At this week’s Morris City Council meeting, Council members approved the formal agreement to establish Tax Increment Financing (TIF) District 16, a housing development project on Iowa Avenue. Morris City Manager Blaine Hill told KMRS that TIF financing can only be allocated for certain purposes, such as redeveloping an area or housing). In this case, developer John Timmerman seeks to build an additional 40 housing units, 20 percent of which will be set aside as “affordable housing” under the 25-year agreement.
The project is expected to have construction costs of $3 million, with $1.3 million generated in tax increments. The agreement is in four phases, the first of which will be the building of a 16-unit apartment building. Hill noted that without the TIF, the project wound not be built.