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Planning panel backs TIF District No.5 to fund Cheyenne Boulevard; estimated cost $14.9M
Summary
The commission recommended creation of Tax Increment Financing (TIF) District No. 5 to pay for Cheyenne Boulevard and related infrastructure, describing the district as an infrastructure TIF (not returning increment to developers) and listing an estimated project cost of about $14.9 million.
The City of Box Elder Planning Commission on Oct. 20 voted to recommend City Council approve Tax Increment Finance District No. 5 to fund Cheyenne Boulevard and associated utility and roadway extensions.
"This is an infrastructure TIF," Renee Baker, the city’s finance officer, told the commission, distinguishing the proposal from developer‑reimbursement TIFs. Baker said TIF No. 5 would use increment generated within the designated district to pay project costs for Cheyenne Boulevard; any remainder after that project would be applied to Westgate Road if funds allow. Baker pointed commissioners to the TIF plan’s estimated project cost of $14,900,000.
Builder adviser Dean Hedrick questioned the use of the Alpha Omega name for the district, saying the label could create the impression the TIF benefited the subdivision’s builders. "Is it necessary? Is it possible? Will it eliminate questions down the future if it is renamed something more than it is?" Hedrick asked. Baker said staff would look into naming conventions and that the city could refer to it by number or a neutral name such as 'Cheyenne Boulevard TIF.'
Baker explained that the TIF mechanism does not raise tax rates; it redirects property tax increment generated above a base value to pay project debt for roughly a 20‑year span or until costs are paid off. "No one's paying more taxes for the TIF," she said. "It's just changing where their property tax would be going." A motion to recommend the TIF plan and the accompanying developer agreement to City Council passed by roll call.
The recommendation sent the TIF plan and developer agreement to City Council for final consideration; if council approves, the city will move to implement financing and construction planning for Cheyenne Boulevard.
