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Resolution of the County of Allegheny Regarding Tax Increment Financing Plan presented by the Redevelopment Authority of Allegheny County, creating the Clinton Industrial Park Phase I and II TIF District making certain findings and authorizing related agreements.
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Whereas, Pennsylvania's Tax Increment Financing Act (Act of July 11, 1990, P.L. 465, No. 113) (the “Act”) provides local taxing bodies legal authority to cooperate in providing financing for development of blighted areas within their respective jurisdictions in order to increase the tax base and improve the general economy; and
Whereas, under the Act, the Redevelopment Authority of Allegheny County (the “Authority”) is legally empowered to prepare a Tax Increment Financing (“TIF”) proposal to provide financing for the elimination and prevention of the development or spread of blight within specified tax increment districts located in the County and to present such Proposal to the County for its consideration; and
Whereas, the Township of Findlay (the “Township”) and the West Allegheny School District (the “School District”) have each adopted resolutions agreeing to participate in a TIF plan for financing certain of the costs of construction of roadway and related public infrastructure improvements within the Township, including, without limitation, construction of a portion of a new public roadway as well as public improvements at the intersection with Clinton Road, and public sewer, water, and other utility lines extended to and through the project (the “TIF Project”) to be located in the Airport Area/Findlay Township Redevelopment Area, and identified as the Clinton Industrial Park Phase I and II TIF District (the “TIF District”), requesting the Authority to prepare a detailed TIF proposal and designating the representatives to work with the Authority, the Township and the School District toward development and implementation of a TIF plan; and
Whereas, the Authority, working with the designated representatives of the County, the Township and the School District, has adopted a project plan in accordance with the requirements of the Act; and
Whereas, the Act provides for the cooperation of local taxing bodies in the financing of projects within TIF Districts and for the issuance of debt to pay for certain of the costs of implementing such plans; and
Whereas, on May 24, 2004 the County heard a public hearing on the proposal to create the TIF District and the proposed adoption of the Project Plan; and
Whereas, the County is expected to benefit from the use of tax increments to pay certain project costs within the TIF District by stimulation of private investment, increases in property values, creation of employment opportunities and improvement of surrounding properties.
The Council of the County of Allegheny hereby resolves as follows:
Section 1. Adoption of TIF Plan and Creation of TIF District.
The Tax Increment Financing Plan (the “Project Plan”) prepared by the Redevelopment Authority of Allegheny County, attached hereto as Exhibit “A”, and filed with the County Manager for financing certain of the costs of construction of roadway and related public infrastructure improvements within the Township, including, without limitation, construction of a portion of a new public roadway as well as public improvements at the intersection with Clinton Road, and public sewer, water, and other utility lines extended to and through the project in the Clinton Industrial Park Phase I and II TIF District is hereby adopted and the TIF District specifically described in the Project Plan is hereby created and the County, in accordance with the Act, agrees to participate in whole in the TIF District to the extent and as provided for in the Project Plan.
Section 2. Identification of Boundaries.
The boundaries of the TIF District shall be as identified in the Project Plan and shall include only those whole units of property assessed or assessable for general property tax purposes.
Section 3. Creation of TIF District.
The TIF District is created as of June 30, 2005 and shall continue in existence for a period of twenty years from the date of its creation.
Section 4. Name of TIF District.
The name of the TIF District shall be the “Clinton Industrial Park Phase I and II Tax Increment Financing District”.
Section 5. Findings.
After due consideration, the County finds as follows:
(a) The TIF District is a contiguous geographic area within a redevelopment area;
(b) The improvement of the area is likely to enhance significantly the value of substantially all of the other real property in the TIF District;
(c) The aggregate value of equalized taxable property of the TIF District, plus all existing tax increment districts, does not exceed 10% of the total value of equalized taxable property within the County;
(d) The area comprising the TIF District as a whole has not been subject to adequate growth and development through investment by private enterprise and would not reasonably be anticipated to be adequately developed without the adoption of the Project Plan;
(e) A feasible method exists for the compensation of individuals, families and small businesses, if any, that may be displaced by the TIF Project and for their relocation to decent, safe and sanitary dwelling accommodations within their means, without undue hardship to such individuals, families and businesses;
(f) The Project Plan conforms to the County's master plan;
(g) The Project Plan will afford maximum opportunity, consistent with the sound needs of the community as a whole, for the rehabilitation or redevelopment of the TIF District by private enterprise; and
(h) The TIF District is a blighted area containing characteristics of blight as described in the Urban Redevelopment Law and the TIF Project to be undertaken is necessary to eliminate such conditions of blight.
Section 6. Repayment Security.
Seventy-five percent (75%) of all real estate tax revenues in excess of the base taxes on the date of creation of the TIF District that are due, owing, and received by the County from the parcels within the TIF District are hereby pledged, and a security interest is hereby granted, to secure the repayment of any debt incurred by the Authority for the purpose of financing public infrastructure improvements included in the TIF Project.
Section 7. Directions.
The appropriate public officials of the County are hereby directed to take such additional action in cooperation with the Authority, the Township and the School District in furtherance of the implementation of the Project Plan, including, without limitation, the execution and delivery of a Cooperation Agreement by and among the County, the Authority, the Township and the School District.
Section 8. Severability. If any provision of this Resolution shall be determined to be unlawful, invalid, void or unenforceable, then that provision shall be considered severable from the remaining provisions of this Resolution which shall be in full force and effect.
Section 9. Repealer. Any Resolution or Ordinance or part thereof conflicting with the provisions of this Resolution is hereby repealed so far as the same affects this Resolution.
Clinton Industrial Park Phase I & II Tax Increment Financing Project
Submitted for County Council - June 7, 2005 Meeting
The Clinton Industrial Park Tax Increment Financing Plan, prepared by the Redevelopment Authority of Allegheny County (RAAC), is a product of discussions between representatives of Findlay Township, the West Allegheny School District, the County, the Allegheny Airport Authority (ACAA), and RAAC. Both the Township and School District have approved their participation in the Plan on May 11 and 18 respectively. This resolution approves the County's participation in the Plan and Creates the Clinton Industrial Park Phase I & II TIF District.
The TIF District is comprised of 150 Acres in Airport Corridor off of Clinton Road, west of the Airport in Findlay Township. The TIF Plan proposes that the Taxing Bodies pledge 75% of the increment to finance the eligible project costs. TIF Proceeds will fund road improvements, interchange improvements, and adding electrical, sewage, and storm water infrastructure. Hard costs for the public improvements are estimated at $ 5.9 million, and the TIF Plan projects gross funding in the amount of $5.5 million. Net proceeds of the funding, after debt service reserve, capitalized interest, and fees are estimated to be $ 3.9 million.
This project will create five large industrial sites to allow for the development of 1.5 million square feet of bulk industrial warehouse space. It is anticipated that $ 46 million of private investment will be generated at full build-out. Job creation once the site is complete is projected to be 1,400 permanent jobs.