DARLINGTON – The Tuesday, Feb. 7 the regular meeting of the common council of the City of Darlington was called to order by Mayor David Breunig at 7:00 p.m.
Kurt Muchow of Vierbicher Associates was on hand to report to the city on the condition of the City of Darlington’s TID #6 and #7.
A Tax Incremental District (TID) is the land area associated with development and redevelopment projects. A Tax Increment Financing (TIF) is a public financing method that is used as a subsidy for redevelopment, infrastructure, and other community-improvement projects in municipalities.
The City of Darlington has two districts, TID #6 (which is located at the Darlington business park) is doing very well and TID #7 (located downtown portions of 300 and 400 blocks of Main Street – see map on page 11) is having a hard time staying in the black.
The difference between TID #6 & #7 based on value are as far apart as they can be.
TID #6 is very strong financially and has a 2016 increment value of $16,806,900. The TID currently has a fund balance of $68,834 with no liabilities. In 2017 TID #6 will generate $527,500. The future revenues at current level is $5,270,000 (this amount is subject to change). The TID must be terminated by October 2025.
TID #7 is a downtown blight elimination TID and has not generated revenue sufficient to cover the project cost and debt service. Its fund balance is -$155,735 and has current liabilities of $1,700,000. It is projected to have a deficit of $350,000 at the end of its maximum life in 2032.
The good news for the city is that TID #6 funds can be transferred to TID #7 by amending TID #6’s project plans. This money could be used for a multitude of projects, i.e, the city’s share of the Hwy. 23 reconstruction project, buying land for residential or industrial development, improvement of downtown, highway corridor improvement plan, sewer plant expansion, Driver Opera House project, etc. The money is available for projects within the downtown TID area and up to a half a mile radius around the TID.
The council agreed to get the ball in motion - to amend both TID #6 & #7. Vierbicher will get proposals in motion and will do the project work for an estimated $8,500 for both amendments.
After closed session the council made a motion to approve a proposed development agreement with Quilt Block Wind Farm, LLC in the Darlington Business Park.
In Other Business:
•Approved salaries schedule for Park and Rec wages for Summer Employment.
•Approved fees for Park & Rec programs. This included and increase in shelter house fee from $45 to $50. Also the fee for flag football went from $10.00 to $45.00, this includes transferring to USA/NFL flag football program.
•Approved a conditional use permit for Jason Funkhouser.
•Approved all department vouchers for $936,135.