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HomeMy WebLinkAboutTID #41 Project PlanTax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 1      September 21, 2021 PROJECT PLAN City of Oshkosh, Wisconsin Tax Incremental District No. 41 (Smith School Redevelopment) Prepared by: Ehlers N21W23350 Ridgeview Parkway West, Suite 100 Waukesha, WI 53188   BUILDING COMMUNITIES. IT’S WHAT WE DO. Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 2  KEY DATES Organizational Joint Review Board Meeting Held: September 17, 2021 (Scheduled) Public Hearing Held: September 21, 2021 (Scheduled) Approval by Plan Commission: September 21, 2021 (Scheduled) Adoption by Common Council: October 12, 2021 (Scheduled) Approval by the Joint Review Board: TBD TABLE OF CONTENTS Executive Summary ................................................................................................................................. 3  Preliminary Maps of Proposed District Boundary ...................................................................... 6  Map Showing Existing Uses and Conditions ............................................................................... 10  Preliminary Parcel List and Analysis ............................................................................................... 13  Equalized Value Test ............................................................................................................................. 15  Statement Listing the Kind, Number and Location of All Proposed Public Works or Improvements Within the District ................................................................................................... 16  Map Showing Proposed Improvements and Uses ..................................................................... 21  Detailed List of Estimated Project Costs .................................................................................... 24  Economic Feasibility Study, Description of the Methods of Financing Estimated Project Costs and the Time When Related Costs or Monetary Obligations are to be Incurred ...................................................................................................................................................... 25  Annexed Property ................................................................................................................................. 30  Estimate of Property to Be Devoted to Retail Business ....................................................... 30  Proposed Changes of Zoning Ordinances, Master Plan, Map, Building Codes and City Ordinances ...................................................................................................................................... 30  Statement of the Proposed Method for the Relocation of any Persons to be Displaced .................................................................................................................................................... 31  How Creation of the Tax Incremental District Promotes the Orderly Development of the City ................................................................................................................................................... 31  List of Estimated Non-Project Costs .............................................................................................. 32  Legal Opinion Advising Whether the Plan is Complete and Complies with Wis. Stat. § 66.1105(4)(f) .........................................................................................................................................33  Calculation of the Share of Projected Tax Increments Estimated to be Paid by the Owners of Property in the Overlying Taxing Jurisdictions ..................................................35 Tax Incremental District No. 41 Project Plan City of Oshkosh  Prepared by Ehlers Page | 3  SECTION 1: Executive Summary DESCRIPTION OF DISTRICT Tax Incremental District (“TID”) No. 41 (“District”) is a proposed district in need of rehabilitation or conservation consisting of a 2.66-acre parcel located at 1745 Oregon Street, the former Oshkosh Area School District Smith Elementary School which was sold in 2019. The City has received an application from Northpointe Development Corporation (“Developer”) for tax incremental financing (“TIF”) assistance to support rehabilitation of the school structure for use as low-income apartments (“Project”). The Project will include a total of 31 one-, two- and three-bedroom apartment units and construction of 44 garage spaces with additional off-street parking. The Project would be financed with a combination of Low-Income Housing Tax Credits (LIHTC), Historic Tax Credits, DOA Home program funds and a “pay as you go” development incentive provided by the District. AUTHORITY The City is creating the District under the provisions of Wis. Stat. § 66.1105. ESTIMATED TOTAL PROJECT COST EXPENDITURES The City anticipates making total expenditures of approximately $1,647,000 (“Project Costs”) to undertake the projects listed in this Project Plan (“Plan”). Project Costs include an estimated $1,482,000 in development incentives and $164,000 for District administrative costs related to its creation and ongoing administration. Based on the cash flow projection and assumptions made in this Plan, the $1,482,000 development incentive has a present value of approximately $780,000 that the Developer will monetize through WHEDA at a 4.25% discount rate. INCREMENTAL VALUATION The City projects that new land and improvements value of approximately $2.05 million will result from the Project. Creation of this additional value will be made possible by the Project Costs made within the District. A table detailing assumptions as to the development timing and associated values is included in the Economic Feasibility Study located within this Plan. EXPECTED TERMINATION OF DISTRICT Based on the Economic Feasibility Study located within Section 9 of this Plan, the City anticipates that the District will need to remain open for its entire 27 year life to generate sufficient tax increment to pay all Project Costs. Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 4  SUMMARY OF FINDINGS As required by Wis. Stat. § 66.1105, and as documented in this Plan and the exhibits contained and referenced herein, the following findings are made: 1. That “but for” the creation of this District, the development projected to occur as detailed in this Plan: 1) would not occur; or 2) would not occur in the manner, at the values, or within the timeframe desired by the City. The City recognizes the community need for affordable housing which typically requires TIF participation. The Developer’s application for TIF assistance reflects an Internal Rate of Return of 3.59% for the tax credit investor if approximately $1,482,000 in development incentives are provided to the Project, and a negative 0.78% return without incentives. Based on the Developer’s representations in their application for TIF assistance, the City has concluded that the Project would not likely proceed without a development incentive. The specific amount and terms of any incentive provided to the Project will be subject to additional due diligence undertaken by the City prior to approval of a development agreement. 2. The economic benefits of the District, as measured by increased employment, business and personal income, and property value, are sufficient to compensate for the cost of the improvements. In making this determination, the City has considered that in addition to the incremental value expected to be created, the Project will result in rehabilitation and conservation of the former school building, creation of affordable housing, and provision of employment and commercial opportunities related to the construction and operation of the Project. 3. The benefits of the proposal outweigh the anticipated tax increments to be paid by the owners of property in the overlying taxing jurisdictions. As required by Wis. Stat. § 66.1105(4)(i)4., a calculation of the share of projected tax increments estimated to be paid by the owners of property in the overlying taxing jurisdictions has been prepared and can be found in this Plan. However, because the Project would not occur without the use of tax incremental financing, these tax increments would not be paid but for creation of the District. Accordingly, the City finds that the benefits expected to be realized as set forth in this Plan outweigh the value of the tax increments to be invested in the Project. 4. Not less than 50% by area of the real property within the District is in need of rehabilitation or conservation work as defined by Wis. Stat. § 66.1337(2m)(a). (See Section 4 of this Plan for basis of finding). 5. Based on the foregoing finding, the District is designated as a district in need of rehabilitation or conservation. Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 5  6. The Project Costs relate directly to the rehabilitation or conservation of property and improvements in the District, consistent with the purpose for which the District is created. 7. Improvements to be made in the District are likely to significantly enhance the value of substantially all of the other real property in the District. 8. The equalized value of taxable property in the District, plus the incremental value of all existing tax incremental districts within the City does not exceed 12% of the total equalized value of taxable property within the City. 9. The City estimates that none of the territory within the District will be devoted to retail business at the end of the District’s maximum expenditure period, pursuant to Wis. Stat. § 66.1105(5)(b). 10. That there are no parcels to be included within the District that were annexed by the City within the preceding three-year period. 11. The Plan for the District is feasible and is in conformity with the Master (Comprehensive) Plan of the City. Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 6  SECTION 2: Preliminary Maps of Proposed District Boundary Maps Found on Following Pages. Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 7  Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 8  Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 9  Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 10  SECTION 3: Map Showing Existing Uses and Conditions Map Found on Following Page. Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 11  Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 12  Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 13  SECTION 4: Preliminary Parcel List and Analysis The District will consist of a single tax parcel: Parcel Number: 14-0360-000 Address: 1745 Oregon Street Owner: Smith School Lofts LLC Acres: 2.66 Current Value: The improvements located on the parcel, the former Smith Elementary School. are in need of rehabilitation or conservation as defined by Wis. Stat. § 66.1337(2m)(a). Specifically, the Plan includes: 1. Carrying out plans for a program of voluntary repair and rehabilitation of buildings or other improvements. 2. Rehabilitation of buildings and improvements on the property where necessary to eliminate unhealthful, unsanitary, or unsafe conditions, eliminate obsolete or other uses detrimental to the public welfare, to otherwise remove or prevent the spread of blight or deterioration. The original school was designed by noted Oshkosh architect William Waters in 1896 as a four-classroom building with a central stair. In 1929, the firm of Auler, Jensen and Brown designed an addition to the west adding an additional 6 classrooms and recreational space. In 1996 the Oshkosh Area School District (“OASD”) added a gymnasium with two additional classrooms and central offices to the building. In June of 2019, the Oshkosh Board of Education voted to close Smith School after 124 years of educational service citing $3.7 million in needed repairs and maintenance. Assessed Equalized* Land $152,100 $187,800 Improvements $148,900 $183,800 Total $301,000 $371,600 * Assessor’s estimated 2021 equalization ratio as reported in Invista Analytics, LLC’s “Investment Analysis Report” dated August 17, 2021. Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 14  These costs are detailed in a presentation prepared by OASD dated May 22, 2019 titled “Facilities Planning: Smith Elementary” and in a related document titled “3315_OASD Study Document_8.1.17_smith.pdf” both of which are on file with the City. Some of the costs cited include replacement of the original building roof, correction of water infiltration into occupied space, exterior envelope tuck pointing, replacement of dated and failing plumbing fixtures, mold remediation, and building wide window replacement. The costs cited by the OASD support the conclusion that the property is in need of rehabilitation given that adaptive reuse of the property will require that many of the same repairs be made. In May of this year, the Wisconsin Historic Preservation Review Board voted to include Smith School on the state register of historic places and nominated it for the National Register of historic places. A preliminary determination by the National Park Service suggested that this property is likely to be listed on the National Registry. It is anticipated that the National Park Service will make the final National Registry determination soon. Architectural plans developed by Wesenberg Architects show the building being transformed into 31 total apartments including one-, two-, and three- bedroom units. These plans have been reviewed by the Wisconsin Historical Society’s State Historic Preservation Office and have been determined to be consistent with the Secretary of the Interior’s standards for historic preservation by the state. Should the National Park Service make an affirmative final determination on the National Registry Listing, as well as approve the proposed development plan, the project will be eligible to receive both federal and state historic preservation tax credits. The historic status and local significance of the property, its inclusion on the state register of historic places and potential inclusion on the National Register of historic places combined with the need for rehabilitation work support the conclusion that the property is also in need of conservation. Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 15  SECTION 5: Equalized Value Test The following calculations demonstrate that the City expects to be in compliance with Wis. Stat. § 66.1105(4)(gm)4.c., which requires that the equalized value of the taxable property in the proposed District, plus the value increment of all existing tax incremental districts, does not exceed 12% of the total equalized value of taxable property within the City. The equalized value of the increment of existing tax incremental districts within the City, plus the base value of the proposed District, totals $258,780,805. This value is less than the maximum $578,533,500 in equalized value that is permitted for the City. Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 16  SECTION 6: Statement Listing the Kind, Number and Location of All Proposed Public Works or Improvements Within the District Project Costs are any expenditure made, estimated to be made, or monetary obligations incurred or estimated to be incurred as outlined in this Plan. Project Costs will be diminished by any income, special assessments or other revenues, including user fees or charges, other than tax increments, received or reasonably expected to be received in connection with the implementation of the Plan. If Project Costs incurred benefit territory outside the District, a proportionate share of the cost is not a Project Cost. Costs identified in this Plan are preliminary estimates made prior to design considerations and are subject to change after planning, design and construction is completed. The costs of engineering, design, survey, inspection, materials, construction, restoring property to its original condition, apparatus necessary for public works, legal and other consultant fees, testing, environmental studies, permits, updating City ordinances and plans, judgments or claims for damages and other expenses are included as Project Costs. The following is a list of public works and other tax incremental financing eligible Project Costs that the City expects to make, or may need to make, in conjunction with the implementation of the District’s Plan. The map found in Section 7 of this Plan along with the Detailed List of Project Costs found in Section 8 provide additional information as to the kind, number and location of potential Project Costs. Community Development Cash Grants (Development Incentives) The City may enter into agreements with property owners, lessees, or developers of land located within the District for sharing costs to encourage the desired kind of improvements and assure tax base is generated sufficient to recover Project Costs. No cash grants will be provided until the City executes a developer agreement with the recipient of the cash grant. Any payments of cash grants made by the City are eligible Project Costs. Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 17  Utilities Sanitary Sewer System Improvements To allow development to occur, the City may need to construct, alter, rebuild, or expand sanitary sewer infrastructure within the District. Eligible Project Costs include, but are not limited to, construction, alteration, rebuilding, or expansion of collection mains; manholes and cleanouts; service laterals; force mains; interceptor sewers; pumping stations; lift stations; wastewater treatment facilities; and all related appurtenances. To the extent sanitary sewer projects undertaken within the District provide direct benefit to land outside of the District, the City will make an allocation of costs based on such benefit. Those costs corresponding to the benefit allocated to land within the District, and necessitated by the implementation of the Project Plan, are eligible Project Costs. Implementation of the Project Plan may also require that the City construct, alter, rebuild or expand sanitary sewer infrastructure located outside of the District. That portion of the costs of sanitary sewer system projects undertaken outside the District which are necessitated by the implementation of the Project Plan are eligible Project Costs. Water System Improvements To allow development to occur, the City may need to construct, alter, rebuild, or expand water system infrastructure within the District. Eligible Project Costs include, but are not limited to, construction, alteration, rebuilding, or expansion of distribution mains; manholes and valves; hydrants; service laterals; pumping stations; wells; water treatment facilities; storage tanks and reservoirs; and all related appurtenances. To the extent water system projects undertaken within the District provide direct benefit to land outside of the District, the City will make an allocation of costs based on such benefit. Those costs corresponding to the benefit allocated to land within the District, and necessitated by the implementation of the Project Plan, are eligible Project Costs. Implementation of the Project Plan may also require that the City construct, alter, rebuild, or expand water system infrastructure located outside of the District. That portion of the costs of water system projects undertaken outside the District which are necessitated by the implementation of the Project Plan are eligible Project Costs. Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 18  Stormwater Management System Improvements Development within the District will cause stormwater runoff. To manage this stormwater runoff, the City may need to construct, alter, rebuild, or expand stormwater management infrastructure within the District. Eligible Project Costs include, but are not limited to, construction, alteration, rebuilding, or expansion of stormwater collection mains; inlets, manholes and valves; service laterals; ditches; culvert pipes; box culverts; bridges; stabilization of stream and riverbanks; and infiltration, filtration, and detention Best Management Practices (BMP’s). To the extent stormwater management system projects undertaken within the District provide direct benefit to land outside of the District, the City will make an allocation of costs based on such benefit. Those costs corresponding to the benefit allocated to land within the District, and necessitated by the implementation of the Project Plan, are eligible Project Costs. Implementation of the Project Plan may also require that the City construct, alter, rebuild, or expand stormwater management infrastructure located outside of the District. That portion of the costs of stormwater management system projects undertaken outside the District which are necessitated by the implementation of the Project Plan are eligible Project Costs. Electric Service To create sites suitable for development, the City may incur costs to provide, relocate or upgrade electric services. Relocation may require abandonment and removal of existing poles or towers, installation of new poles or towers, or burying of overhead electric lines. Costs incurred by the City to undertake this work are eligible Project Costs. Gas Service To create sites suitable for development, the City may incur costs to provide, relocate or upgrade gas mains and services. Costs incurred by the City to undertake this work are eligible Project Costs. Communications Infrastructure To create sites suitable for development, the City may incur costs to provide, relocate or upgrade infrastructure required for voice and data communications, including, but not limited to telephone lines, cable lines and fiber optic cable. Costs incurred by the City to undertake this work are eligible Project Costs. Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 19  Streets and Streetscape Street Improvements To allow development to occur, the City may need to construct or reconstruct streets, highways, alleys, access drives and parking areas. Eligible Project Costs include, but are not limited to: excavation; removal or placement of fill; construction of road base; asphalt or concrete paving or repaving; installation of curb and gutter; installation of sidewalks and bicycle lanes; installation of culverts, box culverts and bridges; rail crossings and signals; utility relocation, to include burying overhead utility lines; street lighting; installation of traffic control signage and traffic signals; pavement marking; right-of-way restoration; installation of retaining walls; and installation of fences, berms, and landscaping. Streetscaping and Landscaping To attract development consistent with the objectives of this Plan, the City may install amenities to enhance development sites, rights-of-way, and other public spaces. These amenities include but are not limited to landscaping; lighting of streets, sidewalks, parking areas and public areas; installation of planters, benches, clocks, tree rings, trash receptacles and similar items; and installation of brick or other decorative walks, terraces and street crossings. These and any other similar amenities installed by the City are eligible Project Costs. Miscellaneous Projects Outside the Tax Increment District Pursuant to Wis. Stat. § 66.1105(2)(f)1.n, the City may undertake projects within territory located within one-half mile of the boundary of the District provided