Laserfiche WebLink
.REPORT TO REDEVELOI- ..~NT BOARD... April 22, 1996 <br /> <br /> Attachment 5 <br /> <br /> Formulae for Calculation of Property and Sales Tax Subsidy Relating to Sequoia Station <br /> <br /> Expressed as a formula, the tax increment subsidy was as follows: <br /> The formula: <br /> <br /> TI = TRIrY - [$41,771 + 20% of TRPT] <br /> <br /> Where: <br /> <br /> TI - total payment to developer from real property taxes from the project site for <br /> the year in question, to the maximum amount of $300,000. <br /> <br /> TRPT -- total real property taxes received by Agency from the project site for the <br /> year in question. <br /> <br /> $41,771 -- this figure, from the DDA, represents the amount of real property taxes <br /> generated by the project site for the year prior to execution of the DDA. <br /> <br /> If the preceding formula did not result in a payment to the developer of $300,000, <br /> then the following sales and use tax formula was to be used to calculate the amount <br /> of the City's contribution to the subsidy: <br /> <br /> The formula: <br /> <br /> S & UT = [tS &UT - SlSfS04I <br /> 2 <br /> <br /> Where: <br /> <br /> S & UT - total amount from sales and use taxes received by City from the project <br /> site in the given year, necessary to be added to TI from the preceding formula to <br /> make a total of $300,000. <br /> <br /> TS & UT - total amount of sales and use tax received by City from businesses in <br /> the project site in the given year. <br /> <br /> $18,504 - this figure represents the amount of sales and use taxes received by the <br /> City from the project site in the year prior to execution of the DDA; the figure <br /> appears in the definition of "Sales and Use Tax" found in Attachment No. 1 of <br /> DDA. <br /> <br /> <br />