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HomeMy WebLinkAboutResolutions - 2002.09.05 - 27020MISCELLANEOUS RESOLUTION #02206 September 5, 2002 BY: Finance Committee, Sue Ann Douglas, Chairperson IN RE: BOARD OF COMMISSIONERS - PROPOSED CITY OF WIXOM DOWNTOWN DEVELOPMENT AUTHORITY - TAX CAPTURE To the Oakland County Board of Commissioners Chairperson, Ladies and Gentlemen: WHEREAS the Oakland County Board of Commissioners strongly supports the economic growth of Oakland County; and WHEREAS one of the tools used to promote this economic growth is Tax Increment Financing in the form of Downtown Development Authorities (DDAs), Tax Increment Finance Authorities (TIFAs) and Local Development Finance Authorities (LFDAs); and WHEREAS amendments to the Tax Increment Financing programs were adopted in 1994 by the State Legislature, providing the County with the option to exempt itself from participating in these authorities; and WHEREAS in order to review requests from the County's cities, villages and townships to establish DDAs, TIFAs and LFDAs, the Board of Commissioners, pursuant to Miscellaneous Resolution #99010, established the Tax Increment Financing (TIF) District Review Policy Ad Hoc Committee to evaluate and recommend to the Finance Committee on the County's participation in these proposed authorities; and WHEREAS on July 23, 2002, the City of Wixom held a public hearing to revise (expand) its DDA District Boundaries; and WHEREAS on August 8, 2002, the City of Wixom met with the County's TIF District Ad Hoc Review Committee on its proposed District expansion; and WHEREAS a number of questions need to be addressed before a recommendation can be made; and WHEREAS those questions include: 1. In regards to the proportion of the ten million dollars of estimated County tax capture, how much of that will be captured by residential? How much will be spent from that amount toward the proposed plan? Need analysis showing currently how much tax is captured from residential and how much would be captured if DDA proposal is approved. 2. How much of the proposed DDA district would be residential and how much commercial? 3. Need clarification from Wixom's counsel about using DDA money for residential development. 4. What is the intent of the DDA regarding storm water runoff? 5. Wixom's assessment needs to be identified. Oakland County would be contributing a third of the cost towards this proposed plan. Is it clear that additional millages are necessary? 6. At what cost is Wixom's commitment to redevelopment of the district? ; and FINANCE COMMITTEE Motion carried unanimously on a roll call vote with Obrecht and Taub absent. WHEREAS the Downtown Development Authority Act, 1975 Public Act 197, as amended, Section 3(3), authorizes the governing body of a taxing jurisdiction levying ad valorem property taxes that would otherwise be subject to capture by a DDA to exempt its taxes from capture by adopting, not more than 60 days after the Public Hearing on the adoption of a proposed DDA District, a resolution to that effect and filing a copy with the clerk of the municipality proposing to create the authority; and WHEREAS Section 3(3) of 1975 Public Act 197, as amended, authorizes the governing body of a taxing jurisdiction levying ad valorem property taxes to rescind any resolution exempting its taxes from capture by a proposed DDA; and WHEREAS the statutorily mandated 60 day time period within which the County must act to preserve its right to exempt its taxes from capture forces the County to make its tax exemption determination before the TIF District Ad Hoc Review Committee can complete its review; and WHEREAS the TIF District Ad Hoc Review Committee is faced with the legal mandate that the County act on the issue of tax capture exemption within 60 days of July 23, 2002. NOW THEREFORE BE IT RESOLVED that the Oakland County Board of Commissioners, pursuant to Section 3(3) of 1975 PA 197, as amended, MCL 125.1653(3), hereby exempts its taxes from capture by the City of Wixom Downtown Development Authority. BE IT FURTHER RESOLVED that if, after further review of the Wixom DDA Project by the TIF District Ad Hoc Review Committee, the Committee finds it appropriate to rescind the tax capture exemption, such recommendation will be brought back to the Board of Commissioners. BE IT FURTHER RESOLVED that a copy of this resolution be sent to the Wixom City Clerk. Chairperson, on behalf of the Finance Committee, I move adoption of the foregoing resolution. FINANCE COMMITTEE G. William Caddell, County Clerk Resolution #02206 September 5, 2002 Moved by Douglas supported by Garfield the resolution be adopted. AYES: Brian, Buckley, Causey-Mitchell, Coleman, Crawford, Dingeldey, Douglas, Garfield, Gregory, Law, McPherson, Melton, Middleton, Moffitt, Moss, Obrecht, Palmer, Patterson, Sever, Suarez, Taub, Webster, Amos, Appel. (24) NAYS: None. (0) A sufficient majority having voted therefore, the resolution was adopted. STATE OF MICHIGAN) COUNTY OF OAKLAND) I, G. William Caddell, Clerk of the County of Oakland, do hereby certify that the foregoing resolution is a true and accurate copy of a resolution adopted by the Oakland County Board of Commissioners on September 5, 2002, with the original record thereof now remaining in my office. In Testimony Whereof, I have hereunto set my hand and affixed the seal of the County of Oakland at Pontiac, Michigan this 5th day of September, 2002.