended on January 27, 1986 and November 30, 1987, is attached as Exhibit A to this TIF Plan. The objectives of the Development District are set forth in the Development Program and are hereby incorporated into this TIF Plan. The City Council of the City of Elk River, Minnesota determines that it is necessary, desirable, and in the public • interest to designate, establish, develop, and administer an economic development tax increment financing district in the City of Elk River pursuant to the provisions of Sections 469 . 174 to 469 . 179 inclusive, of Minnesota Statutes . The purpose of the TIF District is to acquire a development site within the Elk River Industrial Park, to correct soil conditions on this development site, and to make the site available to an existing industrial employer in the City so that this employer can relocate and expand its business in the City of Elk River rather than moving its operations out of the City. The City of Elk River Industrial Park was initially • platted and the first phase developed by Elk River Associated • Investors in 1972, without any City assistance or participation. By 1987 , eight ( 8) businesses had located in the Industrial Park, occupying eight ( 8 ) of sixteen ( 16) lots available. However, there have been no sales of any lots, and no new construction in the Industrial Park, for two (2 ) years . Special assessments and real estate taxes on unsold lots were in serious arrears until the creation of TIF District No. 5. After careful review and analysis , the City determined that in order for the Industrial Park to attract new businesses to the City and the Industrial Park, and to pay existing taxes and other obligations, it would be necessary for the City to step in and assist in installing the necessary public improvements to complete the development of Phase II of the • Industrial Park. An agreement was negotiated with Elk River Associated Investors pursuant to which the City would install the necessary public improvements to complete development of the Industrial Park, and Elk River Associated Investors would refund a portion of the proceeds from any sales of lots in Phase II of the Industrial Park to the City and apply the balance of any sale proceeds to pay outstanding special assessments and taxes on unsold lots in the Industrial Park. Alltool Company has been located in the Elk River Industrial Park since 1982 . This is a local business which has grown from four employees to over one hundred twenty-five ( 125) today. Alltool has outgrown its present facilities in Phase I of the Industrial Park and can no longer expand at this location. Alltool has, therefore, been looking at possible 2 . relocation sites , including sites outside of the City of Elk • River. Alltool has advised the City that it will relocate to Phase II of the Industrial Park if the City assists in the acquisition of land for this purpose. The purpose of the TIF District, therefore, is to acquire and correct soil conditions on a development site in Phase II of the Elk River Industrial Park for the relocation of Alltool . This will allow Alltool to remain in and to expand in the City of Elk River, resulting in increased employment in the City and the preservation and enhancement of the City's tax base. The cost of acquiring and correcting soil conditions on this development site will be recaptured from tax increment generated by the new Alltool facility to be constructed on the site. Furthermore, the funds paid to Elk River Associated • Investors for purchase of the site will be applied, in part, to the repayment of outstanding special assessments and taxes against the Industrial Park. The specific objectives of the TIF District are as follows : 1 . To provide financing for the acquisition of certain property ( specifically identified in Section C. 2 below) located within Phase II of the Elk River Industrial Park. 2 . To provide financing for the correction of soil conditions on the property identified in Section C. 2 below. 3 . To acquire and correct soil conditions on the property identified in Section C . 2 below for conveyance of the property to Alltool Company, to be used by Alltool for the • 3 . development of an eighty-five thousand (85, 000 ) square foot • manufacturing facility employing up to one hundred seventy-five ( 175 ) people. 4 . To provide financing for additional public improvements and other assistance necessary for the continued development and expansion of the Elk River Industrial Park. 5 . To provide financing for additional public improvements within the Development District as found by the City Council to be necessary or appropriate to meet the purposes of the Development District. 6 . To provide opportunities for the development of land within the Development District; 7 . To provide increased employment in the City; • 8 . To preserve and enhance the tax base of the City; 9 . To provide maximum opportunity, consistent with the needs of the City, for development by private enterprise. B. CLASSIFICATION OF THE TIF DISTRICT The TIF District will discourage commerce, industry, and manufacturing from moving their operations to another state by making sites available for those and other uses in the City, it will result in increased employment in the City, and it will result in the preservation and enhancement of the tax base of the City. The TIF District is located entirely within the City' s Development District No. 1 , a development project undertaken in accordance with Minnesota Statutes Section 469 . 124, et seq. Therefore, pursuant to Minnesota Statutes § 469 . 174, subd. 12, the TIF District qualifies as an economic development tax increment financing district. 