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By LeAnn R. Ralph
BOYCEVILLE — The Boyceville Joint Review Board has given final approval for Tax Increment Finance District 4.
The Joint Review Board for TID-4 was formed on August 24, and then the Boyceville Plan Commission held a public hearing on the proposed TID, said David Rasmussen of MSA Professional Services out of Rice Lake, at the Joint Review Board meeting on September 20.
The Boyceville Plan Commission recommended changes to the map for the proposed TID-4, and the Boyceville Village Board has approved TID-4, he said.
The final step in the process was the approval of the Boyceville Joint Review Board for TID-4.
Rasmussen attended the September 20 meeting by telephone as did Dan Lytle, representing Chippewa Valley Technical College.
Vaughn Hedlund, county board supervisor from Boyceville, represented Dunn County, while Nick Kaiser, district administrator, represented the Boyceville school district. Lukas Montgomery, Boyceville village president, represented the village, and Jonathan Farrell attended the meeting as a citizen member.
The project area has 144 parcels total, Rasmussen said.
TID-4 includes some small parcels north of Tiffany Street and much of the area south of state Highway 170, including the Boyceville Municipal Airport, and east of state Highway 79, as well as parcels north of state Highway 170 to bring the TIF district up to the Nordveien Drive area on the north side of Boyceville.
TID-4 will be a mixed use district, which includes residential development, and will close out after 20 years.
If TID-4 develops $6.5 million in new value, that would result in a tax increment of $2.66 million, Rasmussen said.
The impact would be about a half million for Boyceville, a little over $1 million for the Boyceville school district, about $123,000 for CVTC and around $929,000 for Dunn County, he said.
After a TIF district is formed, property taxes on new development in the district are deposited in a special fund rather than being distributed to the county, municipality, school district or technical college.
The money is used to pay for infrastructure in the TIF district, such as roads, sewer and water and stormwater control, and after the TIF is closed out in 20 or 26 years, the money that remains is distributed to each of the taxing authorities.
During the life of the TIF district, the taxing authorities still receive property taxes on the base value of the district.
For school districts in Wisconsin, the pay-out from a TIF district is deducted from the amount of state aid received by the school district.
Boyceville has until September of 2037 to complete all of the proposed projects in TID-4, Rasmussen said.
When the TIF district closes out, how is the money distributed? Montgomery asked.
The money is paid out to the four jurisdictions based on the percentage of the tax bill that each represents, Rasmussen said.
For example, if the Boyceville school district represented 25 percent of the property tax bill, then the Boyceville school district would receive 25 percent of the money in the TID-4 fund when the district is closed out.
The projections are based on doing all of the projects in the project plan, Rasmussen said.
There will be annual meetings of the Boyceville Joint Review Board for TID-4 to keep the taxing jurisdictions updated, he said.
The representatives on the Joint Review Board unanimously approved a resolution to form TID-4.
“We have a lot of things in the mix right now that could make the TID pop,” Montgomery said.
The resolution must be submitted to the Wisconsin Department of Revenue by October 31, and the DOR will then determine the base value of TID-4 as of January 1, 2022, Rasmussen said.