REQUEST FOR COUNCIL ACTION

Transcription

1 REQUEST FOR COUNCIL ACTION To: From: RDA Chairperson & Committee Members Bob Wylie, Finance Director Date: November 20, 2018 Subject: Draper City RDA Annual Report 2018 Applicant Presentation: None Staff Presentation: Bob Wylie, Finance Director RECOMMENDATION: Approve Resolution #RDA adopting the Redevelopment Agency of Draper City 2018 Annual Report. BACKGROUND AND FINDINGS: See attached 2018 Annual Report. PREVIOUS LEGISLATIVE ACTION: N/A FISCAL IMPACT: Finance Review: N/A SUPPORTING DOCUMENTS: Resolution No. RDA Supporting documentation

2 RESOLUTION NO. RDA A RESOLUTION ADOPTING THE REDEVELOPMENT AGENCY OF DRAPER CITY 2018 ANNUAL REPORT. WHEREAS, the Agency is required to provide an annual report to the County Auditor, the State Tax Commission, the State Board of Education, as well as each of the taxing entities that levy a tax on property from which the Agency collects tax increment; and WHEREAS, the purpose of this report, in part, is to fulfill the requirements of Utah Code section 17C-1-402(9)(b) and section 17C Agency Report; and WHEREAS, the Board of Directors hereby finds this action to be in the best interest of public s health, safety and general welfare. NOW, THEREFORE, BE IT RESOLVED BY THE REDEVLOPMENT AGENCY OF DRAPER CITY, STATE OF UTAH AS FOLLOWS: Section 1. The Board of Directors hereby adopts the 2018 Annual Report. The details of this report are more specifically outlined in the document entitled 2018 Annual Report Draper RDA, November 1, 2018 as incorporated herein, and established as the RDA November 1 st Report Section 2. Severability. If any section, part, or provision of this Resolution is held invalid, or unenforceable, such invalidity or unenforceability shall not affect any other portion of this Resolution, and all sections, parts, and provisions of this Resolution shall be severable. Section 3. its passage. Effective Date. This Resolution shall become effective immediately upon Resolution No. RDA Date 11/20/ Annual Report

3 PASSED AND ADOPTED BY THE BOARD OF DIRECTORS OF THE REDEVELPOMENT AGENCY OF DRAPER CITY, STATE OF UTAH, ON THIS 20th DAY OF NOVEMBER, ATTEST: City Recorder REDEVELOPMENT AGENCY Chairperson VOTE TAKEN: YES NO Board member Green Board member Lowery Board member Summerhays Board member Vawdrey Board member Weeks Board member Mayor Walker 2

4 2018 ANNUAL REPORT REDEVELOPMENT AGENCY OF DRAPER CITY IN COMPLIANCE WITH UTAH CODE SECTION 17C-1-603

5 Table of Contents SECTION 1: EXECUTIVE SUMMARY... 4 INTRODUCTION... 4 OVERVIEW OF THE AGENCY... 5 SUMMARY OF REQUESTED FUNDS... 7 GENERAL OVERVIEW OF ALL PROJECT AREAS... 8 SECTION 2: OVERVIEW WEST FREEWAY RDA... 9 SOURCES OF FUNDS USES OF FUNDS PROJECT AREA REPORTING AND ACCOUNTABILITY NOTABLE DEVELOPMENT AND FUTURE PROJECTS OTHER ISSUES PROJECT AREA ANNUAL AND MULTI-YEAR BUDGETS WEST FREEWAY RDA MAP SECTION 3: OVERVIEW SAND HILLS RDA...16 SOURCES OF FUNDS USES OF FUNDS DEVELOPMENT INCENTIVE PAYMENT PROJECT AREA REPORTING AND ACCOUNTABILITY NOTABLE DEVELOPMENT AND FUTURE PROJECTS FORECASTED PROJECT AREA BUDGET UPDATE OTHER ISSUES PROJECT AREA ANNUAL AND MULTI-YEAR BUDGETS SAND HILLS RDA MAP SECTION 4: OVERVIEW CRESCENT RDA...26 SOURCES OF FUNDS USES OF FUNDS DEBT SERVICE PAYMENTS DEVELOPMENT INCENTIVE PAYMENT PROJECT AREA REPORTING AND ACCOUNTABILITY NOTABLE DEVELOPMENT AND FUTURE PROJECTS FORECASTED PROJECT AREA BUDGET UPDATE OTHER ISSUES PROJECT AREA ANNUAL AND MULTI-YEAR BUDGETS CRESCENT RDA MAP SECTION 5: OVERVIEW EAST BANGERTER EDA...36 SOURCES OF FUNDS USES OF FUNDS HOUSING FUND Page 2

6 PROJECT AREA REPORTING AND ACCOUNTABILITY NOTABLE DEVELOPMENT AND FUTURE PROJECTS FORECASTED PROJECT AREA BUDGET UPDATE OTHER ISSUES PROJECT AREA ANNUAL AND MULTI-YEAR BUDGETS EAST BANGERTER EDA MAP SECTION 6: OVERVIEW GATEWAY CDA...46 SOURCES OF FUNDS USES OF FUNDS LOAN REIMBURSEMENT PROJECT AREA REPORTING AND ACCOUNTABILITY NOTABLE DEVELOPMENT AND FUTURE PROJECTS FORECASTED PROJECT AREA BUDGET UPDATE OTHER ISSUES PROJECT AREA ANNUAL AND MULTI-YEAR BUDGETS GATEWAY CDA MAP SECTION 7: OVERVIEW FRONTRUNNER CDA...54 SOURCES OF FUNDS USES OF FUNDS PROJECT AREA REPORTING AND ACCOUNTABILITY NOTABLE DEVELOPMENT AND FUTURE PROJECTS FORECASTED PROJECT AREA BUDGET UPDATE OTHER ISSUES PROJECT AREA ANNUAL AND MULTI-YEAR BUDGETS FRONTRUNNER CDA MAP Page 3

7 SECTION 1: EXECUTIVE SUMMARY INTRODUCTION Lewis Young Robertson & Burningham, Inc. ( LYRB ) has prepared this Annual Report on behalf of the Redevelopment Agency of Draper City (the Agency or RDA ). The report describes the Agency s six project areas (West Freeway, Sand Hills, Crescent, East Bangerter, Gateway, and Frontrunner). LYRB has created and/or updated annual and multi-year budgets, and created a proprietary Excel-based software package to manage the Agency s Project Areas in the future. The purpose of this report, in part, is to fulfill the requirements of Utah Code section 17C-1-402(9)(b) and section 17C Agency Report. As reporting requirements were adopted in legislation and became effective in 2011, this report facilitates the Agency s compliance with the code, providing the data necessary to fulfill these reporting requirements. This section of Utah Code mandates that the Agency provide an annual report to the County Auditor, the State Tax Commission, the State Board of Education, as well as each of the taxing entities that levy a tax on property from which the Agency collects tax increment ( Tax Increment as defined in the Limited Purpose Local Government Entities - Community Reinvestment Agency Act, 17C). The taxing entities involved in the various project areas of the Agency, to which this report is being provided, are summarized in the table below. Table 1.1: RDA Taxing Entities David Dobbins Bob Wylie Draper City Council Salt Lake County Council Stuart Clason Scott Tingley Leon Wilcox John Larsen JoAnne Dubois Craig White Brian Hougaard Glen Jenkins Richard Bay Natalie Grange Lorraine Austin Scott Smith RDA TAXING ENTITIES Draper City Draper City Draper City Salt Lake County Salt Lake County Salt Lake County Canyons School District Jordan School District Central Utah Water Conservancy District South Valley Sewer District South Salt Lake Valley Mosquito Abatement District Crescent Cemetery Maintenance District Jordan Valley Water Conservancy District Utah State Board of Education Utah State Board of Education Utah State Tax Commission This annual report is for informational and compliance purposes and is intended to provide an overview of each Project Area that lies within the boundaries of Draper s Agency, including descriptions of each of the six project areas, significant activities, project timelines, actual and estimated tax increment collections, and any other information pertinent to the taxing entities. Page 4

8 OVERVIEW OF THE AGENCY The Agency was created by the Draper City Council in accordance with the provision of the Utah Neighborhood Development Act, UCA 17A , 17A , and 17A and continues to operate under Title 17C of Utah Code (UCA 17C) now titled as the Limited Purpose Local Government Entities Community Reinvestment Agency Act. The purpose of the Agency is to encourage the revitalization of certain areas of the City with quality developments that are conducive to meeting the long-range goals of the City. Originally, under the Act, each project area created by a Redevelopment Agency was classified simply as a Redevelopment Area (RDA). In 1998, the Act was expanded to allow the creation of various types of project areas to be used to achieve different outcomes, including Urban Renewal Area (URA) and Economic Development Area (EDA). In 2006, the Act was further modified to provide for an additional project area type, Community Development Area (CDA). Changes to the Act, made in 2016, put an end to the three classifications. Going forward all project areas envisioned and created by a Redevelopment Agency are categorized by a single designation and are known as Community Reinvestment Areas (CRA). Previously created projects will still be subject to the predecessor rules under which they were created and will still be designated as RDAs, URAs, CDAs, and EDAs but new projects will need to conform to the CRA modifications. CRAs are created under a redevelopment agency. To create a CRA, an agency must first adopt a survey resolution that designates a survey area and authorizes the agency to prepare a project area plan and budget. The draft budget and plan are then created and then the agency must meet the noticing requirements concerning its intent to adopt the plan and budget. Once the agency adopts the draft plan and budget as the final plan and budget after a public hearing, it can then collaborate with the taxing entities. If the agency plans to use eminent domain in the CRA, a blight study must be performed in the designated area. The Agency then forges an agreement to receive tax increment participation and approval of the blight study from a taxing entity committee (TEC). With the potential use of eminent domain and a TEC, the CRA is required to allocate 20% of its tax increment revenue to affordable housing. If the agency does not intend to pursue eminent domain, interlocal agreements for tax increment participation can be entered into with individual taxing entities. No TEC is required. The affordable housing requirement for this approach is only 10% of the CRA s tax increment revenue. As three of the five active project areas in the Agency were created prior to this expansion of UCA 17C, each of these Project Areas have been classified simply as a Redevelopment Areas, or RDA. The fourth Project Area, East Bangerter, has been classified as an EDA. The remaining two project areas have been classified as CDAs. In 2016, changes were made to UCA 17C putting an end to these three classifications. Going forward all project areas will again be lumped into one category and will be designated as Community Reinvestment Areas (CRA). AUTHORITIES AND POWERS OF THE AGENCY The authority of the Agency is directed by UCA Title 17C. 17C I. An agency may: Sue and be sued; Enter into contracts generally; Buy, obtain an option upon, or otherwise acquire an interest in real or personal property; Sell, convey, grant, dispose of by gift, or otherwise dispose of any interest in real or personal property; Page 5

9 Enter into a lease agreement on real or personal property, either as lessee or lessor; Provide for urban renewal, economic development, and community development as provided in this title; Receive tax increment as provided in this title; If disposing of or leasing land, retain controls or establish restrictions and covenants running with the land consistent with the project area plan; Accept financial or other assistance from any public or private source for the agency s activities, powers, and duties, and expend any funds so received for any of the purposes of this title; Borrow money or accept financial or other assistance from the federal government, a public entity, or any other source for any of the purposes of this title and comply with any conditions of the loan or assistance; Issue bonds to finance the undertaking of any urban renewal, economic development, or community development or for any of the agency s other purposes, including; Reimbursing an advance made by the agency or by a public entity or the federal government to the agency; Refunding bonds to pay or retire bonds previously issued by the agency; and Refunding bonds to pay or retire bonds previously issued by the community that created the agency for expenses associated with an urban renewal, economic development, or community development project; and Transact other business and exercise all other powers provided for in this title. GOVERNING BOARD OF TRUSTEES AND STAFF MEMBERS Table 1.2: Board of Trustees GOVERNING BOARD OF TRUSTEES Michelle Weeks Chair Draper City Council Member Mike Green Vice Chair Draper City Council Member Troy K. Walker Board Member Draper City Mayor Tasha Lowery Board Member Draper City Council Member Alan Summerhays Board Member Draper City Council Member Marsha Vawdrey Board Member Draper City Council Member Table 1.3: Staff Members ADMINISTRATION & STAFF MEMBERS David Dobbins Executive Director Draper City Manager Page 6

