Fiscal Note
This resolution makes technical changes to the Small Cap TIF Loan program in the Mansion Hill-James Madison Park Neighborhood and is not expected to have a fiscal effect.
Title
Amending Resolution 14-00576, a Substitute Authorizing the Mayor and the City Clerk to Execute an Amendment to the Mansion Hill-James Madison Park Neighborhood Small Cap TIF Program in Tax Increment District #32 (Uppers State Street) and Amending Enactment No. RES-11-00042.
Body
On January 20, 2011, the Common Council adopted Enactment No. RES-11-00042 ("Resolution") that authorized the creation of the Mansion Hill-James Madison Park Neighborhood Small Cap TIF Program (“Program”). Under the terms of the Program, the borrower could not already own the property, is required to occupy the property as their primary residence within twelve (12) months of loan closing, and must occupy the property for ten (10) years. The Program was amended in 2014 by RES-14-00576 which allowed developers to apply to the program, allow current landlords to apply to the program, increase the loan amount, allow flexibility for a borrower to sell the property without penalty, and utilize a land use restriction to ensure owner-occupancy.
WHEREAS, the language of the Program as stated in the Resolution has caused confusion as to eligibility; and
WHEREAS, the City has been faced with a variety of applications that present difficulty in managing the program with consistency; and
WHEREAS, in response to these ongoing challenges, this Amendment to the Resolution has three purposes: 1. To clarify the term “owner occupant” for the purpose of eligibility; 2. To clarify what commercial enterprises may be eligible; and 3. Change the loan terms to further incentivize loan applications while maintaining security for the City.
NOW, THEREFORE, BE IT RESOLVED that:
Paragraph 2 entitled “Program Definition” is amended to read as follows:
2) Program Definition: Provide forgivable loans for the purchase and/or r...
Click here for full text