1997-06-26 TIF 7 and 8 Approval
Kennedy
.
470 Pillsbury Center
200 Somh Sixth Srreet
Minneapolis MN 55402
(612) .3.37-9300,telephone
(612) 337-9.310 fax
e-mail: attys@kennedy..ograven.com
.
& Graven
CHARTERED
STEPHEN J. BUBn
Attorney at Law
Direct Dial (612) 337-9228
June 26, 1997
Ms. DarIa Groshens
Wright County Auditor
10 NW 2nd Street
Buffalo, MN 55313
RE: City of Albertville, TIF District Nos. 7 and 8
Dear Ms. Groshens:
By resolutions adopted May 20, 1997, the City Council of the City of Albertville approved the
creation of Tax Increment Financing (TIF) District Nos. 7 and 8 within Development District No.
1, and adopted TIP Plans for those TIF Districts. A copy of the resolutions and TIF Plans are
enclosed.
The City hereby requests that you certify the original tax capacity of each TIF District pursuant
to Minnesota Statutes, Sections 469.174 through 469.179. Following are some explanations
regarding each district:
TIF District No. 7
This district is a qualified housing district, and will be exempt from state aid loss. The property
has recently been platted; the City requests that you certify the original tax capacity of the new
tax parcel when available.
TIF District No. 8
This district is an economic development district. The property has been owned by the City and
tax exempt for more than five years, so we expect that the original tax capacity will initially be
$0, and there will be no "inflation adjustment factor." The City understands that when the
property is transferred to a private developer, the original tax capacity will be adjusted to reflect
the value at the time of the sale. Based on discussions with County Assessor Doug Gruber, we
expect that such market value will be $13,000, based on a sale of an approximately 2 acre
portion of an existing tax parcel that is in the process of being platted. Again, we expect that
upon transfer of the property you will certify the adjusted tax capacity of the new tax parcel.
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Ms. Daria Groshens
Page Two
June 26, 1997
The City understands that the original tax capacity rate that applies to each TIF District, will be
the rate applicable for taxes payable in 1997, this request having been filed before July 1, 1997.
A certificate form for each TIF District is enclosed with this letter, and we request that you
execute those forms or substantially similar documents. Please return a copy of the executed
forms to the City. For each district, we have also enclosed your tax increment f1ling form and
the State Department Revenue's Certification Request Supplement.
If you have any questions, please contact me or City Clerk-Treasurer, Linda Houghton.
Stephen . Bubul
Special Counsel to the City of Albertville
SJB:gak
Enclosures
cc: Linda Houghton
Mike Couri