10 SUMMARY OF REQUESTED FUNDS In accordance with Utah Code 17C-1-603(3) this report is for informational purposes only, and does not alter the amount of tax increment that this Agency is entitled to collect. The Agency requests all tax increment legally available from each of the Agency s project areas described below; however these estimates should in no way be interpreted or applied as a limitation upon the amount the Agency is entitled to receive under applicable statute(s), project area budget(s), taxing entity committee resolutions, and/or interlocal cooperation agreements. Table 1.4: Estimate of Tax Increment ESTIMATE OF TAX INCREMENT TO BE PAID TO THE AGENCY Tax Year 2018 (Ending Dec. 31, 2018) Tax Year 2019 (Beginning Jan. 1, 2019) PROPERTY TAX INCREMENT West Freeway Project Area Expired Project Area Expired Sand Hills $- $- Crescent $1,541,157 $1,541,157 East Bangerter $1,678,809 $503,719 Gateway $17,643 Project Area Expired Frontrunner $4,286,768 $6,454,860 TOTAL REVENUE $7,524,377 $8,499,736 Table 1.5: Estimate of Additional Tax Increment ( Haircut ) ESTIMATE OF TAX INCREMENT TO BE PAID TO THE AGENCY Tax Year 2018 (Ending Dec. 31, 2018) Tax Year 2019 (Beginning Jan. 1, 2019) ADDITIONAL TAX INCREMENT ( HAIRCUT ) Sand Hills $1,155,285 $1,155,285 Crescent $330,248 $330,248 TOTAL REVENUE $1,485,533 $1,485,533 SUM TOTAL OF INCREMENTAL REVENUE $9,009,910 $9,985,269 Page 7

11 GENERAL OVERVIEW OF ALL PROJECT AREAS The combined projection for all six Project Areas forecasts that the areas will generate approximately $201M for the remaining of the life of the projects. Approximately $182M will come from tax increment revenues and $19M from haircut revenues. Table 1.6: Combined Budget Combined Project Area Budget FY 2018 Totals REMAINING LIFE (INCLUDES 2018 TOTALS) PROPERTY TAX INCREMENT Sand Hills $631,433 $631,433 Crescent $1,424,751 $11,112,021 East Bangerter $1,541,765 $3,724,294 Gateway $241,665 $259,308 Frontrunner $2,729,013 $167,061,632 Property Tax Increment Subtotal $6,752,573 $182,972,634 HAIRCUT West Freeway $498,035 $498,035 Sand Hills $- $8,086,993 Crescent $- $10,567,932 Haircut Subtotal $498,035 $19,152,960 TOTAL REVENUE $7,066,662 $201,941,648 EXPENDITURES FY 2018 TOTALS REMAINING LIFE (INCLUDES 2018 TOTALS) RDA Administration: Sand Hills $94,715 $94,715 Crescent $241,304 $1,694,395 Frontrunner $62,057 $3,530,329 Development Incentive Payments Sand Hills $840,000 $840,000 Crescent $107,143 $428,572 Debt Service Payments (Reimbursements) Crescent $1,070,092 $9,017,351 East Bangerter $1,233,411 $2,979,433 Gateway $239,950 $257,593 Affordable Housing East Bangerter $308,353 $744,859 Infrastructure Improvements Gateway $1,715 $1,715 Frontrunner $2,666,957 $163,531,303 Contribution to (Use of) Fund Balance West Freeway $498,035 $498,035 Sand Hills ($303,282) $7,783,712 Crescent $6,212 $10,539,636 Total Expenditures $7,066,662 $201,941,648 Page 8

12 SECTION 2: OVERVIEW WEST FREEWAY RDA Table 2.1: Project Area Overview OVERVIEW Type Acreage Purpose Taxing District Tax Rate RDA Commercial Development 52A Creation Year Base Year Term Trigger Year Expiration Year FY 1989 FY Years FY 1991 FY 2018 Base Value TY 2017 Value Increase FY 2018 Increment Remaining Life $247,136 $105,233,039 42,481% $498,035 Expired The West Freeway Project Area was created in 1989 and is governed by the ( Draper West Freeway Neighborhood Development Plan ). This document defines the duration and use of property tax generated within the Project Area as well as conditions and obligations by the Agency and each participating taxing entity. As the West Freeway Project Area was created prior to 1993, a taxing entity committee was not established for this Project Area. The original purpose of the West Freeway Project Area was to stabilize and strengthen the commercial business and economic base of the City. The West Freeway Project Area includes approximately acres located in the northwest portion of the City at the intersection of I-15 and The initial base year value of the Project Area was $247,136. Page 9

13 SOURCES OF FUNDS Table 2.2: Sources of Funds FY 2018 SOURCES OF FUNDS Haircut Recapture $498,035 Total Sources of Funds $498,035 West Freeway was originally scheduled to receive increment for a 32-year period, however it was recently determined that the Crescent Project Area will produce enough revenue to cover the qualified expenses. FY 2018 will be the final year of the Project Area. The tax increment and haircut levels are set according to the following schedule: Table 2.3: Tax Increment Levels TAX INCREMENT LEVELS Years Tax Years Tax Increment Haircut (Not Including School District Portion) Years % 0% Years % 20% Years % 25% Years % 30% Years % 40% Years % 100% USES OF FUNDS Table 2.4: Uses of Funds FY 2018 USES OF FUNDS Contribution to (Use of) Fund Balance $498,035 Total Use of Funds $498,035 PROJECT AREA REPORTING AND ACCOUNTABILITY COMPARISON OF FORECASTED AND ACTUAL TAX INCREMENT Table 2.5: Realization of Tax Increment REALIZATION OF TAX INCREMENT ACTUAL FORECASTED TAX INCREMENT GENERATED IN PROJECT AREA % OF PROJECTION Property Tax Increment FY 2018 $498,035 NA NA The Agency requested FY 2017 be the final year of tax increment collection in the West Freeway Project Area, however in FY 2018 the County paid the Agency West Freeway tax increment. For this reason, the Agency did not include a forecast of FY 2018 tax increment. Page 10

14 GROWTH IN ASSESSED VALUE Table 2.6: Growth in Assessed Value GROWTH IN ASSESSED VALUE ASSESSED VALUES IN PROJECT AREA CURRENT YEAR PRIOR YEAR GROWTH RATE AAGR Annual Growth in Project Area (2017 vs. 2016) $105,233,039 $98,647, % 6.68% Lifetime Growth in Project Area (2017 vs. 1997) $105,233,039 $33,522, % 5.89% Lifetime Growth in Project Area (2017 vs. Base) $105,233,039 $247,136 42,481% 25.13% ASSESSED VALUES IN DRAPER CITY Annual Growth in Draper City (2017 vs. 2016) $5,391,263,010 $4,854,707, % 11.05% Lifetime Growth in Draper City (2017 vs. 1997) 1 $5,391,263,010 $875,257, % 9.52% BENEFITS DERIVED BY PARTICIPATING TAXING ENTITIES Table 2.7: Benefits to Taxing Entities BENEFITS TO TAXING ENTITES *Increased Property Tax Revenues *Higher growth in tax base compared to non-rda areas The primary benefit experienced by the participating taxing entities is increased property tax revenue due to increased property values. The most significant benefit to the taxing entities will be realized when the life of the Project Area expires. At that point the Agency will no longer receive tax increment and the taxing entities will receive property tax income based on the full assessed value in the Project area. Table 2.8: Growth in Tax Increment GROWTH IN TAX INCREMENT TAX INCREMENT FROM PROJECT AREA ORIGINAL BUDGET ACTUAL REVENUE BASE YEAR VALUE ACTUAL % ABOVE BASE Fiscal Year 2018 NA $498,035 $2,945 16,913% Lifetime Revenue ( ) NA $18,833,995 $95,966 20,145% PASS THROUGH INCREMENT (ABOVE BASE) Fiscal Year 2018 NA $823,692 $2,945 27,973% Lifetime Revenue ( ) 2 NA $5,546,328 $95,966 5,779% NOTABLE DEVELOPMENT AND FUTURE PROJECTS There are currently no anticipated specific future projects within the West Freeway Project Area. Notable businesses and development in the project area include: Edwards Lifesciences 1 The year 1997 is being used for this comparison because this is the earliest year for which assessed values are available for the City as a whole. The year 1997 is used in all remaining growth in assessed value calculations. Page 11

15 Draper Business Park Lone Peak Business Park Living Planet Aquarium Table 2.9: Developed and Undeveloped Acreage WEST FREEWAY RDA ACREAGE PERCENTAGE Developed % Undeveloped % Total % OTHER ISSUES The Agency has not identified any major issues within the West Freeway RDA. All relevant information for the Project Area has been outlined in this section of the 2018 Annual Report. PROJECT AREA ANNUAL AND MULTI-YEAR BUDGETS The following two sheets represents the FY 2018 annual budget, and the multi-year budget from 2006 to 2018 for the West Freeway RDA, which was the final year of tax increment participation. Page 12

16 West Freeway 2018 Annual Budget 2018 ASSESED VALUATION Tax Year 2017 Payment Year 2018 Draper Tax District 52A 105,233,039 Base Year Value - Incremental Value 105,233,039 TAX INCREMENT ANALYSIS Incremental Property Tax Rates Combined Rate Tax Increment & Participation Rates Draper Tax District 52A 1,321,727 Increment Rate 0% Haircut Rate 100% Tax Increment Generation Property Tax Increment - Recaptured Increment (Haircut Revenue) 1,321,727 Less Tax Increases (125,991) Less School District Haircut Portion (697,379) Prior Year Adjustment (322) Total Tax Increment 498,035 Property Tax Increment - Recapture of Increment 498,035 Total Revenue 498,035 EXPENDITURES Haircut Fund Jordan/Canyons School District Payment - Contribution to (Use of) Fund Balance 498,035 Total Expenditures 498,035 Page 13

17 NOVEMBER 1, 2017 WEST FREEWAY Ongoing Budget Multi-Year Project Area Budget Projections <====== Historic Tax Year Payment Year TOTALS TAXABLE VALUATION: West Freeway Property Value $ 66,039,960 $ 74,545,600 $ 74,165,639 $ 73,500,000 $ 74,545,600 $ 55,767,817 $ 59,885,428 $ 63,696,078 $ 74,308,425 $ 88,184,904 $ 90,929,769 $ 98,647,773 $ 105,233,039 Total Assesed Value: $ 66,039,960 $ 74,545,600 $ 74,165,639 $ 73,500,000 $ 74,545,600 $ 55,767,817 $ 59,885,428 $ 63,696,078 $ 74,308,425 $ 88,184,904 $ 90,929,769 $ 98,647,773 $ 105,233,039 West Freeway Base Year Value (1989) $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - West Freeway Incremental Assessed Value $ 66,039,960 $ 74,545,600 $ 74,165,639 $ 73,500,000 $ 74,545,600 $ 55,767,817 $ 59,885,428 $ 63,696,078 $ 74,308,425 $ 88,184,904 $ 90,929,769 $ 98,647,773 $ 105,233,039 Tax Rate: Salt Lake County (Including Assessing & Collecting) Canyons School District Draper City South Salt Lake Mosquito Abatement District Jordan Valley Water Conservancy District South Valley Sewer District Central Utah Water Conservancy District Salt Lake County Library Jordan/Canyon School District Debt Service Area Total Combined Rate Less Tax Increase ( ) ( ) ( ) ( ) ( ) Less Local Assessing & Collecting ( ) ( ) ( ) ( ) ( ) Total Combined Rate (Net of Adjustments) PROPERTY TAX INCREMENT Total Property Tax Increment $ 842,208 $ 879,564 $ 824,870 $ 958,734 $ 1,072,338 $ 823,802 $ 908,642 $ 969,454 $ 1,130,974 $ 1,285,471 $ 1,294,840 $ 1,300,770 $ 1,321,727 Incremental Property Tax Increment $ 842,208 $ 879,564 $ 824,870 $ 958,734 $ 1,072,338 $ 823,802 $ 908,642 $ 969,454 $ 1,038,646 $ 1,285,471 $ 1,294,840 $ 1,300,770 $ 1,321,727 $ 13,521,065 Percent of Tax Increment for Project 70% 70% 70% 70% 70% 60% 60% 60% 60% 60% 0% 0% 0% Percent of Haircut for Project 30% 30% 30% 30% 30% 40% 40% 40% 40% 40% 60% 60% 100% Tax Increment to RDA $ 589,545 $ 615,694 $ 577,409 $ 671,114 $ 750,637 $ 494,281 $ 545,185 $ 581,673 $ 623,187 $ 771,283 $ - $ - $ - $ 6,220,009 Haircut Portion to RDA $ 252,662 $ 263,869 $ 247,461 $ 287,620 $ 321,702 $ 329,521 $ 363,457 $ 387,782 $ 415,458 $ 514,189 $ 776,904 $ 780,461 $ 1,321,727 $ 6,262,812 Less School District Haircut Portion $ (697,379) $ (697,379) Less Tax Increases $ (110,006) $ (76,469) $ (84,647) $ (125,991) $ (397,113) Prior Year Adjustments $ (467,355) $ (322) $ (467,677) Total Revenue $ 842,208 $ 879,564 $ 824,870 $ 958,734 $ 1,072,338 $ 823,802 $ 908,642 $ 969,454 $ 1,038,646 $ 1,175,465 $ 700,435 $ 228,459 $ 498,035 $ 10,920,652 EXPENDITURES RDA 15% $ 88,432 $ 92,354 $ 86,611 $ 100,667 $ 112,596 $ 74,142 $ 81,778 $ 87,251 $ 93,478 $ 115,692 $ - $ - $ - 933,001 Edwards Life Sciences , , , , , , , , ,530,000 School District Haircut Payment 145, , , , , , , , , , ,876,419 Amphitheater Bond 137, , , , , ,281 72, ,718,239 Contribution to (Use of) Fund Balance 470, , , , , , , , , , ,035 3,862,992 Total Uses $ 842,208 $ 879,564 $ 824,870 $ 958,734 $ 1,072,338 $ 823,802 $ 908,642 $ 969,454 $ 1,038,646 $ 1,175,465 $ 700,435 $ 228,459 $ 498,035 $ 10,920,652 Page 14

