SlideShare a Scribd company logo
1 of 79
Download to read offline
League of Wisconsin Municipalities
vision to reality
League of Wisconsin Municipalities
2018 Annual Engineering & Public Works Institute
“How to Plan & Fund
Capital Improvement Projects”Capital Improvement Projects
K t R M hKurt R. Muchow
Community Development Consultant
Session Agendag
• Municipal Budget Cycle vs. Public FundingMunicipal Budget Cycle vs. Public Funding
• Capital Improvements Planning• Capital Improvements Planning
• Conventional Funding Methods• Conventional Funding Methods
• Public Funding Opportunities• Public Funding Opportunities
E l P j t• Example Projects
• Planning & Civil Engineering Firm
• Office Locations:
- Reedsburg
- Madison
- Milwaukee Metro
- Prairie du Chien
• Vierbicher Website
www vierbicher comwww.vierbicher.com
Typical Municipal Budget/Project Cycleyp p g j y
2018 2019
J J A S O N D J F M A M J J A S O N D
BudgetBudget
Planning
Budget Review
& Adoption Project Implementation
Fi i• Financing
• Design / Bidding
P j t I l t tiProject Implementation
• Construction
Municipal Project Cycle vs. Public Fundingp j y g
2018 2019 2020
M J J A S O N D J F M A M J J A S O N D J F M A M J J A S O N D
C
C
C
C
C
C
W
W
W
W
W
W
W
W
W
W
W
W
W
W
W
W
W
W
W
W
CDBGPFGran
CDBGPFAwar
CDBGPFAppli
CDBGPFAppli
CDBGPFGran
CDBGPFAppli
WDNRSteward
WDNRSteward
WDNRSteward
WDNRSteward
WDNRSteward
WDNRSteward
WDOTTAPApp
WDOTTAPAwa
WDNRCWF&S
WDNRCWF&S
WDNRCWF&S
WDNRCWF&S
WDNRCWF&S
WDNRCWF&S
WDNRCWF&S
WDNRCWF&S
WDNRCWF&S
WDOTSTPApp
WDOTSTPAwa
WDOTSTPApp
tAward(Con
rd(Constructio
cation
cation
tAward(Con
cation
dshipApplicat
dshipAward(C
dshipApplicat
dshipAward(C
dshipApplicat
dshipAward(C
plication(Bi-A
ard(Construc
SDWLAward(
SDWL(ITA&P
SDWLITA&PE
SDWLFinalAp
SDWLAward(
SDWLITA&PE
SDWLFinalAp
SDWLFinalAp
SDWLAward(
plication(Bi-An
ard(Construct
plication(Bi-An
nstruction2020
on2021)
nstruction2019
tionDeadline
Construction2
tionDeadline
Construction2
tionDeadline
Construction2
nnual)
tion2022-2023
(Construction
ERF)
ERF
pplication
(Construction
ERF
pplication
pplication
(Construction
nnual)
tion2021-2023
nnual)
0)
9)
2020)
2021)
2019)
3)
2021)
2020)
2019)
3)
Capital Improvements Planningg
“Capital Improvements Planning Greatly
E h C iti Abilit tEnhances a Communities Ability to
Consistently Access Public Funding
P ”Programs”
Capital Improvements Planningg
Definition:
“A multi-year plan
that provides a
working blueprintworking blueprint
for sustaining &
improving aimproving a
communities
infrastructure and
capital
equipment.”
Capital Improvements Planningg
What is a
Capital Expenditure?
“Capital items should
have a useful life of at
l t 3 dleast 3 years and a
cost of $5,000 or
more ”more.
Capital Improvements Planningg
Advantages of a CIP:
Id tif G l & P li i• Identify Goals & Policies
• Identify Needs & Financial Capability
• Build Consensus & Improves Awareness
• Enhances Coordination & Cooperation
• Improves use of Available Resources
• Ensures Financial Stability
• Greatly Enhances the Ability to Access
Public Funding Programs
Capital Improvements Planningg
General Suggestions:
• Include all DepartmentsInclude all Departments
(Public works, water, wastewater, police, fire, parks, library, etc.)
• Create a CIP Committee
(Dept. heads, Clerk, Treasurer, Board/Council members)
• Consistent with Community Plans
(Comprehensive Plan, Economic Development Plan, etc.)
• Understand Outside Influences
(State or Regional Projects New Regulations Private Development Etc )(State or Regional Projects, New Regulations, Private Development, Etc.)
• Include Your Professional Advisors
(Financial advisor, engineer, planner, etc.)( , g , p , )
• Update the CIP Annually
Capital Improvements Planningg
Components of a CIP:
“It’ th li t”“It’s more than a list”
• Estimate Financial CapacityEstimate Financial Capacity
• Administrative & Policy Guidelines
• Identify Projects & EquipmentIdentify Projects & Equipment
• Determine Justification & Priority
• Estimate Costs• Estimate Costs
• Prepare Implementation Schedule
• Identify Sources of Project Funding• Identify Sources of Project Funding
Capital Improvements Planningg
Components of a CIP:
• Estimate Financial Capacity
• Administrative & Policy Guidelinesy
• Identify Projects & Equipment
• Determine Justification & PriorityDetermine Justification & Priority
• Estimate Costs
• Prepare Implementation SchedulePrepare Implementation Schedule
• Identify Sources of Project Funding
Capital Improvements Planningg
Estimate Financial Capacity
• Comparison to Comparable CommunitiesComparison to Comparable Communities
- General Gov’t. Spending per Capita
- Tax Levy per Capitay p C p
- G. O. Debt per Capita
- Sanitary Sewer & Water Rates
Impact Fees & Other Charges- Impact Fees & Other Charges
• Financial Capacity
- G. O. Debt CapacityG. O. Debt Capacity
- Projected Debt Payments & Balances (G.O., Sewer & Water)
- Projected TIF Increment Surplus/Deficit
How much new debt can be added?- How much new debt can be added?
“Communities should consult with your Municipal Financial Advisor”
Capital Improvements Planningg
Example Community Comparison
Capital Improvements Planningg
Example Community Comparison
Capital Improvements Planningg
Example Community Comparison
Capital Improvements Planningg
Financial Capacity
• During the 5 Year Planning Period
- Determine Amount of Cash Reserves
- Determine Annual Budgeted Revenue
- Determine Amount of Additional Debt Without Tax
Levy or User Rate IncreasesLevy or User Rate Increases
• Include All Sources
G l F d W t Utilit S Utilit t- General Fund, Water Utility, Sewer Utility, etc.
• Determine Availability of TIF Funding
Id tif G t F di A il bilit• Identify Grant Funding Availability
Capital Improvements Planningg
Example Financial Capacity
“Estimate Funds Available for CIP”“Estimate Funds Available for CIP”
• Available Cash Reserves
G l F d St t E i t $ 267 270- General Fund: Street Equipment = $ 267,270
- General Fund: Garbage & Recycling Equip. = $ 55,600
- General Fund: Industrial Park = $ 37,613
- General Fund: Senior Center = $ 27,966
- Sanitary Sewer Utility: WWTP Equipment Fund = $ 500,000
- Water Utility: Water Main Replacement = $ 102,780Water Utility: Water Main Replacement $ 102,780
- Water Utility: Tower & Well Fund = $ 55,178
- Subtotal Cash Reserves = $ 1,046,407
Capital Improvements Planning
Example Financial Capacity
“Estimate Funds Available for CIP”Estimate Funds Available for CIP
• Annual Budgeted Revenue
G l F d St t R t ti $ 120 000- General Fund: Street Reconstruction = $ 120,000
- General Fund: Street Maintenance = $ 30,000
- General Fund: Equipment Fund = $ 40,000q p $
- General Fund: Police Car & Equip. Fund = $ 26,200
- General Fund: Misc. Capital Improvements = $ 12,800
Sanitary Sewer Utility: Sewer Main Replacement = $ 100 000- Sanitary Sewer Utility: Sewer Main Replacement = $ 100,000
- Water Utility: Water Main Replacement = $ 75,000
- Water Utility: Water Tower & Well Fund = $ 28,000
- Subtotal Annual Budgeted Revenue = $ 432,000
- Total Budgeted Revenue Over Five Year Plan = $ 2,160,000
Capital Improvements Planning
Example Financial Capacity
“E ti t F d A il bl f CIP”“Estimate Funds Available for CIP”
• Revenue From Additional Debt• Revenue From Additional Debt
- General Obligation Debt (No D/S Increase) = $ 1,440,000
- Water Utility Debt (No Rate Increase) = $ 1,155,000
- Sanitary Sewer Utility Debt (7.5% Rate Increase) = $ 3,700,000
- Tax Incremental Financing Debt (From Surplus) = $ 1,560,000
- Total Revenue from Additional Debt = $ 7,855,000Total Revenue from Additional Debt $ 7,855,000
“Comm nities sho ld cons lt ith o r M nicipal Financial Ad isor”“Communities should consult with your Municipal Financial Advisor”
Capital Improvements Planningg
Example Financial Capacity
“Estimate Funds Available for CIP”
• Revenue From Grants
- Rural Development Grant = $ 385,000
WDNR CWF Principal Forgiveness = $ 500 000- WDNR CWF Principal Forgiveness = $ 500,000
- DOT LRIP = $ 221,000
- CDBG Public Facilities Grant (2-$500,000 Grants) = $ 1,000,000
- Misc. Grants & Contributions = $ 300,000
- Total Revenue From Grants = $ 2,406,000
Capital Improvements Planningg
Example Financial Capacity
“E ti t F d A il bl f CIP”“Estimate Funds Available for CIP”
• Total Estimated Revenue For 5 Year Plan
- Available Cash Reserves = $ 1,046,407
- Annual Budgeted Revenue = $ 2,160,000
- Revenue From Additional Debt = $ 7,855,000$
- Revenue From Grants & Contributions = $ 2,406,000
- Total Revenue for 5 Year CIP = $13,467,407
“ Important for Communities to understand
financial capacity upfront ?”financial capacity upfront ?
Capital Improvements Planning
Components of a CIP:
g
Components of a CIP:
• Estimate Financial Capacity
• Administrative & Policy Guidelines
• Identify Projects & Equipment
• Determine Justification & Priority
• Estimate Costs
• Prepare Implementation Schedule
• Identify Sources of Project Fundingy j g
Capital Improvements Planning
Administrative & Policy Guidelines
g
• Tax Levy – Stay Within or Exceed Limits
• Set Limits on Sewer & Water Rates
• Pay-as-you-go vs. Borrowing
• Cost Sharing Between Departmentsg p
(e.g., general fund, sewer & water utilities share costs, etc. )
• Intergovernmental Cooperation• Intergovernmental Cooperation
(e.g., shared equipment purchases, shared services, etc.)
• Use of Public Funding Programs• Use of Public Funding Programs
Capital Improvements Planningg
Example Financial Goals
• Manage G.O. Debt to keep debt service at
existing levelexisting level.
• Do not increase water user rates.
• Increase sewer user rates but keep lower than• Increase sewer user rates, but keep lower than
comparable communities.
• Maximize use of surplus TIF revenue.a e use o su p us e e ue.
• Maximize use of grants.
“Recommend Council or Board approve policies & goals upfront”
Capital Improvements Planningg
Components of a CIP:p
• Estimate Financial Capacity
i i i i i i• Administrative & Policy Guidelines
• Identify Projects & Equipment
• Determine Justification & Priority
• Estimate Costs
• Prepare Implementation Schedule
• Identify Sources of Project Funding
Capital Improvements Planningg
Identify Projects, Cost & Priority
Project Request Form
• Project NameProject Name
• Department Requesting
• Project Description
• Justification & Priority
• Budget
• Funding Sources
• Special Considerations
Capital Improvements Planningg
Components of a CIP:p
• Estimate Financial Capacity
i i i i i i• Administrative & Policy Guidelines
• Identify Projects & Equipment
• Determine Justification & Priority
• Estimate Costs
• Prepare Implementation Schedule
• Identify Sources of Project Funding
Capital Improvements Planningg
Example Project Request Form
Capital Improvements Planningg
Components of a CIP:
• Estimate Financial Capacity
Ad i i t ti & P li G id li• Administrative & Policy Guidelines
• Identify Projects & Equipment
D t i J tifi ti P i it• Determine Justification & Priority
• Estimate Costs
• Prepare Implementation Schedule
• Identify Sources of Project Funding
Capital Improvements Planningg
Example Project Request Form
Capital Improvements Planning
E l I l t ti S h d l F di PlExample Implementation Schedule & Funding Plan
• Equipment & Facilities
- Police Department
- Fire Department
- Public Works
- Parks & Recreation
- Equip. Reserve Fund
• Include Future Projects
Capital Improvements Planning
E l I l t ti S h d l F di PlExample Implementation Schedule & Funding Plan
• Infrastructure
- Street Maintenance
- Street & Utility Reconst.
- Lift Station
- Wastewater Plant
- Water Supply
- Stormwater
• Include Future Projects
Public Funding Programs
Public Funding Opportunitiesg
• What is the Public Purpose?
– Economic Development
– Health & Safety
– Blight Elimination & Urban Renewal
– Low-Income & Poverty
– Affordable Housing
– Environmental Protection
– Park & Recreation
Golden Rule!Golden Rule!
Public Funding Opportunitiesg
Municipal Infrastructure
• WDNR Safe Drinking Water
• WDNR Clean Water FundWDNR Clean Water Fund
• Rural Dev. Rural Utilities
• Rural Dev Comm FacRural Dev. Comm. Fac.
• WDOT Local Programs
