ORDINANCE NO. 990347

Approving and designating Redevelopment Project A of the Savoy Hotel Tax Increment Financing Redevelopment Plan, as a Redevelopment Project, and adopting tax increment financing therein.

WHEREAS, pursuant to the Real Property Tax Increment Allocation Redevelopment Act, Sections 99.800 to 99.865 of the Revised Statutes of Missouri, 1986, as amended ("the Act"), the City Council of Kansas City, Missouri by Ordinance No. 54556 passed on November 24, 1982 and thereafter repealed and amended in certain respects by Committee Substitute to Ordinance No. 911076 as amended passed on August 29, 1991, created the Tax Increment Financing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 _________________, 1999, the City of Kansas City, Missouri, adopted the Savoy Hotel Tax Increment Financing Plan by Ordinance No.990346, which approved the Redevelopment Plan, (hereinafter the "Redevelopment Plan") and designated the Redevelopment Area, described therein, as a conservation area; and

WHEREAS, the Redevelopment Plan, as it may be amended from time to time in accordance with the Act, contemplates implementation through three (3) separate Redevelopment Projects, and the adoption of tax increment financing in the area selected for each Redevelopment Project; 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 Redevelopment Project A is legally described as follows:

Beginning at the intersection of the south right-of-way line of 9th Street and the east right-of-way line of Central Street; thence east along the south right-of-way line of 9th Street to the west line of the north-south alley lying between Central Street and Wyandotte Street; thence south along the west line of the north-south alley lying between Central Street and Wyandotte Street to the south lot line of Lot 18, Block 3, ASHBURNS ADDITION; thence west along the south lot line of Lot 18, Block 3, ASHBURNS ADDITION to the east right-of-way line of Central Street; thence north along the east right-of-way line of Central Street to the south right-of-way line of 9th Street, the point of beginning, all now included in and a part of Kansas City, Jackson County, Missouri.

Legal: LOTS 18, 19, 20, 21 and 22, BLOCK 3, ASHBURNS ADDITION, a subdivision in Kansas City, Jackson County, Missouri.

which area is approved and designated as Redevelopment Project A (hereinafter referred to herein as "Project A"). Project A includes only those parcels of real property and improvements thereon which will be directly and substantially benefitted by the Redevelopment Project improvements therein.

Section 3. Tax increment allocation financing is hereby adopted for taxable real property in the above-described area selected for Project A. After the total equalized assessed valuation of the taxable real property in Project A exceeds the certified total initial equalized assessed valuation of the taxable real property in the Project A, 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 penalties and interest 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 Project A shall be allocated to and, when collected, shall be paid by the Jackson 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 Project A, and any applicable penalty and interest 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 penalties and interest which are imposed by the City or taxing districts, and which are generated by economic activities within the area selected for the Project A 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 personal property taxes, taxes imposed on sales of charges for sleeping rooms paid by transient guests of hotels and motels, taxes levied pursuant to Section 70.500 RSMo, taxes levied pursuant to Section 94.660 RSMo licenses, fees or special assessments and personal property taxes, other than payments in lieu of taxes, and penalties and interest thereon shall be allocated to, and paid by the local political subdivision 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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Assistant City Attorney