4 . C. DEVELOPMENT PROGRAM • 1 . Development Program for the Development District The Development Program for the Development District is attached to this TIF Plan as Exhibit A and is hereby incorporated herein. The Development Program identifies the boundaries of the Development District, identifies the properties acquired within the Development District, and lists the development expected to occur within the Development District. 2 . Property to be Included in the TIF District The legal descriptions of the properties to be included in the TIF District are as follows : Lot 1, Block 1, Elk River Industrial Park, Second Addition Lot 2, Block 1, Elk River Industrial Park, Second • Addition Lot 3, Block 1 , Elk River Industrial Park, Second Addition Lot 4, Block 1 , Elk River Industrial Park, Second Addition Attached as Exhibits A-1 and A-2 are a map and survey showing the exact location of the TIF District in the City of Elk River. 3 . Property Acquired and to be Acquired The Development Program identifies a one-acre site of property acquired in the Development District for the construction of a new water tower. This water tower site, along with necessary permanent and temporary easements for water main, is the only property acquired to date in the 411 5 . • Development District . A small amount of additional property, along with necessary permanent and temporary easements, will be acquired in the Development District for proposed water and sanitary sewer improvements . The specific property to be acquired has not yet been identified. All of the property within the TIF District ( identified in Section C.2 above) will be acquired by the City and conveyed to Alltool Company. Alltool Company has entered into an Assessment Agreement for development of the property acquired which provides recourse for the City if the Alltool development is not completed. 4 . Development to Occur Within the TIF District Development within the TIF District will include the • correction of soil conditions and construction of the eighty- five thousand ( 85, 000) square foot Alltool manufacturing facility and related out-buildings and other improvements . 5 . Jobs to be Created A primary objective of the Development Program and of this TIF Plan is the creation of additional jobs in the City. Development of the new Alltool facility will create approximately fifty ( 50) temporary construction jobs and up to fifty ( 50 ) permanent jobs in the new facility. 6 . Future TIF Districts It is the City' s intent to create a number of tax increment districts within the Development District as private development occurs, in order to use the tax increment generated • by such development to finance or otherwise pay the cost of 6 . selected public improvements and other development costs, • including the cost of water and sanitary sewer system improvements . D. DEVELOPMENT ACTIVITIES 1 . Private Development Activity All major development proposals for the Development District which the City was aware of on October 30, 1987, are listed in Section I . of the amended Development Program for the • Development District. The City is not aware of any contracts having been entered into at the time of the preparation of this TIF Plan with respect to any of those private development proposals, except as noted below. Development Activity within the TIF District will include the eighty-five thousand (85,000) square foot Alltool • manufacturing facility on the property identified in Section C. 2 above . It is estimated that the taxable assessed value of this facility will be Eight Hundred Eight Thousand Dollars ( $808, 000 ) . The Facility is expected to be substantially completed in 1988, and to begin operations in early 1989 . The City is not aware of any contract having been entered into at this time with respect to the Alltool facility. However, the City will enter into a development agreement with respect to the facility prior to the acquisition of property within the TIF District . 2 . Public Development Activities Public improvements proposed for the Development District are identified in the Development Program. Other public • 7 . improvements, including, but not limited to, soil correction, • grading, utilities, streets, curb and gutter, and sidewalks, may also be installed in the Industrial Park or in other areas of the Development District if determined by the City Council to be necessary and appropriate to meet the purposes of the Development Program. No contracts have been entered into at this time with respect to these public development activities . Public development activities within the TIF District will be limited to the correction of existing deficient soil conditions by the removal of bad soil (peat) and the replacement of bad soils with compactible fill . E. OTHER DEVELOPMENT All major development proposals of which the City is • aware and which the City expects to take place within the Development District are listed in Section I of the Development Program. To the City' s knowledge, this list identifies all major development reasonably expected to take place within the Development District and the dates when such development is likely to occur. No development other than that specifically identified in Section D above is proposed for the TIF District. F. FINANCIAL ANALYSIS OF THE TIF DISTRICT 1 . Preliminary Cost Estimates of the Improvements to be Financed: Property Acquisition $225,000 Correction of Soil Conditions 68, 000 • Administrative and legal 22 , 000 Capitalized interest 45 , 000 Total estimated costs $360 , 000 8 . 