• CDBG PF & PF ED• CDBG PF & PF-ED
• WDOT Tran. Econ Assist.
• Tax Incremental Financing• Tax Incremental Financing
Public Funding Opportunitiesg
Parks, Trails & Water Recreation
• WDNR Stewardship
• WDNR Rec. BoatingWDNR Rec. Boating
• Federal Rec. Trails
• County Park GrantsCounty Park Grants
• DOT Alternatives
(MAP21)(MAP21)
• Tax Incremental
Financingg
Public Funding Opportunitiesg
Water Resources & Flood Mitigation
WDNR Urban Non Point• WDNR Urban Non-Point
• WDNR Lake Plng. & Protection
WDNR Ri Pl & P t ti• WDNR River Plng. & Protection
• WDNR Municipal Flood Control
• FEMA Hazard Mitigation
• CDBG PF, PF-ED & EAP
• WDOT Trans. Econ. Assist.
• Tax Incremental Financing
Public Funding Opportunities
Economic Development
• Tax Incremental Financing
• CDBG PlanningCDBG Planning
• CDBG ED & PF-ED
• WDOT Tran Econ AssistWDOT Tran. Econ Assist.
• WEDC Programs
• Brownfield Programs• Brownfield Programs
• Econ. Dev. Admin
• Rural Development• Rural Development
Trends in Public Funding
Community Development Block Grant (CDBG)
CDBG Public Facilities
• Annual Application Deadline: May 24, 2019
• Grant Awards: Last Week in July• Grant Awards: Last Week in July
• Maximum Grant: $500,000, or 50% of Eligible
• National Objectives• National Objectives
- Low-to-Moderate Income (Over 51%)
- Blight Elimination
- Local Urgent Need
• Eligible Projects:
- Infrastructure Reconstruction
- Community Centers, Senior Centers,
Fire Stations LibrariesFire Stations, Libraries
- Downtown Redevelopment
CDBG Public Facilities for Econ. Dev.
• Application Deadline: Continuous
M i G t $500 000 50% f Eli ibl• Maximum Grant: $500,000, or 50% of Eligible
• Eligible Projects:
- Infrastructure Improvements to Serve Econ. Dev.
- Redevelopment: Acquisition, Demolition, Remediation
• National Objectives
- Low-to-Moderate Income Job Creation
- Over 51% of Jobs
Must be Filled by LMI Persons
CBDG CLOSE Programg
• CDBG ED Local Revolving Loan FundsCDBG ED Local Revolving Loan Funds
• Over $100 Million Across State
• +/ 60% is Cash in Banks• +/- 60% is Cash in Banks
• HUD Requiring Funds be Recycled
C iti M t R F d t DOA• Communities Must Repay Funds to DOA
• Communities Apply to Get Funds Back
• Can be used for Eligible CDBG Projects
• CDBG CLOSE Funds may be Defederalizedy
Trends in Public Fundingg
U.S.D.A. Rural Development
USDA Rural Development
• Water & Waste Disposal Program
- Eligible Communities: Less Than 10 000 pop- Eligible Communities: Less Than 10,000 pop.
- Eligible Projects:
* Drinking Water System Improvementsg Sy p
* Wastewater System Improvements
* Storm Sewer Systems
* Solid Waste Systems* Solid Waste Systems
- Funding:
* Loans: 40 Year Term; Interest Rate = 2.125%, 2.75% or 3.5%Loans: 40 Year Term; Interest Rate 2.125%, 2.75% or 3.5%
* Grants: 0% to 75% Based on MHI & Rates
: Normal Grant = 15% to 30%
: Hardship Grant Up to 75%: Hardship Grant = Up to 75%
USDA Rural Development
• Community Facilities
Eli ibl C iti L Th 20 000 P l ti- Eligible Communities: Less Than 20,000 Population
- Eligible Projects:
* Municipal BuildingsMunicipal Buildings
* Fire Stations
* Police Stations
* Health Care Facilities* Health Care Facilities
• FundingFunding
- Loans: 40 Year Term; Interest rate = 3.5%
- Grants: Limited Allocation
- Loan Guarantees
Trends in Public Fundingg
WDNR Clean Water Fund & Safe Drinking Water
WDNR Clean Water Fund
• Application Cycle
ITA & PERF Deadline: October 31st- ITA & PERF Deadline: October 31st
- Hardship Applications Deadline: June 30th
- Principal Forgiveness Application Deadline: Sept. 30th
• Eligible Projects
- Municipal Wastewater Infrastructure
- Stormwater Quality Projects
• Loan Terms
- 20 Years Amortization
- Interest Rate: 1.122% to 3.4%
• Hardship & Principal Forgiveness• Hardship & Principal Forgiveness
WDNR Safe Drinking Water Loang
• Application Cycle
- ITA & PERF Deadline: October 31st
- Principal Forgiveness Application Deadline: June 30th
• Eligible Projects
- Municipal Drinking Water Infrastructure
Loan Terms
20 Y A ti ti- 20 Years Amortization
- Interest Rate: 1.122% to 1.87%
P i i l F i• Principal Forgiveness
Trends in Public Fundingg
Park & Recreation Programs
Park & Recreation Grant Programsg
• Funding Programs
- WDNR Knowles-Nelson Stewardship (No Maximum)p ( )
- WDNR Recreational Boating Facilities (No Maximum)
- Federal Land & Water Conservation Fund (No Maximum)
Recreational Trails (Max = $200 000)- Recreational Trails (Max. = $200,000)
• Local Match = 50%
• Application DeadlinesApplication Deadlines
- Annual Deadline on May 1st
- Continuous for Recreational Boating
Trends in Public Fundingg
Local Transportation Programs
Local Transportation Funding
• DOT STP Urban & Rural
- Application Deadline: July 10, 2019 (Odd Years)
Eligible Projects: Local Roads Classified as Collector or Above- Eligible Projects: Local Roads Classified as Collector or Above
- Funding: 80% Grant, 20% Local
• DOT Alternatives
- Application Deadline: Jan. 29, 2020 (Even years)
- Eligible Projects:
* Transportation Enhancementp
* Recreational Trails
* Safe-Routes to Schools
- Funding: 80% Grant, 20% Localg ,
• DOT Trans. Econ. Assistance
- Application Deadline: Continuous
- Eligible Projects: Roads & Rail For Econ. Dev.
- Funding: 50% Grant, 50% Local
Tax Incremental Financing
History of Tax Incremental Financingg
• TIF = Tax Increment Financing• TIF = Tax Increment Financing
TID T I t Di t i t• TID = Tax Increment District
Fi t A th i d i 1975 Wi 66 1105• First Authorized in1975, Wis. 66.1105
• TIF Law has been amended many times
over the years
What is TIF?
A municipal financing tool to accomplish
specific community development objectives:
• promote industrial development
• promote mixed-use development
• eliminate blighted areas
• rehabilitate deteriorating areas
Why TIF Was Created
• Federal funding decreased for
community development programs
All iti & ill t k ith i t• Allows cities & villages to work with private
sector to stimulate economic growth
• Eliminated inequitable situation that
discouraged developmentg p
* Cities & villages bore the cost of development,
but all taxing entities shared the benefit.
Summary of TID Creations in Wisconsiny
Summary of TIF Districts in Wisconsin
• Currently 1 238 active TIDs in Wisconsin in
y
• Currently 1,238 active TIDs in Wisconsin in
425 communities (June 1, 2017)
• 2,052 TIDs created since 1976
• 822 TIDs terminated since 1976
• Average life of TIDs = 16.3 years
Summary of Districts in Wisconsiny
• 307 Mixed-use districts
• 301 Industrial districts• 301 Industrial districts
• 295 Blight elimination districts
• 156 Created before 1995 (no district type)• 156 Created before 1995 (no district type)
• 149 Rehab and conservation districts
16 Environmental remediation• 16 Environmental remediation
• 4 Town districts
• 86 Distressed districts
• 18 Severely distressed district• 18 Severely distressed district
TIF Basics
Important TIF Definitions
• Base Value: The equalized value of real and
personal property in a TID when created.
• Increment Value: The difference between the
base value and the current valuebase value and the current value.
• Tax Increment: Taxes levied by the overlying• Tax Increment: Taxes levied by the overlying
taxing jurisdictions on the value between the base
value and the current value in the TID.
TIF Basics
TIF Basics
TIF Basics
Types of TIDs
• Industrial Developmentp
• Mixed-Use
• Blight Elimination• Blight Elimination
• Rehabilitation / Conservation
• Environmental Remediation
• Town TIDs
Type of Tax Increment Districts
Industrial Development TID
50% f d t b it bl f d• 50% of area needs to be suitable for and
zoned for industrial development
Expenditure Period 15 Years• Expenditure Period = 15 Years
• Maximum Life = 20 years
M i Lif With E t i 23• Maximum Life With Extension = 23 years
Type of Tax Increment Districts
Mixed-Use TID
•Must have at least two land useMust have at least two land use
(Commercial/Residential/Industrial)
•No more than 35% can be newly platted residential
•TID expenditures may be made for residential if
one of the following applies:
 Density at least 3 units per acreDensity at least 3 units per acre
 Conservation subdivision
 Traditional neighborhood development
•Expenditure period = 15 Years•Expenditure period = 15 Years
•Maximum life = 20 years
•Max. life with ext. = 23 yearsMax. life with ext. 23 years
Type of Tax Increment Districts
Blight Elimination TID
• T picall Older Neighborhoods• Typically Older Neighborhoods
• 50% of Area Must be Declared Blighted
• Requires Formal Designation of BlightRequires Formal Designation of Blight
• Letter’s Must be sent to Landowners
• Expenditure Period = 22 Yearsp
• Maximum Life = 27 Years
•Maximum Life With
Extension = 30 years
Type of Tax Increment Districts
Rehabilitation/Conservation TID
C l R f d t R it li ti TID• Commonly Referred to as Revitalization TID
• At least 50% of the property must be suitable
for rehabilitation or conservationfor rehabilitation or conservation
• Letter’s Must be sent to Landowners
E dit P i d 22 Y• Expenditure Period = 22 Years
• Maximum Life = 27 Years
• Maximum Life With Extension
= 30 years
Type of Tax Increment Districts
Environmental Remediation
• Eligible Costs: Remediation, property acquisition,
demolition, asbestos removal, underground tank
removal and financingremoval and financing.
• Expenditure Period = 15 years
• Maximum Life = 23 years ( t i ll d)• Maximum Life = 23 years (no extensions allowed)
Eligible TIF Projectsg j
• Eligible TIF projects can be located within the
TID, or within one-half mile radius.
• Eligible projects must benefit TID
• Eligible projects include:g p j
- Infrastructure
- Land acquisition / demolition
- Environmental clean-up
- Site development
l t i ti- Development incentives
- Marketing & promotion
Organization & administration- Organization & administration
• Extension for Affordable Housing
Example Projects
PDCH Street & Utility Reconstructiony
– 10,000 LF of Street & Utility Reconstruction
Downtown Enhancement– Downtown Enhancement
– Total Project Cost = $4.3 Million
• $1 5 M WDNR CWF Loan• $1.5 M WDNR CWF Loan
• $1.7 M WDNR SDWL Loan
• $660,000 WDOT Enhancement Grant$660,000 O a ce e G a
• $300,000 CDBG Grant
• $105,000 Tax Incremental Financing
• $50,000 Fundraiser
• $0 General Fund
Viroqua Street & Utility Reconstruction
- 14 City Blocks of Street & Utility
Reconstruction
Majority Located In Downtown- Majority Located In Downtown
- Total Project Cost = $3,225,000
- Project Funding
• $1,153,978 USDA Rural Dev.$1,153,978 USDA Rural Dev.
Water Loan
• $384,659 USDA Rural Dev.
Water Grant
• $1,140,723 USDA Rural Dev.
Sewer Loan
• $326,200 TIF
• $221,000 DOT LRIP Grant
- All Loans Paid by TIF and Sewer &
Water Utilities. $0 General Fund.
Edgar Business Parkg
• Project Summary
- Expansion of Existing BusinessExpansion of Existing Business
- Village Infrastructure Extension
- New tax base = $2,297,000
- Creation of 11 jobs
• Total Village Cost = $668,841g
• Funding Summary
- $240,565 CDBG-PFED Grant
* ($21,870 Grant Per Job)
- $428,276 TIF Loan
* (11 Y b k)* (11 Year payback)
Richland Center
Westside Drive Reconstruction
St t tilit t ti• Street & Utility Reconstruction
• 3,600 Lineal Feet
T t l P j t C t $1 860 000• Total Project Cost = $1,860,000
• Project Funding
$509 000 Rural Dev Sewer Loan– $509,000 Rural Dev. Sewer Loan
– $259,000 Rural Dev. Sewer Grant
– $500,000 CDBG Grant
– $592,000 City Loan
– 41% Grant, 59% Loan
Linden Water System
• Project Summary
– New Well
– Water Main Replacement
• Total Project Cost = $1,166,000
• Funding Summary
$– $500,000 CDBG-PF Grant
– $666,000 Revenue Bond
DeForest North Business Park
P j t S• Project Summary
– Business Park Expansion
– APC – 171,000 sf BuildingAPC 171,000 sf Building
– PLC – 133,000 sf Building
– Creation of 189 jobs
• Project Scope
– Streets & Utilities
– Storm Water ManagementStorm Water Management
– Site Development
– Pedestrian / Bicycle Trail
• Infra. Cost = $3,650,000
• Funding Summary
$ ($ )– WDOT-TEA Grant = $945,000 ($5,000 Grant Per Job)
– TIF Loan = $2,705,000
Questions?
K t R M hKurt R. Muchow
kmuc@vierbicher.com
608/768-4817

