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M[LLCREEK COMMUNITY REINVESTMENT AGENCY RESOLUTION N0. 22-09 A RESOLUTION OF THE MILLCREEK COMMUNITY REINVESTMF,NT AGENCY ADOPTING THE COMMUNITY REINVESTMENT AGENCY (CRA) ANNUAL BUDGET FOR THE FISCAL YEAR BEGINNING JULY 1, 2022, AND ENDING JUNE 30, 2023 WHEREAS, the Millcreek Community Reinvestment Agency ('aAgency") met in regular session on June 13, 2022 to consider, among other things, adopting the Community Reinvestment Agency (CRA) annual budget for the fiscal year beginning July 1, 2022, and ending June 30, 2023; and WHEREAS, the Agency has adhered to appropriate public hearing requirements as required by law. NOW, THEREFORE, BE IT RESOLVED that the Millcreek Community Reinvestment Agency adopts the annual budget for fiscal year beginning July 1, 2022, and ending June 30, 2023. THIS RESOLUTION, assigned No. 22-09 shall take effect immediately upon passage and acceptance as provided herein. PASSED AND APPROVED this 131" day of June, 2022. El%'e!uGJan, Recorder MILLCREEK COMMUNITY REINVESTMENT AGENCY Jeff Silvestrini. Chair Roll Call Vote: Silvestrini Catten DeSirant Jackson Uipi , No No ---PAGE BREAK--- Millcreek FY 2022-23 Final C.R.A. Budget 1 millcreek.us ---PAGE BREAK--- Millcreek FY 2022-23 Final C.R.A. Budget 2 millcreek.us Table of Contents Community Reinvestment Agency 3 Budget Timeline 4 Millcreek City Center 5 Woodland Avenue 6 West Millcreek 7 MedTech 8 C.R.A. Fund Revenue Budget 10 C.R.A. Fund Expense Budget 12 ---PAGE BREAK--- Millcreek FY 2022-23 Final C.R.A. Budget 3 millcreek.us FY 2022-23 C.R.A. Budget Prepared By: Mike Winder, City Manager Christelle Gatoro, Economic Development Assistant Josie Showalter, CDBG / Grants Administrator Laurie Johnson, HR-Finance Director Stephanie Bond, HR Manager Jeff Silvestrini Chairman Silvia Catten Board Member Thom DeSirant Board Member Cheri Jackson Board Member Bev Uipi Board Member Community Reinvestment Agency Board T he Millcreek City Council serves as the Community Reinvestment Agency Board. The purpose of the Community Reinvestment Agency is to help form and oversee Community Reinvestment Areas which allow the community to capture tax increments during a designated time period and reinvest it back into the area to help fund improvements. These funds are a valuable resource to help the City fulfill its planning, economic development, and place making goals. The Millcreek Community Reinvestment Agency currently manages four C.R.A.s: Millcreek City Center, Woodland Avenue, West Millcreek, and MedTech. Community Reinvestment Agency ---PAGE BREAK--- Millcreek FY 2022-23 Final C.R.A. Budget 4 millcreek.us Budget Timeline MARCH S M T W TH F S 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 APRIL S M T W TH F S 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 JUNE S M T W TH F S 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 March 14, 2022 Community Reinvestment Agency Meeting Work Session (CRA): * FY 2022-23 CRA Budget Discussion April 11, 2022 Community Reinvestment Agency Meeting (CRA): * Present FY 2022-23 CRA Tentative Budget * Tentatively Adopt FY 2022-23 CRA Tentative Budget April 25, 2022 Community Reinvestment Agency Meeting (CRA): * Public Hearing on FY 2022-23 CRA Tentative Budget June 13, 2022 Community Reinvestment Agency Meeting (CRA): * Adopt FY 2022-23 CRA Fund Final Budget June 27, 2022 Community Reinvestment Agency Meeting (CRA): * Review, Public Hearing & Adoption of FY 2021-22 CRA Fund Final Budget Amendment ---PAGE BREAK--- Millcreek FY 2022-23 Final C.R.A. Budget 5 