8.a.
FPRA Regular Meeting Agenda
- Meeting Date:
- 10/17/2016
- Re
- Resolution of the Fort Pierce Redevelopment Agency to authorize the sale of Voluntary Cleanup Tax Credit Certificate
- Submitted For:
- Rebecca Grohall
SUBJECT:
FPRA Resolution 16-05 authorizing the sale of Voluntary Cleanup Tax Credit Certificate #610 in the amount of $500,000.00.
SUMMARY:
A Resolution authorizing the sale of the recently issued tax credit certificate for the purpose of the brownfield revolving loan repayment and any other expenses associated with remediation. The certificate is attached to the Resolution and it represents the tax credit for remediation activities completed in 2015.
Our partners at Cardno Engineering indicate that there will be one more credit in the amount of $500,000 for work completed in 2016, plus a $500,000 bonus for completing activities on the entire site.
If this Resolution is approved, the next step is to negotiate an agreement to sell the tax credits and the agreement would come back to the FPRA Board at a later date. Previously the FPRA has utilized Fallbrook Credit Finance. They sold previously approved tax certificates for $0.91 per dollar for tax credits sold, and earned a commission of $0.03 per dollar.
Our partners at Cardno Engineering indicate that there will be one more credit in the amount of $500,000 for work completed in 2016, plus a $500,000 bonus for completing activities on the entire site.
If this Resolution is approved, the next step is to negotiate an agreement to sell the tax credits and the agreement would come back to the FPRA Board at a later date. Previously the FPRA has utilized Fallbrook Credit Finance. They sold previously approved tax certificates for $0.91 per dollar for tax credits sold, and earned a commission of $0.03 per dollar.
RECOMMENDATION:
Approve
ALTERNATIVES:
No action taken at this time
RESPONSIBLE STAFF:
Rebecca Grohall, AICP
COORDINATED WITH:
Nick Mimms, City Manager
Jim Messer, City Attorney
Johnna Morris, Finance Director
Jim Messer, City Attorney
Johnna Morris, Finance Director
Fiscal Impact
- Fiscal Year:
- 2016
OTHER INFORMATION:
Sale of the tax credits will be used for loan repayment and any other expenses associated with remediation.