
Any libraries out there who have used the Act 57, PA 2018 to exempt their library from DDA and TIF tax captures? We would like to start having this conversation with our local officials, and I'd like more details about how this process works. Thanks all! Andrea ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ *Andrea IngmireLibrary DirectorPeter White Public Library* (906) 226-4303 (office) (906) 250-0080 (cell) (906) 226-1783 (fax) *http://pwpl.info/ <http://pwpl.info/>*

Just to be clear, out DDA has an outstanding bond, which is why we haven't pursued this much. But, I'd like to get everything lined up well in advance. So that when the bond is paid, we're exempted! Thanks all, Andrea On Tue, Dec 8, 2020, 5:26 PM Andrea Ingmire <aingpwpl@gmail.com> wrote:
Any libraries out there who have used the Act 57, PA 2018 to exempt their library from DDA and TIF tax captures?
We would like to start having this conversation with our local officials, and I'd like more details about how this process works.
Thanks all! Andrea ~ ~ ~ ~ ~ ~ ~ ~ ~ ~
*Andrea IngmireLibrary DirectorPeter White Public Library* (906) 226-4303 (office) (906) 250-0080 (cell) (906) 226-1783 (fax) *http://pwpl.info/ <http://pwpl.info/>*

Thanks for all your input! Through this process I learned that the only capture we have at the moment (for which there is an exemption) is the DDA. They have a bond which doesn't pay off until 2026. But, I've made the city aware that we want out! It also seems that this process can be very informal, or can involve legal documents etc. I'm sure it's like most things when talking about libraries in Michigan... it depends ;) Verify your process with your attorney! Several of you asked for the responses, so here you go. Attached are the documents I received. Email responses are below. Andrea When we asked our City to stop the DDA tax capture, it was a simple matter. I sent this email in 2017 to the DDA director who also is our city administrator: “The library board directed me to send this to you following a vote at its Sept. 27 meeting. The Downtown Development Authority Act was recently amended to exempt certain library millages from capture. The Stair District Library’s millage is automatically exempt under the new law because the millage was approved by voters before January 1, 2017 and the DDA has no outstanding bonds or obligations. Please confirm that the library millage will no longer be captured.” Then he replied that he wouldn't be capturing the tax anymore. Good luck! Colleen ~~~~~ We tried, but the DDA has outstanding debt that was issued before the change in the law. So, they get to keep capturing until that debt is paid off. That is my understanding. Found some notes about it, the DDA can only count pre Jan 1, 2017 bonds. In our case the bond in question isn't paid off until 8/01/2029. Good Luck - Holly ~~~~ The Pere Marquette District Library took the opportunity to work with our local city to have an Agreement for capture of library millage during a recent change to the DDA boundary. It was perfect timing for us. Our DDA expanded their boundaries right after Act 57 was passed. So we used it for the opportunity to get out of automatic capture. However, in our current agreement we are supporting the capture of our millage. This is mainly because the library is located in the center of the DDA. The DDA helps to maintain the municipal parking lot of which the library uses for our patrons. We are lucky that our DDA is very focused on the true intent of the law. They do great work at keeping our downtown vibrant. However, these things can change. Our library millage is in perpetuity so their change in boundary was our shot at making an agreement This was the main reason why we decided to move to an agreement. It gives us the ability to make changes in the future regarding capture. Our City Manager at the time was very supportive regarding our interest to move to an agreement instead of automatic capture. I was completely honest with him to our reasons. He understood our situation and that ACT 57 basically made new library millages exempt from capture. In his opinion that meant all library millages. I was very thankful for his interpretation of the act. Right now the DDA only captures about 4K of library funding. We feel that we get more value than that from the goals of the DDA. However, The boundary expansion doubles the size of the DDA. So we expect that this amount will increase. We will re-evaluate capture amounts in the future and revisit the agreement. I’m happy at least this gives us the control to say yes or no to capture. Hope all is well in the UP. Sheila. ~~~~ We have used the new Act to exempt the library from 2 tax captures. In both cases the DDA changed their boundaries which gave us the opportunity to request the exemption. It was as simple as presenting a letter from the Library Board that they would be exercising their rights to leave the tax capture. There are a few circumstances that open that window and sometimes you have to watch when they are making changes. They may not be very forthcoming announcing the changes. One of the DDAs was very accommodating and understood our motives. The other still has resentment and treat us like we are thieves taking their money. Mark C. Bronson, MLS Executive Director Cheboygan Area Public Library ~~~~ I have just one experience with this. When I was the Director at the Grant Area District Library and we decided to go for a new millage, I had to write a letter to the mayor citing Act 57 and tell them that we were "opting out" of the DDA and TIFA. The City of Grant's governing board were very disappointed. However, they had to accept our decision according to the law. You are right you will have to wait until the bond debt is paid, but eventually you will be free of that. I even passed it on to the school superintendent at the time so they could opt out as well. Also, if you can afford it, you can also have your lawyer submit the opt out letter or at least co-sign it with you. Deborah L. Bose, Interim Director Tamarack District Library MLS, Retired ~~~~ I emailed with our City Manager shortly after Act 57 was passed, letting him know we were within our legal right to opt out of DDA capture, and he was fine with it. Anne Seurnyck helped me draft the attached letter and then I sent it to the City Manager via certified mail. It was a pretty quick and easy process for us.. However it's more complicated with the TIFA capture. The city *does not* capture our PLDL taxes in the TIFA district, and instead charges us rent on the building annually, in the exact amount the TIFA capture *would *be. We don't own the building, and lease it from the City, and I don't really know why this is the system that's in place, but it's always been that way since the building was built for the library. The City Manager did tell me that if PLDL stopped paying rent, he would reinstate the TIFA capture in the exact same amount. Dillon Geshel Library Director Portage Lake District Library ~~~ Our City of Traverse City extended a DDA/TIF for another 20 years at the end of 2018. We went to the public hearing and told them we would be opting out if they extended the TIF. They extended and our lawyer did the required work and we got out of it. They are also looking to extend another TIF. I have spoken to our lawyer and basically when they hold the public hearing to extend the TIF, we'll repeat the process, and once they vote to extend it, we will file the required paperwork, and then can be excluded from the tax capture. I'll be happy to give you more information if you need it. Hope this helps! Michele ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ *Andrea IngmireLibrary DirectorPeter White Public Library* (906) 226-4303 (office) (906) 250-0080 (cell) (906) 226-1783 (fax) *http://pwpl.info/ <http://pwpl.info/>* On Tue, Dec 8, 2020 at 5:26 PM Andrea Ingmire <aingpwpl@gmail.com> wrote:
Any libraries out there who have used the Act 57, PA 2018 to exempt their library from DDA and TIF tax captures?
We would like to start having this conversation with our local officials, and I'd like more details about how this process works.
Thanks all! Andrea ~ ~ ~ ~ ~ ~ ~ ~ ~ ~
*Andrea IngmireLibrary DirectorPeter White Public Library* (906) 226-4303 (office) (906) 250-0080 (cell) (906) 226-1783 (fax) *http://pwpl.info/ <http://pwpl.info/>*
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Andrea Ingmire