More Related Content

What's hot

Intergovernmental Cooperation for the Delivery of Services
Intergovernmental Cooperation for the Delivery of ServicesIntergovernmental Cooperation for the Delivery of Services
Intergovernmental Cooperation for the Delivery of ServicesVierbicher
 
Working with Small Communities
Working with Small CommunitiesWorking with Small Communities
Working with Small CommunitiesVierbicher
 
TIF-102 Development Incentives vs. Community Goals
TIF-102 Development Incentives vs. Community GoalsTIF-102 Development Incentives vs. Community Goals
TIF-102 Development Incentives vs. Community GoalsVierbicher
 
Putting All Your Eggs In One "Water Utility" Basket
Putting All Your Eggs In One "Water Utility" BasketPutting All Your Eggs In One "Water Utility" Basket
Putting All Your Eggs In One "Water Utility" BasketVierbicher
 
Public Funding-Current Trends & Successful Strategies
Public Funding-Current Trends & Successful StrategiesPublic Funding-Current Trends & Successful Strategies
Public Funding-Current Trends & Successful StrategiesVierbicher
 
Using TIF to Promote Healthy Communities
Using TIF to Promote Healthy CommunitiesUsing TIF to Promote Healthy Communities
Using TIF to Promote Healthy CommunitiesVierbicher
 
Small Town Forums, hosted by U.W. - Extension, USDA Rural Development, Wiscon...
Small Town Forums, hosted by U.W. - Extension, USDA Rural Development, Wiscon...Small Town Forums, hosted by U.W. - Extension, USDA Rural Development, Wiscon...
Small Town Forums, hosted by U.W. - Extension, USDA Rural Development, Wiscon...Vierbicher
 
Local Government Collaboration Case Studies
Local Government Collaboration Case StudiesLocal Government Collaboration Case Studies
Local Government Collaboration Case StudiesVierbicher
 
Economic Development 101
Economic Development 101Economic Development 101
Economic Development 101Vierbicher
 
Funding our future community information session nov 2013
Funding our future community information session nov 2013Funding our future community information session nov 2013
Funding our future community information session nov 2013maitlandyoursay
 
Sp4 2013 budget amendment 05.20.13
Sp4 2013 budget amendment 05.20.13Sp4 2013 budget amendment 05.20.13
Sp4 2013 budget amendment 05.20.13cityofevanston
 
CDBG CN 2016 Conference SlidesFINAL
CDBG CN 2016 Conference SlidesFINALCDBG CN 2016 Conference SlidesFINAL
CDBG CN 2016 Conference SlidesFINALKimberly Johnson
 

What's hot (20)

Intergovernmental Cooperation for the Delivery of Services
Intergovernmental Cooperation for the Delivery of ServicesIntergovernmental Cooperation for the Delivery of Services
Intergovernmental Cooperation for the Delivery of Services
 
TIF Updates
TIF UpdatesTIF Updates
TIF Updates
 
Working with Small Communities
Working with Small CommunitiesWorking with Small Communities
Working with Small Communities
 
TIF-102 Development Incentives vs. Community Goals
TIF-102 Development Incentives vs. Community GoalsTIF-102 Development Incentives vs. Community Goals
TIF-102 Development Incentives vs. Community Goals
 
Putting All Your Eggs In One "Water Utility" Basket
Putting All Your Eggs In One "Water Utility" BasketPutting All Your Eggs In One "Water Utility" Basket
Putting All Your Eggs In One "Water Utility" Basket
 
Public Funding-Current Trends & Successful Strategies
Public Funding-Current Trends & Successful StrategiesPublic Funding-Current Trends & Successful Strategies
Public Funding-Current Trends & Successful Strategies
 
Using TIF to Promote Healthy Communities
Using TIF to Promote Healthy CommunitiesUsing TIF to Promote Healthy Communities
Using TIF to Promote Healthy Communities
 
Small Town Forums, hosted by U.W. - Extension, USDA Rural Development, Wiscon...
Small Town Forums, hosted by U.W. - Extension, USDA Rural Development, Wiscon...Small Town Forums, hosted by U.W. - Extension, USDA Rural Development, Wiscon...
Small Town Forums, hosted by U.W. - Extension, USDA Rural Development, Wiscon...
 
