|SB 0802||Revises criteria used to evaluate redevelopment projects funded by tax increment financing|
|LR Number:||2909S.08P||Fiscal Note:||2909-08|
|Committee:||Local Government and Economic Development|
|Last Action:||04/18/00 - Hearing Conducted H Commerce Committee||Journal page:|
|Title:||SCS SB 802|
|Effective Date:||August 28, 2000|
SCS/SB 802 - This act modifies requirements for redevelopment projects in St. Louis City, St. Louis County, St. Charles County, Jefferson County, Warren County and Franklin County funded through tax increment financing. Redevelopment projects must meet existing requirements and have low fiscal capacity, high unemployment, or be characterized by poverty and be located in an area where the overall assessed valuation has not increased in the last 6 years, and the area must have experienced out migration of businesses and residents.
No more than 50% of the costs of a project may be expended for retail development unless the area is a distressed community or a federal enterprise or empowerment zone, or at least 50% of the residents are living in poverty.
Developers must submit their plans to the government body and the Department of Economic Development. The Department will conduct a cost-benefit analysis based upon criteria set out in the act. The analysis must be complete in 90 days and the Department may charge a fee for conducting the analysis in an amount that does not exceed the cost.
No more than 30% of project costs may be derived from public funds but under the following circumstances 50% of the cost may be derived from public funds:
The area meets two of three criteria (low fiscal capacity, high unemployment or poverty); or
At least 20% of the cost is allocated to affordable housing.
Developers and municipalities are required to report to Department of Economic Development each year and the Department will issue an annual report examining the impact of each project, using the criteria initially used to evaluate the project.
If the majority of a redevelopment project area is located in an area meeting the requirements of low fiscal capacity, high unemployment and poverty, a contiguous area, which may be smaller than a census block tract with the same characteristics as the project area, shall be included in the project area.
Any affected person may file an action to challenge a
decision relating to tax increment financing within 60 days of
Fire and Emergency services districts in St. Louis City, St.
Louis County, Jefferson County, Warren County, St. Charles County
and Franklin county are entitled to reimbursement for 25% to 100%
of direct costs from the special allocation fund established to
receive the payments in lieu of taxes.