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APPOINTMENTS BY THE MAYOR

MARCH 13, 2018

Downtown Improvement Committee

Michael Watt, Alternate (New Appointment) Term to Expire: March 31, 2021
5 Strawberry Bank Road, Apt. 16

Nashua, NH 03062

Mine Falls Park Advisory Committee

Brian Edwards (Reappointment) Term to Expire: March 31, 2021

1 Rice Avenue
Nashua, NH 03060

| respectfully request that these appointments be confirmed.

Jim Donchess
Mayor

A special meeting of the Board of Aldermen was held Tuesday, March 6, 2018, at 7:02 p.m. in the
Aldermanic Chamber.

Vice President Brian S. McCarthy presided; City Clerk Patricia D. Piecuch recorded.
Prayer was offered by City Clerk Patricia D. Piecuch; Alderman Tom Lopez led in the Pledge to the Flag.

The roll call was taken with 13 members of the Board of Aldermen present; Alderman-at-Large Brian S. McCarthy
Alderman at-Large Michael B. O’Brien, Sr. and Alderman Jan Schmidt arrived after roll call at 7:078 p.m. and 7:27
p.m., respectively.

PUBLIC HEARING
O-18-006

EXPANDING THE TAX INCREMENT FINANCING DEVELOPMENT DISTRICT UNDER
RSA 162-K AND NRO 295-11, ESTABLISHED BY O-03-171 AND REPLACING THE
TAX INCREMENT FINANCING DEVELOPMENT PROGRAM AND FINANCING PLAN
ADOPTED BY R-03-197 AND R-04-58

As provided for in NRO 5-28, Tim Cummings, Director of Economic Development, and Sarah Marchant,
Director of Community Development a brief explanation on Ordinance O-18-006 prior to entertaining testimony
from the public.

Chairman Wilshire

Thank you for being here this evening and the floor is yours.

Director Cummings

Madam Chair thank you very much for having me. For the record, my name is Tim Cummings. I’m the
Director of Economic Development for the city and with me | have Sarah Marchant the Director of Community
Development. We're here this evening asking for your adoption of an expansion of our current TIF program to
include additional parcels along the riverfront. | have a quick presentation that | would like to go over with you
this evening which is a high level overview of TIF and the program specifically and then getting into the Nashua
program.

With that being said, TIF stands for Tax Increment Financing. It was established in the 1970s here in New
Hampshire. If you want to look at the enabling Statute that allows us to do it, it’s RSA 162-k. Essentially what
it does is it allows for us to capture the new tax dollars what we refer to as the increment and use it for specific
programs, projects and what not within a certain delineated area within a municipality. In preparation for this
meeting, | provided to you in advance an overview memo February of 2018. I’ve recently resupplied that to
you. It’s on your desks this evening which goes into a little more detail in terms of what the TIF is, how the TIF
works, and why the TIF is a useful tool, and how we currently use it here in the city. For those of you who may
or may not know, we currently have a TIF for the Riverwalk that goes around Peddlers Daughter and the
condominiums over by Jackson Falls. It was the start of what we hoped to be a more ambitious project and we
can talk a little bit about that a little later on.

| want to call your attention to the graphic on the second page of the district which goes into how it actually
works. | will speak to that in a little bit more detail in a few minutes but it essentially gets to the heart of the
conversation this evening which is the capturing of the increment — that’s that yellow visual. Enough about the
memo. I’m going to quickly put a YouTube video on which explains in more detail the general overview
concept of how TIF works. This is another part of the country but the TIF tool is used throughout the country
and this one in particular is in Indiana. | thought it did a great job in really crystalizing how you can use the TIF
economic development tool to your community's benefit.

Special Bd. of Aldermen — 03/6/2018 Page 2

Indiana’s YouTube video. “A city’s heart: bridges, tree-lined trails, emerald green parks, industry and
commerce, the unseen that hangs below, water, warmth, power all made possible by one common economic
thread — tax increment financing. A vibrant and independent community holds itself up by its bootstraps.
How? By skillfully obtaining funds to fortify growth and quality of life. Bootstrapping happens with tax
increment financing.

Tax increment financing is a way to pay for infrastructure. The idea is that we’re going to get the development
itself or the owners of the newly build industry or commercial buildings to actually pay for the infrastructure that
was required in order to allow them to locate in the community. A business pays taxes on the property it builds
upon. Those taxes go into the TIF to pay for the infrastructure that the business needs.

