COMMITTEE SUBSTITUTE FOR ORDINANCE NO. 941450

Approving and designating Shoal Creek Parkway Redevelopment Project G of the Shoal Creek Parkway Tax Increment Financing Plan as a Redevelopment Project and adopting tax increment financing therefor.

WHEREAS, the City Council of Kansas City, Missouri by Ordinance No. 54556 passed on November 24, 1982 and 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 November 10, 1994, the City Council passed Ordinance No. 941443, which approved the Shoal Creek Parkway Tax Increment Financing Plan ("Redevelopment Plan") and designated the Redevelopment Area as a conservation area; and

WHEREAS, an amendment to the Redevelopment Plan entitled "The First Amendment to the Shoal Creek Tax Increment Financing Plan" ("First Amendment") affecting the area described therein was proposed to the Commission; and

WHEREAS, the First Amendment expanded the boundaries of the Redevelopment Area and provided for the use of tax increment financing revenues to assist in financing construction of certain portions of Shoal Creek Parkway and sidewalks, street lights and appurtenances; and

WHEREAS, the Commission having 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 August 13, 1997 and on August 13, 1997, adopted Resolution No. 8_5_97 ("Resolution") recommending that the City Council approve the First Amendment and designate the area described therein as a Redevelopment Area under the Act; and

WHEREAS, on October 2, 1997, the Council passed Ordinance No. 971310, approving the First Amendment to the Shoal Creek Tax Increment Financing Plan and designating an expanded Redevelopment Area; and

WHEREAS, the Redevelopment Plan and ordinance contemplates the implementation of the Redevelopment Plan through eleven (11) 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. 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 G, legally described as follows:

All of that Part of the Southeast Quarter and the Southeast Quarter of the Southwest Quarter of Section 11, Township 51, Range 32, and the Northwest Quarter of the Northeast Quarter of Section 14, Township 51, Range 32, Kansas City, Clay County, Missouri, as described as follows: Beginning at the intersection of the south right_of_way line of N.E. Barry Road and the east right_of_way line of N.E. Flintlock Road; thence southerly and southwesterly along the easterly right_of_way line of N.E. Flintlock Road to a point 580 feet, more or less, northeasterly of the South line of Section 11, Township 51, Range 32; thence South 61 degrees 56 minutes 19 seconds East, a distance of 944.48 feet to the westerly right_of_way line of Interstate Route

35; thence northeasterly along the westerly right_of_way of Interstate Route 31 to the westerly right_of_way line of N. Church Road; thence northerly and northwesterly along the westerly right_of_way line of N. Church Road to the south right_of_way line of N.E. Barry Road; thence west along the south right_of_way line of N.E. Barry Road to the Point of Beginning.

is approved and designated as Shoal Creek Parkway Redevelopment Project Area G, effective December 14, 1995. The actions of all City officials and the Tax Increment Financing Commission of Kansas City, Missouri, in allocating, paying, depositing, receiving and/or disbursing payments in lieu of taxes or economic activity taxes in accordance with Sections 3 and 4 of this ordinance, but prior to the effective date of this ordinance, are hereby ratified and approved.

Section 3. Tax increment allocation financing is hereby adopted for taxable real property in the above described area selected for Shoal Creek Parkway Redevelopment Project Area G. After the total equalized assessed valuation of the taxable real property in Shoal Creek Parkway Redevelopment Project Area G exceeds the certified total initial equalized assessed valuation of the taxable real property in Shoal Creek Parkway Redevelopment Project Area G, 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 Section 2 of this ordinance until redevelopment costs have been paid or until tax increment financing is no longer in effect, whichever first occurs, 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 of real property in the area selected for Shoal Creek Parkway Redevelopment Project Area G 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 Shoal Creek Parkway Redevelopment Project Area G over and above the initial equalized assessed value of each such unit of property in the area selected for Shoal Creek Parkway Redevelopment Project Area G 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 sixty (60) days of the due date shall be deemed delinquent and shall be assessed a penalty of one percent (1%) per month.

Section 4. In addition to the payments in lieu of taxes described in subsection 2 of Section 3 above, fifty percent (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 Shoal Creek Parkway Redevelopment Project Area G over the amount of such taxes generated by economic activities within such area in the calendar year prior to the effective date of Section 2 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 (Economic Activity 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.

_____________________________________________

Approved as to form and legality:

___________________________________

Assistant City Attorney