18 NOVEMBER 1, 2017 WEST FREEWAY RDA MAP Page 15

19 NOVEMBER 1, 2017 SECTION 3: OVERVIEW SAND HILLS RDA Table 3.1: Project Area Overview OVERVIEW Type Acreage Purpose Taxing District Tax Rate RDA 84.5 Commercial Development 55A Creation Year Base Year Term Trigger Year Expiration Year FY 1989 FY Years FY 1994 FY 2025 Base Value TY 2017 Value Increase FY 2018 Increment Remaining Life $609,648 $94,109,218 15,336% $631,433 7 Years SOURCES OF FUNDS Table 3.2: Sources of Funds 2018 SOURCES OF FUNDS Property Tax Increment $631,433 Total Sources of Funds $631,433 The Sand Hills Project Area was created in 1989 and is governed by the Draper Sand Hills Neighborhood Development Plan. This document defines the duration and use of property tax generated within the Project Area as well as conditions and obligations by the Agency and each participating taxing entity. As the Sand Hills Project Area was created prior to 1993, a taxing entity committee was not established for this Project Area. The original purpose of the Sand Hills Project Area was to stabilize and strengthen the commercial business and economic base of the City. The Sand Hills Project Area includes approximately 84.5 acres located in the northeast portion of the City at 1300 East and along Draper Parkway. The initial base year value of the Project Area was $609,648. The Sand Hills Project Area did not receive any haircut revenue in FY The County distributed the haircut owed to the Agency through the West Freeway Project Area, which is now expired. The Agency has determined that they would like to receive the haircut revenue from the Crescent Project Area, however, the Agency believes that the haircut in the Crescent Project Area will not be enough to cover all the Agency s qualified expenses. The Agency requests that the County pay the remaining haircut balance out of the Sand Hills Project Area. The tax increment and haircut levels are set according to the following schedule: Page 16

20 NOVEMBER 1, 2017 Table 3.3: Tax Increment Levels TAX INCREMENT LEVELS Years Tax Years Tax Increment Haircut (Not Including School District Portion) Years % 0% Years % 20% Years % 25% Years % 30% Years % 40% Years % 100% USES OF FUNDS Table 3.4: Uses of Funds 2018 USES OF FUNDS RDA Administration $94,715 Development Incentive Payments $840,000 Contribution to (Use of) Fund Balance ($303,282) Total Use of Funds $631,433 DEVELOPMENT INCENTIVE PAYMENT Table 3.5: Development Incentive Payment 2018 DEVELOPMENT INCENTIVE PAYMENT The Egg & I $280,000 Freddy s Frozen Custard & Steakburgers $560,000 Total Development Incentive Payment $840,000 The Agency entered into an agreement with The Egg & I restaurant that will reimburse the tenant for infrastructure improvements and site development for their restaurant within the Hidden Valley Shopping Center. The agreement states that the Agency will reimburse the restaurant up to $140,000 annually for a period of five years. FY 2015 was the first year of the agreement. This agreement is dependent on the restaurants continued operation during the life of the agreement, the building being within the City s code, and the restaurant paying its property taxes in full each year. The Agency will make its final payment to the Egg & I in FY 2018, the final year of the Project Area. The Agency also entered into an agreement with Freddy s Frozen Custard & Steakburgers that will reimburse the tenant for infrastructure improvements and site development for their restaurant within the Hidden Valley Shopping Center. The agreement states that the Agency will reimburse the restaurant up to $140,000 annually for a period of five years. FY 2017 was the first year of the agreement. This agreement is dependent on the restaurants continued operation during the life of the agreement, the building being within the City s code, and the restaurant paying its property taxes in full each year. The Agency will make its final payment to Freddy s in FY 2018, the final year of the Project Area. 3 FY 2016 was the final year that the Agency collected the haircut portion of the tax increment. Page 17

21 NOVEMBER 1, 2017 PROJECT AREA REPORTING AND ACCOUNTABILITY COMPARISON OF FORECASTED AND ACTUAL TAX INCREMENT Table 3.6: Realization of Tax Increment REALIZATION OF TAX INCREMENT ACTUAL FORECASTED TAX INCREMENT GENERATED IN PROJECT AREA % OF PROJECTION Property Tax Increment FY 2018 $631,433 $909, % The forecasted increment included the haircut portion of the tax increment. This was the reasoning for the discrepancy in forecasted increment to actual increment received. GROWTH IN ASSESSED VALUE Table 3.7: Growth in Assessed Value GROWTH IN ASSESSED VALUE ASSESSED VALUES IN PROJECT AREA CURRENT YEAR PRIOR YEAR GROWTH RATE AAGR Annual Growth in Project Area (2017 vs. 2016) $94,109,218 $70,953, % 32.58% Lifetime Growth in Project Area (2017 vs. 1997) $94,109,218 $32,692, % 5.43% Lifetime Growth in Project Area (2017 vs. Base) $94,109,218 $609,648 15,336% 20.52% ASSESSED VALUES IN DRAPER CITY Annual Growth in Draper City (2017 vs. 2016) $5,391,263,010 $4,854,707, % 11.05% Lifetime Growth in Draper City (2017 vs. 1997) $5,391,263,010 $875,257, % 9.52% BENEFITS DERIVED BY PARTICIPATING TAXING ENTITIES Table 3.8: Benefits to Taxing Entities BENEFITS TO TAXING ENTITES *Increased Property Tax Revenues *Higher growth in tax base compared to non-rda areas The primary benefit experienced by the participating taxing entities is increased property tax revenue due to increased property values. The most significant benefit to the taxing entities will be realized when the life of the Project Area expires. At that point the Agency will no longer receive tax increment and the taxing entities will receive property tax income based on the full assessed value in the Project area. Table 3.9: Growth in Tax Increment GROWTH IN TAX INCREMENT ORIGINAL BUDGET ACTUAL REVENUE BASE YEAR VALUE ACTUAL % ABOVE BASE TAX INCREMENT FROM PROJECT AREA Fiscal Year 2018 NA $631,433 $7,264 8,693% Lifetime Revenue ( ) NA $20,957,474 $212,694 9,853% Page 18

22 NOVEMBER 1, 2017 PASS THROUGH INCREMENT (ABOVE BASE) Fiscal Year 2018 NA $574,482 $7,264 7,909% Lifetime Revenue ( ) NA $2,900,216 $212,694 1,364% NOTABLE DEVELOPMENT AND FUTURE PROJECTS There are no specific projects planned within the Sand Hills Project Area. Notable Development within the Project Area include: The Egg & I Freddy s Frozen Custard & Steakburgers Macy s Treehouse Athletic Club Walgreens Table 3.10: Developed and Undeveloped Acreage SAND HILLS RDA ACREAGE PERCENTAGE Developed % Undeveloped % Total % There are 43 housing units within the Sand Hill Project Area. These housing units comprise 6.88 acres of the total Project Area. Table 3.11: Residential Development SAND HILLS RDA ACREAGE PERCENTAGE Residential Development % Non-Residential Development % Total % FORECASTED PROJECT AREA BUDGET UPDATE The multi-year budget attached to this document and summarized below displays revenue in the fiscal year received rather than the calendar year collected. Table 3.12: Project Area Budget PROJECT AREA BUDGET FY TOTALS Property Tax Increment $- Haircut Recapture $8,086,993 Total Revenue $8,086,993 EXPENDITURES TOTALS Contribution to (Use of) Fund Balance $8,086,993 Total Expenditures $8,086,993 Page 19

23 NOVEMBER 1, 2017 OTHER ISSUES The Agency has not identified any major issues within the Sand Hills RDA. All relevant information for the Project Area has been outlined in this section of the 2018 Annual Report. PROJECT AREA ANNUAL AND MULTI-YEAR BUDGETS The following four sheets represent the FY 2018, FY 2019, FY 2020 and multi-year budget from 2006 to Page 20

24 NOVEMBER 1, 2017 Sand Hills 2018 Annual Budget 2018 ASSESED VALUATION Tax Year 2017 Payment Year 2018 Draper Tax District 55A 94,109,218 Base Year Value - Incremental Value 94,109,218 TAX INCREMENT ANALYSIS Incremental Property Tax Rates Combined Rate Tax Increment & Participation Rates Draper Tax District 55A 1,205,916 Increment Rate 60% Haircut Rate 0% Tax Increment Generation Property Tax Increment 723,550 Recaptured Increment (Haircut Revenue) - Less Tax Increases (82,592) Prior Year Adjustments (9,525) Total Tax Increment 631,433 Property Tax Increment - Recapture of Increment - Total Revenue 631,433 EXPENDITURES Administration Administration Fee 94,715 Developer Incentives Hidden Valley Renovations - Big Fish Draper. Inc - The Egg & I 280,000 Freddy's 560,000 Contribution to (Use of) Fund Balance (303,282) Total Expenditures 631,433 Page 21

25 NOVEMBER 1, 2017 Sand Hills 2019 Annual Budget 2019 ASSESED VALUATION Tax Year 2018 Payment Year 2019 Draper Tax District 55A 94,109,218 Base Year Value - Incremental Value 94,109,218 TAX INCREMENT ANALYSIS Incremental Property Tax Rates Combined Rate Tax Increment & Participation Rates Draper Tax District 55A 1,155,285 Increment Rate 0% Haircut Rate 100% Tax Increment Generation Property Tax Increment - Recaptured Increment (Haircut Revenue) 1,155,285 Less Tax Increases - Prior Year Adjustments - Total Tax Increment 1,155,285 Property Tax Increment - Recapture of Increment 1,155,285 Total Revenue 1,155,285 EXPENDITURES Administration Administration Fee - Contribution to (Use of) Fund Balance 1,155,285 Total Expenditures 1,155,285 Page 22

26 NOVEMBER 1, 2017 Sand Hills 2020 Annual Budget 2020 ASSESED VALUATION Tax Year 2019 Payment Year 2020 Draper Tax District 55A 94,109,218 Base Year Value - Incremental Value 94,109,218 TAX INCREMENT ANALYSIS Incremental Property Tax Rates Combined Rate Tax Increment & Participation Rates Draper Tax District 55A 1,155,285 Increment Rate 0% Haircut Rate 100% Tax Increment Generation Property Tax Increment - Recaptured Increment (Haircut Revenue) 1,155,285 Less Tax Increases - Prior Year Adjustments - Total Tax Increment 1,155,285 Property Tax Increment - Recapture of Increment 1,155,285 Total Revenue 1,155,285 EXPENDITURES Administration Administration Fee - Contribution to (Use of) Fund Balance 1,155,285 Total Expenditures 1,155,285 Page 23