2 . Amount of Indebtedness to be Incurred: $360,000 3 . Sources of Revenue : • Incurred indebtedness 360,000 Total Revenue $360,000 4 . Original Assessed Value The original assessed value of all taxable real property in TIF District No. 5, based on assessed valuations established as of January 1 , 1988, for real estate taxes to be paid in 1989, is estimated to be Fifteen Thousand Dollars ( $15, 000) . The proposed County Auditor certification to this value is attached as Exhibit B to this Document. Pursuant to Minn . Stat . § 469 . 177 , subd. 1 of the TIF Act, it is estimated that the annual percentage increase in the original assessed valuation of the property in the TIF District • will be three percent. The original assessed value for TIF District No. 5 can therefore be estimated for the term of the TIF District as follows : Levy Year 1988 $15, 000 Levy Year 1989 15,450 i Levy Year 1990 15,914 Levy Year 1991 16, 391 Levy Year 1992 16, 883 Levy Year 1993 17, 389 Levy Year 1994 17, 911 Levy Year 1995 18,448 Levy Year 1996 19, 002 • 9 . 5 . Captured Assessed Value • Each year the assessed value of the TIF District will be adjusted to reflect current valuation changes resulting from development within the TIF District . The estimated value upon completion of development and the estimated date of completion are set forth in Section D. 1 of this TIF Plan. Using these figures for estimated value at completion and proposed date of completion, and the figures for original assessed value set forth in Section F.4 above, the estimated captured assessed value of TIF District No. 5 during the years 1988 through 1997 can be calculated as follows : Estimated Original Assessed Assessed Estimated Captured Value Value Assessed Value • Levy Year 1988 $ 15,000 $15, 000 $ 0 Levy Year 1989 400, 000 15, 450 384, 550 Levy Year 1990 808,000 15, 914 792, 087 Levy Year 1991 808, 000 16, 391 791, 609 Levy Year 1992 808, 000 16, 883 791, 117 Levy Year 1993 808, 000 17 , 389 790, 611 Levy Year 1994 808, 000 17 , 911 790, 089 Levy Year 1995 808, 000 18 , 448 789 , 552 Levy Year 1996 808, 000 19 , 002 788, 998 All of the captured assessed value will be required to finance the acquisition of and correction of soil conditions on the property within the TIF District for conveyance to Alltool, and to finance public improvements necessary to permit additional • development in the Development District . Therefore, the City 10 . elects, pursuant to Minn. Stat. § 469 . 177, subd. 2 (a) ( 1 ) , to retain the full captured assessed value of the TIF District and • to use all of the tax increment generated by the TIF District for the purposes identified in this TIF Plan. 6 . Duration of the TIF District In accordance with § 469 . 176, subd. 1 of the TIF Act, the City, with this economic development TIF District, may continue to receive tax increment payments until eight years from the date of the receipt of the first increment, or until ten years from approval of the TIF Plan, whichever is less . The City approved the TIF Plan on June 20, 1988, and will approve the amended TIF Plan on October all , 1988 . Therefore, one defined termination date after which tax increment income cannot be received is June 20, 1998 . • The City will request the County Auditor to distribute all taxes payable in 1989 , from the TIF District to all taxing jurisdictions and to make no distribution of tax increment to the City for taxes payable in 1989 from the TIF District. The first tax increment from the TIF District to be received by the City will be received for taxes payable in 1990 . Tax increment will continue to be received by the City for eight full years , to and including 1997 , at which time no further increments may be received by law and the TIF District will terminate. G. CASH FLOW ANALYSIS Attached as Exhibit C to this TIF Plan is the Cash Flow Analysis for TIF District No. 5 . • 11 . The cash flow analysis attached as Exhibit C to this plan • includes an estimate of the amounts of additional revenues which may be needed to meet the debt service on the proposed indebtedness . H. ESTIMATED IMPACT OF THE TIF DISTRICT ON OTHER TAXING JURISDICTIONS 1 . Estimated Impact of the TIF District on Assessed Values of Other Taxing Jurisdictions Assuming that the Estimated Captured Assessed Value Would be Available to Other Taxing Jurisdictions Without Creation of TIF District No. 5 . Pursuant to Minnesota law, tax increment generated by development within the TIF District may only be captured by the City for a period of eight years . During this eight-year . period other taxing jurisdictions will continue to receive taxes from the property within the TIF District based on the • current assessed value (or "original assessed value" ) of the property, just as if no development had occurred on the property. In fact, state law requires the County Auditor to increase the original assessed value of the property in the TIF District (the value available to other jurisdictions for taxation) by, in this instance, 3% per year to account for normal inflation . Attached as Exhibit D to this TIF Plan is a schedule which shows the impact of the TIF District on the assessed values of other taxing jurisdictions assuming that the estimated captured assessed value would be available to the other taxing jurisdictions without creation of the TIF District. This schedule shows the estimated total assessed value for each • jurisdiction for each year of the TIF District (assuming that 12 . total assessed value increases at the same three percent (3%) per year rate as the original assessed value of the TIF • District) , the estimated captured assessed value for each year of the TIF District, and the percentage impact of the estimated captured assessed value on the estimated total assessed value. 