Resolution 5365 - Using TIF Funds for SID Payment - Old School Station - FedExRESOLUTION NO.5365
A RESOLUTION AUTHORIZING THE USE OF TAX INCREMENT FINANCING
FUNDING FROM THE OLD SCHOOL STATION TECHNOLOGY DISTRICT FOR
APPLICATION TO SPECIAL IMPROVEMENT DISTRICT ASSESSMENTS FOR FEDEX
GROUND INC. INVESTMENT IN THAT DISTRICT.
WHEREAS, Devron Property Services, Inc. is a private sector developer that was recently
awarded the development contract for FedEx Ground to invest in a facility to be
potentially located in the Old School Station Technology Tax Increment Financing
[TIF] District; and
WHEREAS, the business of FedEx Ground meets the statutory criteria for eligibility for TIF
funding for the reason that its operations are technology based and, through the
employment of knowledge and labor, value will be added to product, process or
export service through more efficient package handling and sophisticated supply
chain visibility that reduces the cost of shipping which results in additional wealth to
those sending and receiving goods and which at least 50% of all sales occur outside
of the State of Montana; and
WHEREAS, the parcel of property that Devron Property Services, Inc. intends to develop is
subject to Special Improvement District [SID] assessments which are applied to
payments on the bond that funded the construction of public infrastructure within the
Old School Station Technology TIE District; and
WHEREAS, the SID assessments on the parcels within the Old School Station Technology TIF
District are eligible under state law for reimbursement with TIF funds; and
WHEREAS, the Kalispell City Council finds that the FedEx Ground facility developed by Devron
Property Services, Inc., would be a beneficial use within the Old School Station
Technology TIF District and that it would be in the best interests of the City to make
use of TIF funds for the reimbursement of all or some portion of the SID assessments
otherwise paid or payable by Devron Property Services, Inc. or FedEx Ground, Inc.
within the Old School Station Technology TIF District.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
KALISPELL, AS FOLLOWS:
SECTION I. That the City Manager is hereby authorized and directed to confer with
representatives from Devron Property Services, Inc. and/or FedEx Ground,
Inc. for the purposes of negotiating a Developers Agreement that is in the best
interests of the City and is consistent with the findings of the City Council.
PASSED AND APPROVED BY THE CITY COUNC�WXND SIGNED BY THE MAYOR OF THE
CITY OF KALISPELL, THIS 18TH DAY OF MAY,/2009
Pamela B. Ken , y
ATTEST: Mayor
Theresa White
City Clerk