COMMITTEE SUBSTITUTE FOR ORDINANCE NO. 080642

Accepting the recommendations of the Tax Increment Financing Commission as to the Fifth Amendment to the Southtown Corridor/31st & Baltimore Tax Increment Financing Plan and approving the Fifth Amendment to the Southtown Corridor/31st & Baltimore Tax Increment Financing Plan.

WHEREAS, the Council by Ordinance No. 54556 passed on November 24, 1982, which was thereafter amended in certain respects by Committee Substitute for Ordinance No. 911076, as amended, passed on August 29, 1991, created the Tax Increment Financing Commission of Kansas City, Missouri (the "Commission"); and 

WHEREAS, on March 19, 1994, the City Council passed Ordinance No. 940564, wherein the City Council approved the Southtown Corridor/31st & Baltimore Tax Increment Financing Redevelopment Plan (Redevelopment Plan), designated the area described therein as a Redevelopment Project Area and adopted tax increment financing therein; and  

WHEREAS, on March 27, 2003, the City Council passed Committee Substitute for Ordinance No. 030259 approving the First Amendment to the Redevelopment Plan; and  

WHEREAS, on May 4, 2006, the City Council passed Ordinance No. 060470, approving the Second Amendment to the Redevelopment Plan; and  

WHEREAS, on February 8, 2007, the City Council passed Ordinance No. 070140, approving the Third Amendment to the Redevelopment Plan; and  

WHEREAS, on July 12, 2007, the City Council passed Ordinance No. 070659, approving the Fourth Amendment to the Redevelopment Plan; and  

WHEREAS, said Commission has been duly constituted and its members appointed; and, after all proper notice was given, the Commission met in public hearing and after receiving the comments of all interested persons and taxing districts, closed said public hearing on April 9, 2008, and adopted Resolution 4-11-08, recommending to the City Council the approval of the Fifth Amendment to the Southtown Corridor/31st & Baltimore Tax Increment Financing Plan (the "Fifth Amendment"); and  

WHEREAS, the Fifth Amendment provides for certain revisions pertaining to the budget for Project I in connection the issuance of $11,045,00.00 of Tax Increment Revenue Bonds (Kansas City, Missouri-MainCor Project) which would fund certain improvements related to the Main Street Improvement Area Project; and

WHEREAS, the Redevelopment Plan, as amended, is a comprehensive program intended to reduce or eliminate those conditions, the existence of which qualified the Redevelopment Area as a Conservation Area and enhance the tax base within the Redevelopment Area through the implementation of a number of separate Redevelopment Projects and the adoption of tax increment financing in each of the areas selected for such Redevelopment Projects; NOW, THEREFORE,  

BE IT ORDAINED BY THE COUNCIL OF KANSAS CITY:  

Section 1. The recommendation of the Commission concerning the Fifth Amendment to the Redevelopment Plan as set forth in the resolution attached hereto as Exhibit "A" is hereby accepted and the Fifth Amendment to the Redevelopment Plan, a copy of which is attached hereto as Exhibit "B" dated July 30, 2008, is hereby approved and adopted as valid and the Redevelopment Projects contained therein are hereby authorized.  

Section 2. All terms used in this ordinance shall be construed as defined in Section 99.800 to 99.865 of the Revised Statutes of Missouri, as amended.  

Section 3. The City Council hereby finds that:  

(a) Good cause has been shown for amendment of the Redevelopment Plan, and that the findings of the City Council in Ordinance Nos. 940564, 030259, 060470, 070140 and 070659 with respect to the Redevelopment Plan are not affected by the Fifth Amendment and apply equally to the Fifth Amendment; 

(b) The Redevelopment Area as a whole is a conservation area, and has not been subject to growth and development through investment by private enterprise and would not reasonably be anticipated to be developed without the adoption of the Redevelopment Plan, as amended; 

(c) The Redevelopment Plan, as amended, conforms to the comprehensive plan for the development of the City as a whole; 

(d) The areas selected for redevelopment projects include only those parcels of real estate and improvements thereon which will be directly and substantially benefited by the Redevelopment Project improvements; 

(e) The estimated dates of completion of the respective Redevelopment Projects and retirement of any obligations incurred to finance Redevelopment Project Costs, have been stated in the Redevelopment Plan, as amended, and are not more than 23 years from the adoption of any ordinance approving a Redevelopment Project within the Redevelopment Area; 

(f) A plan has been developed for relocation assistance for businesses and residences;  

(g) A cost benefit analysis showing the impact of the Fifth Amendment on each and every district which is at least partially within the boundary of the Redevelopment Area, has been prepared in accordance with the Act; and

(h) The Redevelopment Plan, as amended, does not include the initial development or redevelopment of any gambling establishment.

Section 4. The Commission is authorized to issue obligations in one or more series of bonds secured by the Southtown Corridor/31st & Baltimore Account of the Special Allocation Fund to finance Redevelopment Project Costs within the Redevelopment Area, and subject to any constitutional limitations, to acquire by purchase, donation, lease or eminent domain, own, convey, lease, mortgage, or dispose of, land or other property, real or personal, or rights or interests therein, and grant or acquire licenses, easements and options with respect thereto, all in the manner and at such price the Commission determines, to enter into such contracts and take all such further actions as are reasonably necessary to achieve the objectives of the Redevelopment Plan, as amended, pursuant to the power delegated to it in Ordinance No. 54556. Any obligations issued to finance Redevelopment Project Costs shall contain a recital that they are issued pursuant to Sections 99.800 to 99.865, which recital shall be conclusive evidence of their validity and of the regularity of their issuance.  

Section 5. Pursuant to the provisions of the Redevelopment Plan, the City Council approves the pledge of all funds generated from Redevelopment Projects that are deposited into the Southtown Corridor/31st & Baltimore Account of the Special Allocation Fund to the payment of Redevelopment Project Costs within the Redevelopment Area and authorizes the Commission to pledge such funds on its behalf.  

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Approved as to form and legality:

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Heather A. Brown

Assistant City Attorney