millcreek.us Millcreek City Center The Millcreek City Center CRA was created in 2019 to assist in creating Millcreek’s new City Center, Millcreek Common. This project aims to create a downtown City Center and will include community gathering spaces, plazas, and a mix of uses to promote civic pride and enhance the city’s tax base—all while supporting local businesses and helping them thrive. Over the next 20 years, 75-80% of all new property tax revenue will be reinvested back into this project area for improvements such as Millcreek Common and the implementation of new sidewalks, street lights, planter boxes, parking spaces, and structures. For more information on this project, please visit millcreek.us/275/Millcreek-Center- CRA. Millcreek City Center Rendering. ---PAGE BREAK--- Millcreek FY 2022-23 Final C.R.A. Budget 6 millcreek.us Woodland Avenue The Woodland Avenue CRA is the M i l l c r e e k C o m m u n i t y Reinvestment Agency’s newest adopted community reinvestment area. This project area lies within the boundaries of Millcreek’s new City Center, but the parcels within the new CRA were only annexed into Millcreek in July 2020; thus, Millcreek needed to create a new CRA to capture the tax increment to support the new City Center. This project aims to assist the Millcreek City Center CRA in creating a downtown City Center that will include community gathering spaces, plazas, and a mix of uses to promote civic pride and enhance the city’s tax base—all while supporting local businesses and helping them thrive. Millcreek plans on triggering the Woodland Ave CRA on or before March 1, 2023. Over the 20 years following the trigger date, 75-80% of all new property tax revenue will be reinvested into this project area for improvements such as Millcreek Common and the implementation of new sidewalks, street lights, planter boxes, parking spaces, and structures. For more information on this project, please visit millcreek.us/431/Woodland- Avenue-CRA. ---PAGE BREAK--- Millcreek FY 2022-23 Final C.R.A. Budget 7 millcreek.us West Millcreek The West Millcreek C.R.A. was transferred to the Millcreek Community Reinvestment Agency from Salt Lake County at the beginning of 2019. This project area includes 184 acres of multi- residential, minor commercial, and light industrial uses and is bordered by 200 East, I-15, 3900 South, and Big Cottonwood Creek. Recent focuses of this C.R.A. include the completion of the Artesian Springs apartment complex, and the development of the Opus Green townhomes project which will include a trail walk and a children’s park. The goal of this C.R.A. is to bring increased property tax revenue to the participating taxing entities, who will receive 20% of the tax increment until the project is complete. Until then, over the next 20 years, 80% will be reinvested into this project area by the Millcreek Community Reinvestment Agency. For more information on this project, please visit West-Millcreek-CRA. Artesian Springs Apartments ---PAGE BREAK--- Millcreek FY 2022-23 Final C.R.A. Budget 8 millcreek.us MedTech The MedTech CRA was adopted in the spring of 2021. This project area includes approximately 91 acres of commercial and institutional uses. This project aims to enable the development of a new medical tower with an enhanced façade at St. Mark’s Hospital and influence the redevelopment of commercial and office space within the Project Area. This CRA aims to bring increased property tax reven ue to the participating taxing entities, who will receive between 20- 30% of the tax increment until the project is