MEMORANDUM

TO: Pete Sprague, Assembly President

Members, Kenai Peninsula Borough Assembly

THRU: Dale Bagley, Mayor

FROM: Shane Horan, Assessor

DATE: September 9, 2004

SUBJECT: Resolution 2004-073 (Mayor's Substitute), Valuation of Low-Income Housing Tax Credit (LIHTC) Apartment Projects

The Kimberly Court Apartments and the Northwood Retirement Apartments qualified for low-income housing tax credits before January 1, 2001, and are therefore required by statute to be valued based on actual income derived rather than the traditional full and true value approaches. Consequently, these two complexes should be deleted from Resolution 2004-073, as the assembly is not given authority to value these differently. The mayor's substitute deletes all references to these two complexes.