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Brunsville's new TIF money will improve town's overall looks

Thursday, April 24, 2008
(Photo)
A new urban renewal area has been formed to encompass all of Brunsville. With that distinction businesses like Premium Feed & Grain in the town's industrial area will be part of a Tax Increment Financing (TIF) district. Those (TIF) funds will help improve infrastructure needs throughout Brunsville.
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Brunsville's roads, utilities and other infrastructure need a facelift.

That's why the Brunsville City Council earlier this month created an urban renewal area that will encompass the entire town and designate a Tax Increment Financing (TIF) district.

Having the TIF funds available will allow the town to make improvements to its road system and other infrastructure to benefit existing businesses as well as provide incentives for new business to move in.

Mayor Wayne Schlotfeldt said the TIF area will initially include industrial sites like Premium Feed & Grain on Elm Street and commercial businesses on Oak Street.

Including the entire Town of Brunsville in the urban renewal area gives officials the option of adding more areas into the TIF district if needed in the future.

For example, Schlotfeldt said, there are a couple of interested parties looking at starting up business in Brunsville and if they do, it would mean extension of water main along with other street improvements.

TIF revenue is created based on taxes from designated structures built within an urban renewal area. Those taxes can be collected for 20 years.

One of the first projects to use TIF funds will be removing a ditch, adding curb and gutter and repairing paving on Elm Street in front of Premium Feed & Grain. That is estimated to cost about $40,000 and will be started later this spring, Schlotfeldt said.

He expects the facilities within the TIF area like the grain elevator will pay for any infrastructure improvements throughout the 20 years TIF money can be used.

Kelly Beitelspacher, owner of Premium Feed & Grain, said the planned improvements near his business will be a benefit with his office expansion currently under construction and future growth plans.

"It will help my business a lot," Beitelspacher said. "It will make it easier to get in and out of my elevator."

Even though there are currently no other projects scheduled, other business owners and town officials also see the advantage of having the TIF district to help with future plans.

"They're just making the town look nicer," said Jen Marienau, owner of Pure Indulgence hair salon on Oak Street. "That's always a good thing," she said.

Kathy Renken, a city council member, said Brunsville is a nice town with the lowest tax rate in Plymouth County and officials want to keep it that way.

"I'm hoping it brings a couple of new businesses," Renken said. "It helps the smaller guys who want to get into business."

Throughout the process to create an urban renewal area both Schlotfeldt and Renken said they didn't hear any opposition for the plan.

"I think people see the effort being made to retain the existing businesses," Schlotfeldt said. "I think that's one of the benefits for doing it."



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