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West Bend council discusses Tax Increment District No. 17 project plan; vote deferred pending notice and packet posting
Summary
Council members heard a detailed presentation on a proposed mixed-use Tax Increment District No. 17, including project costs, estimated value increase and developer municipal-revenue-obligation (MRO) terms; some council members raised concerns about packet posting and requested the item be scheduled for action Jan. 20 rather than voted on Jan. 6.
The West Bend Common Council received a detailed presentation on Tax Increment District (TID) No. 17 at its Jan. 6 meeting and elected not to take final action that night because the project presentation was not included in the council packet for some members.
Phil Costin of Ehlers reviewed the project plan on the record, describing the district as a 104.77-acre mixed-use TID that includes about 1.79 acres of wetland. Costin summarized estimated project costs up to about $17.8 million and a potential increase in taxable value of roughly $69.1 million. He said the district would likely run its full 20-year life to repay obligations because of a sizable roadway and water-main improvement (South 18th Avenue) included in the plan.
Costin said the plan layers two developer municipal-revenue-obligations (MROs): a $1,211,000 MRO for a Continental Properties incentive and an MRO of up to $5,000,000 under negotiation with Newman Development for internal subdivision roads. Costin said the MROs are structured so the city does not need to borrow up front; developers are repaid from increment as it is generated. He described South 18th Avenue roadway and water-main improvements as the plan’s largest cost, citing figures discussed in the project plan of roughly $6.6 million for the improvements and a broader project cost cited elsewhere in the plan of about $6.9 million, of which an estimated $566,000 may not be TID-eligible because the improvements serve a wider area than the district.
Costin explained statutory thresholds that affect mixed-use TIDs: newly platted residential acreage cannot exceed 35 percent of the district, and newly platted residential must meet a density threshold of at least three units per acre; Costin said the plan keeps newly platted residential just under the 35 percent limit and meets the density requirement.
Several council members expressed concern that the presentation had not been posted in the meeting packet and that some members may be seeing the materials for the first time that night. Because the council must meet notice requirements that trigger the Joint Review Board (JRB) final action, the presiding official recommended delaying the council vote until the Jan. 20 council meeting so the notice timeline could be confirmed and the JRB meeting scheduled for Jan. 21 remain valid. The council discussed the alternative of postponing the JRB meeting by a week or two to meet class 1 notice requirements if necessary.
Council members also asked about development details such as green space; Costin said park or open-space locations would be handled through normal subdivision review and were not required elements of the project plan, which focuses on financing.
No final council action to create TID No. 17 was taken on Jan. 6; Costin said the item would return to the JRB for final action Jan. 21 only if the council’s procedural timeline allowed. The council’s stated preference on the record was to take action at the Jan. 20 meeting rather than that night.
Votes at a glance (other council actions that evening) - Consent agenda (items 2–6) — Motion to approve (mover: Alderman Butchlich; second: Alderman Allen). Outcome: approved by voice vote. Details: consent items included routine matters; no budget change noted for the capital purchase referenced in consent discussion. - Additional election inspector appointments for 2024–25 election period — Motion to approve (mover: Alderman Zingshime; second: Alderman Allen). Outcome: approved by voice vote. Details: names listed in packet. - Resolution canceling certain Town of West Bend special assessments (reconstruction of 18th Avenue between Paradise and Vogt Drive) — Motion to approve (mover: Alderman Allen; second: Alderman Zingshime). Outcome: approved by voice vote. Details: clarified town properties will not be billed at this time; a specific statutory procedure would be required to bill town properties now. - Motion to adjourn into closed session under Wisconsin Statute 19.85(1)(c) (personnel matter) — Motion moved by Alderman Sternig; seconded by Alderman Allen. Roll-call vote recorded; body adjourned to closed session and did not reconvene that evening.
Key project-plan details on the record - District acreage: 104.77 acres; wetlands: 1.79 acres. - Estimated project costs: up to $17.8 million (project plan figure). - Potential increased assessed value: approx. $69.1 million (project plan figure). - Developer MROs: $1,211,000 to Continental Properties; up to $5,000,000 to Newman Development (still being negotiated). - South 18th Avenue roadway and water-main improvements: project-plan figures discussed around $6.6 million to $6.9 million; an estimated $566,000 of that cost may not be TID-eligible.
Council members asked that the full project presentation be posted before a final council vote and requested the item be placed on the Jan. 20 agenda for action rather than deciding it that night.