It’s the TIF that really pushes you over the edge to say we can do this. We can bring water and sewer to your
site. We can buy land and turn it over to you for $1 so you can build your building and have more equity going
forward and it’s easy for you to finance your building in order for you to be here.

TIF allows community leaders to be nimble, act quickly to put an offer on the table, and attract and expand new
business.

The feedback that we’ve always gotten here in Lafayette is how well this community works together and it’s
credible. I’m not originally from Indiana. When | came to this community, it was remarkable to me how well
people worked together. That’s in everything that’s accomplished in the community and most specifically when
it comes to economic development all hands on deck. Everyone works together to be able to put the packages
together to attract, retain, and help companies grow. It’s been a wonderful experience for us and | know for
others coming in much like our latest and newest addition to the community — GE Aviation.

Putting together the total incentive package between the State, County, and the City, TIF was a big piece of
that and it did help GE select the site as one of the sites to consider.

GE Aviation and neighboring Nanchan Aluminum Company needed a truck friendly boulevard to support their
businesses. TIF transformed a sleepy county road into a beautiful thoroughfare that meets the needs of
manufacturers and citizens.

We also used TIF money to upgrade. At the time it was County Road 350 South and now its Veterans
Memorial Parkway and that’s a very important connection to State Road 38 and I65 for there’s manufacturers
that are out there but is also one of the main thoroughfares for the public to get in and around Lafayette. We
use the tax increment financing dollars to take from a two lane county road into a four land boulevard and it
has landscaping, new lighting, and also trails and sidewalks along it.

Perdue Research Park in West Lafayette, Indiana, supports innovation, new startup businesses, and a high
quality work environment. The community and Perdue form a symbiotic partnership. Growth here was
stagnating until the TIF tool became available. The majority of growth took place after Perdue Research Park
became a TIF district.

With TIF funding with that being including a TIF district, the park has grown exponentially every year. We now
employ over 4,000 people. It is THE largest certified tech. park in the State of Indiana. It is one of the biggest
draws to this community.

Rural communities do not have the number of manufacturing plants that a city has yet through TIF, Carroll
County Indiana attracted Indiana Packers. The county’s new industrial park charmed a California food process
to locate there.

Back in 1992, Indiana Packer promised us that they would bring in roughly 200 — 400 employees and as of
today, their growth has went up to 2,100 employees working there.

Special Bd. of Aldermen — 03/6/2018 Page 3

We needed to be able to have those TIF dollars available to actually attract them here and the promises that
were made to invest those TIF dollars back into infrastructure improvements not only for them to establish
themselves here but also for future growth. Indiana Packers is actually in excess of 67 percent of water and
wastewater utilities.

The ability to have enough water to supply our needs and also enough proper pre-treatment and post
treatment for wastewater discharge allows us to continue operations and to expand in the future.

TIF helps existing companies expand. Corporations have plants located all over the world. They can choose
to expand anywhere. TIF monies helps weigh companies to grow in Indiana.

Many of our competitors chose Mexico simply because they have a lot lower labor rates and therefore their
overall costs for manufacturing could be lower. We at Subaru wanted to continue our success here in Indiana
and wanted to bring over the Impreza for production here. So we went to our parent company and said if we
were able to get support from the local government to help that level that playing field would it be possible to
bring the Impreza here and they agreed with us based on the fact that we got $1.2 million in infrastructure
improvements through tax increment financing in addition to $750,000 to help train our workers. Very
important to level that playing field.

Like Subaru, Alcoa sees the importance of continuing its success in Indiana. A driving factor in the decision to
add a new aluminum lithium plan to their Lafayette facility was the community's demonstrated commitment to
the manufacturer.

The competition for this facility was brisk. There were multiple locations within Alcoa that wanted to land the
facility. For Alcoa, it becomes a business decision as to which location to choose. The TIF grant was critical in
that it supported the business case for us that said this will be a lower cast facility than the others. It’s located
in a region in a County, in a State, in the City that wants to grow with Alcoa.

Typically infrastructure is equated with physical capital but there is also human capital. The workforce — a
prescreened and trained workforce enables a new or expanded plant to be up and running faster and smarter.
TIF provides funding to specifically train employees to fit the needs of manufacturers through an advanced
manufacturing program.

It was really the brainchild of a variety of people coming together to say what can we do to prepare the
workforce. Since the program began being offered here through our corporate college, it has now spread
across the State.

| think it’s important to know that the (inaudible) training program for certified production technicians holds the
students accountable for being on time, being there for every classroom session, participation, going through a
drug screen. All things that are important to an employer like Nanchan.