2 . Estimated Impact of the TIF District on Assessed Values of Other Taxing Jurisdictions Assuming That None of the Captured Assessed Value Would be Available to Other Taxing Jurisdictions Without Creation of TIF District No. 5 . The City Council of the City of Elk River has made a determination that the Alltool project would not reasonably be expected to occur without creation of TIF District No . 5 and the use of tax increment financing. Therefore, none of the assessed value captured for the eight ( 8 ) years of the TIF District would be available to other taxing jurisdictions • without the creation of TIF District No . 5 . Therefore, there is no negative impact on the assessed values of other taxing jurisdictions during the term of the TIF District, particularly in light of the fact that the original assessed value of the properties in the TIF District will increase by three percent ( 3% ) per year. There will be a substantial favorable impact on other taxing jurisdictions once the eight ( 8 ) year tax increment district expires . The Alltool facility made possible by creation of the TIF District will contribute significantly to the tax base of all taxing jurisdictions , including the County and School Board. • 13 . More important is the negative impact on all taxing • jurisdictions if the TIF District is not created and the Alltool facility not constructed. This would mean the relocation of Alltool outside of the City of Elk River. The abandonment of their existing facility would mean a loss of this tax base for all taxing jurisdictions . I. S'ruDIES AND ANALYSIS USED TO DETERMINE THE NEED FOR TAX INCREMENT FINANCING The City Council ' s determination that the Alltool project cannot reasonably be expected to occur solely through private investment within the reasonably foreseeable future, and that therefore the use of tax increment financing is necessary, has been made after careful consideration and analysis of communications received from and discussions had with the • owners of Alltool . Through these communications and discussions it has been determined that the Alltool project will not proceed solely with private investment and that public participation in the form of tax increment financing is necessary in order for the project to occur and the objectives of the development program and the TIF plan to be met . J. ADMINISTRATIVE PROCEDURES AND REQUIREMENTS 1 . Modification of the TIF Plan or Change in Boundaries of the T..F District Pursuant to Minn. Stat . § 469 . 175 , subd. 4, any modification of this TIF Plan which would: provide for any reduction or enlargement of the geographic area of the Development District or the TIF District; increase the amount • of bonded indebtedness to be incurred; increase or decrease the 14 . amount of interest on the debt to be capitalized; increase the • portion of captured assessed value to be retained by the City; increase the total estimated tax increment expenditures; or increase the designation of additional property to be acquired will only be approved by the City Council after notice to the public, discussion with the planning commission, the holding of a public hearing, and the making of findings required for the approval of the TIF Plan itself . The geographic area of the TIF District may be reduced, but may not be enlarged after five years following the date of certification of the original assessed value by the County Auditor. 2 . Use of Tax Increment Pursuant to Minn. Stat. § 469 . 176, subd. 4, all tax • increment revenues derived from the TIF District shall be used in accordance with this TIF Plan and shall be used solely for the following purposes : a) to pay the principal of and any interest on indebtedness issued pursuant to the TIF Plan; b) to finance or otherwise pay the capital and administrative costs of the Development District . 3 . Excess Tax Increments It is not anticipated that the TIF District will generate excess tax increment. However, pursuant to Minn. Stat. § 469 . 176, subd. 2, in any year in which the tax increment should exceed the amount necessary to pay the costs authorized by this TIF Plan, the City shall use the excess amount to do any of the following, in the order determined by the City • Council : 15 . a) Prepay any outstanding bonds; • b) Discharge the pledge of tax increment therefor; c) Pay into an escrow account dedicated to the payment of such bonds; or d) Return the excess amount to the County Auditor for distribution to the City, County, and school district in proportion to their respective mill rates . 4 . Tax Increment Account Pursuant to Minn. Stat. S 469 . 177, subd. 5, the tax increment received as a result of increases in the assessed value of the property within the TIF District will be maintained in a special account or accounts separate from all other municipal accounts and expended only as provided in this TIF Plan and as allowed by Minnesota Statutes § 469 . 174, et seq. 5 . Limitation on Administrative Expenses Pursuant to Minn. Stat . § 469 . 176, subd. 3, no tax increment shall be used to pay any administrative expenses which exceed 10% of the total tax increment expenditures authorized by this TIF Plan, or the total tax increment expenditures for the project, whichever is less . 6 . Limitation on Increment Pursuant to Minn . Stat . § 469 . 176 , subd. 6, if, after four years from the date of certification of the original assessed value of the TIF District, no demolition, rehabilitation, or renovation or other site preparation, including improvement of a street adjacent to a parcel , but not 16 . installation of utility service including sewer or water • systems , has been commenced on a parcel located within the TIF District in accordance with this plan, no additional tax increment will be taken from that parcel and the original assessed value of that parcel will be excluded from the original assessed value of the TIF District. If development of the parcel subsequently commences, the parcel shall be returned to the TIF District as provided in Minn. Stat. § 469 . 