COEUR d’ALENE — Lake City Development Corp. is planning to cash in some of its reserves for the fiscal year 2011 budget to help fund improvements on a couple of big-ticket projects.

Namely, a redone McEuen Field in downtown Coeur d’Alene and a revamped education corridor near the North Idaho College campus.

Overall, the urban renewal agency is anticipating a $5.4 million budget in fiscal 2011, with roughly $2 million of its expected expenditures geared to go to capital enhancements for those two long-term projects. The fiscal year runs from October through September 2011.

“That’s what we’ve been saving for,” said Tony Berns, LCDC executive director. “The board has been wise to leverage a lot of our resources by borrowing money when money was cheap, so we’re in a good position to tap into that cash to most likely help pay for some of these big-ticket items.”

The anticipated $6.2 million ending balance for 2011 is more than the previous two years’ balances, despite a decrease in expected tax increment revenues.

Next year, the agency is expecting to collect $4.5 million in tax increment revenues, down from the roughly $5.1 million in 2010, and $4.9 million in 2009.

The decrease is attributed to Kootenai County’s taxable valuations dropping about 20 percent countywide. LCDC’s downtown Lake District saw a valuation decrease of 15 percent, while the River District dropped 20 percent.

Berns said the decrease is a concern, but he believes it has bottomed out.

Tax increment financing is property tax money the agency receives from properties inside its districts after the year in which the district was formed. The money does not go to local taxing entities, including the city.

But for several years the agency has set aside savings for the projects that have steadily been a part of Coeur d’Alene’s long-term plans, and has some reserves to help offset those drops.

“We’ve been very good about that,” Berns said of saving the money for possible spending later this year or early next year. “We have a pretty healthy savings account that we can draw on to help fund some of these projects.”

Not that the projects are a done deal. Nor are their price tags, should the community move forward with them. But they’re a part of the $7.4 million in overall expenditures LCDC is setting aside for 2011, just in case, including money for potential land acquisitions. LCDC’s beginning fund total is estimated to be $7.8 million.

After revenues are added and expenses subtracted, it would leave the $6.2 million ending balance.

That overall number is around $664,500 more than last year’s roughly $5.6 million budget, and around $682,000 more than the urban renewal agency’s 2009 purse.

The numbers aren’t final because levy rates still need to be determined, which will happen in the fall.

LCDC is a non-taxing entity. Taxing entities such as NIC, the city of Coeur d’Alene, Kootenai County, the four highway districts and Kootenai County Emergency Medical Services establish the levy rate by taking the amount of money they budget divided by their district’s total valuation.

Property taxes are determined by multiplying an individual property’s assessed value by the levy rate.

The board will hold a public hearing and adopt its finalized budget at 4 p.m. Aug. 18 during its meeting in the Community Room of the Coeur d’Alene Public Library.

Written or oral comments can be submitted to Berns at 105 N. First St. Suite 100. Coeur d’Alene, ID, 83814, or by calling 292-1630.