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Joint Review Board Packet - Downtown TIF 2023 11-28-23NOTICE OF ANNUAL MEETING OF JOINT REVIEW BOARD Bristol-Kendall Fire Protection District 103 East Beaver Street Yorkville, Illinois 60560 Kendall Township 9925 B State Route 47 Yorkville, Illinois 60560 Yorkville School Community Unit #115 602-A Center Parkway Kendall County 111 West Fox Street Yorkville, Illinois 60560 United City of Yorkville 651 Prairie Pointe Drive Yorkville, Illinois 60560 Waubonsee Community College #516 Route 47 at Waubonsee Drive Sugar Grove, Illinois 60554 Yorkville, Illinois 60560 YOU ARE HEREBY NOTIFIED that a meeting of the annual Joint Review Board to review the annual report for the Downtown Tax Increment Financing Redevelopment Project Area will be convened on November 28, 2023 at 3:35 p.m. at the United City of Yorkville City Hall, 651 Prairie Pointe Drive, Yorkville, Illinois 60560. PLEASE BE ADVISED that the Joint Review Board shall elect or re-elect a public member as well as a chairperson. In accordance with the provisions of the Tax Increment Allocation Redevelopment Act (the “Act”) (65 ILCS 5/11-74.1-1 et seq.), the Joint Review Board shall review the annual report for the Downtown Redevelopment Project Area. /s/ Jori Behland, City Clerk This page intentionally left blank. A G E N D A ANNUAL JOINT REVIEW BOARD UNITED CITY OF YORKVILLE, KENDALL COUNTY, ILLINOIS DOWNTOWN REDEVELOPMENT PROJECT AREA November 28, 2023 United City of Yorkville 3:35 p.m. 651 Prairie Pointe Drive Yorkville, Illinois 60560 1.Call the Meeting to Order 2.Roll Call:United City of Yorkville Kendall County Kendall Township Yorkville School District #115 Waubonsee Community College District #516 Bristol-Kendall Fire Protection District 3.Motion to elect or re-elect a Public Member 4.Motion to elect or re-elect a Chairperson 5. Minutes for Approval 6.Review of Annual Report for the Downtown Redevelopment Project Area 7. Questions, Comments from the Board 8. Discussion, deliberation and recommendation 9. Public Comment 10. Adjournment This page intentionally left blank. Table of Contents Minutes of the Fiscal Year 2022 Joint Review Board .............................................................................. 1 Downtown TIF Report ............................................................................................................................... 3 Certification of Chief Executive Officer ................................................................................................. 18 Legal Counsel Opinion ........................................................................................................................... 19 Activities Statement ................................................................................................................................ 20 Audited Financial Statements ................................................................................................................. 21 Auditor Compliance Letter ..................................................................................................................... 29 This page intentionally left blank. ANNUAL JOINT REVIEW BOARD UNITED CITY OF YORKVILLE, KENDALL COUNTY, ILLINOIS DOWNTOWN REDEVELOPMENT PROJECT AREA Tuesday, November 22, 2022 3:35pm City Hall Conference Room 800 Game Farm Rd., Yorkville, IL 60560 1.Call the Meeting to Order The meeting was called to order at 3:36pm by Attorney Kathleen Field Orr. 2. Roll Call (The roll was called by Ms. Orr in the first of 3 consecutive meetings) City of Yorkville, Finance Director Rob Fredrickson Waubonsee Community College, no representative Bristol Kendall Fire Protection District, James Bateman, Tom Lindblom Kendall Township, Steven Gengler Kendall County, no representative Yorkville School District #115, no representative Others Present: City of Yorkville, Community Development Director Krysti Barksdale-Noble 3. Motion to Elect or Re-elect a Public Member In the meeting just prior to this, Ms. Orr stated no one would be elected since no vote will take place. 4. Motion to Elect or Re-elect a Chairperson None elected. 5. Minutes for Approval The previous meeting minutes of November 23, 2021 were approved on a motion by Mr. Bateman and second by Mr. Lindblom. Voice vote approval. 