Speaking as the current Board Chairman for the Indiana Manufacturing Association, the access to the TIF
funding is critical important. Manufacturers across the State share similar challenges in finding the skilled
talent that they need for the jobs that they’re adding to their organizations or if the jobs are changing in their
organizations. Access to those dollars really helps in upgrading the skillsets by providing that special training
for individuals to fill those jobs across the State. | think it’s one of the things that separates us from a lot of
States.

Lafayette, Indiana, transformed a blighted, dangerous apartment complex into an inviting thriving
neighborhood.

Special Bd. of Aldermen — 03/6/2018 Page 4

Everyone was afraid. We didn’t go out at night. You didn’t send your children to play to the school because
they sat on the playground and sold drugs. | could watch them from my home and they were not shy about it.
There were thugs and thieves roaming the streets. You didn’t leave anything in your yard because it wouldn’t
be there the next day and you didn’t leave your cars unlocked.

A team from agencies across the community leveraged TIF funds to obtain additional millions in federal grants
to transform the rundown area. Today Chatham Square named after the Chatham family who farmed the
property until the 1950s uplifts the spirit of the long, established Glenn Acres neighborhood.

Well there’s no doubt that getting rid of the old Bridgeway Apartments and the new Chatham Square
development really was one of the transformative things we’ve been able to do when it really comes to
neighborhood stabilization. It got rid of quite frankly one of the areas in town that was our highest crime rate.
That crime spilled into other neighborhoods surrounding the Bridgeway Apartments and Chatham Square
really took all of that and turned that back into a community. Really the surrounding neighborhoods saying we
want to be a part of that also. We want this to really feel like a neighborhood like a community.

It’s turned out to be wonderful. It looks like it’s a safe environment. It’s a clean environment. There are
waiting lists to get in here and they’ve done exactly what they said they were going to do. They have held
them to standards that no other complex does. They are drug tested. They’re required to have employment
and there are occupancy limits that are adhered to. That never happened before.

A city’s downtown could center and heart hums with an energy that must be valued and cultivated. When a
downtown thrives, all of a community thrives.

Well the downtown is important to the tax base because on a square foot basis, the downtown property owners
pay more than any other area of the county so those taxes that are generated in the very densely populated
and very densely developed area actually support the entire community.

There’s TIF dollars in the renaissance place which is a really neat redevelopment of downtown and that’s close
to Reilly Plaza, the Meyer’s Bridge which is really a focal piece of our community and so that to me is an
important piece because it also helped bring about that thought of we can do retail. We can do banking. We
can do upscaling living a little bit higher end of places for people to live downtown. So that’s a project that
stands out for me that’s helped been a catalyst for some other things that could take place downtown that said
this can work.

Also in downtown Lafayette, an innovative co-working studio has brought a fresh and dynamic feel to the city.

We are in matchbox co-working facility which is a relatively new facility and idea for Lafayette and really the
nation as a whole. It’s basically shared office space. What we’re targeting here is these folks that you might
see at the coffee house on their laptop or something, or they’re working from their home. These are people
that don’t have an office that are again working from their home or some other spot. They can come here and
have an office environment to work in but more importantly they can come to a place where they can
collaborate with others so that other like-minded entrepreneurs here.

| think there’s a lot of talent in this community. There’s a lot of people with great ideas that really are looking
for ways to help bring those out and develop them. We really didn’t have a facility like Matchbox that was
possible here in Lafayette and working with a lot of different groups and some really smart people, we’ve been
able to put together not just a facility because it’s not just about the bricks and the mortar, it’s also about the
environment, about the though process and the creativity and the willingness to say it’s okay to fail. We want
people to try new things because we know eventually products will be developed, companies will be
developed, and Matchbox encompasses all those. A really good design with the right environment. Ve want
creative people. We want people to try new things. So Matchbox kind of brings all that together and on top of
that, it’s in a nice historic building that was reused too.

a

a THE CITY OF NASHUA the Gate City?

Financial Services
P archating Departurent

March 3, 2016

RFPO609-031116
CITY OF NASHUA LED STREET LIGHTING CONVERSION PROJECT
ADDENDUM #1

Information included in this document becomes a part of the original RFP.
Please sign below to indicate receipt of this additional information and include this page with your bid

submittal.

Addendum #1 is being issued to include additional and updated proposal requirements. This
document includes the Mandatory Pre-Bid Meeting Q & A. In addition attachments have been
provided for a revised Schedule B and new Schedules C, D and E.

