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TO: Mayor Richard C. Irvin
FROM: Trevor Dick, FAICP, LEED AP, Assistant Director Mayor's Office of Economic Development
DATE: May 5, 2023
SUBJECT:
An Ordinance Deleting Certain Property from the Redevelopment Project Area for the City of Aurora West River Area Tax Increment Financing District No.5.
PURPOSE:
As a part of the creation of River Vine TIF, the City must remove the properties designated in the new TIF from the current TIF #5.
BACKGROUND:
The creation of River Vine TIF is part of an existing RDA between the City of Aurora and a private developer for the highly visible redevelopment of the west riverbank, 309 N River Street (Windfall) project. The creation of this TIF District will continue this redevelopment within key parcels.
The Joint Review Board, composed of all taxing bodies with taxing authority on the property covered by TIF #5, River Vine TIF met on April 6, 2023, and unanimously recommended the creation of River Vine TIF.
DISCUSSION:
The creation of River Vine TIF will be accomplished through a multi-step process involving the approval of the attached ordinance, the holding of a Public Hearing (held at the August 8, 2023, City Council Meeting), and the adoption of three separate ordinances at a future City council meeting to create River Vine TIF.
IMPACT STATEMENT:
The adoption of this ordinance will allow for the next steps in the creation of the River Vine TIF to be completed.
RECOMMENDATIONS:
Staff recommends that the City Council adopt this ordinance to continue the approval process for River Vine TIF.
cc: Finance Committee
Alderman Carl Franco, Chairperson
Alderman Edward Bugg
Alderwoman Shweta Baid
CITY OF AURORA, ILLINOIS
ORDINANCE NO. _________
DATE OF PASSAGE ________________
title
An Ordinance Deleting Certain Property from the Redevelopment Project Area for the City of Aurora West River Area Tax Increment Financing District No.5.
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WHEREAS, the City of Aurora has a population of more than 25,000 persons and is, therefore, a home rule unit under subsection (a) of Section 6 of Article VII of the Illinois Constitution of 1970; and
WHEREAS, subject to said Section, a home rule unit may exercise any power and perform any function pertaining to its government and affairs for the protection of the public health, safety, morals, and welfare; and
WHEREAS, the City of Aurora (“City”) is a home rule municipality organized under the laws of the State of Illinois; and
WHEREAS, the Illinois Tax Increment Allocation Redevelopment Act, 65 ILCS 5/11-74.4-1 et seq. (“Act”), allows the City to assist in the financing of certain improvements in areas in the City which meet the Act’s requirements; and
WHEREAS, the City, pursuant to Ordinances O07-48, O07-49 and O07-50, adopted April 24, 2007 (“TIF Ordinances”), established the City’s West River Area Tax Increment Financing District No. 5 (“TIF District”) relative to the redevelopment project area, legally described in Exhibit A attached hereto and made part hereof (“Redevelopment Project Area”), approved a redevelopment project and plan in relation to the TIF District (“Redevelopment Plan”), and adopted tax increment financing for the TIF District; and
WHEREAS, the City desires to remove parcels of property within the Redevelopment Project Area from the Redevelopment Project Area, and the parcels of property being removed are legally described in Exhibit B attached hereto and made part hereof (“Deleted Parcels”), as the Deleted Parcels are necessary for a new tax increment financing district, to be known as the River Vine Tax Increment Financing District; and
WHEREAS, the removal of the Deleted Parcels from the Redevelopment Project Area will not adversely impact the eligibility factors relied upon by the City in establishing the TIF District as a tax increment financing district under the Act; and
WHEREAS, the removal of the Deleted Parcels from the Redevelopment Project Area will not adversely impact the Redevelopment Plan or redevelopment within the TIF District, although, upon removal from the Redevelopment Project Area, the Deleted Parcels will no longer be eligible for any of the financial incentives available to properties within the Redevelopment Project Area; and
WHEREAS, pursuant to 65 ILCS 5/11-74.4-5(c), amendments to the TIF District which do not (1) add additional parcels of property to the proposed redevelopment project area, (2) substantially affect the general land uses proposed in the redevelopment plan, (3) substantially change the nature of the redevelopment project, (4) increase the total estimated redevelopment project cost set out in the redevelopment plan by more than five percent (5%) after adjustment for inflation from the date the redevelopment plan was adopted, (5) add additional redevelopment project costs to the itemized list of redevelopment project costs set out in the redevelopment plan, or (6) increase the number of inhabited residential units to be displaced from the redevelopment project area, as measured from the time of creation of the redevelopment project area, to a total of more than ten (10), may be made without need for further hearing, provided the City gives certain notices of any such amendments within ten (10) days following the adoption of the Ordinance providing for any such amendments;
NOW, THEREFORE, BE IT ORDAINED by the City Council of the City of Aurora, Illinois, as follows:
SECTION 1: That the recitals set forth above are incorporated into Section 1 of this Ordinance.
SECTION 2: That the TIF Ordinances are hereby amended by deleting the Deleted Parcels from the Redevelopment Project Area and from the Redevelopment Plan, and the legal description of the Redevelopment Project Area is hereby amended to read as set forth in Exhibit C attached hereto and made a part hereof.
SECTION 3: Pursuant to Section 5(c) of the Act, within ten days of adoption of this Ordinance, this Ordinance will be published in the Aurora Beacon, or another appropriate newspaper, and a copy of this Ordinance will be sent by certified mail, return receipt requested, to each taxing district that is affected by the TIF District, and by First Class U.S. Mail to each person and entity registered on the City’s TIF Interested Parties Registry.
SECTION 4: That a certified copy of this Ordinance will be filed with the County Clerk of Kane County, Illinois, and, thereafter, a revised initial equalized assessed valuation certificate for the TIF District will be obtained from the office of said County Clerk.
SECTION 5: This Ordinance will be in full force and effect from and after its adoption and approval as provided by law.