[0:02] Call the community development authority
uh to order
[0:06] uh at 5:33
uh will we please stand for the pledge.
[0:11] » I pledge allegiance to the flag of the
United States of America and to the
[0:16] republic for which it stands, one nation
under God, indivisible, with liberty and
[0:22] justice for all.
[0:26] » Local?
>> Carmeline?
[0:28] » Here.
>> Adams?
[0:29] » Here.
>> Deason?
[0:32] Kerr?
>> Here.
[0:35] » Knapp? Knapp?
[0:39] Theodore?
>> Here.
[0:41] » Wingles?
>> Here.
[0:45] » When I was looking at the names and I'm
going looking at it, someone still
[0:50] coming yet or not. All right, public
comments.
[0:55] I have none. Do you have any online?
>> No, just staff online.
[0:59] » All right.
Minutes of previous meeting
[1:04] March 10th of 2020.
>> Move to approve.
[1:08] » Motion by Lisa.
>> Second.
[1:10] » Seconded by Ted.
On the question.
[1:13] All in favor signify by saying aye.
>> Aye.
[1:17] » Opposed? So carried.
Acknowledge work product transmittals.
[1:21] There is none.
Educational presentation and reports.
[1:26] Five, update on TIF District number one.
>> So let me give a quick summary. So TIF
[1:32] District number one is the TIF that will
be closing. I know some of you actually
[1:36] were here in the early years of the TIF
and Truth project amendment that we did
[1:42] probably
uh six, seven years ago. Um
[1:46] this TIF is now closing. We have
recovered all our costs. Western Avenue
[1:50] was one of the last projects that we
completed using TIF funds. Um so I got a
[1:56] nice little summary. Um, TIF 1 added
$354
[2:01] million in assessed value to the village
since 1998,
[2:06] and the total assessed value was $1.7
billion
[2:13] Um, I got some
pictures of the projects that were
[2:16] completed in the TIF. Um,
the TIF incurred $86 million
[2:23] in project costs, of that $71.1
was invested in infrastructure with $5.7
[2:30] going to property acquisition, $4.7 to
development incentives, $3.7 for
[2:36] administration. And the total increment
collected during its life was $95.7
[2:42] million. Plus, um, and the total debt
issued was $81.3 million.
[2:49] And I highlighted some of the
significant projects.
[2:53] Um,
the
[2:56] Any questions or comments on TIF
District number 1?
[3:03] » The funding is there now for closing.
>> We have enough funds that we are able to
[3:08] close it. We do have debt ex- debt
outstanding, that's why we are required
[3:13] to call this meeting. Um, the revenue
bonds that the TIF District issued were
[3:20] CDA revenue bonds, um, issued by the
Community Development Authority. They
[3:25] were not village bonds, they were
community development authority bonds.
[3:30] So, with that, upon calling, we need the
CDA to call those bonds. So, we have
[3:35] debt payments through 2031,
and this meeting is here to call and say
[3:40] all those that hold the debt for the CDA
expecting payment through 2031, we are
[3:46] going to call that and pay you in full
with your interest, and we will no
[3:51] longer have any debt issued for those
spots.
[3:55] » And we have enough revenue to cover
that.
[3:57] » Yes, we do.
>> Okay, I want to just make sure that's on
[4:00] record. So, thank you.
Okay.
[4:02] » Is there any remaining revenue?
>> We are not actually done yet. We still
[4:07] have I there's $70,000
of Weston Avenue coming in.
[4:12] Um so, we do not have final numbers yet.
>> If there is any remaining, it is
[4:19] divided back to the
>> It'll go to the taxing districts.
[4:24] » In the proportion that it was taxed from
them. So, it if there is any remaining
[4:28] portion, it doesn't totally stay with
the village. It will go back to the NTC,
[4:32] to the school district, to the county.
And our portion would stay with us, but
[4:37] it wouldn't be the total portion of
whatever is remaining.
[4:43] » Any other questions?
>> Then going forward then
[4:47] So, these will be on the regular tax
roll now. So, then will that
[4:52] lower the tax taxes overall?
>> tax I think it's significant. There will
[4:58] be a pretty decent-sized tax rate
reduction
[5:02] for
specifically the village. I'm not going
[5:05] to speak for the other taxing entity
taxing entities, but you should
[5:11] because what I noticed like so last year
we had a significant
[5:17] adjustment to our TIF. They they took
the it was called a prior year
[5:21] adjustment. So, they reduced the value
of our TIF by like $76 million
[5:27] last year. Um that really
I don't know if you notice your tax
[5:32] bill, but it actually went down. And
that was part of the reason why it went
[5:35] down is because of the adjustment in the
TIF value. So, when we do it again and
[5:42] we take all that TIF value away and put
it on the general tax roll, you should
[5:47] see another significant reduction. But,
what also happens is the amount of our
[5:52] allocation, like the percentage of the
county levy that the village paid always
[5:58] was reduced by the um
the value of the TIF. So, now we will be
[6:03] paying a larger percentage of the county
tax, the school tax, and then technical.
