Title
Transformational Incentive Program Changes (B)
Explanation
The CRA has requested that the Transformational Projects Incentive Program be reviewed. Due to the number of issues that need to be discussed, staff has proposed dividing discussion of this program into two parts: first, a discussion of changes to the mechanics of the program, and second, a discussion of the financial formula for the program – the maximum financial participation, at the September CRA meeting.
At this time, the CRA has received three Transformational Projects Incentive Program applications. Three applications have been approved, one in the College Park/University Heights Redevelopment Area (University Corners) one in the Downtown Redevelopment Area (Jefferson on Second, and one in the Fifth Avenue/Pleasant Street Redevelopment Area (University House on 13th Street).
The Transformational Projects Incentive Program was created to help move key sites into redevelopment. These sites, located in various CRA areas, many of which were challenging for a variety of reasons, including difficult land assembly, environmental issues, and complex infrastructure or parking needs. The program is structured to explain to developers what the CRA expects and desires from redevelopment projects and to help quantify for the CRA which projects merited incentives.
The program lists specific redevelopment goals that projects must meet and provides a point system to evaluate the level of incentives for which the developer can qualify. Each Advisory Board created a unique points system for their area that focused on the issues they believe are key to redevelopment. The program also lists the types of public infrastructure, design, and land assembly expenses for which the CRA will reimburse the developer.
Over the past few years the CRA has moved to providing only back end incentives for projects. These incentives are paid for from the tax increment generated by the p...
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