complete. Millcreek plans on triggering the MedTech CRA on or before March 1, 2025. Over the 20 years following the trigger date, 70-80% of all new property tax revenue will be reinvested into this project area for improvements such as the enhanced façade for St. Mark’s Hospital and the implementation of new sidewalks, streetlights, and improved transit stops. For more information on this project, please visit millcreek.us/392/MedTech- CRA. St. Mark’s North Tower groundbreaking. ---PAGE BREAK--- Millcreek FY 2022-23 Final C.R.A. Budget 9 millcreek.us C.R.A. Fund Revenue Budget ---PAGE BREAK--- Millcreek FY 2022-23 Final C.R.A. Budget 10 millcreek.us C.R.A. Fund Revenue FY 2020-21 Actual Revenues FY 2021-22 Estimated Revenues FY 2022-23 Tentative Revenues FY 2022-23 Adopted Revenues % Change From Previous Year Amt. of Change Tentative to Adopted Revenues COMMUNITY REINVESTMENT FUND (CRA) REVENUES 201 Millcreek Center CRA 3110 Property Tax 46,568 110,000 150,000 150,000 36.36% - 3430 Rents & Leases 10,514 5,000 - - 0.00% - 3610 Interest (Bond) 19,624 70 - - 0.00% - 3620 Misc. 4,234 - - - 0.00% - 3680 Loan Proceeds 675,161 671,800 571,800 571,800 -14.89% - 3690 Bond Proceeds - - - - 0.00% - 3820 Use of Fund Balance 7,085,139 - - - 0.00% - Total Millcreek Center CRA 7,841,240 $ 786,870 $ 721,800 $ 721,800 $ -8.27% - $ 202 West Millcreek CRA 3110 Property Tax 1,189,490 1,100,000 1,200,000 1,200,000 9.09% - 3610 Interest 4,161 250 250 250 0.00% - 3620 Misc. - - - - 0.00% - 3820 Use of Fund Balance - 13,426 - - -100.00% - Total West Millcreek CRA 1,193,651 $ 1,113,676 $ 1,200,250 $ 1,200,250 $ 7.77% - $ Total CRA Revenue 9,034,892 $ 1,900,546 $ 1,922,050 $ 1,922,050 $ 1.13% - $ MILLCREEK FY 2022-23 COMMUNITY REINVESTMENT AGENCY (CRA) FUND REVENUE BUDGET ---PAGE BREAK--- Millcreek FY 2022-23 Final C.R.A. Budget 11 millcreek.us C.R.A. Fund Expense Budget ---PAGE BREAK--- Millcreek FY 2022-23 Final C.R.A. Budget 12 millcreek.us C.R.A. Fund Expenses FY 2020-21 Actual Expenses FY 2021-22 Estimated Expenses FY 2022-23 Tentative Expenses FY 2022-23 Adopted Expenses % Change From Previous Year Amt. of Change Tentative to Adopted Expenses COMMUNITY REINVESTMENT FUND (CRA) EXPENSES 201-5310 Millcreek City Center CRA 3100 Professional Services 920,586 21,660 - - 0.00% - 5200 Debt Interest 721,729 721,800 721,800 721,800 0.00% - 5300 Debt Expense - - - - 0.00% - 5500 Debt Principal - - - - 0.00% - 5700 Tax Increment Commitments - - - - 0.00% - 6100 Miscellaneous 15,792 3,500 - - 0.00% - 6400 Administration - - - - 0.00% - 7100 Reserve - - - - 0.00% - 7110 Land 6,219,836 - - - 0.00% - 7300 Improvements (City Center) - - - - 0.00% - 8310 Housing (15%) - - - - 0.00% - Total Millcreek Center CRA 7,877,942 $ 746,960 $ 721,800 $ 721,800 $ -3.37% - $ 202-5310 West Millcreek CRA 3100 Professional Services - - - - 0.00% - 5200 Debt Interest - - - - 0.00% - 5300 Debt Expense - - - - 0.00% - 5500 Debt Principal - - - - 0.00% - 5600 Loan to Millcreek Center CRA 675,161 671,800 571,800 571,800 -14.89% - 5700 Tax Increment Commitments 240,891 217,786 230,000 230,000 5.61% - 6100 Miscellaneous - - - - 0.00% - 6400 Administration 3,000 44,000 48,000 48,000 9.09% - 7100 Reserve - - - - 0.00% - 7110 Land - - - - 0.00% - 8310 Housing (20%) 237,898 220,000 240,000 240,000 9.09% - 9100 CRA Fund Balance - - 110,450 110,450 0.00% Total West Millcreek CRA 1,156,950 $ 1,153,586 $ 1,200,250 $ 1,200,250 $ 4.05% - $ Total CRA Expenses 9,034,893 $ 1,900,546 $ 1,922,050 $ 1,922,050 $ 1.13% - $ MILLCREEK FY 2022-23 COMMUNITY REINVESTMENT AGENCY (CRA) FUND EXPENSE BUDGET