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Sales Tax When the Authority was founded in October 1999, the sales tax base was established at $300,274. As mentioned above, increases over this base collection are remitted to the Authority for reinvestment into streetscapes, businesses, and properties. The 2017 collections above the base were $436,917 while the 2018 collections above the base were $624,422. This was an increase of 42.9%. Primary reasons for these increases were: William Oliver’s Publick House, Just Dandy, Ras Kassa’s Ethiopian Restaurant, Stam Chocolaterie, Deli-Cious Z’s, Tangerine, Elizabeth’s, On Point Distillery, Mon Cheri Bakery and Bistro, Efrain’s, and other unnamed but very important businesses. 2018 ANNUAL REPORT Lafayette Urban Renewal Authority 2018 Lafayette Urban Renewal Authority The mission of LURA is to encourage revitalization and redevelopment in the Old Town Urban Renewal Area and the South Boulder Road Urban Renewal Area by working in partnership with property owners to improve existing structures, fostering new development, and preventing deterioration of properties within the urban renewal areas. • What is Tax Increment Financing (TIF)? Tax Increment Financing (TIF) is a state authorized tool that allows local municipalities to divert tax revenues (sales tax and/or property taxes) above an established base, back into the geographical area the taxes were taken from. The sales tax base remains static, whereas the state allows the property tax base to fluctuate. This means that every dollar collected by the City from sales taxes in the area above the base, is transferred to the Authority. In contrast, the fluctuating property tax base means other taxing jurisdictions (school district, urban drainage, county) receive some of the benefit from increasing property values of the area while the Authority is in existence. Property Tax In odd numbered years, the County Assessor is required to reassess properties for increases or decreases in value. Since 2018 is an even numbered year, the Authority anticipated the change in assessed value from 2018 as compared to 2017 to be minimal. In 2017, the assessed value of properties within the Urban Renewal Area was $19,611,080 with the base being $13,574,555 and the increment being $6,036,525. In 2018, the $19,532,733 with the base being $13,457,881 and the increment being $6,074,852. The increment increased $38,327 between 2018 and 2019. Per state law, the County assessor uses a multiplier formula of actual value x (7.0% for residential or 29% for commercial) to determine assessed value of properties. When the Urban Renewal Area was created, the base assessed value within the area was established. The base is adjusted every two years by the Boulder County Assessor. Increases in valuation above the base are used to calculate the additional incremental property tax to be remitted to the Urban Renewal Authority. Growth beyond the base is due to increasing property values or from investments in rehabilited properties or new construction. 2018 was about Projects and Partnerships for the Urban Renewal Authority. Overall, nearly $900,000 in private investment occurred within the Old Town Urban Renewal Area. The efforts of LURA in the coming year promise to build on past successes with a committment to continue building a vibrant and robust Old Town district. The Authority bid farewell to Commissioners Harkins and Ramos, and welcomed Commissioners Arrington and Bonner. LURA EXECUTIVE DIRECTOR Roger Caruso [EMAIL REDACTED] (303) 661-1262 Kevin Muller, Chair Luke Arrington Janet Bonner Carolyn Cutler Pat Gross Jamie Harkins Bill Pomerory Jamie Ramos Kate Williams URBAN RENEWAL AUTHORITY BOARD ---PAGE BREAK--- Projects In March, the Authority put 610 W. Baseline Road (former U-Pump-It Gas Station) and 504 W. Baseline Road (vacant lot) under contract. The Authority subsequently assigned the contracts to the owner of the property between the two properties with an anticipation of future redevelopment of the site. In November, the Authority put 103 S. Public Road (former Miller’s Grille) under contract. The Authority subsequently assigned the contract to the co-founder of Stem Ciders. The owner has up to 6 months to present plans to the City for rehabilitation of the property. In April, the Authority entered into a contract with HPM Contractors for construc tion of the “Front Porch”. The Front Porch was imagined through workshops with the public in late 2015. This streetscape project on the east side of Public Road, from Geneseo Street to Cleveland Street, is an investment in Old Town’s robust pedestrian activity seen within the area over the last four years with the opening of many restaurants and retail shops. The project included new fencing, lighting, banner poles, colored concrete, tree planters, and seating for visitors to enjoy. In other projects, the Authority added two new public private park ing lots to our expanding list. The new parking lots are located at 806 and 808 S. Public Road. These parking lots add an additional 70 parking spaces to Old Town. Additionally, the Authority commissioned a Streetscape Maintenance Plan to strategize maintenance of improvements on Public Road. This resulted in the Authority contracting with a local company to paint the many black pedestrian lights, green benches, trash cans, and railings within Old Town. In 2018, the Authority helped improve the aesthetics of Public Road by partnering to purchase new winter street decorations. This included garlands and bows for pedestrian lights and winter banners for the street lights. The Authority has received positive feedback that this investment was a great improvement for Old Town during the holiday season. Partnerships The Authority was proud to accept the 2018 Downtown Colorado Inc. Governor’s Award for the Collective Community Arts Center, in the category of Best New Addition to Downtown. The Collective grew out of a partnership between the property owner/developer, City Council, the Authority, and the Arts and Cultural Resources Department. In late 2018, the Authority entered into an Intergovernmental Agreement allowing up to the anticipated remain ing revenues of the Authority to be borrowed from the City. The agreement gives LURA more flexibility to invest ment in the near term. The Authority also conducted a workshop with City Council to discuss the projects of the past year, to receive feedback and ideas on past and future projects, and to further the understanding of LURA’s goals and limited timeframe. In an effort to build relationships and trust between the two groups, the Historic Preservation Board (HPB) and Authority met multiple times in 2018. They discussed what each board is charged with and how each entity looks at development. Later in the year, they took a walking tour of Old Town. HPB and the Authority plan meet at least once a year, in a workshop setting, to continue to engage on issues that affect both LURA and HPB. In late 2018, the Authority, with support from City Council, and a partnership with the Arts and Cultural Resources Department, commissioned the new “Arts on Tap’” sign at The Collective Community Arts Center. This sign is a recreation of the former “Coors on Tap” sign that hung from the building in the 1940’s. The sign has been well received by the public and the Authority appreciates the partnership of the Arts and Cultural Resources Department to make this former iconic sign a reality once again. Lastly, the Authority was able to partner with Mon Cheri for the installation of their new patio; 12 Point Distillers for the installation of their new patio; Tangerine signage and awning improvements; and Due South on a storefront door for their expanding footprint. 2019 and Beyond The Urban Renewal Authority tax increment was approved for 25 years from October 1999. This means that the increment tax collections, as established from the base, will cease to be remitted to LURA past October 2024. With less than six years remaining, LURA is cognizant that investments in properties and businesses need to occur sooner rather than later. As such, some of the most difficult rehabilitation and redevelopment conversations will be in the near future. In fact, 2018 and 2019 has already seen the announce ment of two major redevelopment/rehabilitation projects. Although LURA’s mission and responsibilities are out lined in State Statutes, the Urban Renewal Plan, and the 2011 Vision Plan, the Authority believes public input vital to success in redeveloping and rehabilitating projects. Even though the Authority must work behind the scenes to negotiate rehabilitation or redevelopment properties, once made public, the ship has not sailed. LURA looks forward, at that time, for help, guidance, and assistance from what the community’s vision is. LURA is working to make Public and Baseline Roads, and Simpson Street, a welcoming place for those within our community and neighboring communities, to spend a morning, afternoon, or evening.