The South Billings Boulevard Urban Renewal District (SBBURD) was created in 2007, and expanded in 2008. The 2007 South Billings Boulevard Urban Renewal Plan was prepared by the Planning Division as a statutory requirement for the creation of this District. The Urban Renewal Plan identified numerous projects and strategies to encourage revitalization of this District, including the development of a Master Plan. The Master Plan differs from the Urban Renewal Plan in two major aspects: 1) a Master Plan includes a comprehensive market analysis that identifies potential economic development appropriate for the district, and 2) a Master Plan details land use patterns and transportation system or other infrastructure needs that will promote the revitalization of the district.

At its December 20, 2010 meeting, City Council approved a request from the South Billings Urban Renewal Association (SBURA) for up to $300,000 in tax increment financing funds to develop a Master Plan. A Request for Proposals was advertised on December 30, 2010 and a selection committee consisting of Planning staff, a representative from Big Sky Economic Development Authority (BSEDA) and two representatives from the SBURA reviewed thirteen proposals. The selection committee recommended AECOM Technical Services (ATS) of Seattle, WA because of their approach, depth of experience in urban renewal district master planning and familiarity with tax increment financing. ATS will team with EcoNorthwest, an economic firm located in Portland, and three local firms, Sanderson Stewart, Jim Collins Concept Design, and David Groshens. The contracted amount is $275,000 and is being paid for through tax increment financing funds. The Planning Division will administer the contract on behalf of the City.

The City Council may approve or not approve the contract with ATS to develop a Master Plan for the South Billings Boulevard Urban Renewal District.

Tax increment funds are being used to fund this project. There is approximately $836,845 remaining in the SBBURD account, not including second half taxes. Council approved the expenditure of $300,000 for this project which would leave approximately $536,845 plus second half taxes, for the remainder of FY11.

Staff recommends the City Council approve the $275,000 professional services contract with ATS to develop a Master Plan for the South Billings Boulevard Urban Renewal District.