6. Review of Annual Report for the Downtown Redevelopment Project Area Mr. Fredrickson said the year started with a negative fund balance of $1.448 million. He summarized the revenues and expenditures for the TIF and said it had an ending negative fund balance of $1.64 million. Ms. Orr stated that an extension of the downtown TIF is really needed to finish the downtown and she asked Ms. Noble to explain some of the pending projects in the downtown. Ms. Noble summarized the projects that have started and are proposed including the old bank building, silo area and new residential development Timber Ridge Estates. There are 6 years left on the TIF and Ms. Orr said an extension of this TIF would be positive. An extension can only be 12 years. 1 7. Questions, Comments from the Board Mr. Gengler asked about notification when the TIF extension ends and Ms. Orr replied that by law, the City must send a notice to the appropriate taxing bodies. 8. Discussion, Deliberation and Recommendations None 9. Public Comment None 10. Adjournment There was no further business and the meeting ended at 3:47pm. Respectfully transcribed by Marlys Young, Minute Taker 2 3 FY 2023 Name of Redevelopment Project Area: Primary Use of Redevelopment Project Area*: If "Combination/Mixed" List Component Types: Under which section of the Illinois Municipal Code was the Redevelopment Project Area designated? (check one): Tax Increment Allocation Redevelopment Act Industrial Jobs Recovery Law No Yes For redevelopment projects beginning prior to FY 2022, were there any amendments, to the redevelopment plan, the redevelopment project area, or the State Sales Tax Boundary? [65 ILCS 5/11-74.4-5 (d) (1) and 5/11-74.6-22 (d) (1)] If yes, please enclose the amendment (labeled Attachment A). For redevelopment projects beginning in or after FY 2022, were there any amendments, enactments or extensions to the redevelopment plan, the redevelopment project area, or the State Sales Tax Boundary? [65 ILCS 5/11-74.4-5 (d) (1) and 5/11-74.6-22 (d) (1)] If yes, please enclose the amendment, enactment or extension, and a copy of the redevelopment plan (labeled Attachment A). x Certification of the Chief Executive Officer of the municipality that the municipality has complied with all of the requirements of the Act during the preceding fiscal year. [65 ILCS 5/11-74.4-5 (d) (3) and 5/11-74.6-22 (d) (3)] Please enclose the CEO Certification (labeled Attachment B). x Opinion of legal counsel that municipality is in compliance with the Act. [65 ILCS 5/11-74.4-5 (d) (4) and 5/11-74.6-22 (d) (4)] Please enclose the Legal Counsel Opinion (labeled Attachment C).x Statement setting forth all activities undertaken in furtherance of the objectives of the redevelopment plan, including any project implemented and a description of the redevelopment activities. [65 ILCS 5/11-74.4-5 (d) (7) (A and B) and 5/11-74.6-22 (d) (7) (A and B)] If yes, please enclose the Activities Statement (labled Attachment D). x Were any agreements entered into by the municipality with regard to the disposition or redevelopment of any property within the redevelopment project area or the area within the State Sales Tax Boundary? [65 ILCS 5/11-74.4-5 (d) (7) (C) and 5/11-74.6-22 (d) (7) (C)] If yes, please enclose the Agreement(s) (labeled Attachment E). x Is there additional information on the use of all funds received under this Division and steps taken by the municipality to achieve the objectives of the redevelopment plan? [65 ILCS 5/11-74.4-5 (d) (7) (D) and 5/11-74.6-22 (d) (7) (D)] If yes, please enclose the Additional Information (labeled Attachment F).x Did the municipality's TIF advisors or consultants enter into contracts with entities or persons that have received or are receiving payments financed by tax increment revenues produced by the same TIF? [65 ILCS 5/11-74.4-5 (d) (7) (E) and 5/11-74.6-22 (d) (7) (E)] If yes, please enclose the contract(s) or description of the contract(s) (labeled Attachment G). x Were there any reports submitted to the municipality by the joint review board? [65 ILCS 5/11-74.4-5 (d) (7) (F) and 5/11-74.6-22 (d) (7) (F)] If yes, please enclose the Joint Review Board Report (labeled Attachment H). x Were any obligations issued by the municipality? [65 ILCS 5/11-74.4-5 (d) (8) (A) and 5/11-74.6-22 (d) (8) (A)] If yes, please enclose any Official Statement (labeled Attachment I). If Attachment I is answered yes, then the Analysis must be attached (labeled Attachment J). x An analysis prepared by a financial advisor or underwriter, chosen by the municipality, setting forth the nature and term of obligation; projected debt service including