Pearl City TIF District FY10 Overview

Established on February 5, 1996 and amended once in 1999, the Pearl City TIF District Redevelopment Project Area includes portions of the central business district as well as other commercial and residential areas within the community.  Its purpose is to encourage the economic well-being of the Village by providing resources for the redevelopment and rehabilitation of commercial, residential and other mixed-use properties.  The creation of affordable housing is a major objective of the Pearl City TIF District.

For Fiscal Year 2010, (beginning May 1, 2009 and ending April 30, 2010), the Pearl City TIF District Special Fund (the “TIF Fund”) had a negative beginning balance of $-69,293.  With deposits in the amount of $466,035, the total amount available in the TIF Fund during FY2010 was $396,742.   Sources of funds included Real Estate Tax Increment ($462,446), Miscellaneous Income ($1,882)  and Interest Income ($1,707) as depicted in Figure 1 below.

The total public and private TIF eligible project costs expended from the TIF Fund during FY2010 amounted to $579,431 and included categories of funds shown in Figure 2 below.  The Village entered into an Intergovernmental Agreement with Pearl City CUSD #200 to reimburse capital costs and address annual net revenue loss (if any) attributed to the TIF District; and Loran Township in 1996 for the purpose of reimbursing capital costs and address annual net revenue loss (if any) attributed to portions of the redevelopment project area which are not included in new residential subdivisions occurring after the Pearl City TIF District was established.  An Intergovernmental Agreement between the Village and the Pearl City Fire Protection District was approved in 2008 for the purpose of reimbursing capital costs equal to the additional revenue generated from the increase in the Fire  Protection District’s limiting rate as a result of the referendum passed at the February 2008 election.

The ending balance of the Special TIF Fund as of April 30, 2010, was a deficit of -$182,689. The real estate tax increment generated by the Pearl City TIF District for FY2011 is estimated to be $455,311.

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Pearl City TIF District

Facts At-A-Glance, FY2010

Established 1996

Ends Tax Year 2019 Payable 2020

Base Tax Year 1994

TIF Base EAV $1,936,281

Tax Yr. 2008 Net Taxable EAV $6,299,820

Tax Yr. 2008 RE Tax Increment $462,446

Total Obligations in TIF Plan $7,107,156

Total Expenditures to Date $4,541,754

Remaining Obligations $2,565,402

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Pearl City TIF District

Goals and Objectives

1. To preserve the existing housing stock and provide a housing mix which would allow a residential choice for all ages and income groups.

2. To maintain infrastructure within the Village,    including water and sewer lines and roads.

3. To stabilize, diversify and expand the employment base within the Village of Pearl City.

4. To retain and re-employ dislocated workers within the Village.

5. To revitalize the Central Business District of the Village.

6.  To prevent and eradicate blighted areas.

7. To protect lands suitable for industry for possible future development through the use of zoning and other delegated powers.

8. To increase total population of the Village.

9. To increase the assessed valuation of the Village for the benefit of all overlapping taxing bodies.

Intergovernmental Agreements:   

1.      Pearl City CUSD #200 (1996)

2.      Loran Township (1996)

3.      Pearl City Fire Protection District (2008)


Private Redevelopment Agreements:

1.      Pearl Side Subdivision (1996, pd off 2003)

2.      Hal McKiski, Inc. – Windhaven Acres (1998, amended 2002)

3.      George Visel (1997, ended tax yr 2007)

Special TIF District Program:

1. On May 1, 2007, the Village created the Business Revitalization Grant Program to encourage the demolition and redevelopment of structures within the Central Business District.  During FY08, Koning’s Precision Paint & Body received a $760 grant from this program.


Amendments:

1. During FY09, the Village did not undertake any amendments or changes to the Redevelopment Plan, Projects or the Redevelopment Project Area within the Pearl City TIF District.