HomeMy WebLinkAbout22. 17-407 AUGUST 8, 2017 17-407 RESOLUTION
(CARRIED 6-0 LOST LAID OVER WITHDRAWN )
PURPOSE: APPROVE DISSOLVING TAX INCREMENTAL DISTRICT #7
SOUTHWEST INDUSTRIAL PARK
INITIATED BY: CITY ADMINISTRATION
WHEREAS, on July 20, 1989, the Common Council of the City of Oshkosh created
Tax Incremental Finance District # 7 Southwest Industrial Park; and
WHEREAS, State Statutes require that when a municipality recovers its cost
incurred in a district or because this District was created prior to October 1, 1995, when
27 years has expired, whichever occurs first, the District shall be dissolved; and
WHEREAS, Tax Increment Finance District #7 has reached its 27 year statutory
life; and
WHEREAS, on May 10, 2016 the Common Council of the City of Oshkosh
approved extending the life of TID #7 for 12 months in order to utilize the final year's
increment to fund the Healthy Neighborhood Initiative to improve housing stock of the
community.
NOW, THEREFORE BE IT RESOLVED by the Common Council of the City of
Oshkosh that Tax Incremental Finance District #7 Southwest Industrial Park is dissolved.
TO: Honorable Mayor and Members of the Common Council
FROM: Darryn Burich, Director of Planning Services
DATE: August 4, 2017
RE: Approve Dissolving TID No. 7 Southwest Industrial Park
BACKGROUND
On July 201h, 1989 Council approved a creation resolution for a project plan and boundaries for Tax
Incremental Financing District TID No. 7 Southwest Industrial Park. For TID No. 7 TIF was used to
pay for land acquisition and infrastructure development costs to expand the Southwest Industrial
Park that had been originally developed as TID No. 3. TID No. 7 has been one of the City's most
successful TID's with a current tax increment of over $144 million, attracted over 120 companies, and
has a total workforce of roughly 4,000 employees. TID # 7 has been so successful that over the years it
has served as a donor TID to Nos. 13, 16, 20, 21, and 24. In fact without donations from TID No. 7 the
Marion Road Redevelopment Area would not have occurred nor would riverwalk developed at the
pace and schedule that it has. TID No. 7's life was also extended one year so the final year's
increment could fund the city's healthy neighborhood improvement fund.
ANALYSIS
State Statutes require that a TID be terminated after enough increment has been generated to pay all
remaining project costs or the TID is extended to fund a housing program as was previously done
with this TID. TID No. 7 has now reached its statutory termination of 28 years and must be dissolved.
The TID is currently valued at approximately $166 million, with $144 million value increment that
will be added back to the general property tax rolls upon closure.
FISCAL IMPACT
After transfers to TID Nos 20 and 13, there will be an approximate cash balance of $120,000 that will
be distributed to the overlying taxing entities.
RECOMMENDATION
Staff recommends adoption of the above noted resolution.
Respectfully Submitted,
/01,1� gon,
Darryn Burich
Director of Planning Services
Approved,
Mark A. Rohloff
City Manager
TID # 7 Bo dary