Laserfiche WebLink
ECONOMIC DEVELOPMENT PROGRAM <br />Termination Of PEDC Board & Operations <br />As of July 31, 2017: <br />Operating Cash & Investments <br />Debt Reserves & I &S Fund <br />Total Cash & Investments <br />Obligations: <br />Daisy Dairy (through 2022) <br />Potters Industries <br />Paris Warehouse (through 2020) <br />Paris Lakes <br />Bond Debt <br />Results CO <br />Body Guard <br />Total obligations <br />Net amount <br />3,532,382.01 <br />712,904.38 <br />4,245,286.39 <br />664, 300.00 <br />16,000.00 <br />4,580,730.29 <br />250,000.00 <br />695,551.50 (final payment 09/01/18) <br />50,000.00 <br />25,000.00 <br />6,281,581.79 <br />(2,036,295.40) <br />Current sales tax revenue is about $1.4 million per year. Operating expenses of approximately $425,000 <br />annually are not included in the calculations above, so net revenue that can reasonably expected to be <br />received and used against outstanding liabilities are approximately $1 million each year. This suggests <br />that if the election does rescind the existing Type A sales tax, the PEDC itself may not be eliminated until <br />the third quarter of 2019, by which time sufficient funds should be reserved to satisfy all debts and <br />other financial obligations. <br />General Fund Budget Changes <br />Concurrent with road tax revenues beginning to be paid by the state comptroller to the city, the city <br />council will amend its General Fund budget, deleting the line items for materials (i.e.: 01- 0405 -45, <br />Bridges & culverts, $40,000; 01- 0406 -46, Storm sewers, $20,000; and 01- 407 -46, Street & alley repairs, <br />$540,000) totaling in 2017 -18 $600,000, on a prorated basis. Prorated amounts will then be placed into <br />a new Economic Development Fund, which will pay the cost of operations of a city- operated economic <br />development office. Funds not used for operating expenses may be used for grants and other ED <br />purposes, and /or reserved for future projects. <br />Any funds remaining from the PEDC after all its liabilities are extinguished shall be placed into the <br />Economic Development Fund, and set aside for ED purposes only, and thereby available for grants and <br />other ED purposes, and /or reserved for future projects. This shall have the practical effect of funding <br />economic development efforts at $600,000 per year, plus any additional funds reserved from the PEDC <br />or received from other sources, such as donations and grants. <br />