SF115

Purpose

• Authorizes the City of Eden Prairie, through its Economic Development Authority or the city itself, to establish up to two redevelopment districts as tax increment financing (TIF) districts in the Eden Prairie Center area.

Location and scope

• The eligible area includes parcels plus adjacent roads and rights-of-way within Eden Prairie, specifically bounded by Flying Cloud Drive, West 78th Street, and Prairie Center Drive.

Main provisions

• Up to two redevelopment districts may be created in the Eden Prairie Center area.
• If a TIF district is established, two special rules apply:
  • The districts are deemed to meet the requirements of Minnesota Statutes, section 469.174, subdivision 10.
  • Minnesota Statutes, section 469.176, subdivision 4j, does not apply to the district.
• The authority to approve a TIF plan under this section expires on December 31, 2026.

Significance and effects

• This bill creates a temporary, targeted mechanism to use tax increment financing to support redevelopment in the Eden Prairie Center area, with some streamlined requirements compared to usual TIF rules (via the two special rules) and a defined sunset date.

Changes to existing law

• Establishes special rules for Eden Prairie TIF districts that differ from standard statewide TIF requirements:
  • Excludes 469.176, subdivision 4j from applying to these districts.
  • Specifies that these districts are considered to meet 469.174, subdivision 10 requirements.
• Sets a finite authorization window ending December 31, 2026.

Expiration / Sunset

• The authority to approve a TIF plan under this section expires December 31, 2026.

What is a TIF district (contextual term)

• Tax Increment Financing (TIF) district used to fund redevelopment by capturing future increases in property taxes generated by the district.

Relevant Terms - Tax Increment Financing (TIF) - redevelopment district - Eden Prairie Center - Eden Prairie - Economic Development Authority - Flying Cloud Drive - West 78th Street - Prairie Center Drive - Minnesota Statutes 469.174, subdivision 10 - Minnesota Statutes 469.176, subdivision 4j - expiration date: December 31, 2026