that: 1) the project area is located within the City’s corporate boundaries; and 2) the projects are approved by the Joint Review Board. The cost of projects completed outside the District pursuant to this section are eligible project costs and may include any project cost that would otherwise be eligible if undertaken within the District. The City intends to install public improvements as needed to support the Project. These public improvements may need to be made within the rights-of-way adjoining the District, or in other areas near the District’s boundaries. While the cashflow projections in this Plan indicate that no funds will be available at the end of the District’s expenditure period to pay costs other than those identified in Section 8 of the Plan, should the District’s performance exceed expectations the City may need to make public infrastructure improvements to benefit the District. In that case, the City will utilize District funds to pay for those costs to the extent funds are available and the work benefits the Project and District. Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 20  Professional Service and Organizational Costs The costs of professional services rendered, and other costs incurred, in relation to the creation, administration and termination of the District, and the undertaking of the projects contained within this Plan, are eligible Project Costs. Professional services include but are not limited to architectural; environmental; planning; engineering; legal; audit; financial; and the costs of informing the public with respect to the creation of the District and the implementation of the Plan. Administrative Costs The City may charge to the District as eligible Project Costs reasonable allocations of administrative costs, including, but not limited to, employee salaries. Costs allocated will bear a direct connection to the time spent by City employees relating to the implementation of the Plan. Financing Costs Interest expense, debt issuance expenses, redemption premiums, and any other fees and costs incurred in conjunction with obtaining financing for projects undertaken under this Plan are eligible Project Costs. Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 21  SECTION 7: Map Showing Proposed Improvements and Uses Maps Found on Following Pages. Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 22  Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 23  Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 24  SECTION 8: Detailed List of Estimated Project Costs The following list identifies the Project Costs that the City currently expects to incur in implementing the District’s Plan. All projects identified and related costs reflect the best estimates available as of the date of preparation of this Plan. All costs are preliminary estimates and may increase or decrease. Certain Project Costs listed may become unnecessary, and other Project Costs not currently identified may need to be made. (Section 6 details the general categories of eligible Project Costs). Changes in Project Cost totals or the types of Project Costs to be incurred will not require that this Plan be amended. This Plan is not meant to be a budget nor an appropriation of funds for specific Project Costs, but a framework within which to manage Project Costs. While the cashflow projections in this Plan indicate that no funds will be available at the end of the District’s expenditure period to pay costs other than those identified in this Section, should the District’s performance exceed expectations the City may need to make public infrastructure improvements to benefit the District. In that case, the City will utilize District funds to pay for those costs to the extent funds are available and the work benefits the Project and District. Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 25  SECTION 9: Economic Feasibility Study, Description of the Methods of Financing Estimated Project Costs and the Time When Related Costs or Monetary Obligations are to be Incurred This Section includes a forecast of the valuation increases expected within the District, the associated tax increment collections, a summary of how Project Costs would be financed, and a projected cash flow demonstrating that the District is economically feasible. Key Assumptions The Project Costs the City plans to make are expected to create $2.05 million in incremental value by January 1, 2023. Estimated valuations and timing for construction of the Project are included in Table 1. Assuming a projected equalized TID Interim tax rate of $25.44 per thousand of equalized value and an annual 1% increase in the value of the Project due to economic appreciation the Project would generate approximately $1.65 million in incremental tax revenue over the 27-year term of the District as shown in Table 2. The projected tax rate used for this Plan is intended to reflect the anticipated impacts of the Oshkosh Area School District capital facilities referendum approved in 2020. The current TID interim tax rate for the 2021 budget year is $24.60 per thousand of equalized value. Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 26  Table 1 – Development Assumptions Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 27  Table 2 – Tax Increment Projection Worksheet Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 28  Financing and Implementation The City anticipates making total expenditures of approximately $1,647,000 including an estimated $1,482,000 in development incentives and $165,000 for District administrative costs related to its creation and ongoing administration. Based on the cash flow projection and assumptions made in this Plan, the $1,647,000 development incentive has a present value of approximately $780,000 that the Developer will monetize through WHEDA at a 4.25% discount rate. The potential incentive amount included in this Plan is based on Developer’s TIF assistance request. The specific amount and terms of any incentive provided to the Project will be subject to additional due diligence undertaken by the City prior to approval of a development agreement. Development incentive payments will be paid from tax increments as they are collected on a “pay as you go” basis. Administrative expenses will be paid from tax increments collected, or from advances from other funds to the extent those costs exceed cash amounts available. The City will recover any amounts advanced to the District as cash flows permit. Based on the cash flow exhibit (Table 3), the City anticipates that the District will need to remain open for its entire 27-year life to generate enough tax increment to pay all Project Costs. While the cashflow projection indicates that no funds will be available at the end of the District’s expenditure period to pay costs other than those identified in the projection and in Section 8 of this Plan, should the District’s performance exceed expectations the City may need to make public infrastructure improvements to benefit the District. In that case, the City will utilize District funds to pay for those costs to the extent funds are available and the work benefits the Project and District. Tax Incremental District No. 41 Project Plan  City of Oshkosh Prepared by Ehlers  Page | 29  Table 3 – Cash Flow Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 30  SECTION 10: Annexed Property A tax incremental district cannot include annexed territory unless at least three years have elapsed since the annexation, or certain other requirements are met. None of the property within the proposed District boundary was annexed during the past three years. SECTION 11: Estimate of Property to Be Devoted to Retail Business Pursuant to Wis. Stat. § 66.1105(5)(b), the City estimates that none of the territory within the District will be devoted to retail business at the end of the District’s maximum expenditure period. SECTION 12: Proposed Changes of Zoning Ordinances, Master Plan, Map, Building Codes and City Ordinances Zoning Ordinances The proposed Plan is in general conformance with the City’s current zoning ordinances. Individual properties may require rezoning at the time of development. Master (Comprehensive) Plan and Map The proposed Plan is in general conformance with the City’s Comprehensive Plan identifying the area as appropriate for multi-family development. Building Codes and Ordinances Development within the District will be required to conform to State Building Codes and will be subject to the City's permitting and inspection procedures. The proposed Plan conforms to all relevant State and local ordinances, plans, and codes. No changes to the existing regulations are proposed or needed. Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 31  SECTION 13: Statement of the Proposed Method for the Relocation of any Persons to be Displaced Should implementation of this Plan require relocation of individuals or business operations, relocations will be handled in compliance with Wis. Stat. Chapter 32 and Wis. Admin. Code ADM 92. SECTION 14: How Creation of the Tax Incremental District Promotes the Orderly Development of the City Creation of the District and the implementation of the projects in its Plan will promote the orderly development of the City by rehabilitating and conserving property and providing appropriate financial incentives for private development projects. Through use of tax increment financing, the City can attract new investment that results in increased tax base. Development will occur in an orderly fashion in accordance with approved plans so that the Projects will be compatible with adjacent land uses. Development of new uses in the District will add to the tax base and will generate positive secondary impacts in the community such as rehabilitation and conservation of a blighted historic structure, creation of affordable market rate multi-family housing to meet market demand, and provision of employment and commercial opportunities related to the construction and operation of the Project Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 32  SECTION 15: List of Estimated Non-Project Costs Non-project costs are public works projects which only partly benefit the District. Costs incurred that do not benefit the District may not be paid with tax increments. Examples of non-project costs are:  A public improvement made within the District that also benefits property outside the District. That portion of the total Project Costs allocable to properties outside of the District would be a non-project cost.  A public improvement made outside the District that only partially benefits property within the District. That portion of the total Project Costs allocable to properties outside of the District would be a non- project cost.  Projects undertaken within the District as part of the implementation of this Project Plan, the costs of which are paid fully or in part by impact fees, grants, special assessments, or revenues other than tax increments. No improvements to be made within the District will benefit property outside the District. Furthermore, there will be no improvements made outside the District that will only partially benefit the District. Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 33  SECTION 16: Legal Opinion Advising Whether the Plan is Complete and Complies with Wis. Stat. § 66.1105(4)(f) Legal Opinion Found on Following Page. Tax Incremental District No. 41 Project Plan  City of Oshkosh  Prepared by Ehlers  Page | 35  SECTION 17: Calculation of the Share of Projected Tax Increments Estimated to be Paid by the Owners of Property in the Overlying Taxing Jurisdictions The following projection is provided to meet the requirements of Wis. Stat. § 66.1105(4)(i)4.