27 SAND HILLS RDA Ongoing Budget Multi-Year Project Area Budget Projections <====== Historic Projected ======> Tax Year Payment Year TOTALS TAXABLE VALUATION: Sand Hills Property Value $ 75,612,225 $ 86,793,181 $ 85,408,410 $ 84,500,000 $ 86,793,181 $ 86,793,181 $ 86,793,181 $ 72,569,139 $ 71,981,038 $ 74,832,957 $ 78,229,353 $ 70,953,766 $ 94,109,218 $ 94,109,218 $ 94,109,218 $ 94,109,218 $ 94,109,218 $ 94,109,218 $ 94,109,218 $ 94,109,218 Total Assesed Value: $ 75,612,225 $ 86,793,181 $ 85,408,410 $ 84,500,000 $ 86,793,181 $ 86,793,181 $ 86,793,181 $ 72,569,139 $ 71,981,038 $ 74,832,957 $ 78,229,353 $ 70,953,766 $ 94,109,218 $ 94,109,218 $ 94,109,218 $ 94,109,218 $ 94,109,218 $ 94,109,218 $ 94,109,218 $ 94,109,218 Sand Hills Base Year Value (1989) $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Sand Hills Incremental Assessed Value $ 75,612,225 $ 86,793,181 $ 85,408,410 $ 84,500,000 $ 86,793,181 $ 86,793,181 $ 86,793,181 $ 72,569,139 $ 71,981,038 $ 74,832,957 $ 78,229,353 $ 70,953,766 $ 94,109,218 $ 94,109,218 $ 94,109,218 $ 94,109,218 $ 94,109,218 $ 94,109,218 $ 94,109,218 $ 94,109,218 Tax Rate: Salt Lake County Canyons School District Draper City South Salt Lake Mosquito Abatement District Jordan Valley Water Conservancy District South Valley Sewer District Central Utah Water Conservancy District Salt Lake County Library Jordan/Canyon School District Debt Service Area Total Combined Rate Less Assessing & Collecting ( ) ( ) ( ) ( ) ( ) ( ) ( ) ( ) ( ) ( ) ( ) ( ) Less Tax Increase ( ) ( ) ( ) ( ) ( ) Total Combined Rate (Net of Adjustments) PROPERTY TAX INCREMENT Total Property Tax Increment $ 964,283 $ 1,024,073 $ 949,912 $ 1,102,218 $ 1,248,520 $ 1,282,109 $ 1,316,913 $ 1,104,502 $ 1,095,551 $ 1,090,840 $ 1,113,986 $ 935,596 $ 1,205,916 $ 1,155,285 $ 1,155,285 $ 1,155,285 $ 1,155,285 $ 1,155,285 $ 1,155,285 $ 1,155,285 Incremental Property Tax Increment $ 964,283 $ 1,024,073 $ 949,912 $ 1,102,218 $ 1,248,520 $ 1,282,109 $ 1,316,913 $ 1,104,502 $ 1,095,551 $ 1,090,840 $ 1,113,986 $ 935,596 $ 1,205,916 $ 1,155,285 $ 1,155,285 $ 1,155,285 $ 1,155,285 $ 1,155,285 $ 1,155,285 $ 1,155,285 $ 22,521,412 Percent of Tax Increment for Project 75% 75% 75% 70% 70% 70% 70% 70% 60% 60% 60% 60% 60% 0% 0% 0% 0% 0% 0% 0% Percent of Haircut for Project 25% 25% 25% 30% 30% 30% 30% 30% 40% 40% 40% 0% 0% 100% 100% 100% 100% 100% 100% 100% Tax Increment to RDA $ 723,212 $ 768,055 $ 712,434 $ 771,553 $ 873,964 $ 897,476 $ 921,839 $ 773,152 $ 657,331 $ 654,504 $ 668,392 $ 561,358 $ 723,550 $ - $ - $ - $ - $ - $ - $ - $ 9,706,819 Haircut Portion to RDA $ 241,071 $ 256,018 $ 237,478 $ 330,665 $ 374,556 $ 384,633 $ 395,074 $ 331,351 $ 438,221 $ 436,336 $ 445,594 $ - $ - $ 1,155,285 $ 1,155,285 $ 1,155,285 $ 1,155,285 $ 1,155,285 $ 1,155,285 $ 1,155,285 $ 11,957,990 Less Tax Increases $ (77,379) $ (106,652) $ (114,421) $ (67,632) $ (82,592) $ (448,676) Prior Year Adjustments $ (16,560) $ (9,461) $ (9,525) $ (35,546) Total Revenue $ 964,283 $ 1,024,073 $ 949,912 $ 1,102,218 $ 1,248,520 $ 1,282,109 $ 1,316,913 $ 1,104,502 $ 1,001,612 $ 984,188 $ 999,565 $ 484,265 $ 631,433 $ 1,155,285 $ 1,155,285 $ 1,155,285 $ 1,155,285 $ 1,155,285 $ 1,155,285 $ 1,155,285 $ 21,180,587 EXPENDITURES RDA 15% $ 108,482 $ 115,208 $ 106,865 $ 115,733 $ 131,095 $ 134,621 $ 138,276 $ 115,973 $ 98,600 $ 98,176 $ 100,259 $ 84,204 $ 94,715 $ - $ - $ - $ - $ - $ - $ - 1,442,205 Big Fish Draper, Inc , , , , , ,000 Hidden Valley , , , , , ,582,148 The Egg & I , , , , ,000 Freddy's , , ,000 School District Payment 138, , , , , , , , , , , ,127,647 Additional Tax Increment Indebtedness Fund 102, , , , , , , , , , ,617,851 Amphitheater Bond ,652 19, ,988 Contribution to (Use of) Fund Balance 614, , , , , , , ,642 99, , , ,061 (303,282) 1,155,285 1,155,285 1,155,285 1,155,285 1,155,285 1,155,285 1,155,285 12,253,747 Total Uses $ 964,283 $ 1,024,073 $ 949,912 $ 1,102,218 $ 1,248,520 $ 1,282,109 $ 1,316,913 $ 1,104,502 $ 1,001,612 $ 984,188 $ 999,565 $ 484,265 $ 631,433 $ 1,155,285 $ 1,155,285 $ 1,155,285 $ 1,155,285 $ 1,155,285 $ 1,155,285 $ 1,155,285 $ 21,180,586 Page 24

28 SAND HILLS RDA MAP Page 25

29 SECTION 4: OVERVIEW CRESCENT RDA Table 4.1: Project Area Overview OVERVIEW Type Acreage Purpose Taxing District Tax Rate RDA 85 Commercial Development 51A 55B 51A B Creation Year Base Year Term Trigger Year Expiration Year FY 1993 FY Years FY 2001 FY 2032 Base Value TY 2017 Value Increase FY 2018 Increment Remaining Life $776,052 $180,106,532 23,108% $1,424, Years The Crescent Project Area was created in 1993 and is governed by the Draper Crescent Neighborhood Development Plan. This document defines the duration and use of property tax generated within the Project Area as well as conditions and obligations by the Agency and each participating taxing entity. As the Crescent Project Area was created prior to 1993, a taxing entity committee was not established for this Project Area. The original purpose of the Crescent Project Area was to stabilize and strengthen the commercial business and economic base of the City. The Crescent Project Area lies entirely within Draper City and includes approximately 85 acres located in the northeast portion of the City at 1-15 and South. The initial base year value of the Project Area was $776,052. SOURCES OF FUNDS Table 4.2: Sources of Funds FY 2018 SOURCES OF FUNDS Property Tax Increment $1,424,751 Total Sources of Funds $1,424,751 In FY 2018, the West Freeway Project Area was the only area that received haircut revenue. Now that the West Freeway Project Area has expired, the Agency is requesting that from this point forward, the County distribute the haircut revenue from the Crescent Project Area. The tax increment and haircut levels are set according to the following schedule: Page 26

30 Table 4.3: Tax Increment Levels TAX INCREMENT LEVELS Years Tax Years Tax Increment Haircut (Not Including School District Portion) Years % 0% Years % 20% Years % 25% Years % 30% Years % 40% Years % 100% USES OF FUNDS Table 4.4: Uses of Funds 2018 USES OF FUNDS RDA Administration $241,304 Debt Service Payment $1,070,092 Development Incentive Payment $107,143 Contribution to (Use of) Fund Balance $6,212 Total Use of Funds $1,424,751 DEBT SERVICE PAYMENTS In 2005, Draper City issued $6.08 million in bonds to acquire 1,033 acres for the construction of City parks at various locations throughout the City. Including the Draper City Amphitheater. The Crescent Project Area paid $452,788 in FY The Project Area is scheduled to make debt service payments on through FY In 2015, the Agency issued the $5,612,000 Tax Increment Revenue Refunding Bonds, Series 2015 to repay the Kohl s and Draper Peaks I & II obligations. The Crescent Project Area paid $617,304 in FY The Project Area is scheduled to make debt service payments on the Series 2015 bonds through FY Table 4.5 Debt Service Payments 2017 DEBT SERVICE PAYMENTS Series 2005 Park Bond Payment $452,788 Series 2013 Sales Tax & TIF Bond Payment $617,304 Total Debt Service Payments $1,070,092 DEVELOPMENT INCENTIVE PAYMENT The Agency entered into an agreement with the Developer of the Lone Peak Hospital, the agreement is to reimburse the developer for improvements made related to the Lone Peak Hospital. The agreement is for $750,000 over seven years. In FY 2018 the Agency paid $107,143 towards this obligation. Table 4.6: Development Incentive Payment 2018 DEVELOPMENT INCENTIVE PAYMENT Lone Peak Hospital $107,143 Total Development Incentive Payment $107,143 Page 27

31 PROJECT AREA REPORTING AND ACCOUNTABILITY COMPARISON OF FORECASTED AND ACTUAL TAX INCREMENT Table 4.7: Realization of Tax Increment REALIZATION OF TAX INCREMENT ACTUAL FORECASTED TAX INCREMENT GENERATED IN PROJECT AREA % OF PROJECTION Property Tax Increment FY 2018 $1,424,751 $1,900, % The forecasted increment included the haircut portion of the tax increment. This was the reasoning for the discrepancy in forecasted increment to actual increment received. GROWTH IN ASSESSED VALUE Table 4.8: Growth in Assessed Value GROWTH IN ASSESSED VALUE CURRENT YEAR PRIOR YEAR GROWTH RATE AAGR ASSESSED VALUES IN PROJECT AREA Annual Growth in Project Area (2017 vs. 2016) $180,106,532 $175,264, % 2.76% Lifetime Growth in Project Area (2017 vs. 1997) $180,106,532 $2,434,856 7,297% 22.75% Lifetime Growth in Project Area (2017 vs. Base) $180,106,532 $776,052 23,108% 25.48% ASSESSED VALUES IN DRAPER CITY Annual Growth in Draper City (2017 vs. 2016) $5,391,263,010 $4,854,707, % 11.05% Lifetime Growth in Draper City (2017 vs. 1997) $5,391,263,010 $875,257, % 9.52% BENEFITS DERIVED BY PARTICIPATING TAXING ENTITIES Table 4.9: Benefits to Taxing Entities BENEFITS TO TAXING ENTITES *Increased Property Tax Revenues *Higher growth in tax base compared to non-rda areas The primary benefit experienced by the participating taxing entities is increased property tax revenue due to increased property values. The most significant benefit to the taxing entities will be realized when the life of the Project Area expires. At that point the Agency will no longer receive tax increment and the taxing entities will receive property tax income based on the full assessed value in the Project area. Table 4.10: Growth in Tax Increment GROWTH IN TAX INCREMENT TAX INCREMENT FROM PROJECT AREA ORIGINAL BUDGET ACTUAL REVENUE BASE YEAR VALUE ACTUAL % ABOVE BASE Fiscal Year 2018 NA $1,424,751 $9,345 15,246% Lifetime Revenue ( ) NA $19,310,818 $189,132 10,210% PASS THROUGH INCREMENT (ABOVE BASE) Fiscal Year 2018 NA $873,387 $9,345 9,346% Lifetime Revenue ( ) NA $3,647,323 $189,132 1,928% Page 28

32 NOTABLE DEVELOPMENT AND FUTURE PROJECTS The City is currently contemplating connecting a road around the Lone Peak Hospital, this would potentially open the area for future commercial uses. Notable current businesses include: Lone Peak Hospital Kohl s Petco Draper Peaks Michaels Table 4.11: Developed and Undeveloped Acreage There are 60 housing units within the Crescent Project Area. These housing units comprise 2.90 acres of the total Project Area. FORECASTED PROJECT AREA BUDGET UPDATE The multi-year budget attached to this document and summarized below displays revenue in the fiscal year received rather than the calendar year collected. Table 4.13: Project Area Budget PROJECT AREA BUDGET FY CRESCENT RDA ACREAGE PERCENTAGE Developed % Undeveloped % Total % Table 4.12: Residential Development CRESCENT RDA ACREAGE PERCENTAGE Residential Development % Non-Residential Development % Total % TOTALS Property Tax Increment $9,687,271 Haircut Recapture $10,567,932 Total Revenue $20,255,203 EXPENDITURES TOTALS RDA Administration $1,453,091 Debt Service Payments $7,947,259 Development Incentive Payments $321,429 Contribution to (Use of) Fund Balance $10,533,424 Total Expenditures $20,255,203 Page 29

33 OTHER ISSUES The Agency has not identified any major issues within the Crescent RDA. All relevant information for the Project Area has been outlined in this section of the 2018 Annual Report. PROJECT AREA ANNUAL AND MULTI-YEAR BUDGETS The following four sheets represent the FY 2018, FY 2019, FY 2020 and multi-year budget from 2006 to Page 30

34 Crescent 2018 Annual Budget 2018 ASSESED VALUATION 51A Tax Year 2017 Payment Year 2018 Incremental Value 5,632,280 TAX INCREMENT ANALYSIS 51A Incremental Property Tax Rates Combined Rate ASSESED VALUATION 55B Incremental Value 173,698,200 TAX INCREMENT ANALYSIS 55B Incremental Property Tax Rates Combined Rate Tax Increment & Participation Rates Draper Tax Districts 51A & 55B 2,298,138 Increment Rate 70% Haircut Rate 0% Tax Increment Generation Property Tax Increment 1,608,697 Recaptured Increment (Haircut Revenue) - Less Tax Increases (183,930) Prior Year Adjustments (16) Total Tax Increment 1,424,751 Property Tax Increment 1,424,751 Recapture of Increment - Total Revenue 1,424,751 EXPENDITURES Administration Fee 241,304 Lone Peak Hospital 107,143 Park (Amphitheater) Bonds 452,788 Tax Increment Revenue Refunding Bonds, Series ,304 Contribution to (Use of) Fund Balance 6,212 Total Expenditures 1,424,751 Page 31

