§ 42-64.21-6. Agreements permitted.
(a) The commerce corporation is authorized to enter into a TIF agreement with a developer
for any qualified development project located within a qualifying TIF area. The TIF
agreement between the commerce corporation and the developer shall contain a provision
acknowledging that the benefits of said agreement, with the exception of § 42-64.21-5(d), are subject to such annual appropriation.
(b) The decision whether or not to enter into a TIF agreement is solely within the discretion
of the commerce corporation. However, to enter into an agreement with the commerce
corporation as authorized in this chapter, applicants shall apply:
(1) To the commerce corporation for approval of the proposed project. Such approval shall
require:
(i) That the applicant has submitted a completed application as developed by the commerce
corporation;
(ii) That the chief executive officer of the commerce corporation provide written confirmation
to the commerce corporation board that (A) the commerce corporation has reviewed the
application and any determination regarding the potential impact on the project's
ability to promote the retention and expansion of existing jobs, stimulate the creation
of new jobs, including good-paying jobs, attract new business and industry to the
state, and stimulate growth in real estate developments and/or businesses that are
prepared to make meaningful investment and foster job creation in the state; and (B)
the length of the TIF agreement and the percentage of incremental revenues to be allocated
under the TIF agreement.
(iii) That the secretary of commerce provide written confirmation to the commerce corporation
board that the recommendation of the commerce corporation is consistent with the purposes
of this chapter.
(c) A developer that has entered into a TIF agreement with the commerce corporation pursuant
to this section may, upon notice to and consent of the corporation, pledge and assign
as security for any loan, any or all of its right, title, and interest in and to the
TIF agreement and in the TIF payments due thereunder, and the right to receive same,
along with the rights and remedies provided to the developer under such agreement.
Any such assignment shall be an absolute assignment for all purposes, including the
federal bankruptcy code.
(d) Any pledge of TIF payments made by the developer shall be valid and binding from the
time when the pledge is made and filed in the records of the commerce corporation.
The TIF agreement and payments so pledged and thereafter received by the developer
shall immediately be subject to the lien of the pledge without any physical delivery
thereof or further act, and the lien of any pledge shall be valid and binding as against
all parties having claims of any kind in tort, contract, or otherwise against the
developer irrespective of whether the parties have notice thereof.
(e) The commerce corporation shall be entitled to impose an application fee and impose
other charges upon developers associated with the review of a project and the administration
of the program.
(f) Maximum agreement amount. In no event shall the amount of the reimbursements under a TIF agreement exceed
30 percent (30%) of the total cost of the project and provided further, that the commerce
corporation may exempt public infrastructure, a preexisting municipally-owned stadium
of 10,000 seats or greater, or utilities from said 30 percent (30%) cap.