Local Government Collaboration Case Studies
Local Government Collaboration Case StudiesLocal Government Collaboration Case Studies
Local Government Collaboration Case Studies
 
Economic Development 101
Economic Development 101Economic Development 101
Economic Development 101
 
G5 Integrated Place-Based Economic Development
G5 Integrated Place-Based Economic DevelopmentG5 Integrated Place-Based Economic Development
G5 Integrated Place-Based Economic Development
 
F5 Linking Economic Development and Social Equity
F5   Linking Economic Development and Social EquityF5   Linking Economic Development and Social Equity
F5 Linking Economic Development and Social Equity
 
G4 Land Use Policy & Economic Development
G4 Land Use Policy & Economic DevelopmentG4 Land Use Policy & Economic Development
G4 Land Use Policy & Economic Development
 
D3 Overcoming Provincialism
D3 Overcoming ProvincialismD3 Overcoming Provincialism
D3 Overcoming Provincialism
 
Funding our future community information session nov 2013
Funding our future community information session nov 2013Funding our future community information session nov 2013
Funding our future community information session nov 2013
 
E4 Tax Increment Financing
E4 Tax Increment FinancingE4 Tax Increment Financing
E4 Tax Increment Financing
 
E5 The Changing Face of Agriculture
E5 The Changing Face of AgricultureE5 The Changing Face of Agriculture
E5 The Changing Face of Agriculture
 
Climbing the Hill
Climbing the HillClimbing the Hill
Climbing the Hill
 
Sp4 2013 budget amendment 05.20.13
Sp4 2013 budget amendment 05.20.13Sp4 2013 budget amendment 05.20.13
Sp4 2013 budget amendment 05.20.13
 
CDBG CN 2016 Conference SlidesFINAL
CDBG CN 2016 Conference SlidesFINALCDBG CN 2016 Conference SlidesFINAL
CDBG CN 2016 Conference SlidesFINAL
 

Similar to How to Plan & Fund Capital Improvements Projects

FY 2014-15 Proposed Budget - Public Hearing Presentation 06/03/14
FY 2014-15 Proposed Budget - Public Hearing Presentation 06/03/14FY 2014-15 Proposed Budget - Public Hearing Presentation 06/03/14
FY 2014-15 Proposed Budget - Public Hearing Presentation 06/03/14CityofMenloPark
 
Sp1 financial policies presentation 6.9.14
Sp1 financial policies presentation 6.9.14Sp1 financial policies presentation 6.9.14
Sp1 financial policies presentation 6.9.14cityofevanston
 
City of Anna Texas 2020 Budget Workshop
City of Anna Texas 2020 Budget WorkshopCity of Anna Texas 2020 Budget Workshop
City of Anna Texas 2020 Budget WorkshopJim Proce
 
Jim Proce - 2018 Capital Improvement Planning Process CPM Class
Jim Proce - 2018 Capital Improvement Planning Process CPM ClassJim Proce - 2018 Capital Improvement Planning Process CPM Class
Jim Proce - 2018 Capital Improvement Planning Process CPM ClassJim Proce
 
2015- 2016 Budget Workshop Presentation
2015- 2016 Budget Workshop Presentation 2015- 2016 Budget Workshop Presentation
2015- 2016 Budget Workshop Presentation City of Corona
 
Community redevelopment areas and public infrastructure 070714
Community redevelopment areas and public infrastructure 070714Community redevelopment areas and public infrastructure 070714
Community redevelopment areas and public infrastructure 0707142014 Florida Public Works Expo
 
Wkshp Item 3.C. Discussion of FY 17-21
Wkshp Item 3.C. Discussion of FY 17-21Wkshp Item 3.C. Discussion of FY 17-21
Wkshp Item 3.C. Discussion of FY 17-21CityofGalveston
 
Fy18 Gloucester County, Virginia administrator's proposed budget presentation
Fy18 Gloucester County, Virginia administrator's proposed budget presentationFy18 Gloucester County, Virginia administrator's proposed budget presentation
Fy18 Gloucester County, Virginia administrator's proposed budget presentationKenneth Hogge Sr
 
Learn About the Morris County NJ Capital Budget
Learn About the Morris County NJ Capital BudgetLearn About the Morris County NJ Capital Budget
Learn About the Morris County NJ Capital BudgetMorris County NJ
 
City Academy 2017 - Session 1 - Finance
City Academy 2017 - Session 1 - FinanceCity Academy 2017 - Session 1 - Finance
City Academy 2017 - Session 1 - Financecityofprineville
 
June 19, 2018 - HRCA Delegate Meeting Budget Presentation
June 19, 2018 -  HRCA Delegate Meeting Budget PresentationJune 19, 2018 -  HRCA Delegate Meeting Budget Presentation
June 19, 2018 - HRCA Delegate Meeting Budget PresentationHRCA
 
schoolfinance101fornewprincipals-acsaleadershipconferencenov2013final-1311051...
schoolfinance101fornewprincipals-acsaleadershipconferencenov2013final-1311051...schoolfinance101fornewprincipals-acsaleadershipconferencenov2013final-1311051...
schoolfinance101fornewprincipals-acsaleadershipconferencenov2013final-1311051...LyzaGalagpat2
 
Tax-Increment Financing - How to Effectively Use it in Your Community - GSMSu...
Tax-Increment Financing - How to Effectively Use it in Your Community - GSMSu...Tax-Increment Financing - How to Effectively Use it in Your Community - GSMSu...
Tax-Increment Financing - How to Effectively Use it in Your Community - GSMSu...GrowSmart Maine
 
Deanna’s Input for Question 3As Chief Financial Management Of.docx
Deanna’s Input for Question 3As Chief Financial Management Of.docxDeanna’s Input for Question 3As Chief Financial Management Of.docx
Deanna’s Input for Question 3As Chief Financial Management Of.docxedwardmarivel
 
Town hall slideshow 110514
Town hall slideshow 110514Town hall slideshow 110514
Town hall slideshow 110514CityofMilan
 
Funding our future community presentation 21012014 fina_lpptx
Funding our future community presentation 21012014 fina_lpptxFunding our future community presentation 21012014 fina_lpptx
Funding our future community presentation 21012014 fina_lpptxmaitlandyoursay
 
Making the most of your Annual Report for fundraising
Making the most of your Annual Report for fundraisingMaking the most of your Annual Report for fundraising
Making the most of your Annual Report for fundraisingwalescva
 
Capital Improvement Program
Capital Improvement ProgramCapital Improvement Program
Capital Improvement ProgramJames May
 
Institutional arrangements for implementation of rwss program in nigeria
Institutional arrangements for implementation of rwss program in nigeriaInstitutional arrangements for implementation of rwss program in nigeria
Institutional arrangements for implementation of rwss program in nigeriaDogara Bashir
 

Similar to How to Plan & Fund Capital Improvements Projects (20)

FY 2014-15 Proposed Budget - Public Hearing Presentation 06/03/14
FY 2014-15 Proposed Budget - Public Hearing Presentation 06/03/14FY 2014-15 Proposed Budget - Public Hearing Presentation 06/03/14
FY 2014-15 Proposed Budget - Public Hearing Presentation 06/03/14
 
Sp1 financial policies presentation 6.9.14
Sp1 financial policies presentation 6.9.14Sp1 financial policies presentation 6.9.14
Sp1 financial policies presentation 6.9.14
 
City of Anna Texas 2020 Budget Workshop
City of Anna Texas 2020 Budget WorkshopCity of Anna Texas 2020 Budget Workshop
City of Anna Texas 2020 Budget Workshop
 
Jim Proce - 2018 Capital Improvement Planning Process CPM Class
Jim Proce - 2018 Capital Improvement Planning Process CPM ClassJim Proce - 2018 Capital Improvement Planning Process CPM Class
Jim Proce - 2018 Capital Improvement Planning Process CPM Class
 
2015- 2016 Budget Workshop Presentation
2015- 2016 Budget Workshop Presentation 2015- 2016 Budget Workshop Presentation
2015- 2016 Budget Workshop Presentation
 
Community redevelopment areas and public infrastructure 070714
Community redevelopment areas and public infrastructure 070714Community redevelopment areas and public infrastructure 070714
Community redevelopment areas and public infrastructure 070714
 
Wkshp Item 3.C. Discussion of FY 17-21
Wkshp Item 3.C. Discussion of FY 17-21Wkshp Item 3.C. Discussion of FY 17-21
Wkshp Item 3.C. Discussion of FY 17-21
 
Fy18 Gloucester County, Virginia administrator's proposed budget presentation
Fy18 Gloucester County, Virginia administrator's proposed budget presentationFy18 Gloucester County, Virginia administrator's proposed budget presentation
Fy18 Gloucester County, Virginia administrator's proposed budget presentation
 
Learn About the Morris County NJ Capital Budget
Learn About the Morris County NJ Capital BudgetLearn About the Morris County NJ Capital Budget
Learn About the Morris County NJ Capital Budget
 
City Academy 2017 - Session 1 - Finance
City Academy 2017 - Session 1 - FinanceCity Academy 2017 - Session 1 - Finance
City Academy 2017 - Session 1 - Finance
 
June 19, 2018 - HRCA Delegate Meeting Budget Presentation
June 19, 2018 -  HRCA Delegate Meeting Budget PresentationJune 19, 2018 -  HRCA Delegate Meeting Budget Presentation
June 19, 2018 - HRCA Delegate Meeting Budget Presentation
 
schoolfinance101fornewprincipals-acsaleadershipconferencenov2013final-1311051...
schoolfinance101fornewprincipals-acsaleadershipconferencenov2013final-1311051...schoolfinance101fornewprincipals-acsaleadershipconferencenov2013final-1311051...
schoolfinance101fornewprincipals-acsaleadershipconferencenov2013final-1311051...
 
