1. Presented by:
Mike Weber
Director
PGAVPLANNERS
200 N. Broadway  Suite 1000  St. Louis, MO 63102  (314) 231-7318

2. Discussion Topics
 Property Tax vs. Sales Tax TIFs
 Planning for Closeout of TIF
 Distribution of Surplus Revenue
 Questions / Unresolved Issues
PGAV 2

3. Property Tax vs. Sales Tax TIFs
 113 Property Tax TIFs Set to Expire in 2009
 (20) 1986 & prior year TIFs extended
 23rd Levy Year/Collected in 24th Year
 Sales Tax TIFs:
 63 already phased out
 50 Authorized to be Extended to 2013
 Municipal property tax increment required (2010 –
2013)
PGAV 3

4. Planning Closeout of TIF
 Develop Projections
 Annual tax increment revenues
 Plus other sources of revenue
 Less annual obligations
 Equals balance to fund other projects that meet the
goals and objectives of the TIF plan
 Prepare Annual Spending Plan
 Needs within TIF area
 Needs of adjoining TIFs?
 Amend TIF plan, if necessary
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5. TIF Plan FY2007 - FY2014 5.00%
FY2007 FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 Total
Available New Revenues 6,279,007 6,381,645 6,768,023 7,179,677 7,618,393 3,438,044 3,706,897 1,004,708 42,376,394
Project
Annual Debt Service (1997-B) 478,550 404,425 412,775 0 0 0 0 0 1,295,750
Annual Debt Service (2003-A) 399,400 475,463 464,588 462,475 94,472 86,744 79,031 76,359 2,138,532
Freed - G.O.Debt Service 228,730 229,203 228,394 226,363 223,900 221,000 222,800 219,300 1,799,690
Freed - Rev Bond D/S 605,025 729,838 782,763 816,888 842,925 341,113 361,388 0 4,479,940
Subtotal - D/S 1,711,705 1,838,929 1,888,520 1,505,726 1,161,297 648,857 663,219 295,659 9,713,912
School District Asst. 1,315,270 1,381,033 1,450,085 1,522,589 0 0 0 0 5,668,977
Joyce Pontiac 150,000 150,000 150,000 0 0 0 0 0 450,000
OTD Program 482,000 482,000 482,000 482,000 0 0 0 0 1,928,000
Subtotal - Committed 1,947,270 2,013,033 2,082,085 2,004,589 0 0 0 0 8,046,977
Street Maintenance 494,200 400,000 200,000 0 0 0 0 0 1,094,200
Sidewalks/Alleys/Lighting 325,000 325,000 225,000 0 0 0 0 0 875,000
Bridge Repairs 0 60,000 0 0 0 0 0 0 60,000
Storm Sewer Imps 234,100 270,000 0 0 0 0 0 0 504,100
Airport Imps 0 165,000 165,000 0 0 0 0 0 330,000
Central City Imps 830,000 60,000 250,000 0 0 0 0 0 1,140,000
Public Buildings 205,000 130,000 130,000 130,000 130,000 0 0 0 725,000
Administration/Misc. 400,000 300,000 200,000 100,000 0 0 0 0 1,000,000
Subtotal - Other 2,488,300 1,710,000 1,170,000 230,000 130,000 0 0 0 5,728,300
Grand Total $6,147,275 $5,561,962 $5,140,605 $3,740,315 $1,291,297 $ 648,857 $ 663,219 $295,659 $23,489,189
Balance Remaining 131,732 819,683 1,627,418 3,439,362 6,327,096 2,789,187 3,043,678 709,049 18,887,205
PGAV 5

6. Other Considerations
 Combination Property Tax and Sales Tax
TIFs:
 Avoid having unspent balances at the end of 2009.
Start with a clean slate 2010.
 Municipal contribution of prop. tax required (2010 -
2013)
 Notify taxing districts of pending property tax TIF
termination (by Nov. 1 of closeout year)
 Property Tax TIFs:
 Avoid having unspent balance
 Notify taxing districts of TIF termination
 2009 tax increment, payable 2010 can be used to pay
obligations incurred 2009 or before
PGAV
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7. Distribution of Surplus
 Annual Surplus Declaration
 See Sec. 5/11-74.4-7
 End of TIF Surplus Declaration
 See Sec. 5/11-74.4-8
 State Sales Tax & Muni. Sales Tax Get
Reimbursement Priority
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8. End of TIF Surplus - Example
Cumulative Deposits:
State Sales Tax $380,000
Municipal Sales Tax 180,000
Total Property Tax 1,500,000
TOTAL DEPOSITS $2,060,000
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9. End of TIF Surplus - Example
Total ONLY State &
Municipal Sales Tax $560,000
Proportion State
($380,000/$560,000) = 67.9%
Proportion Municipal
($180,000/$560,000) = 32.1%
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10. End of TIF Surplus - Example
Surplus Funds at Termination: $600,000
State Proportion (67.9% = $407,143)
Refund to State ($380,000)
Muni. Proportion (32.1% = $192,857)
Refund to Municipality ($180,000)
Surplus Remaining ($40,000)
Refund to County Treasurer ($40,000)
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11. Deposits to TIF Fund:
State Sales Tax Deposits $380,000
Muni. Sales Tax Deposits 180,000
Property Tax Deposits 1,500,000
Surplus at Closeout $600,000
Distribution of Surplus:
Refund to State $380,000
Refund to Municipality $180,000
Property Tax Refund (pro-rata to taxing bodies) $40,000
PGAV 11

12.  Bradley (Rte. 50 & I-57)
 Refunded to State: $732,348
 Niles (Touhy)
 Refunded to State: $1,024,849
 Bloomington (Veterans)
 Refunded to State: $386,598
 Total Refunded to State
 (Annual & Terminations) >$8.6 Million
PGAV 12

13.  Property Tax/Sales Tax TIFs – What if
there is a fund balance at closeout of
property tax TIF, but the sales tax TIF
runs to 2013?
 Is it surplus?
 Can the balance be applied to project costs
in the sales tax TIF area?
PGAV 13

14.  Does the county and municipality have
the same understanding of the TIF
termination (e.g., 23rd year levy
collected in 24th year)?
 Revenue received after TIF Termination
(e.g., Loan repayments or building
demolition liens)?
PGAV 14

15.  Real Estate purchased with TIF funds?
 If sold prior to TIF termination – deposit
into TIF fund (Sec. 11-74.4-10)
 After TIF termination – “shall continue to be
held by the municipality after the [TIF] has
been terminated” (Sec. 11-74.4-8)
PGAV 15

16.  Tell Your Story!
 Project Successes
 Private Investment Leveraged
 Windfall Tax Revenues to All Taxing Bodies
 What are Taxing Body’s Plans for Windfall?
 Provide to Media
 Provide at Final JRB Meeting
 Provide to ITIA for Compilation
PGAV 16