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TO: Mayor Richard C. Irvin
FROM: Martin S. Lyons, Chief Financial Officer/City Treasurer
DATE: November 20, 2019
SUBJECT:
Approval of a resolution authorizing Tax Increment Finance District (TIF) Feasibility Study River and Galena/JH Real Estate Partners (JH), using the services of Kane McKenna.
PURPOSE:
To analyze the possibility of creating a Tax Increment Finance District in the area of the corner of Galena Blvd. and River St.
BACKGROUND:
The City has recently approved a Redevelopment Agreement (RDA) with JH (the Hobbs Building) for the redevelopment of the area around the corner of Galena Blvd. and River St. as defined in the attached map. As shown in the RDA the creation of a TIF is necessary for the execution of the agreement. Kane McKenna has provided previous TIF District and other development tool analysis for the City in previous agreements throughout the City
DISCUSSION:
Kane McKenna has provided TIF consulting work on all of the current active TIFs for the City. The firm provides timely responses, flexible scheduling and is an accepted expert in the field of TIF eligibility analyses throughout Illinois. As noted in the attached proposal Kane McKenna will provide complete advisory services and work closely with the City's outside counsel, Klein Thorpe and Jenkins on the total TIF approval process. This contract will initially be charged to account 215-2502-415.32-80, but eventually can be reimbursed from the TIF funds once set up. A budget transfer from account 215-4010-417.7101 in the Gaming Fund for will be used to fund these initial expense that were not originally budgeted in the 2019 Budget and if work continues past December 31, 2019 into the 2020 budget for the same accounts.
IMPACT STATEMENT:
This analysis will allow the City to move forward with a critical development project improving the Downtown.
RECOMMENDATIONS:
We recommend approval of this agreement with Kane McKenna by resolution of the City Council in an amount...
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