[6:09] So, even though our rate will be
following
[6:13] paying a larger portion of those levies
for those other taxing districts. Does
[6:17] that make sense?
>> Okay. Cuz now that's county taxable is
[6:20] what you're saying.
>> Yeah, it's all
[6:23] And then our school district.
>> Yeah, just like regular.
[6:27] » Yeah.
>> Yeah.
[6:28] » And then when does that take uh
that
[6:30] for the 2026 or is that going to affect
the
[6:33] » For next year. So, your tax bills right
now, you're going to see a lot of
[6:37] changes. So, it
we'll have to see how everything shakes
[6:42] out. I'm excited to excited to see what
the cuz the DOR will give us the final
[6:47] numbers of how much of that we can
increase our levy. So, the state will
[6:52] allow us to increase our levy. We're
estimating
[6:56] around $400,000. We'll be able to
increase our levy. But, the rest of that
[7:02] will have to be a tax rate decrease. So,
with all the numbers moving together,
[7:07] there's there's going to be a a nice
benefit. But, we're not quite sure what
[7:11] all those numbers look like yet.
>> Sure.
[7:15] » The other Any other questions? Comments?
Okay.
[7:20] » Well, I just had one other one, I guess.
Um so, then now this one's going to
[7:23] close. When is the other one scheduled
to close?
[7:26] » So,
>> It's a good segue.
[7:28] » That's the next item item six. Update on
TIF number two.
[7:35] » So, TIF district number two was born in
2004. It covers the land around School
[7:39] Field Avenue. They added $22 million in
assessed value to the village since
[7:44] 2004. Um
Our last large project that we completed
[7:50] was Schofield Avenue, the reconstruction
of Schofield Avenue. It was $5.8 million
[7:56] we spent on that. Um previous years that
TIF was originally created for like the
[8:02] street beautification with all the
medians and the
[8:07] the ball yards and stuff. So, it was
originally created for that, but with
[8:13] the project amendment that we adopted a
few years ago, maybe 6 years ago, we did
[8:18] the project amendment for TIF 2. It
allowed us and extended the project
[8:23] scope to include street reconstruction.
So, with that project amendment, we were
[8:29] able to complete the reconstruction of
Schofield Avenue. Um
[8:33] that project was a little bit larger
than originally thought and with the
[8:39] state
adjustment to the value of TIF 2, they
[8:44] gave us a very large reduction last
year. Um
[8:48] without the large reduction, we should
have been able to pay off this project
[8:53] by next year, but with a deficit of
841,000,
[8:58] I think it's going to take a couple
years to pay off. So, this TIF district
[9:02] is going to have to stay open until the
deficit is gone. There are no other
[9:07] expenditures going to this TIF district.
We do have the administration
[9:12] um that will keep going there as long as
the TIF is open, but hopefully in a
[9:16] couple of years this TIF district will
also be closed. There is no debt in this
[9:22] TIF anymore. It's only going to be the
repaying of this project. So,
[9:27] » Question. Uh remind me how long can a
TIF be open?
[9:31] » So, this one can be open till 2031.
The expenditure ended in 2026. We're
[9:38] already past the expenditure period, so
no new no new grants, no new projects,
[9:43] just um the administration is allowed as
long as the TIF is open, but we're just
[9:48] going to work on recovering um the cost
and hopefully being able to pay it off
[9:53] in a couple of years.
>> So, likely it will still close earlier
[9:57] than its scheduled date.
>> Yep.
[10:00] » Just as a side note, as you were saying
that on TIF number one,
[10:05] all those administration costs are going
to come back.
[10:08] » I was just going to ask that same
question.
[10:09] » Yeah, and that all will come back to the
general fund.
[10:12] » Yeah, we have about $200,000
that will be coming back to the general
[10:17] fund
um for administration costs.
[10:21] » So, that's part of the
monies that we'll get
[10:28] » Pretty good deal, though. Get rid of the
debt, pick up a little bit of
[10:32] » Yeah.
>> cost allocation.
[10:34] » It's nice to actually I got to see it. I
was here when it opened, and I got to
[10:39] see it when it closed.
>> [laughter]
[10:43] » I love that enthusiasm about it.
>> Yes. Hey, I've been waiting for this.
[10:49] Okay, anything else, Jessica?
>> No, unless she has questions.
[10:54] » Any more questions for Jessica?
>> I guess the only question I have would
[10:57] be is is there any talk of starting a
new TIF or not even?
[11:01] » Not at this moment. There's been change
to TIF law. There's also been a lot of
[11:04] housing TIFs that have come in. Um plan
commission is had some preliminary
[11:09] discussions about that, but um those are
they're very new in in state law, so
[11:15] we'll see kind of how that how they
progress.
[11:19] » Okay.
