Detail the fund sources:
(A) Donations. These funds could be from either individuals or corporations including philanthropic foundations. However, no sources of donations are known to be available to the DDA at this time.
(B) Tax levy. The Authority has determined that the potential tax levy will not be considered. At no time will the Authority levy taxes on personal or real property. It is counterproductive to the goal of the development plan. Levying a tax on the Downtown Development District, as a means of making a “public investment” greatly reduces the economic stimulation effect as the individual businesses would experience an immediate cost from the initial public development. In light of the trend in the tax base of the Downtown Development District, a real public investment is needed, rather than an indirect private investment to stimulate private market forces.
(C) Bond proceeds. Although these are provided in the statute as a “source of financing”, they are only a vehicle for borrowing, not an actual source of capital. Whether revenue bonds or general obligation bonds are used, their sale requires the availability of another source of funds to repay them as they mature.
(1) A bond sale may be used for the financing of elements within the development plan. Use of bonding will be determined by the needs of a proposed development inside the boundaries of the development area.
(2) The Downtown Development Authority shall not sell any bonds pursuant to this plan without approval of the Village Council prior to the issuance of any such bonds.
(D) Revenue from properties. This is not a basic source of financing in this case. An income from properties acquired during implementation of the development plan will be applied to costs of that implementation. Excess funds will be used to assist in the financing of other elements within this plan.
(E) Other sources. These might include any general revenues of the village approved by the Village Council for use by the DDA. It is hoped that the village will continue to pursue any grants which can be used to finance any portion of the development plan.
(F) Tax increment dollars. 100% of the tax increment dollars that accrue each year will be used to finance the development plan.
(Ord. passed 11-19-2012)