TID #3 - Mill and Washington Street Development
Description of District
Tax Incremental District No. 3 (the “TID” or “District”) was created as a blighted area district reflecting residual soils contamination resulting from a leaking underground petroleum storage tank formerly located on the site. The contamination was documented in reports prepared by the Wagner Komurka Technical Group, Inc. dated September 26, 2011, and Stantec Consulting Services Inc. dated October 19, 2011. Site limitations resulting from the contamination and the potential need for the undertaking of additional remediation activities have been an impediment to the orderly redevelopment of the site. Estimated Total
Project Cost Expenditures
The City anticipates making total project cost expenditures of approximately $375,294 to undertake the projects listed in this Project Plan. The City anticipates completing the projects in one phase. The Expenditure Period of this District is 22 years from the date of adoption of the authorizing Resolution of the Common Council (the “Creation Resolution”). The projects to be undertaken pursuant to this Project Plan are expected to be paid for with cash available from annual tax increment collections; however, the City may use other financing methods which may provide other advantages as determined by the Common Council.
Economic Development
As a result of the creation of this District, the City projects that additional land and improvements value of approximately $1,200,000 will be created as a result of new development and appreciation in the value of that new development over time. This additional value will be a result of the improvements made and projects undertaken within the District. A table detailing assumptions as to the timing of new development and redevelopment and associated values is located in Section 10 of the Project Plan. In addition, creation of the District is expected to result in other economic benefits.
Expected Termination of District
Based on the Economic Feasibility Study located in Section 10 of the project plan, this District would be expected to generate sufficient tax increments to recover all project costs by the year 2035; seven years earlier than the 27 year maximum life of this District.