Laserfiche WebLink
llratt <br />Kay Honeycutt <br />From: John Day <br />Sent: Thursday, September 13, 2007 9:41 AM <br />To: BOC <br />Cc: Pam Dubois; Kay Honeycutt; Mike Downs; Richard Koch; Jonathan Marshall; <br />EDeines@independenttribune.com; Durhams, Sharif; Steve.Cordell@hmw.com; <br />Joe.Niggel@ubs.com <br />Subject: County TIF Projects <br />Attachments: TIF.pdf <br />Page 1 of 2 <br />Commissioners, <br />Below is an analysis of the attached document, prepared by Steve Cordell and Joe Niggel, the <br />county's bond attorney and underwriter, respectively. This information is provided pursuant to <br />your discussions at the agenda meeting. <br />John Day <br />County Manager <br />Cabarrus County <br />PO Box 707 <br />Concord, NC 28026-0707 <br />704-920-2895, voice <br />704-920-2820, fax <br />From: Steve Cordell [mailto:Steve.Cordell@hmw.com] <br />Sent: Wednesday, September 12, 2007 1:00 PM <br />To: John Day; Pam Dubois <br />Cc: ]oe.Niggel@ubs.com <br />Subject: County 7IF Projects <br />John: <br />Based on our review of the potential project list suggested by the Cabarrus County Board of Commissioners, the <br />following comments are provided for your consideration: <br />1) They are correct that there's no specific statutory authorization for "senior centers" per se. However, under <br />159-48(b)(3) -there is TIF authority for "... facilities for exhibitions, athletic and cultural events, shows and public <br />gatherings." In 159-48(b)(13), you can do parks and rec facilities, including "recreation centers." So, dependent <br />upon the activities that would take place at the Senior Center, the "public gathering" and "recreation center" <br />language may provide some statutory authority to do at least portions of a Senior Center. However, this distinction <br />is largely rendered moot by the rational nexus concerns (unless those can also be overcome). <br />2) On the Cabarrus Health Alliance facility: While not entirely certain of the basis for their concern about the rent <br />provision, our guess is that they are trying to avoid having a "private payment" for the facility. If that is the case, <br />you might not have to completely forgo collecting any rent -the applicable federal treasury regulations permit you <br />to exclude from payments "ordinary and necessary expenses directly attributable to the operation and <br />maintenance of the financed property..." So, you wouldn't have to provide to tenant entirely rent free. <br />9/17/2007 <br />~-v <br />