ACTION ITEM
SPONSOR: Jewel Cannada-Wynn, Chairperson
SUBJECT:
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SUPPLEMENTAL BUDGET RESOLUTION NO. 2017-12 CRA - AMENDING THE FISCAL YEAR 2017 BUDGET
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RECOMMENDATION:
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That the Community Redevelopment Agency adopt Supplemental Budget Resolution No. 2017-12 CRA.
A RESOLUTION AUTHORIZING AND MAKING REVISIONS AND APPROPRIATIONS FOR THE FISCAL YEAR ENDING SEPTEMBER 30, 2017; PROVIDING FOR AN EFFECTIVE DATE.
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SUMMARY:
There are three Tax Increment Financing (TIF) Districts contained within the City of Pensacola’s Fiscal Year 2017 Annual Budget; the Urban Core TIF, the Eastside TIF and the Westside TIF. The Community Redevelopment Agency (CRA) is responsible for using the Tax Increment Financing (TIF) funds to promote growth, redevelopment and subsequent property value increases in the Redevelopment Area. TIF funds can only be used to undertake planning and construction of improvements and/or specific projects within the Redevelopment Area or neighborhood included within the respective plans.
In order to be compliant with Florida Statutes, the CRA is required to approve all budget resolutions involving any TIF District.
The attached supplemental budget resolution adjusts the Allocated Overhead/(Cost Recovery) based on the most recent Full Cost Allocation Study.
With the unwind of the New Market Tax Credits (NMTC) various adjustments have been made within the CRA Fund.
Within the Community Redevelopment Agency Fund adjustments include increases or decreases in estimated revenues from various sources which results in a net increase in estimated revenues. Additionally, the remaining loan balance of $621,100 is being paid off and $39.8 million of Fund Balance is being appropriated to unwind the NMTC loan.
Within the Urban Core Redevelopment Trust Fund Interest Income in the amount of $6,000 has been recognized and will be offset with a transfer of the same amount to the CRA Fund. Additionally, within the CRA Debt Service Fund, the increased revenue will allow for a reduction in the amount of Fund Balance drawn down.
Within the Eastside Tax Increment Financing District Fund appropriations recognizing the extension of the $500,000 loan from the City’s Insurance Retention Fund is being made.
PRIOR ACTION:
August 8, 2017 - Approval of the Fiscal Year 2017 Budget
November 14, 2016 - Approval of an Encumbrance Carryover Budget Resolution
December 5, 2016 - Approval of a Non-Encumbered Carryover Budget Resolution
FUNDING:
N/A
FINANCIAL IMPACT:
Adoption of the budget resolution maintains compliance as required by Florida Statutes pertaining to tax increment financing districts.
CITY ATTORNEY REVIEW: Yes
8/28/2017
STAFF CONTACT:
M. Helen Gibson, AICP, CRA Administrator
Richard Barker, Jr., Chief Financial Officer
ATTACHMENTS:
1) Supplemental Budget Resolution No. 2017-12
2) Supplemental Budget Explanation No. 2017-12
PRESENTATION: No end