176, subd. 6 . 7 . Annual Disclosure Pursuant to Minn. Stat. S 469 . 175, subd. 5, on or before July 1 of each year, the City will submit to the County Board, the School Board, and the Commissioner of Trade and Economic Development, a report on the status of the TIF District. This • report will include the following information: a) The amount and source of revenue in the account; b) The amount and purpose of expenditures from the account; c) The amount of any pledge of revenues, including principal and interest on any outstanding bonded indebtednesses; d) The original assessed value of the district; e) The captured assessed value retained by the City; f) The captured assessed value shared with other taxing districts; g) The tax increment received; and h) Any additional information necessary to demonstrate • compliance with this TIF Plan . 17 . In addition, an annual statement showing the tax • increment received and expended in that year, the original assessed value, the captured assessed value, the amount of outstanding bonded indebtedness, and any additional information the City deems necessary, will be published in a newspaper of general circulation in the City. 8 . Administration of the TIF District Administration of the TIF District will be the responsibility of the City Administrator, under the supervision of the City Council . 18 . PKB :AS7 • • DEVELOPMENT PROGRAM Development District No. 1 • City of Elk River April 1, 1985 As amended, November 30, 1987 • EXHIBIT A • CITY OF ELK RIVER • CITY COUNCIL Estelle Gunkel , Mayor G. Schuldt, Councilmember J. Tralle, Councilmember R. Holmgren, Councilmember H. Dobel, Councilmember • PLANNING COMMISSION • S . Wilson, Chairman A. Fuchs , Commissioner M. Temple, Commissioner • D. Barrett, Commissioner B . Morton, Commissioner D. Kropuenske, Commissioner P . Kimball, Commissioner CITY OFFICIALS Patrick Klaers , City Administrator • CONSULTANTS City Attorneys : LARKIN, HOFFMAN, DALY & LINDGREN, Ltd . David C . Sellergren Peter K . Beck City Engineers : MAIER STEWART AND ASSOCIATES • Terry Maurer Financial Consultants : SPRINGSTED INCORPORATED David N . MacGillivray FOREWORD This document constitutes the City of Elk River' s • Development Program for Development District No . 1 . The Development Program for Development District No . 1 was originally adopted by the City Council of the City of Elk River on April 1 , 1985 . This document incorporates amendments to the Development Program adopted by the City Council pursuant to Minn. Stat. § 469 . 124 , et sea. , through November 30 , 1987 . • DEFINITIONS • The following terms used in this document have the meanings given them. "City" means the City of Elk River, Minnesota . "Development Districts Act" means the Minnesota Development Districts Act, Minn . Stat. § 469 . 124 , et sea . , as amended. "Development District" means Development District No . 1 , the Development District established by the City, pursuant to the Development Districts Act. ' "Development Program" means the development program for Development District No. 1 , adopted by the City pursuant to the Development Districts Act, as amended through November 30 , 1987 . • TABLE OF CONTENTS DEVELOPMENT PROGRAM 111 DEVELOPMENT DISTRICT NO . 1 A. STATUTORY AUTHORITY 1 B . STATEMENT OF PUBLIC PURPOSE 1 C . BOUNDARIES OF THE DEVELOPMENT DISTRICT 2 • D. LAND USE IN THE DEVELOPMENT DISTRICT 3 1 . Present Land Use 3 2 . Future Land Use 3 E . STATEMENT OF OBJECTIVES 4 F. PUBLIC FACILITIES TO BE CONSTRUCTED 4 1 . 1985 Water Tower and Watermain Improvements4 2 . Proposed Water System Improvements 5 3 . Proposed Sanitary Sewer System Improvements5 4 . Additional Public Improvement Projects 6 5 . Unscheduled Public Improvements 6 • 6 . Evans Park Public Improvements 7 G. OPEN SPACE CREATED 7 H . ENVIRONMENTAL CONTROLS 7 I . DEVELOPMENT OF PRIVATE PROPERTY 8 1 . Sherburne County Courthouse 8 2 . Elk River Industrial Park 8 3 . Anoka County Resource Recovery Plant 9 J. ADMINISTRATION OF THE DEVELOPMENT DISTRICT 9 EXHIBIT A: Development District No . 1 EXHIBIT B : Proposed Water System and Sanitary Sewer System Improvements DEVELOPMENT PROGRAM DEVELOPMENT DISTRICT NO. 1 A. STATUTORY AUTHORITY The statutory authority empowering the City to establish the Development District in April, 1985 was Minn. Stat . Chapter 472A, the Minnesota Municipal Development Districts Act. In 1987 , the Development. Districts Act was recodified as Minn . Stat. § 469 . 124 , et seq. This Development Program has been prepared and amended in accordance with the applicable provisions of the Development Districts Act. B. STATEMENT OF PUBLIC PURPOSE The City Council of the City of Elk River, Minnesota, determines that it is necessary, desirable, and in the public interest to designate, establish, develop, and administer a Development District in the City of Elk River pursuant to the Development Districts Act. The purpose of the Development District is to provide a means for financing public improvements and facilities necessary if the City is to attract additional commercial and industrial development and increase employment opportunities in those areas of the City designated for these uses . The City Council finds that there is a demand within the City for increased commercial development and that the Development District includes most of the areas in the City designated for business and industrial development. However, • • extensive business and industrial development in many of these areas is not possible absent the installation of certain public 411 facilities , including improved water and sanitary sewer service, additional streets and roads , and others . The high cost of constructing such facilities cannot be me: , additional business and industrial development is therefore not possible, without public intervention . Therefore , the Development District is created by the City to make public intervention and assistance possible, construction of the required public facilities possible, and to encourage development of designated business and industrial areas of the City . C. BOUNDARIES OF THE DEVELOPMENT DISTRICT The geographic boundaries of Development District No . 