Centre Community Development Planning Fund (Project #7011022) and approved under the Building/Property Improvement Tax Increment Grant Program on June 4, 2018 (CR305/2018). Staff have notified the applicant that the staff are recommending that the $80,000 grant approval be rescinded and they can reapply for Downtown CIP grants in the future (if funds are available) if they wish to proceed with their application. The approval under the Building/Property Improvement Tax Increment Grant Program will stay on file. Report S175/2020 will make the recommendation to rescind the approval for 0 Victoria Avenue to make funds available for current projects.

Building/Property Improvement Tax Increment Grant Program

The program provides an annual grant equal to 100% of the increase in municipal property taxes for five years, with the possibility of an extension up to a total of ten (10) years. The base rate from which the grant is calculated is the total amount of municipal taxes payable in the calendar year that City Council approves the financial incentives for the eligible works.

The estimated value of the grant represents 100% of the increase in the municipal portion of property taxes for a period of 10 years. The Downtown CIP stipulates that the grant cannot be more than the eligible costs. The estimated total tax increment grant of $93,080, plus the $17,500 grant represents approximately 13.4% of the proposed cost of the development (i.e. does not include land costs) for this project (applicant estimates the cost of the project at $825,000) .

Estimate Property/Building Improvement Tax Increment Grant Calculation 477 Pelissier Street
Year of Grant	Pre Development Municipal Taxes	Post Development Municipal Taxes	Estimate Value of Grant
1	$ 11,787	$21,095	$9,308
2	$ 11,787	$21,095	$9,308
3	$ 11,787	$21,095	$9,308
4	$ 11,787	$21,095	$9,308
5	$ 11,787	$21,095	$9,308
Sub-Total Year 1-5			$46,540
6	$ 11,787	$21,095	$9,308
7	$ 11,787	$21,095	$9,308
8	$ 11,787	$21,095	$9,308