§ 20-174. Creation of North Okaloosa Transportation Tax Increment Area and the calculation of annual tax increment amount.

(a)

The board hereby defines the boundaries of the geographic area of North Okaloosa Transportation Tax Increment Area as the area described in Attachment A for the calculation of a dedicated increment value for the purposes of this article.

(b)

The tax increment amount for the expansion, improvement and reconstruction of the project shall be determined annually by the application of the following formula within the geographic area described in Attachment "A" and shall be the difference between:

(1)

The amount of aggregate ad valorem taxes received each year by the county from ad valorem taxes levied on taxable real property contained within the geographic boundaries of the North Okaloosa Transportation Tax Increment Area, excluding any ad valorem taxes received as a result of a voted millage and any levy within a municipal services taxing unit; and

(2)

The amount of aggregate ad valorem taxes which would have been produced by a levy of the aggregate ad valorem millage rate each year by the county upon the taxable real property within the geographic boundaries of the North Okaloosa Transportation Tax Increment Area as shown on the base year assessment roll.

(c)

The amount to be funded by the county for the expansion, improvement and reconstruction of the project shall be as follows:

(1)

For the initial tax increment year and for the next two tax increment years thereafter, 100 percent of the tax increment generated within the North Okaloosa Transportation Tax Increment Area.

(2)

For the next three tax increment years, 75 percent of the tax increment generated within the North Okaloosa Transportation Tax Increment Area.

(3)

For the next three tax increment years, 50 percent of the tax increment generated within the North Okaloosa Transportation Tax Increment Area.

(4)

Thereafter, until the North Okaloosa Tax Increment Area is terminated or is otherwise dissolved, 25 percent of the tax increment generated within the North Okaloosa Transportation Tax Increment Area.

(5)

Schedule of funding.

a.

After the first tax increment year (tax year 2016), the amount to be funded for the second tax increment year from the tax increment generated within the North Okaloosa Transportation Tax Increment Area shall be limited to $355,000.00.

b.

The amount to be funded annually for the third and fourth tax increment years from tax increment generated within the North Okaloosa Transportation Tax Increment Area shall be limited to a maximum amount of $750,000.00 per year.

c.

The amount to be funding annually for the fifth tax increment year and each year thereafter from tax increment generated within the North Okaloosa Transportation Tax Increment Area shall be limited to a maximum amount of $600,000.00 per year.

(d)

The county administrator shall certify to the property appraiser by October 1 of the year prior to the initial tax increment year, the boundaries of the designated geographic areas constituting and defining the North Okaloosa Transportation Tax Increment Area, the reference to the base year assessment roll to be applied, and the specific proportion of the cumulative increase in taxable value to be applied in determining the tax increment. Any change in geographic boundaries, the base year assessment roll or percentage of the specific proportion of the cumulative increase in taxable value shall be certified to the property appraiser prior to October 1 of the year in which the change is to occur.

(e)

The Tax Increment shall be collected for a period of 20 years and used for the purposes set forth herein unless modified or repealed by the board.

( Ord. No. 15-03 , § 4, 2-3-15; Ord. No. 17-15 , § 2, 8-1-17)