SIKESTON - City Council members authorized the issuance of tax increment financing revenue bonds for the 60/61 Redevelopment Project during their special meeting Monday.
"From the time that the redevelopment district was formed, Four Corners Development Company has been submitting their development costs to the city in exchange for promissory notes," explained Bill Green, director of the Department of Economic Development, following the meeting. "The ordinance approved today authorizes the city to sell tax increment financing revenue bonds on the open market to refund the promissory notes."
The TIF district is located south of the old K-Mart building along the east side of South Main.
The original projection for repaying the $3.6 million bond issue was 13 years, according to Green, "but the tax revenues have been running ahead of what projections were, and we are predicting the bonds will be paid off in less that 10 years now."
Until the bond debt is paid off, the TIF agreement "captures all property taxes within the redevelopment district and 50 percent of the sales tax revenues," Green explained.
"All of the city's expenses in connection with that transaction have been fully reimbursed by the developer and future tax increment financing revenues will be used to retire the bonds," Green said. "The city is not out any expense on this - all of the city's costs have already been reimbursed."
In other discussion by the Council during Monday's meeting, Mayor Mike Marshall expressed concern about weeds growing up around some businesses in town.
With Independence Day and the Jaycee Bootheel Rodeo coming up, Council members are hoping "business owners and property owners will take a greater role in trying to spruce up, clean up around their establishments," said Doug Friend, city manager.
Friend also said city crews began working on cleaning up public areas Monday.
* The regular July City Council meeting was canceled due to the holiday Friday.