Tax-Increment Financing - How to Effectively Use it in Your Community - GSMSu...
Tax-Increment Financing - How to Effectively Use it in Your Community - GSMSu...Tax-Increment Financing - How to Effectively Use it in Your Community - GSMSu...
Tax-Increment Financing - How to Effectively Use it in Your Community - GSMSu...
 
Deanna’s Input for Question 3As Chief Financial Management Of.docx
Deanna’s Input for Question 3As Chief Financial Management Of.docxDeanna’s Input for Question 3As Chief Financial Management Of.docx
Deanna’s Input for Question 3As Chief Financial Management Of.docx
 
Rochester NH Incentives TIF- 79 E Taxcredits
Rochester NH Incentives TIF- 79 E TaxcreditsRochester NH Incentives TIF- 79 E Taxcredits
Rochester NH Incentives TIF- 79 E Taxcredits
 
Town hall slideshow 110514
Town hall slideshow 110514Town hall slideshow 110514
Town hall slideshow 110514
 
Funding our future community presentation 21012014 fina_lpptx
Funding our future community presentation 21012014 fina_lpptxFunding our future community presentation 21012014 fina_lpptx
Funding our future community presentation 21012014 fina_lpptx
 
Making the most of your Annual Report for fundraising
Making the most of your Annual Report for fundraisingMaking the most of your Annual Report for fundraising
Making the most of your Annual Report for fundraising
 
Capital Improvement Program
Capital Improvement ProgramCapital Improvement Program
Capital Improvement Program
 
Institutional arrangements for implementation of rwss program in nigeria
Institutional arrangements for implementation of rwss program in nigeriaInstitutional arrangements for implementation of rwss program in nigeria
Institutional arrangements for implementation of rwss program in nigeria
 

Recently uploaded

Madison Cat Project Foster Training - Lesson 1
Madison Cat Project Foster Training - Lesson 1Madison Cat Project Foster Training - Lesson 1
Madison Cat Project Foster Training - Lesson 1KelleyWasmund
 
Everyone, everywhere has the right to good mental health.
Everyone, everywhere has the right to good mental health.Everyone, everywhere has the right to good mental health.
Everyone, everywhere has the right to good mental health.Christina Parmionova
 
World Health Day 2024 - Zero Discrimination, Affordable treatments, Respectfu...
World Health Day 2024 - Zero Discrimination, Affordable treatments, Respectfu...World Health Day 2024 - Zero Discrimination, Affordable treatments, Respectfu...
World Health Day 2024 - Zero Discrimination, Affordable treatments, Respectfu...Christina Parmionova
 
2024 ECOSOC YOUTH FORUM -logistical information - United Nations Economic an...
2024 ECOSOC YOUTH FORUM -logistical information -  United Nations Economic an...2024 ECOSOC YOUTH FORUM -logistical information -  United Nations Economic an...
2024 ECOSOC YOUTH FORUM -logistical information - United Nations Economic an...Christina Parmionova
 
2024: The FAR, Federal Acquisition Regulations - Part 22
2024: The FAR, Federal Acquisition Regulations - Part 222024: The FAR, Federal Acquisition Regulations - Part 22
2024: The FAR, Federal Acquisition Regulations - Part 22JSchaus & Associates
 
Phase 8 Hope For Venezuelan Refugees Soup Meal Program-Periods 4-6.
Phase 8 Hope For Venezuelan Refugees Soup Meal Program-Periods 4-6.Phase 8 Hope For Venezuelan Refugees Soup Meal Program-Periods 4-6.
Phase 8 Hope For Venezuelan Refugees Soup Meal Program-Periods 4-6.Cristal Montañéz
 
In War and conflict, health workers, facilities and supplies are off limits.
In War and conflict, health workers, facilities and supplies are off limits.In War and conflict, health workers, facilities and supplies are off limits.
In War and conflict, health workers, facilities and supplies are off limits.Christina Parmionova
 
NL-FR Partnership - Water management roundtable 20240403.pdf
NL-FR Partnership - Water management roundtable 20240403.pdfNL-FR Partnership - Water management roundtable 20240403.pdf
NL-FR Partnership - Water management roundtable 20240403.pdfBertrand Coppin
 
2023 Barangay Officials pre assumption PPT.pptx
2023 Barangay Officials pre assumption PPT.pptx2023 Barangay Officials pre assumption PPT.pptx
2023 Barangay Officials pre assumption PPT.pptxMariaFionaDuranMerqu
 
Conscience. Love. Peace - International Day of Conscience 2024.
Conscience. Love. Peace  - International Day of Conscience 2024.Conscience. Love. Peace  - International Day of Conscience 2024.
Conscience. Love. Peace - International Day of Conscience 2024.Christina Parmionova
 
2024: The FAR, Federal Acquisition Regulations - Part 24
2024: The FAR, Federal Acquisition Regulations - Part 242024: The FAR, Federal Acquisition Regulations - Part 24
2024: The FAR, Federal Acquisition Regulations - Part 24JSchaus & Associates
 
GOVERNMENT OF NCT OF DELHI DIRECTORATE OF EDUCATION
GOVERNMENT OF NCT OF DELHI DIRECTORATE OF EDUCATIONGOVERNMENT OF NCT OF DELHI DIRECTORATE OF EDUCATION
GOVERNMENT OF NCT OF DELHI DIRECTORATE OF EDUCATIONShivamShukla147857
 
Actions to take at the global, national and local levels to realize the right...
Actions to take at the global, national and local levels to realize the right...Actions to take at the global, national and local levels to realize the right...
Actions to take at the global, national and local levels to realize the right...Christina Parmionova
 
1- Phase 8 Hope For Venezuelan Refugees Soup Program-Periods 4-6.pdf
1- Phase 8 Hope For Venezuelan Refugees Soup Program-Periods 4-6.pdf1- Phase 8 Hope For Venezuelan Refugees Soup Program-Periods 4-6.pdf
1- Phase 8 Hope For Venezuelan Refugees Soup Program-Periods 4-6.pdfCristal Montañéz
 
ECOSOC YOUTH FORUM 2024 - Side Events Schedule -16 April.
ECOSOC YOUTH FORUM 2024 - Side Events Schedule -16 April.ECOSOC YOUTH FORUM 2024 - Side Events Schedule -16 April.
ECOSOC YOUTH FORUM 2024 - Side Events Schedule -16 April.Christina Parmionova
 
Madison Cat Project - Foster Training: Lesson 1
Madison Cat Project - Foster Training: Lesson 1Madison Cat Project - Foster Training: Lesson 1
Madison Cat Project - Foster Training: Lesson 1KelleyWasmund
 
World Leader Summit of Love and Peace - 5th International day of conscience -...
World Leader Summit of Love and Peace - 5th International day of conscience -...World Leader Summit of Love and Peace - 5th International day of conscience -...
World Leader Summit of Love and Peace - 5th International day of conscience -...Christina Parmionova
 
PPT Item # 4&5 - 415 & 423 Evans Ave. Replat.pdf
PPT Item # 4&5 - 415 & 423 Evans Ave. Replat.pdfPPT Item # 4&5 - 415 & 423 Evans Ave. Replat.pdf
PPT Item # 4&5 - 415 & 423 Evans Ave. Replat.pdfahcitycouncil
 
Blood in the Batteries: The Tragic Cost of Child Exploitation in Our Renewabl...
Blood in the Batteries: The Tragic Cost of Child Exploitation in Our Renewabl...Blood in the Batteries: The Tragic Cost of Child Exploitation in Our Renewabl...
Blood in the Batteries: The Tragic Cost of Child Exploitation in Our Renewabl...Emancip8 Project
 

Recently uploaded (20)

Housing For All - Fair Housing Choice Report
Housing For All - Fair Housing Choice ReportHousing For All - Fair Housing Choice Report
Housing For All - Fair Housing Choice Report
 
Madison Cat Project Foster Training - Lesson 1
Madison Cat Project Foster Training - Lesson 1Madison Cat Project Foster Training - Lesson 1
Madison Cat Project Foster Training - Lesson 1
 
Everyone, everywhere has the right to good mental health.
Everyone, everywhere has the right to good mental health.Everyone, everywhere has the right to good mental health.
Everyone, everywhere has the right to good mental health.
 
World Health Day 2024 - Zero Discrimination, Affordable treatments, Respectfu...
World Health Day 2024 - Zero Discrimination, Affordable treatments, Respectfu...World Health Day 2024 - Zero Discrimination, Affordable treatments, Respectfu...
World Health Day 2024 - Zero Discrimination, Affordable treatments, Respectfu...
 
2024 ECOSOC YOUTH FORUM -logistical information - United Nations Economic an...
2024 ECOSOC YOUTH FORUM -logistical information -  United Nations Economic an...2024 ECOSOC YOUTH FORUM -logistical information -  United Nations Economic an...
2024 ECOSOC YOUTH FORUM -logistical information - United Nations Economic an...
 
2024: The FAR, Federal Acquisition Regulations - Part 22
2024: The FAR, Federal Acquisition Regulations - Part 222024: The FAR, Federal Acquisition Regulations - Part 22
2024: The FAR, Federal Acquisition Regulations - Part 22
 
Phase 8 Hope For Venezuelan Refugees Soup Meal Program-Periods 4-6.
Phase 8 Hope For Venezuelan Refugees Soup Meal Program-Periods 4-6.Phase 8 Hope For Venezuelan Refugees Soup Meal Program-Periods 4-6.
Phase 8 Hope For Venezuelan Refugees Soup Meal Program-Periods 4-6.
 
