The purpose of this article is to: (a) create a technology tax
increment district to be known as the Old School Station technology
tax increment district of the City of Kalispell, Montana, (b) to encourage
the location and retention of technology development projects in the
State of Montana and the City, and (c) provide a financial mechanism
for the installation and construction of infrastructure improvements
for the location and retention of technology development projects
in the State of Montana and the City.
(Ord. 1558, 11-21-2005)
In this article the following terms have the meanings indicated
below:
Act.
Montana Code Annotated, Sections 7-15-4282 through 7-15-4299,
as amended.
Actual taxable value.
The taxable value of taxable property at any time, as calculated
from the assessment roll last equalized.
Base taxable value.
The actual taxable value of all taxable property within an
urban renewal area, technology district, or aerospace transportation
and technology district prior to the effective date of a tax increment
financing provision. Base taxable value may be adjusted as provided
in Section 7-15-4287 or 7-15-4293 of the Act. "Technology district"
means a technology tax increment district created pursuant to Section
7-15-4295 of the Act.
Incremental taxable value.
The amount, if any, by which the actual taxable value at
any time exceeds the base taxable value of all property within the
technology tax increment district.
Infrastructure.
The acquisition, construction, and improvement of streets, roads, curbs, gutters, sidewalks, pedestrian malls, alleys, parking lots and off-street parking facilities, sewers, sewer lines, sewage treatment facilities, storm sewers, water lines, waterways, water treatment facilities, natural gas lines, electrical lines, telecommunication lines, rail lines, rail spurs, bridges, publicly owned buildings, any public improvements authorized by: (a) Parts 41 through 45 of Chapter 12, (b) Parts 42 and 43 of Chapter 13, and (c) Part 47 of Chapter
14 of the Montana Code Annotated, and items of personal property to be used in connection with improvements for which the foregoing costs may be incurred.
Tax increment.
The collections realized from extending the tax levies, expressed
in mills, of all taxing bodies which the technology tax increment
district or a part thereof is located, against the incremental taxable
value.
Taxes.
All taxes levied by a taxing body against property on an
ad valorem basis.
Technology district.
A tax increment financing technology district such as the
technology tax increment district, created pursuant to Section 7-15-4295
of the Act.
Technology tax increment district.
The Old School Station technology tax increment district
of the City of Kalispell, Montana, designated as such by the City
Council in accordance with the provisions of the Act and this article.
(Ord. 1558, 11-21-2005)
Based on representations made by Montana Venture Partners, LLC,
to City staff and the City Council and the work of City staff to date,
the City Council, by this article, makes the findings, determinations,
and declarations set forth below. The City Council of the City of
Kalispell, Montana, hereby finds, determines, and declares that:
A. The technology
tax increment district is intended to provide assistance to businesses
or organizations engaged in technology based operations that through
the employment of knowledge or labor add value to a product, process,
or export service that results in the creation of new wealth and for
which at least 50% of the sales of the business or organization occur
outside of the State of Montana or the business or organization is
a manufacturing company with at least 50% of its sales to other Montana
companies that have 50% of their sales occurring outside of the State
of Montana;
B. This article
and the formation of the technology tax increment district, as proposed,
will facilitate the development of the necessary infrastructure to
encourage the location and retention of technology development projects
in the State of Montana and the City;
C. The passage
of this article and the establishment of the technology tax increment
district fall within the economic goals adopted by the City Council
and the adoption therefor is in the public interest;
D. The technology
tax increment district, as proposed, consists of a continuous area
with an accurately described boundary that is large enough to host
a diversified tenant base of multiple independent tenants;
E. The technology
tax increment district is zoned in accordance with the area growth
policy, as defined in Montana Code Annotated, Section 76-1-103;
F. The technology
tax increment district does not include any property located within
an existing urban renewal area district or industrial infrastructure
development district created pursuant to the Act;
G. The land
in the technology tax increment district is currently deficient in
infrastructure improvements for technology development;
H. The technology
tax increment district is intended to host a diversified tenant base
of multiple independent tenants; and
I. The technology
tax increment district is not designed to serve the needs of a single
district tenant or group of nonindependent tenants.
(Ord. 1558, 11-21-2005)
The tax increment received by the City from the technology tax
increment district may be used to pay any costs or obligations incurred
for an industrial infrastructure development project (in the technology
tax increment district) including those listed in subsections A through
N of this section.
The costs that may be paid with tax increments are:
B. Demolition
and removal of structures;
E. To prepare
an industrial development plan;
F. To organize,
coordinate, and direct the administration of this article;
G. To conduct
appraisals, title searches, surveys, studies, and other preliminary
plans and work necessary to prepare for the undertaking of infrastructure
development projects;
H. Acquisition
of infrastructure deficient areas or portions thereof;
I. Administrative
costs associated with the management of the technology tax increment
district;
J. Assemblage
of land for development or redevelopment by private enterprise or
public agencies, including sale, initial leasing, or retention by
the City at its fair value;
K. The compilation
and analysis of pertinent information required to adequately determine
the infrastructure needs of secondary, value adding industries in
the technology tax increment district;
L. The connection
of the technology tax increment district to existing infrastructure
outside the technology tax increment district;
M. The provision
of direct assistance to secondary, value adding industries to assist
in meeting their infrastructure and land needs within the technology
tax increment district;
N. The tax increments received may be pledged, pursuant to Section 7-15-4290 of the Act, for the payment of the principal of, premium, if any, and interest on revenue bonds issued for industrial infrastructure development projects, general obligation bonds, revenue bonds, or special assessment bonds issued to pay technology district costs described in Section 7-15-4288 of the Act, including: (1) the items listed in subsections
A through
M of this section or (2) any other costs otherwise authorized to be paid under the terms of the Act.
(Ord. 1558, 11-21-2005)
The boundaries of the technology tax increment district are
described in subsection A of this section and shown on the map in
subsection B of this section.
A. Short
Description of the Proposed Technology Tax Increment District: The
proposed Old School Station Technology Tax Increment District of the
City of Kalispell, Montana is located just east of Highway 93 on Demersville
Road approximately 1.9 miles south of Four Corners intersection and
directly east of the Rocky Cliff Road intersection and is situated
within that property that is legally described as that portion of
Parcel A of Certificate of Survey No. 16337 in the SW 1/4 of Section
33, Township 28 North, Range 21 West, P.M.M., Flathead County, Montana.
The portion of the property dedicated to the technology tax increment
district is proposed to be Lots 2, 3, 4, 5, 6, 7, 8, 9, and 10 as
shown in the drawing entitled "Old School Station." These
nine lots comprise a total of approximately 27.77 acres.
B. Map of
the Proposed Technology Tax Increment District:
(Ord. 1558, 11-21-2005)
For the purpose of calculating the incremental taxable value
each year for the life of the technology tax increment district, the
base taxable value shall be calculated as the taxable value of all
property within the technology tax increment district as of January
1, 2005.
(Ord. 1558, 11-21-2005)
The technology tax increment district will terminate upon the
later of:
A. The fifteenth
year following the creation of the technology tax increment district;
or
B. The payment
or provision for payment in full or discharge of all bonds (including
special assessment bonds) for which the tax increment has been pledged,
and the interest thereon.
After termination of the tax increment financing provision,
all taxes shall be levied upon the actual taxable value of the taxable
property in the technology tax increment district and shall be paid
into the funds of the taxing bodies levying taxes within the technology
tax increment district.
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(Ord. 1558, 11-21-2005)