required reserves and debt coverage; and actual debt service. [65 ILCS 5/11-74.4-5 (d) (8) (B) and 5/11-74.6-22 (d) (8) (B)] If attachment I is yes, the Analysis and an accompanying letter from the municipality outlining the contractual relationship between the municipality and the financial advisor/underwriter MUST be attached (labeled Attachment J). x Has a cumulative of $100,000 of TIF revenue been deposited into the special tax allocation fund? 65 ILCS 5/11-74.4-5 (d) (2) and 5/11-74.6-22 (d) (2) If yes, please enclose audited financial statements of the special tax allocation fund (labeled Attachment K). x Cumulatively, have deposits of incremental taxes revenue equal to or greater than $100,000 been made into the special tax allocation fund? [65 ILCS 5/11-74.4-5 (d) (9) and 5/11-74.6-22 (d) (9)] If yes, the audit report shall contain a letter from the independent certified public accountant indicating compliance or noncompliance with the requirements of subsection (q) of Section 11-74.4-3 (labeled Attachment L). x A list of all intergovernmental agreements in effect to which the municipality is a part, and an accounting of any money transferred or received by the municipality during that fiscal year pursuant to those intergovernmental agreements. [65 ILCS 5/11-74.4-5 (d) (10)] If yes, please enclose the list only, not actual agreements (labeled Attachment M).x For redevelopment projects beginning in or after FY 2022, did the developer identify to the municipality a stated rate of return for each redevelopment project area? Stated rates of return required to be reported shall be independently verified by a third party chosen by the municipality. If yes, please enclose evidence of third party verification, may be in the form of a letter from the third party (labeled Attachment N). x SECTION 2 [Sections 2 through 8 must be completed for each redevelopment project area listed in Section 1.] Please utilize the information below to properly label the Attachments. X ______ *Types include: Central Business District, Retail, Other Commercial, Industrial, Residential, and Combination/Mixed. Combination/Mixed Downtown Yorkville 4 FY 2023 Special Tax Allocation Fund Balance at Beginning of Reporting Period (1,639,928)$ SOURCE of Revenue/Cash Receipts: Revenue/Cash Receipts for Current Reporting Year Cumulative Totals of Revenue/Cash Receipts for life of TIF % of Total Property Tax Increment 100,932$ 1,125,843$ 99% State Sales Tax Increment -$ -$ 0% Local Sales Tax Increment -$ -$ 0% State Utility Tax Increment -$ -$ 0% Local Utility Tax Increment -$ -$ 0% Interest -$ 612$ 0% Land/Building Sale Proceeds -$ -$ 0% Bond Proceeds -$ -$ 0% Transfers from Municipal Sources -$ -$ 0% Private Sources -$ -$ 0% Miscellaneous Income -$ 5,612$ 1% All Amount Deposited in Special Tax Allocation Fund 100,932$ Cumulative Total Revenues/Cash Receipts 1,132,067$ 100% Total Expenditures/Cash Disbursements (Carried forward from Section 3.2) 75,932$ Transfers to Municipal Sources Distribution of Surplus Total Expenditures/Disbursements 75,932$ Net/Income/Cash Receipts Over/(Under) Cash Disbursements 25,000$ Previous Year Adjustment (Explain Below) . FUND BALANCE, END OF REPORTING PERIOD*(1,614,928)$ * If there is a positive fund balance at the end of the reporting period, you must complete Section 3.3 Previous Year Explanation: SECTION 3.1 [65 ILCS 5/11-74.4-5 (d)(5)(a)(b)(d)) and (65 ILCS 5/11-74.6-22 (d) (5)(a)(b)(d)] Provide an analysis of the special tax allocation fund. Downtown Yorkville Name of Redevelopment Project Area: 5 FY 2023 Name of Redevelopment Project Area: Amounts Reporting Fiscal Year Legal Services 3,653 Auditing Services - TIF Compliance Report 221 Administrative Costs 31,102 34,976$ 2. Annual administrative cost. -$ 3. Cost of marketing sites. -$ -$ Developer Incentive 37,836 37,836$ IL Rte 47 Expansion 3,120 4. Property assembly cost and site preparation costs. 5. Costs of renovation, rehabilitation, reconstruction, relocation, repair or remodeling of existing public or private building, leasehold improvements, and fixtures within a redevelopment project area. 6. Costs of the constructuion of public works or improvements. 1. Cost of studies, surveys, development of plans, and specifications. Implementation and administration of the redevelopment plan, staff and professional service cost. SECTION 3.2 A [65 ILCS 5/11-74.4-5 (d) (5) (c) and 65 ILCS 5/11-74.6-22 (d) (5)(c)] Category of Permissible Redevelopment Cost [65 ILCS 5/11-74.4-3 (q) and 65 ILCS 5/11-74.6-10 (o)] PAGE 1 ITEMIZED LIST OF ALL EXPENDITURES FROM THE SPECIAL TAX ALLOCATION FUND Downtown Yorkville 6 3,120$ -$ -$ -$ -$ -$ -$ 10. Capital costs. 