GAYS MILLS - At a rescheduled special meeting last Thursday, the Gays Mills Village Board took another step toward creating two new Tax Incremental Districts and extending the life of their current TID.
Village trustee Aaron Fortney moved to adopt a resolution authorizing a three-year extension of Tax Increment District #1. Fortney’s motion was seconded by Kim Pettit and approved by the board.
TIDs, formerly known as TIFs (Tax Incremental finance districts), allow government units, like the Village of Gays Mills, to develop land and then use the increased taxes from the increased value of the land to pay for infrastructure improvements done in the TID.
TID #1 in Gays Mills was created in 2000-almost 20 years ago. TID #1 created the Applewood Business Park in a field along Highway 131 on the north end of the village. The TID included building streets with curbs and gutters, as well as extending sewer and water service. Those and other infrastructure improvements were paid for by the village’s ability to keep all of the increased tax revenue for 20 years from the Building Automation Products Incorporated (BAPI), a factory that manufactures sensors for the HVAC industry, as well as a ranch-style house. In addition to the increased taxes from BAPI’s initial building, the company’s construction of an addition recently increased its assessment and the amount of taxes paid to the TID.
Retaining the increased amount of taxes from the improved properties for 20 years, not only allows the village to pay for all of the infrastructure improvements, it creates a $341,777 surplus for the village-and that’s without the increased revenue from a three-year extension. If the extension is granted, it will add about $195,000 to the surplus, bringing the total close to $450,000.
What to do with that money in the future will be a decision for the village. Consultant Kurt Muchow, from Vierbicher and Associates, is assisting the village both with the TID #1 extension approved by the village board last Thursday and with previously approved resolutions seeking to create two new TIDs for the village (TID #2 and TID #3).
TID #2 fits over TID #1 and puts all of the remaining undeveloped property in TID #1 into TID #2 for another 20 years. TID #3 will be used to develop the undeveloped areas around the Gays Mills Mercantile Center, Marketplace and adjacent space around some existing housing.
As part of his work for the village, Muchow created a list of additional TID #1 projects the village might want to consider doing with the surplus funds that have accumulated.
The proposed additional TID #1 projects are paying back interest for TID #1 projects to the village’s general fund, extending three-phase electric service to the still undeveloped areas of the business park, building a bicycle-pedestrian trail from the business park to the Gays Mills Community Commerce Center, completing a sidewalk from the Gays Mills Mercantile Center to the Marketplace convenience store. Other suggestions are to use the fund for marketing and promotion, as well as any administration fees.
Additional projects that Muchow listed, but ultimately did not fit into the budget, are a bike-pedestrian trail from both the business park and the Community Commerce Center to the railroad grade.
While the Gays Mills Village Board has now adopted resolutions authorizing a tree-year extension of TID #1 and creation of TID #2 and TID #3, the matter must still be discussed and approved by the Gays Mills Plan Commission and the Joint Review Board.
The Plan Commission is a standing body of the village that reviews and makes recommendations to the board on various building plans. The commission includes Mike Pettit, Jim Chellevold, Allison Showen, Robin Babb, Erica Wilson, Harry Heisz and Erin Martin.
The Joint Review Board is a board consisting of representatives from each of the taxing units the receive tax revenue from the property. In this case that means a representative from North Crawford Schools, a representative from South West Technical College and a representative from Crawford County. In addition to the representatives from the taxing entities, the committee includes the village president and a member at large.
It is expected that the Plan Commission will meet in mid-May to review plans and maps for TID #2 and TID #3 according to Muchow. Then, they can schedule a public hearing.
The Joint Review Board will hold its first meeting on the TIDs in late May or early June. The JRB can then mail the TID #1 resoluiton it approves to the Wisconsin Department of Revenue.
The Plan Commission is expected to hold public hearing on the creation of TID #2 and TID #3; and then adopt a resolution approving their creation at a meeting in mid-June.
The final village board approval of TID #2 and TID #3 is expected in early July and the final approval of the JRB for the creation of the TIDs is expected later in July.
The board moved into a closed session discussion of a land sale. Reconvening in open session, village trustee Erin Martin moved to approve sale of Applewood Business Park Lot 2 to Ritch and Vickie Stevenson for $1. There were several conditions attached to the sale establishing the lot is only being sold at the $1 price for the purpose of construction of a solar project. Kim Pettit seconded the motion and in a roll call vote the board voted to unanimously approve the sale with the conditions of use noted.