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Council approves TIF boundaries and project plan tied to Ventum expansion; developers to front infrastructure costs
Summary
Council approved resolutions to establish Tax Increment Financing (TIF) District No. 16 and adopt a project plan identifying about $5 million in eligible costs to support site and infrastructure improvements for Ventum (formerly part of 3M); economic development officials said the phase‑one investment is about $221.9 million and would add roughly 48 jobs.
Brookings — The City Council on Aug. 13 approved two related resolutions to create Tax Increment Financing (TIF) District No. 16 and adopt the district’s project plan to support a large manufacturing expansion in the city.
Community Development Director Mike Struck described Resolution 24‑078 as the boundary declaration for TIF No. 16 and Resolution 24‑080 as adoption of the project plan. Staff said the TIF is intended to help fund site improvements, grading, utilities and road work; the project plan identifies approximately $5 million in eligible project costs over a 20‑year TIF term. Struck said the district’s taxable value would remain well under the statutory citywide cap (projected below 2% of citywide taxable value).
Tim Reed of the Brookings Economic Development Corporation described the manufacturing partner (a company spun out of 3M, referred to in the meeting as Ventum) and said the project’s phase‑one investment is roughly $221.9 million. Reed said the project would replace jobs lost in an earlier corporate reorganization and produce new positions; he cited an annual payroll impact in the range of $2.6 million for newly added jobs.
Councilmember Specker asked whether the TIF is strictly a boundary confirmation; staff confirmed the current action addresses boundaries and the project plan, while details about revenue sharing and development agreements would be addressed later in negotiated agreements. Council also heard from local plant leadership, who said employees from a spun‑off department were absorbed into the local operation and that head count was not reduced at the plant.
What happened: Council approved both the boundary resolution and the project plan by recorded vote. Staff said a development agreement with more detailed revenue‑sharing terms will be presented in a future meeting; Tim Reed said he anticipated bringing a development agreement back to council in late September.