35 Crescent 2019 Annual Budget 2019 ASSESED VALUATION 51A Tax Year 2018 Payment Year 2019 Incremental Value 5,632,280 TAX INCREMENT ANALYSIS 51A Incremental Property Tax Rates Combined Rate ASSESED VALUATION 55B Incremental Value 173,698,200 TAX INCREMENT ANALYSIS 55B Incremental Property Tax Rates Combined Rate Tax Increment & Participation Rates Draper Tax Districts 51A & 55B 2,201,652 Increment Rate 70% Haircut Rate 30% Tax Increment Generation Property Tax Increment 1,541,157 Recaptured Increment (Haircut Revenue) 330,248 Less Tax Increases - Prior Year Adjustments - Total Tax Increment 1,871,405 Property Tax Increment 1,541,157 Recapture of Increment 330,248 Total Revenue 1,871,405 EXPENDITURES Administration Fee 231,174 Lone Peak Hospital 107,143 Park (Amphitheater) Bonds 449,400 Tax Increment Revenue Refunding Bonds, Series ,679 Contribution to (Use of) Fund Balance 466,009 Total Expenditures 1,871,405 Page 32

36 Crescent 2020 Annual Budget 2020 ASSESED VALUATION 51A Tax Year 2019 Payment Year 2020 Incremental Value 5,632,280 TAX INCREMENT ANALYSIS 51A Incremental Property Tax Rates Combined Rate ASSESED VALUATION 55B Incremental Value 173,698,200 TAX INCREMENT ANALYSIS 55B Incremental Property Tax Rates Combined Rate Tax Increment & Participation Rates Draper Tax Districts 51A & 55B 2,201,652 Increment Rate 70% Haircut Rate 30% Tax Increment Generation Property Tax Increment 1,541,157 Recaptured Increment (Haircut Revenue) 330,248 Less Tax Increases - Prior Year Adjustments - Total Tax Increment 1,871,405 Property Tax Increment 1,541,157 Recapture of Increment 330,248 Total Revenue 1,871,405 EXPENDITURES Administration Fee 231,174 Lone Peak Hospital 107,143 Park (Amphitheater) Bonds 455,375 Tax Increment Revenue Refunding Bonds, Series ,831 Contribution to (Use of) Fund Balance 459,882 Total Expenditures 1,871,405 Page 33

37 Crescent Ongoing Budget Multi-Year Project Area Budget Projections <====== Historic Projected =======> Tax Year Payment Year TOTALS TAXABLE VALUATION: Crescent Property Value (51A) $ 522,407 $ 4,659,939 $ 4,442,620 $ 4,657,710 $ 4,657,710 $ 4,657,710 $ 4,789,439 $ 4,789,439 $ 4,952,558 $ 5,177,931 $ 5,224,263 $ 5,838,907 $ 5,847,370 $ 5,847,370 $ 5,847,370 $ 5,847,370 $ 5,847,370 $ 5,847,370 $ 5,847,370 $ 5,847,370 $ 5,847,370 $ 5,847,370 $ 5,847,370 $ 5,847,370 $ 5,847,370 $ 5,847,370 $ 5,847,370 Crescent Property Value (55B) $ 56,713,459 $ 72,891,632 $ 82,208,697 $ 82,769,659 $ 84,336,279 $ 93,993,355 $ 93,993,355 $ 102,575,139 $ 125,182,141 $ 142,181,959 $ 155,160,371 $ 169,425,778 $ 174,259,162 $ 174,259,162 $ 174,259,162 $ 174,259,162 $ 174,259,162 $ 174,259,162 $ 174,259,162 $ 174,259,162 $ 174,259,162 $ 174,259,162 $ 174,259,162 $ 174,259,162 $ 174,259,162 $ 174,259,162 $ 174,259,162 Total Assesed Value: $ 57,235,866 $ 77,551,571 $ 86,651,317 $ 87,427,369 $ 88,993,989 $ 98,651,065 $ 98,782,794 $ 107,364,578 $ 130,134,699 $ 147,359,890 $ 160,384,634 $ 175,264,685 $ 180,106,532 $ 180,106,532 $ 180,106,532 $ 180,106,532 $ 180,106,532 $ 180,106,532 $ 180,106,532 $ 180,106,532 $ 180,106,532 $ 180,106,532 $ 180,106,532 $ 180,106,532 $ 180,106,532 $ 180,106,532 $ 180,106,532 Crescent Base Year Value 51A (1993) $ (215,090) $ (215,090) $ (215,090) $ (215,090) $ (215,090) $ (215,090) $ (215,090) $ (215,090) $ (215,090) $ (215,090) $ (215,090) $ (215,090) $ (215,090) $ (215,090) $ (215,090) $ (215,090) $ (215,090) $ (215,090) $ (215,090) $ (215,090) $ (215,090) $ (215,090) $ (215,090) $ (215,090) $ (215,090) $ (215,090) $ (215,090) Crescent Base Year Value 55B (1993) $ (560,962) $ (560,962) $ (560,962) $ (560,962) $ (560,962) $ (560,962) $ (560,962) $ (560,962) $ (560,962) $ (560,962) $ (560,962) $ (560,962) $ (560,962) $ (560,962) $ (560,962) $ (560,962) $ (560,962) $ (560,962) $ (560,962) $ (560,962) $ (560,962) $ (560,962) $ (560,962) $ (560,962) $ (560,962) $ (560,962) $ (560,962) Total Crescent Incremental Assessed Value (51A) $ 737,497 $ 4,875,029 $ 4,657,710 $ 4,872,800 $ 4,872,800 $ 4,872,800 $ 5,004,529 $ 4,574,349 $ 4,737,468 $ 4,962,841 $ 5,009,173 $ 5,623,817 $ 5,632,280 $ 5,632,280 $ 5,632,280 $ 5,632,280 $ 5,632,280 $ 5,632,280 $ 5,632,280 $ 5,632,280 $ 5,632,280 $ 5,632,280 $ 5,632,280 $ 5,632,280 $ 5,632,280 $ 5,632,280 $ 5,632,280 Total Crescent Incremental Assessed Value (55B) $ 57,274,421 $ 73,452,594 $ 82,769,659 $ 83,330,621 $ 84,897,241 $ 94,554,317 $ 94,554,317 $ 102,014,177 $ 124,621,179 $ 141,620,997 $ 154,599,409 $ 168,864,816 $ 173,698,200 $ 173,698,200 $ 173,698,200 $ 173,698,200 $ 173,698,200 $ 173,698,200 $ 173,698,200 $ 173,698,200 $ 173,698,200 $ 173,698,200 $ 173,698,200 $ 173,698,200 $ 173,698,200 $ 173,698,200 $ 173,698,200 Total Crescent Incremental Assessed Value $ 58,011,918 $ 78,327,623 $ 87,427,369 $ 88,203,421 $ 89,770,041 $ 99,427,117 $ 99,558,846 $ 106,588,526 $ 129,358,647 $ 146,583,838 $ 159,608,582 $ 174,488,633 $ 179,330,480 $ 179,330,480 $ 179,330,480 $ 179,330,480 $ 179,330,480 $ 179,330,480 $ 179,330,480 $ 179,330,480 $ 179,330,480 $ 179,330,480 $ 179,330,480 $ 179,330,480 $ 179,330,480 $ 179,330,480 $ 179,330,480 Tax Rate: 51A Total Combined Rate (Net of Adjustments) Tax Rate: 55B Total Combined Rate (Net of Adjustments) Total Property Tax Increment $ 801,725 $ 1,161,912 $ 1,031,742 $ 981,174 $ 1,171,170 $ 1,430,478 $ 1,470,923 $ 1,484,155 $ 1,969,052 $ 2,136,966 $ 2,273,042 $ 2,301,021 $ 2,298,138 $ 2,201,652 $ 2,201,652 $ 2,201,652 $ 2,201,652 $ 2,201,652 $ 2,201,652 $ 2,201,652 $ 2,201,652 $ 2,201,652 $ 2,201,652 $ 2,201,652 $ 2,201,652 $ 2,201,652 $ 2,201,652 $ 51,334,632 Incremental Property Tax Increment $ 801,725 $ 1,161,912 $ 1,031,742 $ 981,174 $ 1,171,170 $ 1,430,478 $ 1,470,923 $ 1,484,155 $ 1,969,052 $ 2,136,966 $ 2,273,042 $ 2,301,021 $ 2,298,138 $ 2,201,652 $ 2,201,652 $ 2,201,652 $ 2,201,652 $ 2,201,652 $ 2,201,652 $ 2,201,652 $ 2,201,652 $ 2,201,652 $ 2,201,652 $ 2,201,652 $ 2,201,652 $ 2,201,652 $ 2,201,652 Percent of Tax Increment for Project 80% 80% 80% 80% 80% 75% 75% 75% 75% 75% 70% 70% 70% 70% 70% 60% 60% 60% 60% 60% 0% 0% 0% 0% 0% 0% 0% Percent of Haircut 20% 20% 20% 20% 20% 25% 25% 25% 25% 25% 30% 0% 0% 30% 30% 40% 40% 40% 40% 40% 100% 100% 100% 100% 100% 100% 100% Tax Increment to RDA $ 641,380 $ 929,530 $ 825,393 $ 784,939 $ 936,936 $ 1,072,859 $ 1,103,193 $ 1,113,116 $ 1,476,789 $ 1,602,725 $ 1,591,129 $ 1,610,715 $ 1,608,697 $ 1,541,157 $ 1,541,157 $ 1,320,991 $ 1,320,991 $ 1,320,991 $ 1,320,991 $ 1,320,991 $ - $ - $ - $ - $ - $ - $ - $ 24,984,670 Haircut Fund $ 160,345 $ 232,382 $ 206,348 $ 196,235 $ 234,234 $ 357,620 $ 367,731 $ 371,039 $ 492,263 $ 534,242 $ 681,912 $ - $ - $ 330,248 $ 330,248 $ 440,330 $ 440,330 $ 440,330 $ 440,330 $ 440,330 $ 1,100,826 $ 1,100,826 $ 1,100,826 $ 1,100,826 $ 1,100,826 $ 1,100,826 $ 1,100,826 $ 14,402,282 Less Tax Increases $ (139,061) $ (185,272) $ (223,070) $ (173,799) $ (183,930) $ (905,132) Prior Year Adjustments $ (24,194) $ (5,004) $ (86,927) $ (1) $ (16) $ (116,141) Total Revenue $ 801,725 $ 1,161,912 $ 1,031,742 $ 981,174 $ 1,171,170 $ 1,430,478 $ 1,470,923 $ 1,484,155 $ 1,805,797 $ 1,946,690 $ 1,963,045 $ 1,436,915 $ 1,424,751 $ 1,871,405 $ 1,871,405 $ 1,761,322 $ 1,761,322 $ 1,761,322 $ 1,761,322 $ 1,761,322 $ 1,100,826 $ 1,100,826 $ 1,100,826 $ 1,100,826 $ 1,100,826 $ 1,100,826 $ 1,100,826 $ 38,365,679 EXPENDITURES Administration $ 99,627 $ 108,725 $ 123,809 $ 117,741 $ 140,540 $ 160,929 $ 165,479 $ 166,967 $ 221,518 $ 240,409 $ 238,669 $ 241,607 $ 241,304 $ 231,174 $ 231,174 $ 198,149 $ 198,149 $ 198,149 $ 198,149 $ 198,149 $ - $ - $ - $ - $ - $ - $ - 1,936,002 Kohl's 223, , , , , , , , , , ,231,830 Draper Peaks I 281, , , , , , , , , , ,819,450 Draper Peaks II - 215, , , , , , , , , ,935,000 Tax Increment Revenue Refunding Bonds, Series , , , , , , , , , , ,176,051 Lone Peak , , , , , , , ,168 School District Payment 101, , , , , , , , , , , ,980,115 Amphitheater Bond ,700 34, , , , , , , , , , , , , , , , , , ,220,827 Additional Tax Increment Indebtedness Payment 59, ,520 78,248 52,930 (76,267) (191,802) (217,585) (168,158) (190,162.40) (186,154) (723,190) Contribution to (Use of) Fund Balance 36, ,677 (18,544) (52,930) 76, , , , , , ,152 15,062 6, , , , , , , , ,926 1,100,826 1,100,826 1,100,826 1,100,826 1,100,826 1,100,826 12,240,012 $ 801,725 $ 1,161,912 $ 1,031,742 $ 981,174 $ 1,171,170 $ 1,430,478 $ 1,470,923 $ 1,484,155 $ 1,805,797 $ 1,946,690 $ 1,963,045 $ 1,436,915 $ 1,424,751 $ 1,871,405 $ 1,871,405 $ 1,761,322 $ 1,761,322 $ 1,761,322 $ 1,761,322 $ 1,761,322 $ 1,100,826 $ 1,100,826 $ 1,100,826 $ 1,100,826 $ 1,100,826 $ 1,100,826 $ 1,100,826 $ 38,365,679 Page 34

