Number
070611
Version
SUBSTITUTE 1
Reference
Sponsor
ALD. WITKOWIAK
Title
Substitute resolution approving a Project Plan, authorizing expenditures and creating a Tax Incremental District for the Mitchell Street Project, in the 12th Aldermanic District.
Analysis
The Mitchell Street Tax Incremental District (the “District”) consists of 281 properties located along, and generally one block north and south of West Mitchell Street between South 5th Street and South 16th Street, plus a commercial area south of West Forest Home Avenue between South 13th Street and South 15th Street. The District contains nearly 2.3 million square feet of land area, excluding public rights-of-way, and encompasses the Historic Mitchell Street commercial district, including immediately adjacent residential areas, and parking lots which serve the retail businesses on the street. The Project Plan will provide funding for approximately: $850,000 of public improvements, including pedestrian lighting, median irrigation, security cameras and tree grates; $400,000 for residential improvement loans; and, $1,500,000 for a Development Fund to assist catalytic redevelopment projects on Mitchell Street. Funding of any projects assisted with said Development Fund shall be subject to future, and separate, Common Council approval.
Body
Whereas, Chapter 105 of the Laws of 1975 of the State of Wisconsin with amendments from other chapters of said Laws created Section 66.1105, Wisconsin Statutes, titled “Tax Increment Law;” and
Whereas, Section 66.1105(4) of the Tax Increment Law sets forth certain criteria that the Common Council of the City of Milwaukee (“Common Council”) and the Redevelopment Authority of the City of Milwaukee (“Authority”) must follow to create a Tax Incremental District (“District” or “TID”) and approve a Project Plan for a District; and
Whereas, Pursuant to Section 66.1105(4)(a) through (gm), Wisconsin Statutes, the Authority conducted a public hearing on the Project Plan, designated the boundaries of a District along the Historic Mitchell Street commercial area and recommended that the District be created and submitted such recommendation to the Common Council for approval with a proposed Project Plan for the TID (“Plan”), a copy of which is attached to this Common Council File; and
Whereas, Under the provisions of Section 66.1105(4)(gm)4.a., Wisconsin Statutes, not less than 50 percent, by area, of the real property within a proposed District must qualify as either a “blighted area” within the meaning of Section 66.1105(2)(a), Wisconsin Statutes; an area “in need of rehabilitation or conservation work” within the meaning of Section 66.1337(3), Wisconsin Statutes; must be suitable for “industrial sites” within the meaning of Section 66.1101, Wisconsin Statutes, and be zoned for industrial use; or must be “suitable for mixed-use development” as defined in Section 66.1105(2)(cm), Wisconsin Statutes; and
Whereas, More than 50 percent, by area, of the real property in the District is considered “in need of rehabilitation and conservation work” as defined above; and
Whereas, The Plan contains statements and other factual information indicating that the improvement of such area is likely to enhance significantly the value of real property in the District; and that project costs directly serve to promote development of the District consistent with the purpose(s) for which the District is created under Section 66.1105(4)(gm)4.a., Wisconsin Statutes; now, therefore, be it
Resolved, By the Common Council of the City of Milwaukee, that it finds and determines as follows:
1. The District is “in need of rehabilitation and conservation work” within the meaning of Section 66.1105(4)(gm)4.a., Wisconsin Statutes.
2. The improvement and/or redevelopment of such area, as hereinafter provided, is likely to enhance significantly the value of substantially all of the other real property in and adjoining such District.
3. Project costs relate directly to promoting development consistent with the City of Milwaukee's (“City”) Master Plan and with the purpose(s) for which the District is created under Section 66.1105(4)(gm)4.a., Wisconsin Statutes.
4. The percentage of the aggregate value of the equalized taxable property of the District plus the incremental value of all other existing Districts does not exceed the statutory maximum 12 percent of the aggregate value of total equalized value of taxable property within the City; and, be it
Further Resolved, That the District is created as of January 1, 2007, and that the boundaries of the District recommended by the Authority are approved as described and more precisely set forth in the Plan; and, be it
Further Resolved, That the Plan is approved as the Project Plan for said District and that the Plan is feasible, in conformity with the Master Plan for the City and will promote the orderly development of the City; and, be it
Further Resolved, That:
1. The City Clerk is directed to apply to the Wisconsin Department of Revenue for a “Determination of Tax Increments and Tax Incremental Base,” for the District pursuant to the provisions of Section 66.1105(5), Wisconsin Statutes.
2. Pursuant to the provisions of Section 66.1105(5)(f), Wisconsin Statutes:
a. The Assessment Commissioner is directed to identify upon the assessment roll, returned and examined under Section 70.45, Wisconsin Statutes, those parcels of property which are within the TID specifying thereon the name of the District.
b. The City Clerk is directed to make notations on the tax roll for the District similar to those required to be made under Section 70.65, Wisconsin Statutes.
3. The Mitchell Street Tax Incremental District shall be designated Tax Incremental District No. 71.
4. Relative to the $1.5 million Development Fund provided for in the Plan, appropriations for projects assisted with this Fund shall be subject to subsequent Common Council approval.
5. Relative to the balance of funding provided for in the Plan for public improvements, residential improvement loans, city administration and contingency, in an amount of $1,616,600, the City Comptroller is directed to transfer the sum of $1,616,600, plus capitalized interest for two years, from the Parent TID Account to the Project Account No. TDO7180000, for the purpose of providing the necessary funding for this component of the Plan.
6. The City Comptroller is directed to establish all accounts and to make all appropriation transfers upon request by the Department of City Development for all revenue or expenditure activity under this resolution.
Drafter
DCD/Redevelopment Authority
JS:js
09/13/07