Meeting Preview: Council sets hearing on Jennie-O tax increment plan
WILLMAR — The Willmar City Council will conduct a public hearing at 7:02 p.m. Monday to consider approving a tax increment financing plan for Jennie-O Turkey Store’s corporate office expansion project.
State law allows cities, counties, and development authorities to use tax increment financing, or TIF, to help finance costs of real estate development to encourage developers to construct buildings or other private improvements and to pay for public improvements, such as streets, sidewalks, sewer and water, and similar public infrastructure improvements that are related to the development.
TIF uses future gains in taxes to subsidize current improvements, which are projected to create the conditions for those gains. The completion of a public or private project often results in an increase in the value of surrounding real estate, which generates additional tax revenue.In related business, the council will conduct a hearing on a proposal to amend the geographic boundary of a 1989 municipal development district to facilitate the Jennie-O project.The development district is generally located between County Road 5 on the west, 22nd Street Southwest on the east, Willmar Avenue on the north and 19th Avenue on the south.The land to be added to the development district lies along former State Highway 40 right-of-way between County Road 5 and Willmar Avenue and will become part of the JOTS corporate office campus.State law requires creation of a development district before the city can participate in development and redevelopment within the district.In other business, the council will receive comments from the public during the open forum; will receive reports from the Labor Relations Committee, Finance Committee, Public Works/Safety Committee and Community Development Committee; and consider a resolution establishing polling locations for the 2014 elections.