The Bemidji City Council discussed parameters of a tax increment financing district agreement during their work session Monday.
The TIF district was established late last year for the Mountain View Meadows construction project, a three-phased housing development with plans to include a number of single-family and multi-family units with income limits to help address some of the city’s affordable housing needs.
While no action was taken by the council during the work session, consensus was reached to grant the developer around $2 million to somewhat offset some of the infrastructure costs the developer, Puddle Duck Properties LLC, would absorb to bring the project into fruition.
The 48-acre plot for the future Mountain View Meadows site is near Rako Street, Washington Avenue and Lakeview Drive.
Tax increment financing is a tool cities can use to invest in economic development projects by loaning the money expected to be collected in property taxes over a time period.
Consensus was reached for a full 26-year term, with adjustments for interest and inflation.
The development plans include a public park with parking and access to the Paul Bunyan State Trail.