In War and conflict, health workers, facilities and supplies are off limits.
In War and conflict, health workers, facilities and supplies are off limits.In War and conflict, health workers, facilities and supplies are off limits.
In War and conflict, health workers, facilities and supplies are off limits.
 
NL-FR Partnership - Water management roundtable 20240403.pdf
NL-FR Partnership - Water management roundtable 20240403.pdfNL-FR Partnership - Water management roundtable 20240403.pdf
NL-FR Partnership - Water management roundtable 20240403.pdf
 
2023 Barangay Officials pre assumption PPT.pptx
2023 Barangay Officials pre assumption PPT.pptx2023 Barangay Officials pre assumption PPT.pptx
2023 Barangay Officials pre assumption PPT.pptx
 
Conscience. Love. Peace - International Day of Conscience 2024.
Conscience. Love. Peace  - International Day of Conscience 2024.Conscience. Love. Peace  - International Day of Conscience 2024.
Conscience. Love. Peace - International Day of Conscience 2024.
 
2024: The FAR, Federal Acquisition Regulations - Part 24
2024: The FAR, Federal Acquisition Regulations - Part 242024: The FAR, Federal Acquisition Regulations - Part 24
2024: The FAR, Federal Acquisition Regulations - Part 24
 
GOVERNMENT OF NCT OF DELHI DIRECTORATE OF EDUCATION
GOVERNMENT OF NCT OF DELHI DIRECTORATE OF EDUCATIONGOVERNMENT OF NCT OF DELHI DIRECTORATE OF EDUCATION
GOVERNMENT OF NCT OF DELHI DIRECTORATE OF EDUCATION
 
Actions to take at the global, national and local levels to realize the right...
Actions to take at the global, national and local levels to realize the right...Actions to take at the global, national and local levels to realize the right...
Actions to take at the global, national and local levels to realize the right...
 
1- Phase 8 Hope For Venezuelan Refugees Soup Program-Periods 4-6.pdf
1- Phase 8 Hope For Venezuelan Refugees Soup Program-Periods 4-6.pdf1- Phase 8 Hope For Venezuelan Refugees Soup Program-Periods 4-6.pdf
1- Phase 8 Hope For Venezuelan Refugees Soup Program-Periods 4-6.pdf
 
ECOSOC YOUTH FORUM 2024 - Side Events Schedule -16 April.
ECOSOC YOUTH FORUM 2024 - Side Events Schedule -16 April.ECOSOC YOUTH FORUM 2024 - Side Events Schedule -16 April.
ECOSOC YOUTH FORUM 2024 - Side Events Schedule -16 April.
 
Madison Cat Project - Foster Training: Lesson 1
Madison Cat Project - Foster Training: Lesson 1Madison Cat Project - Foster Training: Lesson 1
Madison Cat Project - Foster Training: Lesson 1
 
World Leader Summit of Love and Peace - 5th International day of conscience -...
World Leader Summit of Love and Peace - 5th International day of conscience -...World Leader Summit of Love and Peace - 5th International day of conscience -...
World Leader Summit of Love and Peace - 5th International day of conscience -...
 
PPT Item # 4&5 - 415 & 423 Evans Ave. Replat.pdf
PPT Item # 4&5 - 415 & 423 Evans Ave. Replat.pdfPPT Item # 4&5 - 415 & 423 Evans Ave. Replat.pdf
PPT Item # 4&5 - 415 & 423 Evans Ave. Replat.pdf
 
Blood in the Batteries: The Tragic Cost of Child Exploitation in Our Renewabl...
Blood in the Batteries: The Tragic Cost of Child Exploitation in Our Renewabl...Blood in the Batteries: The Tragic Cost of Child Exploitation in Our Renewabl...
Blood in the Batteries: The Tragic Cost of Child Exploitation in Our Renewabl...
 

