CIP FY 24-28 9-7-23 FINAL Version - Flipbook - Page 20
Capital Improvements Plan
Community Redevelopment Agency Trust Fund
The projects’ funding source is Tax Increment Financing (TIF), which is specifically designated
to create redevelopment opportunities within the Community Redevelopment Agency (CRA) and
boost the tax base to increase annual TIF payments from participating local governments. The City
of Eustis, the Lake County Board of County Commissioners, and the Lake County Water Authority
contribute to these TIF payments annually.
Conservatively estimated at 3% for FY 24/28, the tax increment financing projections anticipate
steady growth. Additionally, other revenue projections are based on the current FY 22/23 estimated
revenues, with an annual increase of 3% expected for FY 24/28.
To account for inflation and the rise in commodity and services costs, an expenditure increase of 5%
is applied for FY 23/25, followed by a 3% increase for FY 26/28. By taking a strategic and responsible approach to financing, the City seeks to foster redevelopment and bolster its tax base, ultimately contributing to the overall progress and prosperity of the community within the CRA. With
thoughtful financial planning, the City aims to create a vibrant and sustainable environment for its
residents and businesses alike.
CRA Funding Analysis:
In the upcoming five years, the total estimated cost of projects is $4,691,992, and the ending fund
balance is projected to be $1,350,694, creating room for additional projects that may arise during this
period. However, to successfully execute all planned projects, the City faces two potential options.
The first option involves selling three downtown lots in FY 23/24, providing the necessary funding
to fulfill the project requirements. Alternatively, the City may choose to refinance the existing loan
in FY 24/25, securing $2,800,000 to support the completion of the envisioned initiatives.
By carefully considering these alternatives and selecting the most suitable financial strategy, the
City aims to continue its progress and development, ensuring that it can effectively meet the needs
of its community and propel further growth in the years to come.
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