38 CRESCENT RDA MAP Page 35

39 SECTION 5: OVERVIEW EAST BANGERTER EDA Table 5.1: Project Area Overview OVERVIEW Type Acreage Purpose Taxing District Tax Rate EDA Commercial Development 55C Creation Year Base Year Term Trigger Year Expiration Year FY 2001 FY Years FY 2008 TY 2022 Base Value TY 2017 Value Increase FY 2018 Increment Remaining Life $9,760,118 $143,957,508 1,375% $1,541,765 4 Years The East Bangerter Project Area was created in 2001 and is governed by the (a) East Bangerter Neighborhood Development Plan, (b) Resolution No Housing Plan for uses of tax increment housing funds, and (c) TEC Resolution Resolution approving the East Bangerter Neighborhood Development Project Area Budget. These documents define the duration and use of property tax increment generated within the Project Area as well as conditions and obligations by the Agency and each participating taxing entity. The original purpose of the East Bangerter Project Area was to provide funding for the construction of Bangerter Parkway. The East Bangerter Project Area includes approximately acres located in the southern portion of the City it lies between South and South. The initial base year value of the Project Area was $9,644,820. Page 36

40 SOURCES OF FUNDS Table 5.2: Sources of Funds 2018 SOURCES OF FUNDS Property Tax Increment $1,541,765 Total Sources of Funds $1,541,765 As outlined in the creation documents, the Agency will receive tax increment in the East Bangerter Project Area according to the following schedule: Table 5.3: Tax Increment Levels TAX INCREMENT LEVEL Years % % Tax Increment 20% Housing Increment USES OF FUNDS Table 5.4: Uses of Funds 2018 USES OF FUNDS Debt Service Payments $706,800 Affordable Housing $335,762 Debt Service Reserve Fund $526,612 Total Use of Funds $1,541,765 DEBT SERVICE PAYMENTS In 2004, Draper City issued bonds to help with the construction of the Bangerter Parkway. The East Bangerter Project Area paid $706,800 in annual debt service for the 2004 Sales Tax Bonds in FY The Project Area is scheduled to make debt service payments on the Bonds through FY 2022 Table 5.5: Debt Service Payments 2018 DEBT SERVICE PAYMENTS Series 2004 Sales Tax Bonds $706,800 Total Debt Service Payment $706,800 HOUSING FUND In August of 2015, the Agency entered an interlocal agreement with the Salt Lake County Housing Authority in which the Agency paid the Housing Authority the Housing Fund balance. The Housing Authority will use these funds exclusively to: (1) acquire and construct a homeless shelter at a location in Salt Lake County, or (2) acquiring, constructing or rehabilitating any other income targeted housing Page 37

41 located in the County. The FY 2018 affordable housing funds will also go to the Salt Lake County Housing Authority. Table 5.6: Housing Fund 2018 HOUSING FUND Housing Fund Transfer to Salt Lake County Housing Authority $335,762 Total Affordable Housing Payment $335,762 PROJECT AREA REPORTING AND ACCOUNTABILITY COMPARISON OF FORECASTED AND ACTUAL TAX INCREMENT Table 5.7: Realization of Tax Increment REALIZATION OF TAX INCREMENT ACTUAL FORECASTED TAX INCREMENT GENERATED IN PROJECT AREA % OF PROJECTION Property Tax Increment FY 2018 $1,541,765 $1,643, % GROWTH IN ASSESSED VALUE Table 5.8: Growth in Assessed Value GROWTH IN ASSESSED VALUE CURRENT YEAR PRIOR YEAR GROWTH RATE AAGR ASSESSED VALUES IN PROJECT AREA Annual Growth in Project Area (2017 vs. 2016) $143,957,508 $140,648, % 2.35% Lifetime Growth in Project Area (2017 vs. Base) $143,957,508 $9,760,118 1,375% 18.32% ASSESSED VALUES IN DRAPER CITY Annual Growth in Draper City (2017 vs. 2016) $5,391,263,010 $4,854,707, % 11.05% Lifetime Growth in Draper City (2017 vs. 2001) $5,391,263,010 $1,649,041, % 7.69% Page 38

42 BENEFITS DERIVED BY PARTICIPATING TAXING ENTITIES Table 5.9: Benefits to Taxing Entities BENEFITS TO TAXING ENTITES *Increased Property Tax Revenues *Higher growth in tax base compared to non-rda areas The primary benefit experienced by the participating taxing entities is increased property tax revenue due to increased property values. The most significant benefit to the taxing entities will be realized when the life of the Project Area expires. At that point the Agency will no longer receive tax increment and the taxing entities will receive property tax income based on the full assessed value in the Project area. Table 5.10: Growth in Tax Increment GROWTH IN TAX INCREMENT ORIGINAL BUDGET ACTUAL REVENUE BASE YEAR VALUE ACTUAL % ABOVE BASE TAX INCREMENT FROM PROJECT AREA Fiscal Year 2018 NA $1,541,765 $116,292 1,326% Lifetime Revenue ( ) NA $8,294,993 $1,412, % PASS THROUGH INCREMENT (ABOVE BASE) Fiscal Year 2018 NA $- $116,292 NA Lifetime Revenue ( ) NA $- $1,412,481 NA NOTABLE DEVELOPMENT AND FUTURE PROJECTS The East Bangerter Project Area includes the following tenants: DealerSocket Harmons Jeunesse Global Bangerter Crossing Shopping Center Table 5.11: Developed and Undeveloped Acreage EAST BANGERTER EDA ACREAGE PERCENTAGE Developed % Undeveloped % Total % There are 49 housing units within the East Bangerter Project Area. These housing units comprise 7.49 acres of the total Project Area. Table 5.12: Residential Development EAST BANGERTER EDA ACREAGE PERCENTAGE Residential Development % Non-Residential Development % Total % Page 39

43 FORECASTED PROJECT AREA BUDGET UPDATE The multi-year budget attached to this document and summarized below displays revenue in the fiscal year received rather than the calendar year collected. Table 5.13: Project Area Budget PROJECT AREA BUDGET FY TOTALS Property Tax Increment $2,182,529 Total Revenue $2,182,529 EXPENDITURES TOTALS Debt Service Payment $2,964,800 Affordable Housing $436,506 Contribution to (Use of) Fund Balance ($1,218,777) Total Expenditures $2,182,529 OTHER ISSUES TEC Resolution states that the Agency is only eligible to receive $13,977,132 in tax increment. This cap amount shall be reduced by the amount of the increase (over a 2002 base year) in the point-of-sale sales tax revenue generated in the Project Area. LYRB estimated that this combined cap amount may be reached as early as FY This deduction in tax increment may lead to a deficit in revenues needed to satisfy the Agency s obligations within the East Bangerter Project Area. PROJECT AREA ANNUAL AND MULTI-YEAR BUDGETS The following four sheets represent the FY 2018, FY 2019, FY 2020 and multi-year budget from 2008 to Page 40

44 East Bangerter 2018 Annual Budget 2018 ASSESED VALUATION Tax Year 2017 Payment Year 2018 Draper Tax District 55C 143,957,508 Base Year Value (9,760,118) Incremental Value 134,197,390 TAX INCREMENT ANALYSIS Incremental Property Tax Rates Combined Rate Tax Increment & Participation Rates Tax Increment 1,598,962 Less Tax Increases (55,364) Prior Year Adjustments (1,833) Total Tax Increment 1,541,765 Increment Rate 80% Housing Rate 20% Tax Increment Generation Property Tax Increment 1,233,412 Housing Increment 308,353 Total Tax Increment 1,541,765 Property Tax Increment 1,233,412 Housing Increment 308,353 Total Revenue 1,541,765 EXPENDITURES Increment Fund Sales Tax Bonds 706,800 Debt Service Reserve Fund 526,612 Housing Fund Affordable Housing Fund 308,353 Total Expenditures 1,541,765 Page 41

45 East Bangerter 2019 Annual Budget 2019 ASSESED VALUATION Tax Year 2018 Payment Year 2019 Draper Tax District 55C 143,957,508 Base Year Value (9,760,118) Incremental Value 134,197,390 TAX INCREMENT ANALYSIS Incremental Property Tax Rates Combined Rate Tax Increment & Participation Rates Tax Increment 1,678,809 Less Tax Increases - Prior Year Adjustments - Total Tax Increment 1,678,809 Increment Rate 80% Housing Rate 20% Tax Increment Generation Property Tax Increment 1,343,047 Housing Increment 335,762 Total Tax Increment 1,678,809 Property Tax Increment 1,343,047 Housing Increment 335,762 Total Revenue 1,678,809 EXPENDITURES Increment Fund Sales Tax Bonds 724,600 Debt Service Reserve Fund 618,447 Housing Fund Affordable Housing Fund 335,762 Total Expenditures 1,678,809 Page 42

46 East Bangerter 2020 Annual Budget 2020 ASSESED VALUATION Tax Year 2019 Payment Year 2020 Draper Tax District 55C 143,957,508 Base Year Value (9,760,118) Incremental Value 134,197,390 TAX INCREMENT ANALYSIS Incremental Property Tax Rates Combined Rate Tax Increment & Participation Rates Tax Increment 1,678,809 Less Tax Increases - Prior Year Adjustments (1,175,090) Total Tax Increment 503,719 Increment Rate 80% Housing Rate 20% Tax Increment Generation Property Tax Increment 402,975 Housing Increment 100,744 Total Tax Increment 503,719 Property Tax Increment 402,975 Housing Increment 100,744 Total Revenue 503,719 EXPENDITURES Increment Fund Sales Tax Bonds 731,800 Debt Service Reserve Fund (328,825) Housing Fund Affordable Housing Fund 100,744 Total Expenditures 503,719 Page 43

47 East Bangerter Ongoing Budget Multi-Year Project Area Budget Projections <====== Historic Projected ======> Tax Year Payment Year TOTALS TAXABLE VALUATION: East Bangerter Property Value $ 22,335,942 $ 33,508,503 $ 54,126,584 $ 70,846,013 $ 74,220,074 $ 71,088,600 $ 72,496,160 $ 80,929,320 $ 102,909,135 $ 140,648,227 $ 143,957,508 $ 143,957,508 $ 143,957,508 $ 143,957,508 $ 143,957,508 Total Assesed Value: $ 22,335,942 $ 33,508,503 $ 54,126,584 $ 70,846,013 $ 74,220,074 $ 71,088,600 $ 72,496,160 $ 80,929,320 $ 102,909,135 $ 140,648,227 $ 143,957,508 $ 143,957,508 $ 143,957,508 $ 143,957,508 $ 143,957,508 East Bangerter Base Year Value (2001) $ (9,644,820) $ (9,644,820) $ (9,644,820) $ (9,644,820) $ (9,644,820) $ (9,644,820) $ (9,644,820) $ (9,644,820) $ (9,760,118) $ (9,760,118) $ (9,760,118) $ (9,760,118) $ (9,760,118) $ (9,760,118) $ (9,760,118) Total East Bangerter Incremental Assessed Value $ 12,691,122 $ 23,863,683 $ 44,481,764 $ 61,201,193 $ 64,575,254 $ 61,443,780 $ 62,851,340 $ 71,284,500 $ 93,149,017 $ 130,888,109 $ 134,197,390 $ 134,197,390 $ 134,197,390 $ 134,197,390 $ 134,197,390 Tax Rate: 55C Salt Lake County Canyons School District Draper City South Salt Lake Mosquito Abatement District Jordan Valley Water Conservancy District South Valley Sewer District Central Utah Water Conservancy District Salt Lake County Library Jordan/Canyon School District Debt Service Area Less Assessing & Collecting ( ) ( ) ( ) ( ) ( ) Less Tax Increase ( ) ( ) ( ) ( ) ( ) Total Combined Rate Property Tax Increment $ 149,743 $ 265,412 $ 580,220 $ 880,379 $ 953,906 $ 932,286 $ 869,001 $ 1,015,733 $ 1,241,024 $ 1,599,584 $ 1,598,962 $ 1,678,809 $ 1,678,809 $ 13,443,868 Less Prior Year Tax Increase $ - $ - $ - $ - $ - $ - $ - $ (71,066) $ (37,271) $ (39,134) $ (55,364) $ (202,835) Less Prio Year Adjustments $ - $ - $ - $ - $ - $ - $ - $ (15,198) $ (27,781) $ (1,846) $ (1,833) $ (1,175,090) $ (1,221,748) Total Property Tax Increment $ 149,743 $ 265,412 $ 580,220 $ 880,379 $ 953,906 $ 932,286 $ 869,001 $ 929,469 $ 1,175,972 $ 1,558,604 $ 1,541,765 $ 1,678,809 $ 503,719 $ - $ - $ 12,019,285 Percent of Tax Increment for Project 80% 80% 80% 80% 80% 80% 80% 80% 80% 80% 80% 80% 80% 80% 80% Percent of Tax Increment for Housing 20% 20% 20% 20% 20% 20% 20% 20% 20% 20% 20% 20% 20% 20% 20% Tax Increment to RDA $ 119,794 $ 212,330 $ 464,176 $ 704,303 $ 763,125 $ 745,829 $ 695,202 $ 743,575 $ 940,778 $ 1,246,883 $ 1,233,412 $ 1,343,047 $ 402,975 $ - $ - $ 9,615,429 Housing Funds $ 29,949 $ 53,082 $ 116,044 $ 176,076 $ 190,781 $ 186,457 $ 173,800 $ 185,894 $ 235,194 $ 311,721 $ 308,353 $ 335,762 $ 100,744 $ - $ - $ 2,403,857 Total Revenue $ 149,743 $ 265,412 $ 580,220 $ 880,379 $ 953,906 $ 932,286 $ 869,002 $ 929,469 $ 1,175,972 $ 1,558,604 $ 1,541,765 $ 1,678,809 $ 503,719 $ - $ - $ 12,019,286 EXPENDITURES Debt Service $ 119,794 $ 212,330 $ 464,176 $ 704,303 $ 763,125 $ 352,300 $ 493,100 $ 686,000 $ 689,900 $ 693,500 $ 706,800 $ 724,600 $ 731,800 $ 748,600 $ 759,800 8,850,127 Housing Fund 29,949 53, , , , , , , , , , , , ,403,857 Debt Service Reserve Fund , ,102 57, , , , ,447 (328,825) (748,600) (759,800) 765,302 Total Uses $ 149,743 $ 265,412 $ 580,220 $ 880,379 $ 953,906 $ 932,286 $ 869,002 $ 929,469 $ 1,175,972 $ 1,558,604 $ 1,541,765 $ 1,678,809 $ 503,719 $ - $ - $ 12,019,286 Page 44