All other aspects of the original document remain the same.

if C f a ,
pag yt Coa. _

Ban Kooken

City of Nashua - Purchasing Manager

Addendum #1 received and incorporated into bid submittal for RFPO609-031116

Please si include this addendum in your bid package.

(Authorized Signature}

3/10/2016
(Date)

Siemens Industry, Inc, Mobility Division. Intelligent Traffic Systems
(Name of Firm)

RFPOGO9-031116 Addendum 7 — City of Nashua LED Street Lighting Conversion Project Page f

229 Main Street « Nashua, New Hampshire 02060 » Phone (603) 589-3330 « Fax (603) 589-3344

Special Bd. of Aldermen — 03/6/2018 Page 5

The result you want from TIF is new investment job creations and that’s what Matchbox is doing. After eight
months, we have a company that’s been a member here that has merged with a company out in Illinois and
now they’re going to have their R&D facility here in Lafayette outside of Matchbox in an office in the downtown.
So it will about 35 to 40 employees, engineers, software engineers, and customer service reps. We're very
excited about this new economic development opportunity, new jobs, and investment that will be created right
here.

With foresight, planning, and synergy among leaders, tax increment financing — TIF — can transform a
community, generate new business, new investment, jobs, and infrastructure, create neighborhoods, and self-
sufficient productive citizens.

What’s unique about our community is the fact that we all work together. Whenever we put an incentive
package for a potential company or a potential expansion, it includes Greater Lafayette Commerce, the City of
Lafayette, the City of West Lafayette, Tippecanoe County, and the State of Indiana. We all work together to
make sure that we’re doing what’s best for the citizens.

It also sends a very clear message about the desire of the State, of the County, of the City to have an
expansion in their area. So rather than just providing lip service saying we want you, you back it up with an
economic stimulus which is really powerful in the decision making process.

Well | think what you have to look at when you're talking about local tax increment financing or any type of
local incentives be it city government, county government, it’s very important to look at the multiplier effect.
How many jobs are you actually going to create by virtue of the project and willing to invest in. It’s not a matter
of risking to try and create a few jobs. It’s a matter of investing to create a large number of jobs. When you
have manufacturing in particular but actually auto manufacturing especially, that has a tremendous multiplier
effect.

| tell people a story about my experience in coming to Lafayette. The first week that | was here at the end of
the week | drove back from Michigan to my home with a smile on my face and my wife said how did things go
this week. | said you’re not going to believe it. At the end of five days, | had 40 business cards. | met the
Mayor. | met the President of the Chamber of Commerce. | met the critical people from Ward 1. | met ivy tech
leaders.

Because we compete in a global economy, we need to be able to react at the speed of business and TIF
dollars allow us to do that when it comes to infrastructure, job training, the needs that businesses have to
compete in a global economy, we need those TIF dollars to be able to react quickly. Their window of
opportunity in the competitive market that they're in, it becomes critical for us to have those TIF dollars to react
like they have to react at the speed of business.

Reacting to the speed of business, that’s what tax increment financing makes possible. When civic and
business leaders work together to pull on their community’s bootstraps, TIF is available to transform a region
and it’s people quickly and efficiently, local and State economic growth, and high quality of life enables leaders
to compete globally through tax increment financing.

Director Cummings

So Madam Chair as you can see, that was a very high level overview of how the program works across the
country and it is definitely applicable here in New Hampshire. | thought it was a good example of just really
outlining the general concepts of all the differing ways you can use TIF dollars. Again | thought the video,
although a little lengthy, was a good way of giving a high level overview of all the differing ways TIF dollars can
be used. Traditionally most people consider it for infrastructure improvements and absolutely | think that that is
the one that we would be talking about but you can use it for programming. You can it use it for maintenance.

Special Bd. of Aldermen — 03/6/2018 Page 6

It is a tool that you can use to help close gaps and projects as talked about and really help make projects
pencil which means that you can help make them actually finance and come to fruition. The ultimate goal is to
try to increase your tax base, try to increase jobs, try to stabilize neighborhoods.

Up on the screen in front of you is a highlighted version of the graph that | was speaking about earlier which
along the vertical axis shows the dollars that’s essentially the value or the tax dollars that you’d be creating.
Along the horizontal access is the years that you’d be talking about for a TIF district and a TIF program and in
the middle is the tax dollars collected. The darker, purplish blue that’s your base valuation so that’s what you’d
be essentially freezing your assessments at and then as development comes in, you’d be bumping up that
increment. That’s that beigish yellow color and that is the increment that you’d be looking to dedicate into the
TIF program and into the TIF fund.

