Urban Renewal Feasibility Study

Tashman Johnson LLC, Urban Land Economics,

Elaine Howard Consulting LLC, SERA Architects

Background

Urban Renewal Feasibility Study Steps:

Refined Study Area Analyzed Real Estate Market Analyzed Proposed New Parking Standards Projected Development Projected Tax Increment Revenues and Debt Prioritized Urban Renewal Projects

Original Feasibility Study Area

Study areas:Ardenwald SWHistoric Downtown

CommercialHistoric Downtown

ResidentialIsland StationIndustrial EastIndustrial WestLake Road NorthWaverly

Opportunity Sites

Ardenwald: Murphy and

Mc Farland Sites

Waverly: Waverly Green Housing Site

Historic Downtown Commercial: 12 potential sites

Refined Urban Renewal Feasibility Area

Tax Increment Financing

Tashman Johnson LLC, Urban Land Economics,

Elaine Howard Consulting, LLC, SERA Architects

Total Tax Rates X Assessed Value in = Tax Revenues Urban Renewal Area

Permanent Rates Bond

Rates*

*Only for bonds approved before Oct. 6, 2001

“Frozen” Base

Incremental Assessed

Value

Taxing District Taxes

Urban Renewal Tax

Increment Revenues

Example of Tax Increment Financing

Real Market Value of Development $2,000,000Assessed Value $1,160,000Tax Rate/$1000 AV $17Tax Increment Revenues $19,507Approximate Borrowing Capacity $200,000

$2 Million Devt: ~10 condos or 13,000 sf commercial space

Tax Increment Revenue Projections

Tax. Inc. Revenues used to repay debt.20 year period: $61.3 million borrowing capacity

Capacity is limited at beginning but needs are great.

Capacity increases over time

Priority Projects: Rationale

Stimulate Private DevelopmentCreate Tax Increment Revenue Stream

From Taxable Projects

Use Alternative Funding: Light Rail, Riverfront Park, Plaza

Tashman Johnson LLC, Urban Land Economics,

Elaine Howard Consulting, LLC, SERA Architects

Priority Urban Renewal Projects

Public Area Requirements: AssistanceMurphy/McFarland

Planning/Infrastructure/Quiet ZoneSite Acquisition/Opportunity SitesStorefront ProgramDevelopment Incentive FundDowntown Parking StructureMcLoughlin Over-crossing

Potential Next Steps

Decision to Proceed/Not Proceed with Urban Renewal Plan . If Proceed Next Steps Are:

Develop Plan with Input from Public And Taxing Districts

Follow Extensive Adoption Process