COMMITTEE SUBSTITUTE FOR ORDINANCE NO. 001589

Approving and designating Project Area 3B-2 of the Parvin Road Corridor Tax Increment Financing Plan as a Redevelopment Project and adopting tax increment financing therein.

WHEREAS, the City Council of Kansas City, Missouri by Ordinance No. 54556, passed on November 24, 1982, and thereafter repealed and amended in certain respects by Committee Substitute to Ordinance No. 911076, as amended, passed on August 29, 1991, created the Tax Increment Financing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 December 14, 2000, the City Council passed Ordinance No. 001638, which approved the Parvin Road Corridor Tax Increment Financing Plan and designated the Redevelopment Area as an economic development area (the Redevelopment Plan); and

WHEREAS, the Redevelopment Plan and ordinances contemplate the implementation of the Redevelopment Plan through four separate Redevelopment Project Areas 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. All terms used in this ordinance shall be construed as defined in Sections 99.800 to 99.865 of the Revised Statutes of Missouri, as amended.

Section 2. The area selected for Parvin Road Corridor Redevelopment Project Area 3B-2 legally described as follows:

All that part of Section 2 and 11, Township 50, Range 32, Kansas City, Clay County, Missouri, being described as follows: Commencing at the Southwest corner of the Southwest Quarter of said Section 2; thence South 89^o2430 East, along the South line of said Southwest Quarter, 1355.12 feet to the True Point of Beginning of the tract to be herein described; thence North 01^o1551 West, 508.68 feet; thence North 73^o0934 East, 218.63 feet; thence North 0^o0000 East, 228.71 feet; thence North 45^o0000 East, 76.33 feet; thence North 0^o0000 East, 334.76 feet; thence North 90^o0000 East, 607.33 feet; thence South 11^o1133 East, 483.97 feet; thence South 59^o4323 East, 238.77 feet; thence South 89^o0525 East, 430.18 feet; thence South 0^o5435 West, 76.50 feet; thence South 89^o1630 East, 165.00 feet; thence South 0^o3953 West, 148.55 feet; thence North 88^o4112 West, 525.49 feet; thence North 75^o4826 West, 239.64 feet; thence South 49^o4029 West, 302.12 feet; thence South
0^o3622 West, 968.39 feet; thence North 89^o3417 West, 737.38 feet; thence North 01^o1551 West, 727.47 feet to the True Point of Beginning. Containing 37.25 acres, more or less.

is approved and designated as Parvin Road Corridor Project Area 3B-2 (the "Redevelopment Project").

Section 3. Tax increment allocation financing is hereby adopted for taxable real property in the above described area selected for the Redevelopment Project. After the total equalized assessed valuation of the taxable real property in the Redevelopment Project exceeds the certified total initial equalized assessed valuation of the taxable real property in the Redevelopment Project, the ad valorem taxes, and payment in lieu of taxes, if any, arising from the levies upon the taxable real property in such project by taxing districts and tax rates determined in the manner provided in subsection 2 of Section 99.855 each year after the effective date of the ordinance until redevelopment costs have been paid shall be divided as follows:

1. That portion of taxes levied upon each taxable lot, block, tract, or parcel of real property which is attributable to the initial equalized assessed value of each such taxable lot, block, tract or parcel or real property in the area selected for the Redevelopment Project shall be allocated to and, when collected, shall be paid by the Clay County Collector and the City Treasurer to the respective affected taxing districts in the manner required by law in the absence of the adoption of tax increment allocation financing;

2. Payments in lieu of taxes attributable to the increase in the current equalized assessed valuation of each taxable lot, block, tract, or parcel of real property in the area selected for the Redevelopment Project over and above the initial equalized assessed value of each such unit of property shall be allocated to and, when collected, shall be paid to the City Treasurer who shall deposit such payment in lieu of taxes into a special fund called the "Special Allocation Fund" of the City for the purpose of paying Redevelopment Project Costs and obligations incurred in the payment thereof. Any payments in lieu of taxes which are not paid within 60 days of the due date will be deemed delinquent and assessed a penalty of 1% per month.

Section 4. In addition to the payments in lieu of taxes described in subsection 2 of Section 3 above, 50% of the total additional revenue from taxes which are imposed by the City or taxing districts, and which are generated by economic activities within the area selected for the Redevelopment Project over the amount of such taxes generated by economic activities within such area in the calendar year prior to the adoption of this ordinance, while tax increment financing remains in effect, but excluding taxes imposed

on sales of charges for sleeping rooms paid by transient guests of hotels and motels, licenses, fees or special assessments and personal property taxes, other than payments in lieu of taxes, shall be allocated to, and paid by the collecting officer to the City Treasurer or other designated financial officer of the City, who shall deposit such funds in a separate segregated account within the Special Allocation Fund.

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Approved as to form and legality:

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Heather A. Brown

Assistant City Attorney