>> Wasn't I don't even remember where it
[11:22] came from anymore. Where someone was
suggesting that
[11:27] that one quarter kind of on um
like J and through their, you know,
[11:35] trying to promote that as maybe another
gift small.
[11:39] » that meeting and I don't remember what
it was either.
[11:41] » Right.
>> I'm recalling correctly.
[11:44] » Yeah.
>> I think if we had the right project that
[11:47] that someone had come forward and if it
was a right fit, it would be something
[11:52] we would consider for sure, but
>> because I I can't remember. The only
[11:55] thing I can remember is it definitely
would not be as big as this one, but
[12:00] Okay.
All right, old business. I don't have
[12:04] any, I guess.
New business, approval of resolution
[12:09] authorizing the redemption of the
community development lease revenue
[12:13] bonds series 2017A
dated July 13th, 2017.
[12:26] What is your pleasure?
[12:32] » I'll make the motion to approve the
resolution.
[12:35] » Okay.
Thank you, Hogan. Done. Do I have a
[12:38] second?
>> I'll second it.
[12:40] » Seconded by Mark.
On the question.
[12:44] All in favor, signify by saying I.
>> I.
[12:48] » Opposed? So carried. I didn't have to
read this whole thing.
[12:53] Thank you.
[12:56] All right, remarks from staff.
[13:01] Nothing?
Any remarks from commission members?
[13:04] Don, anything?
Steve?
[13:07] Mark?
>> My only question is does the CDA that's
[13:11] still open? Cuz we don't
Just it stays open for until TIFF 2
[13:16] closes.
It doesn't do the same thing cuz TIFF 2
[13:19] doesn't have debt, so it wouldn't need
to. I think it's something that if the
[13:22] committee wants to meet back and talk
about, um
[13:28] otherwise the CDA likely could disband.
It is part of ordinance though, so we
[13:32] would we would take it out of ordinance.
I know in the past many
[13:37] years ago, the CDA might like visit
businesses or um
[13:42] do tours of you know, businesses to
learn more about what was happening
[13:46] there.
Uh maybe more of an advocacy role.
[13:49] » They did that in 2018. They're
pretty active.
[13:53] » We used to go tour businesses within the
TIF to see how things were going and
[13:58] just get a pulse of what was happening,
but
[14:01] that I I don't think I've done one since
2018.
[14:05] » Right.
And the
[14:08] since 2020, we've been so
Yeah.
[14:15] » So, I mean, it would just be, like you
said, the
[14:18] TIF one and two.
If two doesn't have any debt, I mean, it
[14:22] has debt, but it isn't
>> TIF two doesn't have any debt.
[14:27] So, that is just [clears throat]
>> Like the revenues right now to pay off
[14:30] the deficit, right? Is really what it
is, and once the deficit's gone, it
[14:33] disappears.
>> Yes.
[14:35] » Yeah.
>> But then you still have to form them
[14:38] both.
>> Which the board would do. Just like we
[14:42] did it by April 15th of whatever year.
The Yeah, the board of trustees would
[14:46] close it.
[14:50] Okay.
So, a future conversation if there's
[14:54] something that
>> Really, we serve at the boards at this
[14:57] point. We only
words
[15:00] » Right.
>> wishes, right?
[15:02] » Right.
>> It's nothing to administer or
[15:05] » Right. The board, this may be something
that we should probably bring to the
[15:09] board to find out what their
>> their wishes are.
[15:12] » If they want to just leave it out there
for maybe future
[15:16] you know, or something, but
>> I just asked her to add it to board's
[15:19] agenda for next month.
>> Yeah.
[15:24] So you have your pleasure that's
>> I would I would guess everyone's
[15:27] interested though in other committees if
not this committee, right? Like
[15:31] » [laughter]
>> We always have openings other places.
[15:34] » I'm trying to figure out how long I've
been on this committee. I think it's
[15:36] either 2002 or 2003.
>> We met a lot of times, right?
[15:41] » We sure did earlier. Yeah.
A lot of times.
[15:45] That was pre-pre dates Daniel.
>> Just heard just commenting on this.
[15:49] Still have an opening on finance and HR?
[15:55] Oh, that's up your alley, finance. I
know it is.
[15:58] » That's No, I was thinking more along the
parks and recreation.
[16:03] That'd [clears throat] be more my style.
Not finance.
[16:07] » Making a note of that, Steve.
[16:10] » Okay, so I have nothing to add
other than it was nice meeting with the
[16:16] committee here today.
I you know, I've been around but I
[16:20] haven't been on the committee itself.
I was but we didn't meet.
[16:24] » For many years I
[16:27] » Future items? Nothing?
I may entertain a motion to adjourn.
[16:34] » Motion to adjourn.
>> I Lisa.
[16:36] » Second.
>> Second by Todd.
[16:38] All in favor signify saying I.
>> I.
[16:42] » Opposed? So carried. We adjourn at 5:50.