City Council Meeting Date: November 12, 2024
To: Mayor and City Council
City Administrator
From: Nate Carlson. Economic Development Coordinator
Title
Decertification of Aurora Economic Development TIF District
Body
Action Requested:
The Northfield City Council shall make a motion to approve resolution decertifying the Aurora Economic Development Tax Increment Financing District.
Summary Report:
On September 4, 2018, The Northfield City Council approved the use of Tax Increment Financing (TIF) to Strobel and Werner Real Estate Holding Company, LLC (dba Aurora Pharmaceutical) to assist with a major expansion of the facility. The City Council approved the creation of an Economic Development TIF District, which has the maximum duration of 8 years.
Strobel and Werner Real Estate Holdings Incorporate (dba Aurora Pharmaceutical) is requesting Tax Increment Financing (TIF) incentives from the City of Northfield to assist with a major planned expansion of the current facility. Dr. Michael Strobel and Dr. Mark Werner (owners) have submitted an application for an Economic Development TIF District which can be found attached to this report. The proposed pay-as-you-go TIF District requires the developer to pay all development costs with their own funds. As the net tax capacity of the district increases, the increase in property taxes paid by the developer (tax increment) can be used to reimburse the developer for eligible costs such as land acquisition, site preparation, and public infrastructure.
Community Development staff began working with Dr. Strobel and his development team in March, 2018. Community Development Director Chris Heineman and Economic Development Coordinator Nate Carlson met with the developer regarding the project scope and required land. After examining several potential options, it was determined that no other alternative would accommodate Aurora Pharmaceutical's needs and facilitate the proposed expansion project.
Strobel and Werne...
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