Title
Resolution to Approve Amendment of the Tax Increment Financing and Development Plan for the Ann Arbor/Ypsilanti SmartZone Local Development Financing Authority
Memorandum
The attached resolution request approval of Amendment to the Tax Increment Financing and Development Plan for the Ann Arbor/Ypsilanti SmartZone Local Development Financing Authority.
The Board of the LDFA working with the Michigan Economic Development Corporation has prepared the necessary amendments to the Plan document to meet all statutory requirements for requested 15-year extension of the LDFA’s term.
Before submission to the MEDC and State Treasurer, the amended Plan document the Ann Arbor and Ypsilanti City Councils must approve it.
Staff
Prepared by: Mary Joan Fales, Senior Assistant City Attorney
Reviewed by: Tom Crawford, CFO/Finance and Administrative Services Area Administrator
Approved by: Howard S. Lazarus, City Administrator
Body
Whereas, An Ann Arbor/Ypsilanti SmartZone was created to provide business support services to small, start up companies, primarily in the life sciences and information technology areas, many of which are currently located or may be located in the future in the Ann Arbor and Ypsilanti downtown areas
Whereas, On May 20, 2002, the Ann Arbor City Council and on May 21, 2002, the Ypsilanti City Council voted to establish a multi-jurisdictional Local Development Finance Authority (LDFA) to support the SmartZone;
Whereas, In 2014, the City Councils of Ann Arbor and Ypsilanti, each respectively, affirmed the continuing public purpose of the LDFA and authorized application to MEDC for extension of the LDFA’s term for a maximum of 15yrs before its current term;
Whereas, In 2014, in furtherance of its application for an extension, the Ann Arbor and Ypsilanti City Councils authorized an agreement with Adrian/Tecumseh SmartZone as a Satellite SmartZone;
Whereas, The Board of the Ann Arbor/Ypsilanti SmartZone Local Development Financing Authority, after being fully advised in the matter, presented the City Councils of Ann Arbor and Ypsilanti with proposed amendments to the Tax Increment Financing and Development Plan to carry out its purpose during the extension period if approved by MEDC;
Whereas, The Board of the Ann Arbor/Ypsilanti SmartZone Local Development Authority has requested that if after proper hearing on the matter and consideration that the respective City Council approve the proposed amendments that they be forwarded to the MEDC and State Treasurer for approval.
Whereas, The proposed amendments to the LDFA Tax Increment and Financing Plan, include:
• a description of the Plan, including the method of relocating individuals/families who may be displaced from the area,
• a map and description of the property to which the Plan applies
• the anticipated tax capture if the term of the Plan is approved by MEDC and Treasury; and
• such other information as is required by the Local Development Financing Act,
Whereas, The proposed amendments to the LDFA Tax Increment and Financing Plan and Development Plan do not alter the district boundaries established in 2002;
Whereas, The maps, plats, and a description of the Plan, including the method of relocating individuals/families who may be displaced from the area, and a map and description of the property to which the Plan applies, are on file in the Office of the City Clerk of the City of Ann Arbor and available for public examination;
Whereas, Notice of public hearing on the proposed adoption of the amendment to the Tax Increment Financing and Development Plan of the Ann Arbor/Ypsilanti SmartZone LDFA was published by the City Clerk in the Washtenaw Legal News on May 8, 2017 and May 22, 2017 to provide the public with the fullest opportunity for expression of public opinion, for argument on the merits, and for introduction of documentary evidence pertinent to the amendment of the Development Plan and TIF Plan of the Ann Arbor/Ypsilanti SmartZone LDFA;
Whereas, The City Clerk mailed notice of the public hearing to the governing body of each taxing jurisdiction levying taxes subject to capture if the amendment to the plan was adopted;
Whereas, On June 5, 2017, City Council held the noticed public hearing, and all aspects of the Tax Increment Financing and Development Plan were open for discussion at the public hearing;
Whereas, The City Clerk made and has preserved a record of the public hearing in accordance with Council directive and applicable law;
Wheres The City Council of Ypsilanti has published notice of and will hold a public hearing on the adoption of the amended Tax Increment Financing and Development Plan at its meeting on June 20, 2017;
RESOLVED, The City Council of the City of Ann Arbor approve the Local Development Finance Authority Tax Increment Financing and Development, as amended, for the Ann Arbor/Ypsilanti SmartZone;
RESOLVED, That the City Clerk provide a copy of this Resolution to the City of Ypsilanti and the Ann Arbor/Ypsilanti SmartZone LDFA.