Essentially what are we talking about and this is just a narrative version of the visual that | showed you. If you
have a base valuation of $3 million and you have a project coming in that’s going to be a value of $50 million,
you're talking about a captured value of a $47 million. What does that mean from a tax revenue perspective?
Well remember we had that base value of $3 million. I’m going to use round numbers here and we’re going to
say it’s a $20 tax rate. We know that going to the base tax valuation or the tax revenue will be $60,000 that will
not be captured. Again! want to point out this is a very hypothetical and exaggerated example but the
increment that you’d be creating is $940,000. That would be the money available for the TIF program. |
wanted to give you a very high level exaggerated version of what we’re talking about. Again how did we get
there? We know that you take your value, you divide it by the mill rate, and then you multiply it by your tax rate
and that’s how you arrive at your tax dollars.

Where we are today? So |’m asking for your consideration and approval of a plan that was filed with you which
is a hundred and some pages which outlines basically what is a management document. What I’m looking to
do tonight and this evening is set up the governance structure of how this TIF program would be executed here
in Nashua using the template that has already been tried and true and that’s the one that was done previously
here. All we’re looking to do this evening is to expand on it.

In the document itself and I’m not going to go through it in any detail but | do want to just call out that there are
very specific purposes and objectives that we will be trying to accomplish in the TIF program. That first is to
improve and upgrade public infrastructure and public amenities that encourage and create opportunities for
businesses to locate and expand within the district, enhance employment and residential opportunities for
residents within the district, expand the property tax base, promote the natural asset into design activities that
are respectful for the natural environment, and how it can complement the downtown, provide for better
utilization of recreational resources and opportunities that exist within the riverfront and the walking bike paths
all located within the downtown which can provide better connectivity and a better trail system.

The district boundary itself which | will speak to in a moment is essential 1.8 miles. It goes from the Mine Falls
Park, through the Mill Yard, down ending on Bridge Street and it is approximately 28 % acres. So that is the
high level specifics of the TIF management document. The one thing | want to make sure is clear is we will
need to always come back before the Board of Aldermen to amend this document for any specific projects that
we are looking to undertake. If we were to look to do anything as outlined, we would have to come back before
you and amend the document. This is a government structure that allows us to basically set aside the money
which we need to do per the State Statute and we have to do that before April 1°". Once we develop a project
specific funding, we have private sector dollars that we can leverage or if we have programs that we’re looking
to implement, or maintenance, or services we’re looking to provide, all of that will be outlined in greater detail
and brought before you for consideration to be adopted in the plans before we execute it on spending any
money.

Why are we doing all of this? Because we are trying to actually implement the Nashua downtown riverfront
plan. This document was done over the summer through the leadership of Director Marchant. When | first
came to this city some year and a half ago, during my interview | actually had a couple members of the Board

Special Bd. of Aldermen — 03/6/2018 Page 7

of Aldermen ask me what are some of the priorities we should have or we should look at from an economic
development perspective. It came up on a couple of occasions that we have a river that’s underutilized. It’s a
natural asset and it’s underperforming. | committed to making it a priority to enhance that because it’s a
competitive advantage that we have that we should be looking to bolster and the way to do that is through this
TIF program. We did it the right way by starting out with developing a plan. A plan that had consensus by the
community that articulates some goals that we would be looking to accomplish: the big ideas, connectivity so
that river walk that | discussed earlier, doing better environmental stewardship, trading better access to the
river, creating green space and recreational opportunities, ensuring that we are flood resilient and making sure
we are preserving our natural asset for the years to come, and ultimately trying to create some economic
opportunities around the river front.

So how do you do all that? Well you do it through a TIF. When we went through the conversations this
summer, we made that clear to all the various stakeholders that this plan is a great consensus document that
will help us, guide us in our thought process, but ultimately to operationalize it you need grants, you need tax
dollars, and the way to do it is through a TIF program. Specifically some of the comments that we heard along
the way were the extension of the river walk looking to do something better with the Greeley House, improving
lighting around the water’s edge, fountains, a dock, plazas, courtyards, beautification in general, and making
sure that we were bicycle friendly were the highlights that we all want to make sure we invest potential TIF
dollars in. | remember you we would all need to come back before you to gain that approval.