7. Costs of eliminating or removing contaminants and other impediments. 8. Cost of job training and retraining projects. 9. Financing costs. PAGE 2 SECTION 3.2 A 11. Cost of reimbursing school districts for their increased costs caused by TIF assisted housing projects. 12. Cost of reimbursing library districts for their increased costs caused by TIF assisted housing projects. 7 -$ -$ -$ -$ -$ -$ 75,932$ 17. Cost of day care services. TOTAL ITEMIZED EXPENDITURES 13. Relocation costs. 14. Payments in lieu of taxes. 15. Costs of job training, retraining, advanced vocational or career education. 16. Interest cost incurred by redeveloper or other nongovernmental persons in connection with a redevelopment project. SECTION 3.2 A PAGE 3 18. Other. 8 FY 2023 Name Service Amount Imperial Investments Developer Incentive 37,835.75$ List all vendors, including other municipal funds, that were paid in excess of $10,000 during the current reporting year. Section 3.2 B [Information in the following section is not required by law, but may be helpful in creating fiscal transparency.] Downtown Yorkville Name of Redevelopment Project Area: 9 FY 2023 FUND BALANCE BY SOURCE (1,614,928)$ 1. Description of Debt Obligations Amount of Original Issuance Amount Designated Van Emmon Activity Center Loan 800,000$ -$ Total Amount Designated for Obligations 800,000$ -$ 2. Description of Project Costs to be Paid Amount of Original Issuance Amount Designated Imperial Investments Redevelopment Phase 1 1,290,049$ Williams Group Redevelopment 398,912$ Total Amount Designated for Project Costs 1,688,961$ TOTAL AMOUNT DESIGNATED 1,688,961$ SURPLUS/(DEFICIT)(3,303,889)$ SECTION 3.3 [65 ILCS 5/11-74.4-5 (d) (5d) 65 ILCS 5/11-74.6-22 (d) (5d] Breakdown of the Balance in the Special Tax Allocation Fund At the End of the Reporting Period by source Downtown Yorkville Name of Redevelopment Project Area: 10 FY 2023 x Indicate an 'X' if no property was acquired by the municipality within the redevelopment project area. Property (1): Street address: Approximate size or description of property: Purchase price: Seller of property: Property (2): Street address: Approximate size or description of property: Purchase price: Seller of property: Property (3): Street address: Approximate size or description of property: Purchase price: Seller of property: Property (4): Street address: Approximate size or description of property: Purchase price: Seller of property: Property (5): Street address: Approximate size or description of property: Purchase price: Seller of property: Property (6): Street address: Approximate size or description of property: Purchase price: Seller of property: Property (7): Street address: Approximate size or description of property: Purchase price: Seller of property: Provide a description of all property purchased by the municipality during the reporting fiscal year within the redevelopment project area. SECTION 4 [65 ILCS 5/11-74.4-5 (d) (6) and 65 ILCS 5/11-74.6-22 (d) (6)] Downtown Yorkville Name of Redevelopment Project Area: 11 x 15 1 TOTAL:11/1/99 to Date Estimated Investment for Subsequent Fiscal Year Total Estimated to Complete Project Private Investment Undertaken (See Instructions)8,048,134$ -$ 8,048,238$ Public Investment Undertaken 511,604$ 47,164$ 2,200,564$ Ratio of Private/Public Investment 15 68/93 3 23/35 Project 1*: 222 - 224 S Bridge (Imperial Investments) Private Investment Undertaken (See Instructions)404,599$ -$ 404,599$ Public Investment Undertaken 15,289$ 2,757$ 98,728$ Ratio of Private/Public Investment 26 45/97 4 5/51 Project 2*: IL Route 47 Expansion Private Investment Undertaken (See Instructions)-$ -$ -$ Public Investment Undertaken 94,121$ -$ 94,121$ Ratio of Private/Public Investment 0 0 Project 3*: Downtown Streetscape Improvement Private Investment Undertaken (See Instructions)-$ -$ -$ Public Investment Undertaken 153,035$ -$ 153,035$ Ratio of Private/Public Investment 0 0 Project 4*: Downtown Parking Lot Improvements Private Investment Undertaken (See Instructions)-$ -$ -$ Public Investment Undertaken 18,321$ -$ 18,321$ Ratio of Private/Public Investment 0 0 Project 5*: Improvements to Pump House Private Investment Undertaken (See Instructions)-$ -$ -$ Public Investment Undertaken 9,750$ -$ 9,750$ Ratio of Private/Public Investment 0 0 Project 6*: 101 E Van Emmon (Imperial Investments) Private Investment Undertaken (See Instructions)129,697$ -$ 129,697$ Public Investment Undertaken 5,021$ 903$ 32,424$ Ratio of Private/Public Investment 25 49/59 4 Select ONE of the following by indicating an 'X': SECTION 5 [20 ILCS 620/4.7 (7)(F)] PAGE 1 FY 2023 Downtown Yorkville Name of Redevelopment Project Area: Page 1 MUST be included with TIF report. Pages 2 and 3 are to be included ONLY if projects are listed. 