Morris council approves TIF district
A new Tax Increment Financing District in Morris will allow a property owner to develop multiple rental units near Iowa Avenue.
The Morris City Council approved establishing a TIF district for three parcels owned by John Timmerman of Osakis.
A TIF district means the new taxes created by the development are deferred from city, county and school district tax rolls until the TIF district expires. The money that would be paid in taxes goes to the property owner to develop the project.
"...to me, it's the but for (principle)," councilman Brian Solvie said at the Oct. 9 meeting. "If it weren't for this (TIF) there would be no new taxes."
Timmerman told the council that if a TIF district would not be established he'd abandon his project plan. Timmerman has already built four-plex on property adjacent to the requested TIF site.
City manager Blaine Hill said the cost of that project showed Timmerman that it would be too costly to built at least 20 more rental units on his other property.
The council approved the TIF district but will still need to negotiate the lifespan of the district and other details with Timmerman. Until they reach agreement, the TIF will not be effective.
Watch for more on the TIF discussion and decision in the Oct. 13 Stevens County Times.