How to Plan & Fund Capital Improvements Projects

  • 1. League of Wisconsin Municipalities vision to reality League of Wisconsin Municipalities 2018 Annual Engineering & Public Works Institute “How to Plan & Fund Capital Improvement Projects”Capital Improvement Projects K t R M hKurt R. Muchow Community Development Consultant
  • 2. Session Agendag • Municipal Budget Cycle vs. Public FundingMunicipal Budget Cycle vs. Public Funding • Capital Improvements Planning• Capital Improvements Planning • Conventional Funding Methods• Conventional Funding Methods • Public Funding Opportunities• Public Funding Opportunities E l P j t• Example Projects
  • 3. • Planning & Civil Engineering Firm • Office Locations: - Reedsburg - Madison - Milwaukee Metro - Prairie du Chien • Vierbicher Website www vierbicher comwww.vierbicher.com
  • 4. Typical Municipal Budget/Project Cycleyp p g j y 2018 2019 J J A S O N D J F M A M J J A S O N D BudgetBudget Planning Budget Review & Adoption Project Implementation Fi i• Financing • Design / Bidding P j t I l t tiProject Implementation • Construction
  • 5. Municipal Project Cycle vs. Public Fundingp j y g 2018 2019 2020 M J J A S O N D J F M A M J J A S O N D J F M A M J J A S O N D C C C C C C W W W W W W W W W W W W W W W W W W W W CDBGPFGran CDBGPFAwar CDBGPFAppli CDBGPFAppli CDBGPFGran CDBGPFAppli WDNRSteward WDNRSteward WDNRSteward WDNRSteward WDNRSteward WDNRSteward WDOTTAPApp WDOTTAPAwa WDNRCWF&S WDNRCWF&S WDNRCWF&S WDNRCWF&S WDNRCWF&S WDNRCWF&S WDNRCWF&S WDNRCWF&S WDNRCWF&S WDOTSTPApp WDOTSTPAwa WDOTSTPApp tAward(Con rd(Constructio cation cation tAward(Con cation dshipApplicat dshipAward(C dshipApplicat dshipAward(C dshipApplicat dshipAward(C plication(Bi-A ard(Construc SDWLAward( SDWL(ITA&P SDWLITA&PE SDWLFinalAp SDWLAward( SDWLITA&PE SDWLFinalAp SDWLFinalAp SDWLAward( plication(Bi-An ard(Construct plication(Bi-An nstruction2020 on2021) nstruction2019 tionDeadline Construction2 tionDeadline Construction2 tionDeadline Construction2 nnual) tion2022-2023 (Construction ERF) ERF pplication (Construction ERF pplication pplication (Construction nnual) tion2021-2023 nnual) 0) 9) 2020) 2021) 2019) 3) 2021) 2020) 2019) 3)
  • 6. Capital Improvements Planningg “Capital Improvements Planning Greatly E h C iti Abilit tEnhances a Communities Ability to Consistently Access Public Funding P ”Programs”
  • 7. Capital Improvements Planningg Definition: “A multi-year plan that provides a working blueprintworking blueprint for sustaining & improving aimproving a communities infrastructure and capital equipment.”
  • 8. Capital Improvements Planningg What is a Capital Expenditure? “Capital items should have a useful life of at l t 3 dleast 3 years and a cost of $5,000 or more ”more.
  • 9. Capital Improvements Planningg Advantages of a CIP: Id tif G l & P li i• Identify Goals & Policies • Identify Needs & Financial Capability • Build Consensus & Improves Awareness • Enhances Coordination & Cooperation • Improves use of Available Resources • Ensures Financial Stability • Greatly Enhances the Ability to Access Public Funding Programs
  • 10. Capital Improvements Planningg General Suggestions: • Include all DepartmentsInclude all Departments (Public works, water, wastewater, police, fire, parks, library, etc.) • Create a CIP Committee (Dept. heads, Clerk, Treasurer, Board/Council members) • Consistent with Community Plans (Comprehensive Plan, Economic Development Plan, etc.) • Understand Outside Influences (State or Regional Projects New Regulations Private Development Etc )(State or Regional Projects, New Regulations, Private Development, Etc.) • Include Your Professional Advisors (Financial advisor, engineer, planner, etc.)( , g , p , ) • Update the CIP Annually
  • 11. Capital Improvements Planningg Components of a CIP: “It’ th li t”“It’s more than a list” • Estimate Financial CapacityEstimate Financial Capacity • Administrative & Policy Guidelines • Identify Projects & EquipmentIdentify Projects & Equipment • Determine Justification & Priority • Estimate Costs• Estimate Costs • Prepare Implementation Schedule • Identify Sources of Project Funding• Identify Sources of Project Funding
  • 12. Capital Improvements Planningg Components of a CIP: • Estimate Financial Capacity • Administrative & Policy Guidelinesy • Identify Projects & Equipment • Determine Justification & PriorityDetermine Justification & Priority • Estimate Costs • Prepare Implementation SchedulePrepare Implementation Schedule • Identify Sources of Project Funding
  • 13. Capital Improvements Planningg Estimate Financial Capacity • Comparison to Comparable CommunitiesComparison to Comparable Communities - General Gov’t. Spending per Capita - Tax Levy per Capitay p C p - G. O. Debt per Capita - Sanitary Sewer & Water Rates Impact Fees & Other Charges- Impact Fees & Other Charges • Financial Capacity - G. O. Debt CapacityG. O. Debt Capacity - Projected Debt Payments & Balances (G.O., Sewer & Water) - Projected TIF Increment Surplus/Deficit How much new debt can be added?- How much new debt can be added? “Communities should consult with your Municipal Financial Advisor”
  • 17. Capital Improvements Planningg Financial Capacity • During the 5 Year Planning Period - Determine Amount of Cash Reserves - Determine Annual Budgeted Revenue - Determine Amount of Additional Debt Without Tax Levy or User Rate IncreasesLevy or User Rate Increases • Include All Sources G l F d W t Utilit S Utilit t- General Fund, Water Utility, Sewer Utility, etc. • Determine Availability of TIF Funding Id tif G t F di A il bilit• Identify Grant Funding Availability
  • 18. Capital Improvements Planningg Example Financial Capacity “Estimate Funds Available for CIP”“Estimate Funds Available for CIP” • Available Cash Reserves G l F d St t E i t $ 267 270- General Fund: Street Equipment = $ 267,270 - General Fund: Garbage & Recycling Equip. = $ 55,600 - General Fund: Industrial Park = $ 37,613 - General Fund: Senior Center = $ 27,966 - Sanitary Sewer Utility: WWTP Equipment Fund = $ 500,000 - Water Utility: Water Main Replacement = $ 102,780Water Utility: Water Main Replacement $ 102,780 - Water Utility: Tower & Well Fund = $ 55,178 - Subtotal Cash Reserves = $ 1,046,407
  • 19. Capital Improvements Planning Example Financial Capacity “Estimate Funds Available for CIP”Estimate Funds Available for CIP • Annual Budgeted Revenue G l F d St t R t ti $ 120 000- General Fund: Street Reconstruction = $ 120,000 - General Fund: Street Maintenance = $ 30,000 - General Fund: Equipment Fund = $ 40,000q p $ - General Fund: Police Car & Equip. Fund = $ 26,200 - General Fund: Misc. Capital Improvements = $ 12,800 Sanitary Sewer Utility: Sewer Main Replacement = $ 100 000- Sanitary Sewer Utility: Sewer Main Replacement = $ 100,000 - Water Utility: Water Main Replacement = $ 75,000 - Water Utility: Water Tower & Well Fund = $ 28,000 - Subtotal Annual Budgeted Revenue = $ 432,000 - Total Budgeted Revenue Over Five Year Plan = $ 2,160,000
  • 20. Capital Improvements Planning Example Financial Capacity “E ti t F d A il bl f CIP”“Estimate Funds Available for CIP” • Revenue From Additional Debt• Revenue From Additional Debt - General Obligation Debt (No D/S Increase) = $ 1,440,000 - Water Utility Debt (No Rate Increase) = $ 1,155,000 - Sanitary Sewer Utility Debt (7.5% Rate Increase) = $ 3,700,000 - Tax Incremental Financing Debt (From Surplus) = $ 1,560,000 - Total Revenue from Additional Debt = $ 7,855,000Total Revenue from Additional Debt $ 7,855,000 “Comm nities sho ld cons lt ith o r M nicipal Financial Ad isor”“Communities should consult with your Municipal Financial Advisor”
  • 21. Capital Improvements Planningg Example Financial Capacity “Estimate Funds Available for CIP” • Revenue From Grants - Rural Development Grant = $ 385,000 WDNR CWF Principal Forgiveness = $ 500 000- WDNR CWF Principal Forgiveness = $ 500,000 - DOT LRIP = $ 221,000 - CDBG Public Facilities Grant (2-$500,000 Grants) = $ 1,000,000 - Misc. Grants & Contributions = $ 300,000 - Total Revenue From Grants = $ 2,406,000
  • 22. Capital Improvements Planningg Example Financial Capacity “E ti t F d A il bl f CIP”“Estimate Funds Available for CIP” • Total Estimated Revenue For 5 Year Plan - Available Cash Reserves = $ 1,046,407 - Annual Budgeted Revenue = $ 2,160,000 - Revenue From Additional Debt = $ 7,855,000$ - Revenue From Grants & Contributions = $ 2,406,000 - Total Revenue for 5 Year CIP = $13,467,407 “ Important for Communities to understand financial capacity upfront ?”financial capacity upfront ?
  • 23. Capital Improvements Planning Components of a CIP: g Components of a CIP: • Estimate Financial Capacity • Administrative & Policy Guidelines • Identify Projects & Equipment • Determine Justification & Priority • Estimate Costs • Prepare Implementation Schedule • Identify Sources of Project Fundingy j g
  • 24. Capital Improvements Planning Administrative & Policy Guidelines g • Tax Levy – Stay Within or Exceed Limits • Set Limits on Sewer & Water Rates • Pay-as-you-go vs. Borrowing • Cost Sharing Between Departmentsg p (e.g., general fund, sewer & water utilities share costs, etc. ) • Intergovernmental Cooperation• Intergovernmental Cooperation (e.g., shared equipment purchases, shared services, etc.) • Use of Public Funding Programs• Use of Public Funding Programs
  • 25. Capital Improvements Planningg Example Financial Goals • Manage G.O. Debt to keep debt service at existing levelexisting level. • Do not increase water user rates. • Increase sewer user rates but keep lower than• Increase sewer user rates, but keep lower than comparable communities. • Maximize use of surplus TIF revenue.a e use o su p us e e ue. • Maximize use of grants. “Recommend Council or Board approve policies & goals upfront”
  • 26. Capital Improvements Planningg Components of a CIP:p • Estimate Financial Capacity i i i i i i• Administrative & Policy Guidelines • Identify Projects & Equipment • Determine Justification & Priority • Estimate Costs • Prepare Implementation Schedule • Identify Sources of Project Funding
  • 27. Capital Improvements Planningg Identify Projects, Cost & Priority Project Request Form • Project NameProject Name • Department Requesting • Project Description • Justification & Priority • Budget • Funding Sources • Special Considerations
  • 28. Capital Improvements Planningg Components of a CIP:p • Estimate Financial Capacity i i i i i i• Administrative & Policy Guidelines • Identify Projects & Equipment • Determine Justification & Priority • Estimate Costs • Prepare Implementation Schedule • Identify Sources of Project Funding
  • 30. Capital Improvements Planningg Components of a CIP: • Estimate Financial Capacity Ad i i t ti & P li G id li• Administrative & Policy Guidelines • Identify Projects & Equipment D t i J tifi ti P i it• Determine Justification & Priority • Estimate Costs • Prepare Implementation Schedule • Identify Sources of Project Funding
  • 32. Capital Improvements Planning E l I l t ti S h d l F di PlExample Implementation Schedule & Funding Plan • Equipment & Facilities - Police Department - Fire Department - Public Works - Parks & Recreation - Equip. Reserve Fund • Include Future Projects
  • 33. Capital Improvements Planning E l I l t ti S h d l F di PlExample Implementation Schedule & Funding Plan • Infrastructure - Street Maintenance - Street & Utility Reconst. - Lift Station - Wastewater Plant - Water Supply - Stormwater • Include Future Projects
  • 35. Public Funding Opportunitiesg • What is the Public Purpose? – Economic Development – Health & Safety – Blight Elimination & Urban Renewal – Low-Income & Poverty – Affordable Housing – Environmental Protection – Park & Recreation Golden Rule!Golden Rule!
  • 36. Public Funding Opportunitiesg Municipal Infrastructure • WDNR Safe Drinking Water • WDNR Clean Water FundWDNR Clean Water Fund • Rural Dev. Rural Utilities • Rural Dev Comm FacRural Dev. Comm. Fac. • WDOT Local Programs • CDBG PF & PF ED• CDBG PF & PF-ED • WDOT Tran. Econ Assist. • Tax Incremental Financing• Tax Incremental Financing