1 are III set forth on the map attached as Exhibit A to this Development Program. These boundaries have been selected to include those areas of the City which : 1 ) Are zoned and planned for business and industrial development but require that certain public improvements be installed to make such development possible; 2 ) Will have water and sanitary sewer service made available by the proposed water and sanitary sewer improvements , therefore making development possible; 3 ) Have existing water and sanitary sewer service which will be improved by the proposed water and sanitary sewer • improvements . 2 . D. LAND USE IN THE DEVELOPMENT DISTRICT 41) 1 . Present Land Use The Development District includes most of the developed areas of the City . Present land uses include the central business area of the City; urban and semi-urban residential uses ; free-standing highway and general business uses ; industrial uses ; recreational uses ; and educational uses . The Development District also includes most of the undeveloped areas of the City designated for business and industrial uses , and several undeveloped areas planned for residential uses . Present land use of these areas is primarily interim agricultural and under-utilized open space . 2 . Future Land Use The purpose of the Development District is to encourage increased business and industrial development in those areas of the City designated for these uses . Creation of the Development District in 1985 and establishment of Tax Increment Financing Districts 1 and 3 made possible the installation of certain water system improvements which resulted in extensive commercial development at the intersection of Highway 169 and School Street; and made possible the enlargement of the City industrial park located at County Road 1 and Industrial Boulevard . It is anticipated that installation of the public improvements contemplated in and made possible by this Development program will make possible future land uses within • the Development District including increased business and industrial uses in the industrial park, in the western end of 3 . the City, and in several other areas of the City designated for these uses . It is also anticipated that these public improvements will make reFidential development possible in those areas of the Development District planned for residential uses . E. STATEMENT OF OBJECTIVES The City Council of the City of Elk River seeks to achieve the following objectives through the creation of the Development District and the implementation of this Development Program: 1 ) Provide impetus for business and industrial development by constructing the public facilities necessary to make such development possible; 2 ) Increase employment opportunities in the City by encouraging additional business and industrial development; 3 ) Provide adequately serviced business and industrial areas of the City to accommodate desirable users ; 4 ) Remedy deficiencies in the existing water and sanitary sewer systems , which deficiencies have restricted development in areas of the City planned and designated for business and industrial uses ; 5 ) Preserve and enhance the tax base of the City;. and 6 ) Provide maximum opportunity, consistent with the needs of the City, for development by private enterprise . F. PUBLIC FACILITIES TO BE CONSTRUCTED 1 . 1985 Water Tower and Watermain Improvements • The City' s Comprehensive Water Plan , dated September. 1982 , identified a severe deficiency in the storage capacity of the 4 . . existing water system. The Water Plan recommended construction • of a 1 , 000 , 000-gallon reservoir to eliminate this deficiency . The recommended Water Tower and related Watermain Improvements were completed in 1986 . Approximately one acre of land was accuired for the Water Tower, and permanent easements were accuired for watermain purposes . There was no displacement of or relocation required by any persons or businesses as a result of these accuisitions . 2 . Proposed Water System Improvements It is proposed to extend water service to the western portion of the City to encourage appropriate commercial and industrial development in this area of the City . Water System Improvements would include a new deep well, a new elevated • tower, a pumphouse with chemical addition and treatment equipment, and trunk distribution lines . A site for the well , tower, and pumphouse has not been identified at this time . The proposed location of the trunk distribution lines is shown on Exhibit B to this Development Program. Construction of the proposed Water System Improvements will require the acquisition of a small amount of property for the well , tower, and pumphouse; and easements for water distribution lines . It is not anticipated that there will be any displacement of or relocation required by any persons or businesses as a result of these acquisitions . 3 . Proposed Sanitary Sewer System Improvements It is also proposed to extend sanitary sewer service to the western portion of the City, to encourage appropriate commercial *and industrial development in this area of the City . 