Before | get to the numbers, | just want to call out the map. The map that will be dedicated to this TIF district is
the yellow. It is in your document and it basically shows you from the Broad Street Parkway to the Main Street
Bridge. It’s just an expansion of the current TIF program. The river front plan itself | should say is a multi-
phased plan that is much larger than this TIF district. The Mayor wanted to take an incremental phased type
approach. He wanted to start here and if it goes well and it is successful to telegraph this a little bit, we’d be
back before you looking to expand the district for the entire boundaries that were delineated but we wanted to
walk before we started to run.

So the numbers just to quickly talk about what we’re getting at here, these are projections, estimates, very
rough numbers but it gives you an order of magnitude of what we’re talking about. We have a current
assessment of around $35 millionish. Just using a previous tax rate of $25, we’re projecting that we believe
we'll see some new development up by the Broad Street Parkway on either side of the bridge. We believe that
we'll see some development around Clocktower. We know Brady Sullivan’s project is underway but it’s not
complete so we would see a little capture of value of that. All in, I’m being very conservative in my estimation. |
would rather be conservative and come in under than misrepresent anything and have that cause problems.
I’m saying we'll potentially see 10, it could be as high as 20 million. VE don’t know. None of us has a crystal
ball but that would generate approximate increment that we would see year over year of approximately
$250,000. What does that mean? That means that we could potentially come before you for a bond allocation
request of approximately $4 million or we could use the cash to service any type of maintenance,
programming, whatever the will and desire may be. It would go directly back into the district.

With that said Madam Chair, that’s a very high level overview of TIF and how we would like to use it to develop
and improve the downtown and in particular the underperforming asset of the Nashua River. I’d be happy to
take any questions.

Alderman Gidge

Most of what we saw up there was the money being used to get business into the city. Also to train people or
businesses here to train their people to bring more people in. You're talking about the monies that we will get
and used for like the river walk. Is there anything set up to attempt to bring businesses in that showed us up
there on the screen?

Special Bd. of Aldermen — 03/6/2018 Page 8

Director Cummings

So Madam Chair if | may what was referenced in the first half of the video was not the effort per say to market
to bring businesses in. What it was was using TIF dollars to close the gap to make a project feasible because
there was herculean costs on the project. The GE Aviation there was roadway work that was necessary and
what not and they were able to use the TIF dollars so it wasn’t coming from the private sector to expedite that
infrastructure improvement and it was what helped bring the deal over the finish line. | want to be clear that
what we’re representing here tonight is not one specific project. What we're talking about is setting up the
governance structure that will allow us to come back before you with specific projects. What! believe we will
be looking to use the money for is and as the plan outlines is following the guide of the downtown riverfront
development plan which is a lot of infrastructure type improvements to enhance the waterway.

Director Marchant

Through the riverfront development plan, we built a lot of partnerships with the businesses and the owners of
the property around this area. It is absolutely | think something that in discussion with them that they
supported and that they think would be an asset to future expansions, future things that they’d like to do that
we could also talk about closing gaps on projects but there is no specific projects yet.

Alderman Dowd

Two questions. One if this is approved by the full Board when or does it impact the tax base for property
taxes?

Director Cummings

Great question Madam Chair if | may. It doesn’t affect the current property taxes. That’s the beauty of this
program. You’re kept whole. Your current base stays as is. The future increment on new development and
right now the only new development that’s currently out there is Brady Sullivan’s project which has already
been ongoing so we will not capture the full value of Brady Sullivan’s project. We know that that project was
assessed at and I’m going to use rough numbers approximately $1 million maybe $2 million. That would have
been the base. That project probably when it closes out will be somewhere around $16 million. It’s currently
getting assessed at right now 5 to 7 so we have a potential to capture another 6, 8 depending on how fast they
go. Statutorily by our process and the State governance assessing model, there is a day where anything after
this date cannot be included in your increment calculation and that’s April 1° which is why we're here tonight to
hopefully have this voted and approved because if not, we miss all of the next year. It would be automatically
put towards the property card of the following year.

Alderman Dowd

So the other thing is based on what I’ve seen, I’m assuming that if we improve the river area that will draw
people to want to develop along the river. If somebody wanted to put a hotel in or a nice restaurant, they
probably wouldn't like the view at the moment. What we’re anticipating doing would make that much more
attractive and also would probably increase the property values of those developments which in the end brings
back more money to the city.

Director Cummings

Madam Chair that’s exactly right. That’s why you do it. It is the philosophy of investment be gets investment
and rising tide lifts all votes. If you start to do this, you'll start to stabilize neighborhoods and improve the
community. | think the video at the end was very clear about specifics on how that worked.