The EDA will be undertaking certain improvements for River City Centre, including but not limited to exterior improvements, lighting, and landscaping in an estimated amount of $3,126,424.  If approved, the resolution authorizes the funding of River City Centre Improvements from a combination of two funding sources.

1) Use of pooled tax increment funds in the approximate amount of $634,120.  The Tax Increment Act enacted by the State in 2021, created temporary authority to transfer unobligated tax increments for certain specified purposes.  As required, on November 1, 2022 the EDA adopted an amended spending plan which authorized pooled funds to be used for the improvement of existing commercially owned or utilized buildings and facilities.  All pooled tax increment funds created by the temporary authority (approximately $634,120k) would be exhausted.  The previously approved amended tax increment spending plan has been attached for reference.

2) Use of future tax increments from the administration fund of TIF No. 18 (Canterbury) in the approximate amount of $2,492,304.  The resolution allows for the EDA to spend the money in advance for improvements to River City Centre and be reimbursed from future tax increments from the administrative portion plus interest of five percent from TIF District No. 18.  Tax increment projections show sufficient funding will be available from the TIF No. 18 administrative fund repay the cost of the improvements.  The River City Centre and Canterbury districts are both redevelopment tax increment financing districts, however since the expenditures will occur outside the geographical boundaries of TIF No. 18 the expenditures are considered "out of district".  Redevelopment districts are allowed to spend up to 25% of tax increment revenues on projects "out of district".