5 . Sanitary. Sewer System Improvements would include upgrading an existing lift station and constructing a sanitary sewer • interceptor line . The location of the lift station to be upgraded, and the proposed location of the sanitary sewer interceptor, are shown or. Exhibit B to this Development Program. • Construction of the proposed Sanitary Sewer Improvements will require the acquisition of some easements for the interceptor . It is not anticipated that there will be any displacement of or relocation required by any persons or businesses as a result of the construction of the Sanitary Sewer Improvements . • 4 . Additional Public Improvement Projects Additional Public Improvement Projects scheduled in the • Development District are identified in the City' s Capital Improvements Plan Schedule, as amended from time to time . It is not anticipated that any of the currently planned Public Improvement Projects will require the acquisition of any property or the displacement or relocation of any persons or businesses . 5 . Unscheduled Public Improvements Upon a demonstration of need and public financial feasibility, the City will extend streets and utilities and construct or install such other public facilities and improvements within the Development District as the City Council deems necessary or appropriate to meet the purposes of • this Development Program. 6 . 6 . Evans Park PublicImprovements • The installation of utilities , the construction of parking facilities , landscaping, curb and gutter, sidewalks , and the payment of sewer and . water availability charges for the Evans Park Project . G. OPEN SPACE CREATED The Development Program for the Development District does not presently propose the creation of additional public open space . However , existing public open space in Lions Park is being developed for public recreational uses . It is also possible that the Development Program will be amended in the future to provide for the creation and/or development of additional public open space . In addition, the City intends in carrying out the • objectives of this development program to encourage the preservation and beautification of open spaces on private property developed within the Development District . H. ENVIRONMENTAL CONTROLS All development within the Development District will be subject to existing environmental controls established by state and federal law and the Elk River Code of Ordinances , including : • 1 ) The National Environmental Protection Act , and related regulations ; 2 ) The Minnesota Environmental Policy Act , and related • regulations ; 3 ) The Minnesota Environmental Rights Act; 7 . 4 ) The Minnesota Critical Areas Act , and related regulations ; • 5 ) The Elk River Flood Plain Management Ordinance; 6 ) The Elk River Shoreland and Wild and Scenic River Manacement Ordinance; 7 ) The Elk River Subdivision Ordinance; 8 ) The Elk River Zoning Ordinance; 9 ) Sections 1300 and 1302 of the Elk River Code of . Ordinances regulating sanitary sewage disposal . No additional environmental controls are proposed . I . DEVELOPMENT OF PRIVATE PROPERTY Major commercial and industrial development proposals for property within the Development District include : 1 . Sherburne County Courthouse • Although a public rather than a private proposal , a major user of the proposed Water and Sanitary Sewer System Improvements will be the Sherburne County Courthouse complex, which is currently undergoing substantial expansion, scheduled to be completed in 1988 . 2 . Elk River Industrial Park Enlargement of the Elk River Industrial Park has just been completed . The City expects to receive in 1987 a proposal to develop two lots in the Industrial Park for a new industry in the City . The proposal would include about 40 , 000-square feet of industrial space with potential to expand to approximately 75 , 000-square feet . Estimated completion date is 1988 . • 8 . 3 . Anoka County Resource Recovery Plant • NSP and Anoka County have received City approvals to construct a 1 , 500-ton-per-day Refuse Derived Fuel ( RDF ) Resource Recovery Plant within the Development District . Anticipated completion date -s ' 939 . J. ADMINISTRATION OF THE DEVELOPMENT DISTRICT Administration of the Development District is the responsibility of the City Administrator, under the supervision of the City Council . Public streets , parklands , and other public property are the responsibility of the City Public Works Department and shall be maintained in the same manner as all other public property in the City. The water tower, water mains , and other water facilities will be operated and • maintained by the Elk River Municipal Utilities Commission in the same manner as existing water facilities and systems . 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Elk River 1 —. • — 1 _,... alIC.• C ...MM. t.i•;.41.:. •••••*.••• ••• ....\s\ . \ 1 N ..... •10ff.... i , i ...d• \ . 1 s J.L.. • i 1 .1:12L \ j,...d. 410 EXHIBIT A-1 to I I , .._ \ I I -.., i , ....... ! :i 4 .-.. \ TIF PLAN , 1 .,..,. 1 . . _..... li ._ TIF DISTRICT No. 5 . - 1 ...._ -- ----• , 1 • I I , i. 1 ...... •.„,_. I _.,..._ 1 1 .1 I/-'-•----"-•,-----; 1 1 1 11 .1 I Mi • • rif Di STR/cT' ; '-S. -.............i., \.•'Aar ...... ./ .C..'',.• t L�.. ./ 1w•1'i,tic.tJ 4-\ Jit./J,r.!s,/tr •S ' ___ . ., !telt- Tim— \ ; ��_ a (E/.f L. " .Poeli • �„ - t•/k.tl--,,,,,...r„, M;'• A-__.._ - ,.•I.1.I/'/O'w 1 111./I--. • • -------- sa _.v......,_ -. J 1�h..// //r ./ • 1 to,/,./........v./.14:1%. cr.,...I • ... • / I 0. .1%.,[4.".r rr/i ,••••,....,••••,....c . . 1 •• \ ` I J ; 1 l ! • it — b' ; o . a • .✓.v n'........• /. le —� --moiV t -44 ; '! •• ps ; • •1 • k .: Z s •• vI V • ti.:. 4 t .v/r• si•//'w '/4.44 • o s e i kc, ,k a° ` • r, .. .... • ..., .., . .., , i , .. .... :; q .. ... gli 3 � _ N�r 1 ; 3. ,.. ! ,.. ,.,,•/. ....e I y 1, 1 ,✓ir�r/rw o/d") `..