1. NO projects were undertaken by the Municipality Within the Redevelopment Project Area. 2. The municipality DID undertake projects within the Redevelopment Project Area. (If selecting this option, complete 2a and 2b.) 2a. The total number of ALL activities undertaken in furtherance of the objectives of the redevelopment plan: LIST ALL projects undertaken by the Municipality Within the Redevelopment Project Area: 2b. The total number of NEW projects undertaken by the municipality in fiscal year 2022 and any fiscal year thereafter, within the Revelopment Project area, if any. 12 Project 7*: 210 Van Emmon Apartments (Imperial Investments) Private Investment Undertaken (See Instructions)671,880$ -$ 671,880$ Public Investment Undertaken 26,011$ 4,688$ 167,970$ Ratio of Private/Public Investment 25 49/59 4 Project 8*: 217 Bridge Street (Imperial Investments) Private Investment Undertaken (See Instructions)315,643$ -$ 315,643$ Public Investment Undertaken 7,317$ 1,321$ 47,248$ Ratio of Private/Public Investment 43 8/57 6 49/72 Project 9*: 219 Bridge Street (Imperial Investments) Private Investment Undertaken (See Instructions)176,916$ -$ 176,916$ Public Investment Undertaken 2,009$ 362$ 12,973$ Ratio of Private/Public Investment 88 4/61 13 51/80 Project 10*: 101 E Van Emmon & 219 Bridge Street (Imperial Investments) Private Investment Undertaken (See Instructions)384,817$ -$ 384,817$ Public Investment Undertaken 14,302$ 2,578$ 92,354$ Ratio of Private/Public Investment 26 88/97 4 1/6 Project 11*: 211-215 Bridge Street (Imperial Investments) Private Investment Undertaken (See Instructions)1,075,512$ -$ 1,075,512$ Public Investment Undertaken 40,960$ 7,385$ 264,503$ Ratio of Private/Public Investment 26 17/66 4 1/15 Project 12*: 201-209 Bridge Street (Imperial Investments) Private Investment Undertaken (See Instructions)1,595,404$ -$ 1,595,404$ Public Investment Undertaken 61,250$ 11,041$ 395,526$ Ratio of Private/Public Investment 26 1/21 4 3/89 Project 13*: 102 E Van Emmon (Imperial Investments) Private Investment Undertaken (See Instructions)1,154,404$ -$ 1,154,508$ Public Investment Undertaken 44,353$ 7,994$ 286,411$ Ratio of Private/Public Investment 26 1/36 4 3/97 Project 14*: 202-210 Van Emmon & 306-308 Heustis Apartments & Townhomes (Imperial Investments) Private Investment Undertaken (See Instructions)146,202$ -$ 146,202$ Public Investment Undertaken 5,660$ 1,018$ 36,550$ Ratio of Private/Public Investment 25 49/59 4 Project 15*: 220 S Bridge (Imperial Investments) Private Investment Undertaken (See Instructions)386,474$ -$ 386,474$ Public Investment Undertaken 14,206$ 2,561$ 91,737$ Ratio of Private/Public Investment 27 17/83 4 10/47 PAGE 2 **ATTACH ONLY IF PROJECTS ARE LISTED** 13 Project 16*: 101 S Bridge (Williams Group) Private Investment Undertaken (See Instructions)1,606,586$ -$ 1,606,586$ Public Investment Undertaken -$ 4,554$ 398,912$ Ratio of Private/Public Investment 0 4 2/73 Project 17 Name: Private Investment Undertaken (See Instructions) Public Investment Undertaken Ratio of Private/Public Investment 0 0 Project 18 Name: Private Investment Undertaken (See Instructions) Public Investment Undertaken Ratio of Private/Public Investment 0 0 Project 19 Name: Private Investment Undertaken (See Instructions) Public Investment Undertaken Ratio of Private/Public Investment 0 0 Project 20 Name: Private Investment Undertaken (See Instructions) Public Investment Undertaken Ratio of Private/Public Investment 0 0 Project 21 Name: Private Investment Undertaken (See Instructions) Public Investment Undertaken Ratio of Private/Public Investment 0 0 Project 22 Name: Private Investment Undertaken (See Instructions) Public Investment Undertaken Ratio of Private/Public Investment 0 0 Project 23 Name: Private Investment Undertaken (See Instructions) Public Investment Undertaken Ratio of Private/Public Investment 0 0 Project 24 Name: Private Investment Undertaken (See Instructions) Public Investment Undertaken Ratio of Private/Public Investment 0 0 Project 25 Name: Private Investment Undertaken (See Instructions) Public Investment Undertaken Ratio of Private/Public Investment 0 0 PAGE 3 **ATTACH ONLY IF PROJECTS ARE LISTED** 14 FY 2023 Number of Jobs Retained Number of Jobs Created Job Description and Type (Temporary or Permanent) Total Salaries Paid -$ Temporary Permanent Temporary Permanent 6 76 6 76 Stated Rate of Return $4,850101 S. Bridge Street $136,000 The number of jobs, if any, projected to be created at the time of approval of the redevelopment agreement. 