  • 37. Public Funding Opportunitiesg Parks, Trails & Water Recreation • WDNR Stewardship • WDNR Rec. BoatingWDNR Rec. Boating • Federal Rec. Trails • County Park GrantsCounty Park Grants • DOT Alternatives (MAP21)(MAP21) • Tax Incremental Financingg
  • 38. Public Funding Opportunitiesg Water Resources & Flood Mitigation WDNR Urban Non Point• WDNR Urban Non-Point • WDNR Lake Plng. & Protection WDNR Ri Pl & P t ti• WDNR River Plng. & Protection • WDNR Municipal Flood Control • FEMA Hazard Mitigation • CDBG PF, PF-ED & EAP • WDOT Trans. Econ. Assist. • Tax Incremental Financing
  • 39. Public Funding Opportunities Economic Development • Tax Incremental Financing • CDBG PlanningCDBG Planning • CDBG ED & PF-ED • WDOT Tran Econ AssistWDOT Tran. Econ Assist. • WEDC Programs • Brownfield Programs• Brownfield Programs • Econ. Dev. Admin • Rural Development• Rural Development
  • 40. Trends in Public Funding Community Development Block Grant (CDBG)
  • 41. CDBG Public Facilities • Annual Application Deadline: May 24, 2019 • Grant Awards: Last Week in July• Grant Awards: Last Week in July • Maximum Grant: $500,000, or 50% of Eligible • National Objectives• National Objectives - Low-to-Moderate Income (Over 51%) - Blight Elimination - Local Urgent Need • Eligible Projects: - Infrastructure Reconstruction - Community Centers, Senior Centers, Fire Stations LibrariesFire Stations, Libraries - Downtown Redevelopment
  • 42. CDBG Public Facilities for Econ. Dev. • Application Deadline: Continuous M i G t $500 000 50% f Eli ibl• Maximum Grant: $500,000, or 50% of Eligible • Eligible Projects: - Infrastructure Improvements to Serve Econ. Dev. - Redevelopment: Acquisition, Demolition, Remediation • National Objectives - Low-to-Moderate Income Job Creation - Over 51% of Jobs Must be Filled by LMI Persons
  • 43. CBDG CLOSE Programg • CDBG ED Local Revolving Loan FundsCDBG ED Local Revolving Loan Funds • Over $100 Million Across State • +/ 60% is Cash in Banks• +/- 60% is Cash in Banks • HUD Requiring Funds be Recycled C iti M t R F d t DOA• Communities Must Repay Funds to DOA • Communities Apply to Get Funds Back • Can be used for Eligible CDBG Projects • CDBG CLOSE Funds may be Defederalizedy
  • 44. Trends in Public Fundingg U.S.D.A. Rural Development
  • 45. USDA Rural Development • Water & Waste Disposal Program - Eligible Communities: Less Than 10 000 pop- Eligible Communities: Less Than 10,000 pop. - Eligible Projects: * Drinking Water System Improvementsg Sy p * Wastewater System Improvements * Storm Sewer Systems * Solid Waste Systems* Solid Waste Systems - Funding: * Loans: 40 Year Term; Interest Rate = 2.125%, 2.75% or 3.5%Loans: 40 Year Term; Interest Rate 2.125%, 2.75% or 3.5% * Grants: 0% to 75% Based on MHI & Rates : Normal Grant = 15% to 30% : Hardship Grant Up to 75%: Hardship Grant = Up to 75%
  • 46. USDA Rural Development • Community Facilities Eli ibl C iti L Th 20 000 P l ti- Eligible Communities: Less Than 20,000 Population - Eligible Projects: * Municipal BuildingsMunicipal Buildings * Fire Stations * Police Stations * Health Care Facilities* Health Care Facilities • FundingFunding - Loans: 40 Year Term; Interest rate = 3.5% - Grants: Limited Allocation - Loan Guarantees
  • 47. Trends in Public Fundingg WDNR Clean Water Fund & Safe Drinking Water
  • 48. WDNR Clean Water Fund • Application Cycle ITA & PERF Deadline: October 31st- ITA & PERF Deadline: October 31st - Hardship Applications Deadline: June 30th - Principal Forgiveness Application Deadline: Sept. 30th • Eligible Projects - Municipal Wastewater Infrastructure - Stormwater Quality Projects • Loan Terms - 20 Years Amortization - Interest Rate: 1.122% to 3.4% • Hardship & Principal Forgiveness• Hardship & Principal Forgiveness
  • 49. WDNR Safe Drinking Water Loang • Application Cycle - ITA & PERF Deadline: October 31st - Principal Forgiveness Application Deadline: June 30th • Eligible Projects - Municipal Drinking Water Infrastructure Loan Terms 20 Y A ti ti- 20 Years Amortization - Interest Rate: 1.122% to 1.87% P i i l F i• Principal Forgiveness
  • 50. Trends in Public Fundingg Park & Recreation Programs
  • 51. Park & Recreation Grant Programsg • Funding Programs - WDNR Knowles-Nelson Stewardship (No Maximum)p ( ) - WDNR Recreational Boating Facilities (No Maximum) - Federal Land & Water Conservation Fund (No Maximum) Recreational Trails (Max = $200 000)- Recreational Trails (Max. = $200,000) • Local Match = 50% • Application DeadlinesApplication Deadlines - Annual Deadline on May 1st - Continuous for Recreational Boating
  • 52. Trends in Public Fundingg Local Transportation Programs
  • 53. Local Transportation Funding • DOT STP Urban & Rural - Application Deadline: July 10, 2019 (Odd Years) Eligible Projects: Local Roads Classified as Collector or Above- Eligible Projects: Local Roads Classified as Collector or Above - Funding: 80% Grant, 20% Local • DOT Alternatives - Application Deadline: Jan. 29, 2020 (Even years) - Eligible Projects: * Transportation Enhancementp * Recreational Trails * Safe-Routes to Schools - Funding: 80% Grant, 20% Localg , • DOT Trans. Econ. Assistance - Application Deadline: Continuous - Eligible Projects: Roads & Rail For Econ. Dev. - Funding: 50% Grant, 50% Local
  • 55. History of Tax Incremental Financingg • TIF = Tax Increment Financing• TIF = Tax Increment Financing TID T I t Di t i t• TID = Tax Increment District Fi t A th i d i 1975 Wi 66 1105• First Authorized in1975, Wis. 66.1105 • TIF Law has been amended many times over the years
  • 56. What is TIF? A municipal financing tool to accomplish specific community development objectives: • promote industrial development • promote mixed-use development • eliminate blighted areas • rehabilitate deteriorating areas
  • 57. Why TIF Was Created • Federal funding decreased for community development programs All iti & ill t k ith i t• Allows cities & villages to work with private sector to stimulate economic growth • Eliminated inequitable situation that discouraged developmentg p * Cities & villages bore the cost of development, but all taxing entities shared the benefit.
  • 58. Summary of TID Creations in Wisconsiny
  • 59. Summary of TIF Districts in Wisconsin • Currently 1 238 active TIDs in Wisconsin in y • Currently 1,238 active TIDs in Wisconsin in 425 communities (June 1, 2017) • 2,052 TIDs created since 1976 • 822 TIDs terminated since 1976 • Average life of TIDs = 16.3 years
  • 60. Summary of Districts in Wisconsiny • 307 Mixed-use districts • 301 Industrial districts• 301 Industrial districts • 295 Blight elimination districts • 156 Created before 1995 (no district type)• 156 Created before 1995 (no district type) • 149 Rehab and conservation districts 16 Environmental remediation• 16 Environmental remediation • 4 Town districts • 86 Distressed districts • 18 Severely distressed district• 18 Severely distressed district
  • 61. TIF Basics Important TIF Definitions • Base Value: The equalized value of real and personal property in a TID when created. • Increment Value: The difference between the base value and the current valuebase value and the current value. • Tax Increment: Taxes levied by the overlying• Tax Increment: Taxes levied by the overlying taxing jurisdictions on the value between the base value and the current value in the TID.
  • 65. Types of TIDs • Industrial Developmentp • Mixed-Use • Blight Elimination• Blight Elimination • Rehabilitation / Conservation • Environmental Remediation • Town TIDs
  • 66. Type of Tax Increment Districts Industrial Development TID 50% f d t b it bl f d• 50% of area needs to be suitable for and zoned for industrial development Expenditure Period 15 Years• Expenditure Period = 15 Years • Maximum Life = 20 years M i Lif With E t i 23• Maximum Life With Extension = 23 years
  • 67. Type of Tax Increment Districts Mixed-Use TID •Must have at least two land useMust have at least two land use (Commercial/Residential/Industrial) •No more than 35% can be newly platted residential •TID expenditures may be made for residential if one of the following applies:  Density at least 3 units per acreDensity at least 3 units per acre  Conservation subdivision  Traditional neighborhood development •Expenditure period = 15 Years•Expenditure period = 15 Years •Maximum life = 20 years •Max. life with ext. = 23 yearsMax. life with ext. 23 years
  • 68. Type of Tax Increment Districts Blight Elimination TID • T picall Older Neighborhoods• Typically Older Neighborhoods • 50% of Area Must be Declared Blighted • Requires Formal Designation of BlightRequires Formal Designation of Blight • Letter’s Must be sent to Landowners • Expenditure Period = 22 Yearsp • Maximum Life = 27 Years •Maximum Life With Extension = 30 years
  • 69. Type of Tax Increment Districts Rehabilitation/Conservation TID C l R f d t R it li ti TID• Commonly Referred to as Revitalization TID • At least 50% of the property must be suitable for rehabilitation or conservationfor rehabilitation or conservation • Letter’s Must be sent to Landowners E dit P i d 22 Y• Expenditure Period = 22 Years • Maximum Life = 27 Years • Maximum Life With Extension = 30 years
  • 70. Type of Tax Increment Districts Environmental Remediation • Eligible Costs: Remediation, property acquisition, demolition, asbestos removal, underground tank removal and financingremoval and financing. • Expenditure Period = 15 years • Maximum Life = 23 years ( t i ll d)• Maximum Life = 23 years (no extensions allowed)
  • 71. Eligible TIF Projectsg j • Eligible TIF projects can be located within the TID, or within one-half mile radius. • Eligible projects must benefit TID • Eligible projects include:g p j - Infrastructure - Land acquisition / demolition - Environmental clean-up - Site development l t i ti- Development incentives - Marketing & promotion Organization & administration- Organization & administration • Extension for Affordable Housing
  • 73. PDCH Street & Utility Reconstructiony – 10,000 LF of Street & Utility Reconstruction Downtown Enhancement– Downtown Enhancement – Total Project Cost = $4.3 Million • $1 5 M WDNR CWF Loan• $1.5 M WDNR CWF Loan • $1.7 M WDNR SDWL Loan • $660,000 WDOT Enhancement Grant$660,000 O a ce e G a • $300,000 CDBG Grant • $105,000 Tax Incremental Financing • $50,000 Fundraiser • $0 General Fund
  • 74. Viroqua Street & Utility Reconstruction - 14 City Blocks of Street & Utility Reconstruction Majority Located In Downtown- Majority Located In Downtown - Total Project Cost = $3,225,000 - Project Funding • $1,153,978 USDA Rural Dev.$1,153,978 USDA Rural Dev. Water Loan • $384,659 USDA Rural Dev. Water Grant • $1,140,723 USDA Rural Dev. Sewer Loan • $326,200 TIF • $221,000 DOT LRIP Grant - All Loans Paid by TIF and Sewer & Water Utilities. $0 General Fund.
  • 75. Edgar Business Parkg • Project Summary - Expansion of Existing BusinessExpansion of Existing Business - Village Infrastructure Extension - New tax base = $2,297,000 - Creation of 11 jobs • Total Village Cost = $668,841g • Funding Summary - $240,565 CDBG-PFED Grant * ($21,870 Grant Per Job) - $428,276 TIF Loan * (11 Y b k)* (11 Year payback)
  • 76. Richland Center Westside Drive Reconstruction St t tilit t ti• Street & Utility Reconstruction • 3,600 Lineal Feet T t l P j t C t $1 860 000• Total Project Cost = $1,860,000 • Project Funding $509 000 Rural Dev Sewer Loan– $509,000 Rural Dev. Sewer Loan – $259,000 Rural Dev. Sewer Grant – $500,000 CDBG Grant – $592,000 City Loan – 41% Grant, 59% Loan
  • 77. Linden Water System • Project Summary – New Well – Water Main Replacement • Total Project Cost = $1,166,000 • Funding Summary $– $500,000 CDBG-PF Grant – $666,000 Revenue Bond
  • 78. DeForest North Business Park P j t S• Project Summary – Business Park Expansion – APC – 171,000 sf BuildingAPC 171,000 sf Building – PLC – 133,000 sf Building – Creation of 189 jobs • Project Scope – Streets & Utilities – Storm Water ManagementStorm Water Management – Site Development – Pedestrian / Bicycle Trail • Infra. Cost = $3,650,000 • Funding Summary $ ($ )– WDOT-TEA Grant = $945,000 ($5,000 Grant Per Job) – TIF Loan = $2,705,000
  • 79. Questions? K t R M hKurt R. Muchow kmuc@vierbicher.com 608/768-4817