� /. yJ._-� L. • - »—i i .„. ,, ' 7. ��: o lN. e l i.\ 3 ls .; I _ z .- • .fit pp I p `� " r ..,Z •�/1,•�. —• I d//A....v./G1Srw.•./ 1 • 11 0�♦ N /1 moi/n..r ,,, • ,.. , , _ .. ..\,....,....„...„,„ I B'//9 y"•'/ c...;;/ �:o rI -• /t./.!.J ,. • tiGT,� \ „:„........______ c- / ` - - ` Lis L.i • .Ii •'`'E/P -1.----tIre•/ ' \ \',lG.../• , tr.loo / i. . r,l� F f., 'Q \. /�sy. /KHIBIT A-2 to 44-4,, r' . ,r. • / . � \I PLAN ` //l /� �, .. y N/ 1r' DISTRICT No . �'�► o� �o�''--\��, EXHIBIT B TIF DISTRICT #5 • As defined in Minnesota Statutes , Section 469 .174 , subd . 7 , the original assessed valuation of the following listed parcels , as of January 1 , 1987 , is certified to be $15 ,000 . Lot 1, Block 1, Elk River Industrial Park , Second Addition $3 ,750 Lot 2 , Block 1 , Elk River Industrial Park , Second Addition 3 ,750 Lot 3 , Block 1, Elk River Industrial Park , Second Addition 3 ,750 Lot 4 , Block 1 , Elk River Industrial Park, Second Addition 3 ,750 15 ,000 In accordance with Minnesota Statutes , Section 469 .177 , subd. 1 , the average percentage increase in the original assessed value shall be three percent (3%) . • County Auditor • [SEAL] , 1988 • • EXHIBIT C CITY OF ELK RIVER TAX INCREMENT PLAN 15 ALLTOOL MANUFACTURING PREPARED SEPTEMBER 1988 AMORTIZATION ANALYSIS 10.750% TOTAL TAX YEAR OF YEAR OF PRINCIPAL ANNUAL PRINCIPAL CAPITAL 105% INCREMENT CUMULATIVE LEVY MAT. PAID INTEREST 1 INTEREST INTEREST NET LEVY OF TOTAL INCOME SURPLUS 1988 JUL 1, 89 $0 $38,700 138,700 138,700 0 0 0 1989 OCT 1, 90 13,500 $38,700 $42,200 $0 142,200 $44,310 $44,336 $26 1990 OCT 1, 91 $48,500 $38,324 $86,824 $0 $86,824 $91,165 $91,323 $158 1991 OCT 1, 92 $51,500 $33,110 $84,610 $0 $84,610 $88,841 191,268 12,428 1992 OCT 1, 93 $51,500 $27,574 $79,074 $0 $79,074 $83,027 $91,211 18,184 1993 OCT 1, 94 $51,500 $22,038 $73,538 $0 173,538 $77,214 $91,153 $13,939 • 1994 OCT 1, 95 151,500 $16,501 168,001 $0 $68,001 $71,401 191,093 $19,692 1995 OCT 1, 96 $51,000 $10,965 $61,965 10 161,965 $65,063 191,031 125,968 1910 OCT 1, 47 111,000 13,483 096,483 $0 150,483 139,307 190,907 031,060 TOTALS: $360,000 $231,394 1591,394 138,700 $552,694 1580,328 $682,382 1102,054 • Exhibit D IMPACT OF ALLTOOL EXPANSION ON OTHER GOVERNMENTAL JURISDICTIONS • 1987/88 Projected % Rate Unit of Government Assessed Value Captured Value of Impact City of Elk River $50, 371, 377 0 0 . 0000% Sherburne County $345, 690, 602 0 0 . 0000% I . S . D . No . 728 $70, 087, 713 0 0 . 0000% Elk River HRA $50, 371 , 377 0 0 . 0000% Elk River EDA $50, 371, 377 0 0 .0000% 1988/89 % Rate Unit of Government Assessed Value of Impact City of Elk River $51, 882, 518 $0 0 . 0000% Sherburne County $356, 061 , 320 $0 0 . 0000% I . S .D . No . 728 $72, 190, 344 $0 0 . 0000% Elk River HRA $51, 882, 518 $0 0 . 0000% Elk River EDA $51 , 882, 518 $0 0 . 0000% 1989/90 Unit of Government Assessed Value City of Elk River $53, 838, 994 $400, 000 0 . 74% Sherburne County $367, 143, 160 $400, 000 0 . 11% I . S .D . No . 728 $74, 756, 055 $400, 000 0 . 54% Elk River HRA $53, 838, 994 $400, 000 0 . 74% Elk River EDA $53, 838, 994 $400, 000 0 . 74% 1990/91 Projected % Rate Unit of Government Assessed Value Captured Value of Impact City of Elk River $55,454 , 164 $808, 000 1 . 46% Sherburne County $378 , 157,454 $808, 000 0 . 21% I . S .D . No . 728 $76 , 998, 736 $808 , 000 1 . 05% Elk River HRA $55,454, 164 $808 , 000 1 .46% Elk River EDA $55,454 , 164 $808, 000 1 . 46% 1991/92 Projected % Rate Unit of Government Assessed Value Captured Value of Impact City of Elk River $57, 117, 789 $808, 000 1 .41% Sherburne County $389, 502, 178 $808, 000 0 . 2l ' I . S .D . No . 728 $79, 308, 698 $808, 000 1 . 02, Elk River HRA $57, 117, 789 $808, 000 1 .41% Elk River EDA $57, 117, 789 $808 , 000 1 .41% 1991/92 Projected % Rate Unit of Government Assessed Value Captured Value of Impact City of Elk River $57, 117, 789 $808, 000 1 .41% Sherburne County $389, 502, 178 $808 , 000 0 . 21% I . S . D . No . 728 $79, 308,698 $808, 000 1 . 02% Elk River HRA $57, 117, 789 $808 , 000 1 .41% Elk River EDA $57, 117, 789 $808 , 000 1 .41% 1992/93 Projected % Rate Unit of Government Assessed Value Captured Value of Impact City of Elk River $58, 831, 322 $808, 000 1 . 37% Sherburne County $401, 187, 243 $808, 000 0 . 20% S . S . D . No . 728 $81 , 687, 959 $808, 000 0 . 99% Elk River HRA $58, 831, 322 $808, 000 1 . 37% Elk River EDA $58, 831 , 322 $808, 000 1 . 37% 1993/94 Projected % Rate . Unit of Government Assessed Value Captured Value of Impact City of Elk River $60, 596, 262 $808, 000 1 . 33% Sherburne County $413, 222, 861 $808, 000 0 . 20% Agg . s .D . No . 728 $84, 138, 598 $808, 000 0 . 96% 10E1k River HRA $60, 596, 262 $808,000 1 . 33% Elk River EDA $60, 596, 262 $808, 000 1 . 33% 1994/95 Projected % Rate Unit of Government Assessed Value Captured Value of Impact City of Elk River $62 , 414, 150 $808, 000 1 . 29% Sherburne County $425, 619, 547 $808 , 000 0 . 19% I . S . D . No . 728 $86, 662 , 756 $808, 000 0 . 93% Elk River HRA $62,414, 150 $808, 000 1 . 29% Elk River EDA $62,414, 150 $808 , 000 1 . 29% 1995/96 Projected % Rate Unit of Government Assessed Value Captured Value of Impact City of Elk River $64, 286, 574 $808, 000 1 . 26% Sherburne County $438 , 388, 133 $808, 000 0 . 18% I . S .D . No . 728 $89, 262, 639 $808, 000 0 . 91% Elk River HRA $64, 286, 574 $808, 000 1 . 26% Elk River EDA $64, 286, 574 $808, 000 1 . 26% 411 1996/97 Projected % Rate • Unit of Government Assessed Value Captured Value of Impact City of Elk River $66,215,171 $808,000 1 .22% Sherburne County $451 , 539,777 $808,000 0. 18% I .S.D. No. 728 $91 ,940, 518 $808,000 0.887. Elk River HRA $66,215, 171 $808,000 1 .22% Elk River EDA $66,215, 171 $808,000 1 .22% 410 •