101 S. Bridge Street Project Name SECTION 6.4-For redevelopment projects beginning in or after FY 2022, provide the stated rate of return identified by the developer to the municipality and verified by an independent third party, IF ANY: Project Name SECTION 6 [Information requested in SECTION 6.1 is not required by law, but may be helpful in evaluating the performance of TIF in Illinois. SECTIONS 6.2, 6.3, and 6.4 are required by law, if applicable. (65 ILCS 5/11-74.4-5(d))] The number of jobs, if any, created as a result of the development to date, for the reporting period, under the same guidelines and assumptions as was used for the projections used at the time of approval of the redevelopment agreement. SECTION 6.2-For redevelopment projects beginning in or after FY 2022, complete the following information about projected job creation and actual job creation. SECTION 6.1-For redevelopment projects beginning before FY 2022, complete the following information about job creation and retention. Downtown Yorkville Name of Redevelopment Project Area: The amount of increment projected to be created at the time of approval of the redevelopment agreement. SECTION 6.3-For redevelopment projects beginning in or after FY 2022, complete the following information about increment projected to be created and actual increment created. Project Name The amount of increment created as a result of the development to date, for the reporting period, using the same assumptions as was used for the projections used at the time of the approval of the redevelopment agreement. 15 FY 2023 Provide a general description of the redevelopment project area using only major boundaries. Downtown Yorkville Name of Redevelopment Project Area: SECTION 7 [Information in the following section is not required by law, but may be helpful in evaluating the performance of TIF in Illinois.] The Downtown TIF District contains a mix or residential, commercial, industrial, institutional, and undeveloped land uses. The northern boundary of the district stretches across the Fox River and the adjacent parcels front West and East Hydraulic Avenue. This area includes Yorkville’s Riverfront Park and several eating establishments. The eastern area of the district includes an undeveloped single-family residential subdivision which was established and platted in the early 2000’s but was never completed. The central area of the district aligns north and south along Bridge Street (Route 47) and contains many of the historic downtown structures which provide commercial services. Additionally, the properties along Heustis Street include a saw mill, grain silos, and single-family homes. Enclosed previously provided previously providedMap of District Legal description of redevelopment project area Optional Documents 16 FY 2023 Base EAV 5,745,902$ x -$ -$ -$ -$ -$ -$ -$ -$ -$ SECTION 8 [Information in the following section is not required by law, but may be helpful in evaluating the performance of TIF in Illinois.] Downtown Yorkville Name of Redevelopment Project Area: Year of Designation 6/13/2006 Reporting Fiscal Year EAV 4,212,514$ -$ -$ -$ -$ Indicate an 'X' if the overlapping taxing districts did not receive a surplus. Overlapping Taxing District Surplus Distributed from redevelopment project area to overlapping districts Provide the base EAV (at the time of designation) and the EAV for the year reported for the redevelopment project area. List all overlapping tax districts in the redevelopment project area. If overlapping taxing district received a surplus, list the surplus. 