48 EAST BANGERTER EDA MAP Page 45

49 SECTION 6: OVERVIEW GATEWAY CDA Table 6.1: Project Area Overview OVERVIEW Type Acreage Purpose Taxing District Tax Rate CDA 24.4 Commercial Development 55D Creation Year Base Year Term Trigger Year Expiration Year FY 2009 FY Years FY 2012 FY 2019 Base Value TY 2017 Value Increase FY 2018 Increment Remaining Life $35,074,900 $57,128, % $241,665 1 Year The Gateway Project Area was created in 2009 and is governed by the (a) Gateway Community Development Plan, (b) Interlocal Agreement between the Redevelopment Agency of Draper City and Salt Lake County, (c) Interlocal Agreement between the Redevelopment Agency of Draper City and Draper City, (d) Interlocal Agreement between the Redevelopment Agency of Draper City and Canyons School District, (e) Interlocal Agreement between the Redevelopment Agency of Draper City and Central Utah Water Conservancy District, (f) Interlocal Agreement between the Redevelopment Agency of Draper City and Jordan Valley Water Conservancy District, and (g) Interlocal Agreement between the Redevelopment Agency of Draper City and South Valley Sewer. These documents define the duration and use of property tax increment generated within the Project Area as well as conditions and obligations by the Agency and each participating taxing entity. The original purpose of the Gateway Project Area was to improve an under-utilized commercial area of the City. The Gateway Project Area includes approximately 24.4 acres located in the northeast portion of the City at I-15 and South. The initial base year value of the Project Area was $35,074,900. SOURCES OF FUNDS Table 6.2: Sources of Funds 2018 SOURCES OF FUNDS Property Tax Increment $241,665 Total Sources of Funds $241,665 Page 46

50 Table 6.3: Tax Increment Levels TAX INCREMENT LEVEL Years % % Draper City 100% Salt Lake County 100% Canyons School District 100% South Valley Sewer District 100% Central Utah Water Conservancy District 100% Jordan Valley Water Conservancy District USES OF FUNDS Table 6.4: Uses of Funds 2018 USES OF FUNDS Cinemark Loan Reimbursement $239,950 South Valley Sewer Payment $1,715 Total Use of Funds $241,665 LOAN REIMBURSEMENT The Agency entered into an agreement with Cinemark USA, Inc., regarding the development of their movie theater within the Project Area. According to the agreement, the Agency made a lump sum payment of $1,200,000 to Cinemark as reimbursement for a portion of the costs to construct the theater. The Agency took out a loan to satisfy this obligation, with the intention of repaying the loan with future tax increment. The Agency will continue to make payments towards the loan until 2019, the final year of the Project Area. Table 6.5: Loan Reimbursement Payment LOAN REIMBURSEMENT PAYMENT Cinemark Loan Reimbursement $239,950 Total Loan Reimbursement Payment $239,950 PROJECT AREA REPORTING AND ACCOUNTABILITY COMPARISON OF FORECASTED AND ACTUAL TAX INCREMENT Table 6.6: Realization of Tax Increment REALIZATION OF TAX INCREMENT ACTUAL FORECASTED TAX INCREMENT GENERATED IN PROJECT AREA % OF PROJECTION Property Tax Increment FY 2018 $241,665 $154, % Page 47

51 GROWTH IN ASSESSED VALUE Table 6.7: Growth in Assessed Value GROWTH IN ASSESSED VALUE CURRENT YEAR PRIOR YEAR GROWTH RATE AAGR ASSESSED VALUES IN PROJECT AREA Annual Growth in Project Area (2017 vs. 2016) $57,128,779 $48,092, % 18.79% Lifetime Growth in Project Area (2017 vs. Base) $57,128,779 $35,074, % 6.288% ASSESSED VALUES IN DRAPER CITY Annual Growth in Draper City (2017 vs. 2016) $5,391,263,010 $4,854,707, % 11.05% Lifetime Growth in Draper City (2017 vs. 2009) $5,391,263,010 $3,273,243, % 6.44% BENEFITS DERIVED BY PARTICIPATING TAXING ENTITIES Table 6.8: Benefits to Taxing Entities BENEFITS TO TAXING ENTITES *Increased Property Tax Revenues *Higher growth in tax base compared to non-rda areas The primary benefit experienced by the participating taxing entities is increased property tax revenue due to increased property values. The most significant benefit to the taxing entities will be realized when the life of the Project Area expires. At that point the Agency will no longer receive tax increment and the taxing entities will receive property tax income based on the full assessed value in the Project area. Table 6.9: Growth in Tax Increment GROWTH IN TAX INCREMENT ORIGINAL BUDGET ACTUAL REVENUE BASE YEAR VALUE ACTUAL % ABOVE BASE TAX INCREMENT FROM PROJECT AREA Fiscal Year 2018 NA $241,665 $393, % Lifetime Revenue ( ) NA $1,590,633 $3,544, % PASS THROUGH INCREMENT (ABOVE BASE) Fiscal Year 2018 NA $- $393,540 NA Lifetime Revenue ( ) NA $- $3,544,809 NA NOTABLE DEVELOPMENT AND FUTURE PROJECTS Notable Development within the Gateway Project Area includes the addition of Black Bear Diner and additional retail that opened this year. Other notable current businesses include: Cinemark Theater Cowabunga Bay Comfort Inn Springhill Suites Floor & Décor Page 48

52 Table 6.10: Developed and Undeveloped Acreage GATEWAY CDA ACREAGE PERCENTAGE Developed % Undeveloped - -% Total % There are 0 housing units within the Gateway Project Area. Table 6.11: Residential Development GATEWAY CDA ACREAGE PERCENTAGE Residential Development 0 0% Non-Residential Development % Total % FORECASTED PROJECT AREA BUDGET UPDATE The multi-year budget attached to this document and summarized below displays revenue in the fiscal year received rather than the calendar year collected. Table 6.12: Project Area Budget PROJECT AREA BUDGET FY 2019 TOTALS Property Tax Increment $17,643 Total Revenue $17,643 EXPENDITURES TOTALS Cinemark Loan Reimbursement $17,643 South Valley Sewer Payment $- Total Expenditures $17,643 OTHER ISSUES The Agency has not identified any major issues within the Gateway CDA. All relevant information for the Project Area has been outlined in this section of the 2018 Annual Report. PROJECT AREA ANNUAL AND MULTI-YEAR BUDGETS The following three sheets represent the FY 2018, FY 2019, and multi-year budget from 2012 to Page 49

53 Draper Gateway 2018 Annual Budget 2018 ASSESED VALUATION Tax Year 2017 Payment Year 2018 Draper Tax District 55D 57,128,779 Base Year Value (35,074,900) Incremental Value 22,053,879 TAX INCREMENT ANALYSIS Incremental Property Tax Rates Combined Rate Tax Increment & Participation Rates Tax Increment 247,445 Less Tax Increases (5,780) Prior Year Adjustments - Total Tax Increment 241,665 Increment Rate 100% Tax Increment Generation Property Tax Increment 241,665 Total Tax Increment 241,665 Property Tax Increment 241,665 Total Revenue 241,665 EXPENDITURES Increment Fund Cinemark Loan Reimbursement 239,950 South Valley Sewer District 1,715 Contribution to (Use of) Fund Balance - Total Expenditures 241,665 Page 50

54 Draper Gateway 2019 Annual Budget 2019 ASSESED VALUATION Tax Year 2018 Payment Year 2019 Draper Tax District 55D 57,128,779 Base Year Value (35,074,900) Incremental Value 22,053,879 TAX INCREMENT ANALYSIS Incremental Property Tax Rates Combined Rate Tax Increment & Participation Rates Tax Increment 17,643 Less Tax Increases - Prior Year Adjustments - Total Tax Increment 17,643 Increment Rate 100% Tax Increment Generation Property Tax Increment 17,643 Total Tax Increment 17,643 Property Tax Increment 17,643 Total Revenue 17,643 EXPENDITURES Increment Fund Cinemark Loan Reimbursement 17,643 South Valley Sewer District - Contribution to (Use of) Fund Balance - Total Expenditures 17,643 Page 51

55 Draper Gateway Ongoing Budget Multi-Year Project Area Budget Projections <====== Historic Projected Tax Year Payment Year TOTALS TAXABLE VALUATION: Gateway Property Value $ 37,114,592 $ 49,431,992 $ 48,819,194 $ 56,724,269 $ 47,032,793 $ 48,092,278 $ 57,128,779 $ 57,128,779 Total Assesed Value: $ 37,114,592 $ 49,431,992 $ 48,819,194 $ 56,724,269 $ 47,032,793 $ 48,092,278 $ 57,128,779 $ 57,128,779 Gateway Base Year Value (2009) $ (35,074,900) $ (35,074,900) $ (35,074,900) $ (35,074,900) $ (35,074,900) $ (35,074,900) $ (35,074,900) $ (35,074,900) Total Gateway Incremental Assessed Value $ 2,039,692 $ 14,357,092 $ 13,744,294 $ 21,649,369 $ 11,957,893 $ 13,017,378 $ 22,053,879 $ 22,053,879 Tax Rate: 55D Salt Lake County Canyons School District Draper City South Salt Lake Mosquito Abatement District Jordan Valley Water Conservancy District South Valley Sewer District Central Utah Water Conservancy District Salt Lake County Library Jordan/Canyon School District Debt Service Area Less Tax Increase - - ( ) ( ) ( ) ( ) ( ) - Total Combined Rate Total Property Tax Increment $ 28,792 $ 189,772 $ 151,006 $ 234,721 $ 150,921 $ 150,533 $ 247,445 $ 17,643 $ 1,170,832 Prior Year Tax Increase (5,539) (5,779) (5,780) - Prior Year Adjustments 2, Incremental Property Tax Increment $ 28,792 $ 189,772 $ 151,006 $ 234,721 $ 148,192 $ 144,754 $ 241,665 $ 17,643 Percent of Tax Increment for Project 100% 100% 100% 100% 100% 100% 100% 100% Tax Increment to RDA $ 28,792 $ 189,772 $ 151,006 $ 234,721 $ 148,192 $ 144,754 $ 241,665 $ 17,643 $ 1,156,545 Internal Project Area Loan $ 160,377 $ 160,377 Total Revenue $ 28,792 $ 350,149 $ 151,006 $ 234,721 $ 148,192 $ 144,754 $ 241,665 $ 17,643 $ 1,316,922 EXPENDITURES Cinemark Loan Reimbursement $ 173,511 $ 149,291 $ 233,006 $ 146,477 $ 143,039 $ 239,950 $ 17,643 1,102,917 South Valley Sewer Payment $ 1,715 $ 1,715 $ 1,715 $ 1,715 $ 1,715 $ 1,715 $ 1,715 12,005 Traffic Impact Fee $ 202, ,000 Contribution to (Use of) Fund Balance $ 27,077 $ (27,077) $ - $ - $ - $ - $ - $ - - Total Uses $ 28,792 $ 350,149 $ 151,006 $ 234,721 $ 148,192 $ 144,754 $ 241,665 $ 17,643 $ 1,316,922 Page 52

