SIKESTON -- Revenue from businesses located in the strip mall behind Walgreens will pay for the Lake Street traffic signal without help from the chain pharmacy.
A bill creating a Transportation Development District at the North Main and Malone TIF District was approved during the special Sikeston City Council meeting Monday.
City Clerk Carroll Couch explained the agreement requires the city to collect an additional 1-percent sales tax to retire the portion of Tax Increment Financing notes that were issued to pay for the construction of the light signal at the intersection of North Main and Lake.
The tax will only be collected from retail businesses within the Transportation Development District. The district includes all businesses at the Shops at Lake Crossing shopping center except for Walgreens.
This agreement will not otherwise affect the TIF district's agreement by which half of the sales tax revenue generated in the TIF district above the pre-
project baseline will go to retire the debt incurred by developers for infrastructure improvements in the district.
Any debt remaining after the 23-year period for the TIF district agreement will be paid by the developer, Couch noted.
In other business Monday:
* Council members approved a change to the city's flexible benefit plan to take advantage of new rules by the Internal Revenue Service.
The city offers its employees the opportunity to participate in a "cafeteria" benefit plan that has an unreimbursed medical flexible spending account.
Employees agree to set aside pre-tax funds from paychecks to pay for medical expenses not covered by the city's health insurance plan.
The funds can be used for reimbursement of such items as medical deductibles, co-pays, contacts or glasses, dental expenses and over-the-
The IRS amended its position on the accounts so plan sponsors can now allow a grace period of up to two months and 15 days following the end of a plan year to incur expenses before a "use it or lose it" forfeiture rule applies. This in effect extends the former 12-month period funds must be spent within to 14 and a half months.
* Bills read for the first time included a rezone from AG to R-1 and subdivision approval request for 12.2-acre tract known as South Ridge Estates, 14th addition; and a rezone from AG to C-1 and subdivision approval request for the 1-acre tract known as the Hand In Hand Addition.
* Council was briefed on the award of 2006 Street Improvement Program bids and liability insurance bids.
* The Council's next regular monthly meeting will be at 4 p.m. April 6 instead of Monday due to the election.
The reorganizational meeting's agenda will include election of a mayor pro tem and Council member appointments to the Professional Consulting Committee, Planning and Zoning Commission, Board of Municipal Utilities Commission, Tourism Commission and the Public Safety Advisory Board.