17 18 19 Unit Code 047/035/30 Attachment D Activities Statement Downtown Yorkville The Downtown TIF district was created in 2006 to help facilitate mixed use development in the downtown area. Over the last several fiscal years, the City has entered into several agreements with Imperial Investments for the redevelopment of several buildings in the downtown area. The downtown portion of the IL Route 47 expansion was completed in fiscal year 2015. This expansion is a joint project between the City and the Illinois Department of Transportation (IDOT), and includes various roadway and infrastructure (water, sanitary sewer, storm sewer) improvements on Route 47, from just south of Kennedy Road through its intersection with IL Route 71. The cost of the project that is applicable to the Downtown TIF district is approximately $100,000, which will be paid to the State over a period of ten years. In fiscal year 2018 the City acquired the former Old Second Bank building at 102 East Van Emmon Street, which has been converted into an activity center managed by the Recreation Department. As of April 30, 2021, outstanding principal for 102 East Van Emmon Loan was $200,000. During the current fiscal year, the TIF district paid $212,233 in principal and interest on the outstanding loan. In May of 2018 a second TIF was created in the downtown area, for the purposes of facilitating performance of the original redevelopment area. The new TIF is comprised of underperforming parcels from the original TIF, in addition to some new parcels, which expanded the overall size of the redevelopment area. By establishing a second TIF, these underperforming parcels now have a greater period of time to generate increment. Furthermore, TIF’s that share a boundary may also distribute funds between them. Fiscal Year 2019 saw the installation of new streetlights in the downtown area, with partial grant funding provided by the State of Illinois Integrated Transportation Enhancement Program (ITEP). In addition, the City installed wayfinding signage in the downtown area; completed sidewalk replacements in the east alley and on Main & Van Emmon Streets; and finished work on the downtown overlay district. In fiscal year 2022, the former Kendallwood Estates residential development, consisting of 83 single-family lots on 50- acres of land just south of Van Emmon Road and east of Route 47, was purchased by Rally Homes in winter 2021 and renamed the Timber Ridge Estates development. The development will offer seven (7) different semi-custom home plans and three (3) distinct elevations per plan. The homes will range in size from 2,000 square foot ranches to nearly 4,000 square foot two-story homes. While there are only 54 lots of the Timber Ridge Estates within TIF I, the developer has started construction of the first model home unit. Moreover, in December 2021, the City also approved a TIF inducement resolution for the Williams Group, LLC for eight (8) parcels located at the northwest corner of IL 47 (Bridge Street) and Hydraulic Avenue. The redevelopment plans included remodeling the interior spaces for two (2) residential apartments on the second floor and commercial space on the ground floor. One of the commercial spaces recently opened is a local coffee shop, Iconic Coffee, offering pastries and beverages. The developer is currently pursuing another development agreement for a micro-meadery selling hand-crafted artisan honey wines and taproom beers. 20 UNITED CITY OF YORKVILLE, ILLINOIS DOWNTOWN TAX INCREMENTAL FINANCING DISTRICT FINANCIAL AND COMPLIANCE REPORT FOR THE FISCAL YEAR ENDED APRIL 30, 2023 651 Prairie Pointe Drive Yorkville, IL 60560 Phone: 630.553.4350 www.yorkville.il.us 21 UNITED CITY OF YORKVILLE, ILLINOIS DOWNTOWN TAX INCREMENTAL FINANCING DISTRICT TABLE OF CONTENTS INDEPENDENT AUDITORS' REPORT FINANCIAL STATEMENTS Balance Sheet Statement of Revenues, Expenditures and Changes in Fund Balance Notes to Financial Statements OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GENERALLY ACCEPTED AUDITING STANDARDS INDEPENDENT AUDITORS’ REPORT ON COMPLIANCE BASED ON AN AUDIT 22 INDEPENDENT AUDITORS’ REPORT 23 INDEPENDENT AUDITORS' REPORT October 12, 2023 The Honorable City Mayor Members of the City Council United City of Yorkville, Illinois We have audited the accompanying basic financial statements of the governmental activities of the Downtown Tax Incremental Financing District of the United City of Yorkville, Illinois as of and for the year ended April 30, 2023, which collectively comprise the Downtown Tax Incremental Financing District as listed in the table of contents. The basic financial statements are the responsibility of the United City of Yorkville, Illinois’ management. Our responsibility is to express an opinion on these basic financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the basic financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the basic financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. As described in Note 1 to the basic financial statements, the basic financial statements present only the Downtown Tax Incremental Financing District of the United City of Yorkville, Illinois, and are not intended to present fairly the financial position or results of operations of the United City of Yorkville, Illinois, in conformity with accounting principles generally accepted in the United States of America. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of the Downtown Incremental Financing District of the United City of Yorkville, Illinois as of April 30, 2023, and the results of its operations for the year then ended in conformity with accounting principles generally accepted in the United States of America. We have also issued a report dated October 12, 2023 on our consideration of the Downtown Tax Incremental Financing District’s compliance with laws, regulations, contracts and grants. Lauterbach & Amen, LLP LAUTERBACH & AMEN, LLP 24 FINANCIAL STATEMENTS 25 UNITED CITY OF YORKVILLE, ILLINOIS DOWNTOWN TAX INCREMENTAL FINANCING DISTRICT Balance Sheet April 30, 2023 Cash and Investments $ - Liabilities Accounts Payable 37,836 Due to Other Funds 1,577,092 Total Liabilites 1,614,928 Unassigned (1,614,928) Total Liabilities and Fund Balance - LIABILITIES FUND BALANCE ASSETS Downtown TIF The notes to the financial statements are an integral part of this statement. 26 UNITED CITY OF YORKVILLE, ILLINOIS DOWNTOWN TAX INCREMENTAL FINANCING DISTRICT Statement of Revenues, Expenditures and Changes in Fund Balance For the Fiscal Year Ended April 30, 2023 Revenues Taxes Property Taxes $100,931 Expenditures General Government Administration Fees 31,102 TIF Incentive Payout 37,836 Professional Services 3,873 Capital Outlay Route 47 Expansion 3,120 Total Expenditures 75,931 Net Change in Fund Balances 25,000 Fund Balances - Beginning (1,639,928) Fund Balances - Ending (1,614,928) Downtown TIF The notes to the financial statements are an integral part of this statement. 27 UNITED CITY OF YORKVILLE, ILLINOIS DOWNTOWN TAX INCREMENTAL FINANCING DISTRICT Notes to the Financial Statements April 30, 2023 NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The operations of Downtown Tax Incremental Financing District is accounted for through special revenue funds of the United City of Yorkville, Illinois. It applies the following policies: Basis of Accounting The financial statements are prepared on the modified accrual basis of accounting under which revenue is recognized when it becomes both measurable and available, and expenditures generally are recognized when the liability is incurred. 28 INDEPENDENT AUDITORS' REPORT ON COMPLIANCE BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GENERALLY ACCEPTED AUDITING STANDARDS October 12, 2023 The Honorable City Mayor Members of the City Council United City of Yorkville, Illinois We have audited the accompanying basic financial statements of the governmental activities of the Downtown Tax Incremental Financing District of the United City of Yorkville, Illinois, as of and for the year ended April 30, 2023, and have issued our report thereon dated October 12, 2023. We conducted our audit in accordance with auditing standards generally accepted in the United States of America. Compliance Compliance with laws, regulations, contracts, and grants applicable to the Financing Districts are the responsibility of the United City of Yorkville’s management. As part of obtaining reasonable assurance about whether basic financial statements are free of material misstatement, we performed tests of the City’s compliance with certain provisions of laws, regulations, contracts and grants applicable to the Financing District, including the City’s compliance with subsection (q) of Section 11-74.4-3 of the State of Illinois Public Act 85-1142, An Act in Relation to Tax Increment Financing, noncompliance with which could have a direct and material effect on the determination of basic financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit and, accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance with the provisions referred to in the preceding paragraph. This report is intended for the information of the members of the City Council and management, and is not intended to be used and should not be used by anyone other than these specified parties. Lauterbach & Amen, LLP LAUTERBACH & AMEN, LLP 29