56 GATEWAY CDA MAP Page 53

57 SECTION 7: OVERVIEW FRONTRUNNER CDA Table 7.1: Project Area Overview OVERVIEW Type Acreage Purpose Taxing District Tax Rate CDA Transit 55E Oriented Development Creation Year Base Year Term Trigger Year Expiration Year FY 2012 FY Years FY 2016 FY 2035 Base Value TY 2017 Value Increase FY 2018 Increment Remaining Life $6,055,340 $354,239,436 5,750% $2,729, Years The Frontrunner Project Area was created in 2012 and is governed by the (a) Frontrunner Community Development Plan, (b) Interlocal Agreement between the Redevelopment Agency of Draper City and Salt Lake County, (c) Interlocal Agreement between the Redevelopment Agency of Draper City and Draper City, (d) Interlocal Agreement between the Redevelopment Agency of Draper City and Canyons School District, (e) Interlocal Agreement between the Redevelopment Agency of Draper City and Central Utah Water Conservancy District, (f) Interlocal Agreement between the Redevelopment Agency of Draper City and Jordan Valley Water Conservancy District, (g) Interlocal Agreement between the Redevelopment Agency of Draper City and South Valley Sewer, and (h) Interlocal Agreement between the Redevelopment Agency of Draper City and The South Salt Lake Valley Mosquito Abatement District. These documents define the duration and use of property tax increment generated within the Project Area as well as conditions and obligations by the Agency and each participating taxing entity. The original purpose of the Frontrunner Project Area was to create a transit supportive development around the Frontrunner station in the City. The Frontrunner Project Area includes approximately acres located in the southwest portion of the City at I-15 around the Frontrunner Station and track. The initial base year value of the Project Area was $6,055,340. The land use within the project area is envisioned to be a high density residential mixed-use pedestrian friendly development. The Frontrunner Project Area began receiving increment in FY 2016 and is scheduled to run through FY Page 54

58 SOURCES OF FUNDS Table 7.2: Sources of Funds 2018 SOURCES OF FUNDS Property Tax Increment $2,729,013 Total Sources of Funds $2,729,013 Table 7.3: Tax Increment Levels TAX INCREMENT LEVEL Years % % Salt Lake County (Library) 70% Canyons School District % All other Taxing Entities USES OF FUNDS Table 7.4: Uses of Funds 2018 USES OF FUNDS CDA Administration $62,057 Infrastructure Reimbursements $2,666,957 Total Use of Funds $2,729,013 Page 55

59 PROJECT AREA REPORTING AND ACCOUNTABILITY COMPARISON OF FORECASTED AND ACTUAL TAX INCREMENT Table 7.6: Realization of Tax Increment REALIZATION OF TAX INCREMENT ACTUAL FORECASTED TAX INCREMENT GENERATED IN PROJECT AREA % OF PROJECTION Property Tax Increment FY 2018 $2,729,013 $2,815, % GROWTH IN ASSESSED VALUE Table 7.7: Growth in Assessed Value GROWTH IN ASSESSED VALUE ASSESSED VALUES IN PROJECT AREA CURRENT YEAR PRIOR YEAR GROWTH RATE AAGR Annual Growth in Project Area (2017 vs. 2016) $354,239,436 $226,211, % 56.60% Lifetime Growth in Project Area (2017 vs. Base) $354,239,436 $6,055,340 5,750% 125% ASSESSED VALUES IN DRAPER CITY Annual Growth in Draper City (2017 vs. 2016) $5,391,263,010 $4,854,707, % 11.05% Lifetime Growth in Draper City (2017 vs. 2012) $5,391,263,010 $3,304,652, % 10.28% BENEFITS DERIVED BY PARTICIPATING TAXING ENTITIES Table 7.8: Benefits to Taxing Entities BENEFITS TO TAXING ENTITES *Increased Property Tax Revenues *Higher growth in tax base compared to non-rda areas The primary benefit experienced by the participating taxing entities is increased property tax revenue due to increased property values. The most significant financial benefit to the taxing entities will be realized when the life of the Project Area expires. At that point the Agency will no longer receive tax increment and the taxing entities will receive property tax income based on the full assessed value in the Project Area. Table 7.9: Growth in Tax Increment GROWTH IN TAX INCREMENT TAX INCREMENT FROM PROJECT AREA ORIGINAL BUDGET ACTUAL REVENUE BASE YEAR VALUE ACTUAL % ABOVE BASE Fiscal Year 2018 NA $2,729,013 $71,950 3,793% Lifetime Revenue ( ) NA $5,446,784 $221,003 2,465% PASS THROUGH INCREMENT (ABOVE BASE) Fiscal Year 2018 NA $1,408,110 $71,950 1,957% Lifetime Revenue ( ) NA $1,315,969 $221, % Page 56

60 NOTABLE DEVELOPMENT AND FUTURE PROJECTS The Agency anticipates hundreds of thousands of additional office space square feet and multi-family residential complexes within the Frontrunner CDA over the next five to ten years. Notable current businesses include: Ebay Storagecraft Contacts Vista Station Progressive Leasing Prosper Healthcare Lending Tesla Jet Thumbtack CSS Corp Parc West Luxury Apartments Dell EMC TruHearing Table 7.10: Developed and Undeveloped Acreage FRONTRUNNER CDA ACREAGE PERCENTAGE Developed % Undeveloped % Total % There are 488 housing units within the FrontRunner Project Area. These housing units comprise acres of the total Project Area. Table 7.11: Residential Development FRONTRUNNER CDA ACREAGE PERCENTAGE Residential Development % Non-Residential Development % Total % FORECASTED PROJECT AREA BUDGET UPDATE The multi-year budget attached to this document and summarized below displays revenues in the fiscal year received rather than the calendar year collected. Table 7.12: Project Area Budget PROJECT AREA BUDGET FY TOTALS Property Tax Increment $164,332,618 Total Revenue $164,332,618 EXPENDITURES TOTALS CDA Administration $3,468,272 Infrastructure Reimbursement $160,864,346 Total Expenditures $164,332,618 Page 57

61 OTHER ISSUES The Agency has not identified any major issues within the Frontrunner CDA. All relevant information for the Project Area has been outlined in this section of the 2018 Annual Report. PROJECT AREA ANNUAL AND MULTI-YEAR BUDGETS The following four sheets represent the FY 2018, FY 2019, FY 2020 and multi-year budget from 2016 to Page 58

62 Frontrunner 2018 Annual Budget 2018 ASSESED VALUATION Tax Year 2017 Payment Year 2018 Draper Tax District 55E 354,239,436 Base Year Value (6,055,340) Incremental Value 348,184,096 TAX INCREMENT ANALYSIS Incremental Property Tax Rates Combined Rate Tax Increment & Participation Rates Tax Increment 2,941,128 Less Tax Increases (196,105) Prior Year Adjustments (16,010) Total Tax Increment 2,729,013 Increment Rate (County & School District) 70% Increment Rate (All other Taxing Entities) 75% Property Tax Increment 2,729,013 Total Revenue 2,729,013 EXPENDITURES Increment Fund RDA Administration 62,057 Infrastracture 2,666,957 Total Expenditures 2,729,013 Page 59

63 Frontrunner 2019 Annual Budget 2019 ASSESED VALUATION Tax Year 2018 Payment Year 2019 Draper Tax District 55E 531,359,154 Base Year Value (6,055,340) Incremental Value 525,303,814 TAX INCREMENT ANALYSIS Incremental Property Tax Rates Combined Rate Tax Increment & Participation Rates Tax Increment 4,286,768 Less Tax Increases - Prior Year Adjustments - Total Tax Increment 4,286,768 Increment Rate (County & School District) 70% Increment Rate (All other Taxing Entities) 75% Property Tax Increment 4,286,768 Total Revenue 4,286,768 EXPENDITURES Increment Fund RDA Administration 90,473 Infrastracture 4,196,295 Total Expenditures 4,286,768 Page 60

64 Frontrunner 2020 Annual Budget 2020 ASSESED VALUATION Tax Year 2019 Payment Year 2020 Draper Tax District 55E 797,038,731 Base Year Value (6,055,340) Incremental Value 790,983,391 TAX INCREMENT ANALYSIS Incremental Property Tax Rates Combined Rate Tax Increment & Participation Rates Tax Increment 6,454,860 Less Tax Increases - Prior Year Adjustments - Total Tax Increment 6,454,860 Increment Rate (County & School District) 70% Increment Rate (All other Taxing Entities) 75% Property Tax Increment 6,454,860 Total Revenue 6,454,860 EXPENDITURES Increment Fund RDA Administration 136,231 Infrastracture 6,318,628 Total Expenditures 6,454,860 Page 61

65 Frontrunner Ongoing Budget Multi-Year Project Area Budget Projections <========= Historic Projected ============> Tax Year Payment Year TOTALS TAXABLE VALUATION: FrontRunner Property Value $ 115,618,488 $ 226,211,513 $ 354,239,436 $ 531,359,154 $ 797,038,731 ############ $ 1,265,459,197 $ 1,265,459,197 $ 1,265,459,197 $ 1,265,459,197 $ 1,265,459,197 $ 1,265,459,197 $ 1,265,459,197 $ 1,265,459,197 $ 1,265,459,197 $ 1,265,459,197 $ 1,265,459,197 $ 1,265,459,197 $ 1,265,459,198 $ 1,265,459,199 Total Assesed Value: $ 115,618,488 $ 226,211,513 $ 354,239,436 $ 531,359,154 $ 797,038,731 ############ $ 1,265,459,197 $ 1,265,459,197 $ 1,265,459,197 $ 1,265,459,197 $ 1,265,459,197 $ 1,265,459,197 $ 1,265,459,197 $ 1,265,459,197 $ 1,265,459,197 $ 1,265,459,197 $ 1,265,459,197 $ 1,265,459,197 $ 1,265,459,198 $ 1,265,459,199 FrontRunner Base Year Value (2012) $ (6,055,340) $ (6,055,340) $ (6,055,340) $ (6,055,340) $ (6,055,340) $ (6,055,340) $ (6,055,340) $ (6,055,340) $ (6,055,340) $ (6,055,340) $ (6,055,340) $ (6,055,340) $ (6,055,340) $ (6,055,340) $ (6,055,340) $ (6,055,340) $ (6,055,340) $ (6,055,340) $ (6,055,340) $ (6,055,340) Total FrontRunner Incremental Assessed Value $ 109,563,148 $ 220,156,173 $ 348,184,096 $ 525,303,814 $ 790,983,391 ############ $ 1,259,403,857 $ 1,259,403,857 $ 1,259,403,857 $ 1,259,403,857 $ 1,259,403,857 $ 1,259,403,857 $ 1,259,403,857 $ 1,259,403,857 $ 1,259,403,857 $ 1,259,403,857 $ 1,259,403,857 $ 1,259,403,857 $ 1,259,403,858 $ 1,259,403,859 Tax Rate: 55E Salt Lake County Canyons School District Draper City South Salt Lake Mosquito Abatement District Jordan Valley Water Conservancy District South Valley Sewer District Central Utah Water Conservancy District Salt Lake County Library Total Combined Rate Total Property Tax Increment $ 1,434,182 $ 2,675,778 $ 4,137,123 $ 6,031,538 $ 9,082,071 $ 13,657,871 $ 14,460,475 $ 14,460,475 $ 14,460,475 $ 14,460,475 $ 14,460,475 $ 14,460,475 $ 14,460,475 $ 14,460,475 $ 14,460,475 $ 14,460,475 $ 14,460,475 $ 14,460,475 $ 14,460,475 $ 14,460,475 $ 239,465,215 Percent of County & School District Tax Increment for Project70% 70% 70% 70% 70% 70% 70% 70% 70% 70% 70% 70% 70% 70% 70% 70% 70% 70% 70% 70% Percent of Other Entities Tax Increment 75% 75% 75% 75% 75% 75% 75% 75% 75% 75% 75% 75% 75% 75% 75% 75% 75% 75% 75% 75% Tax Increment to RDA $ 955,272 $ 1,902,557 $ 2,941,128 $ 4,286,768 $ 6,454,860 $ 9,706,997 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 170,131,575 Less Tax Increases $ - $ (125,289) $ (196,105) $ (321,394) Prior Year Adjustments $ - $ (14,769) $ (16,010) $ (30,779) Total Revenue $ 955,272 $ 1,762,499 $ 2,729,013 $ 4,286,768 $ 6,454,860 $ 9,706,997 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 169,779,402 EXPENDITURES Administration $ 21,513 $ 40,137 $ 62,057 $ 90,473 $ 136,231 $ 204,868 $ 216,907 $ 216,907 $ 216,907 $ 216,907 $ 216,907 $ 216,907 $ 216,907 $ 216,907 $ 216,907 $ 216,907 $ 216,907 $ 216,907 $ 216,907 $ 216,907 3,591,978 Infrastructure $ 933,759 $ 1,722,362 $ 2,666,957 $ 4,196,295 $ 6,318,628 $ 9,502,129 $ 10,060,521 $ 10,060,521 $ 10,060,521 $ 10,060,521 $ 10,060,521 $ 10,060,521 $ 10,060,521 $ 10,060,521 $ 10,060,521 $ 10,060,521 $ 10,060,521 $ 10,060,521 $ 10,060,521 $ 10,060, ,187,424 Total Uses $ 955,272 $ 1,762,499 $ 2,729,013 $ 4,286,768 $ 6,454,860 $ 9,706,997 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 10,277,428 $ 169,779,402 Page 62

66 FRONTRUNNER CDA MAP Page 63