The Billings Industrial Revitalization District (BIRD) Board of Directors recommends the City Council approve up to a maximum reimbursement of up to $8,967 from the EBURD tax increment finance district funds to The Food Truck Stop (Owners Mo and Kate Bain) to assist in an overall remodeling project at 202 North 18th Street. Actual reimbursement will be based upon 100% of the actual costs incurred for qualified expenses for the improvements made to property subject to the following conditions:

1. The Applicant shall sign a development agreement with the City of Billings and BIRD within 180 days of City Council’s approval.
2. This TIFD reimbursement is the maximum that can be received pending satisfactory submission of all paid invoices showing the completion of expenditures related to this project.
3. If funds are not available, reimbursement can be carried over to the next fiscal year.
 

The Billings Industrial Revitalization District (BIRD) Board of Directors is presenting this recommendation to the City Council for allocating $8,967 in tax increment finance funds (TIF) from the East Billings Urban Renewal District (EBURD) to provide financial assistance to The Food Truck Stop (Owners Mo and Kate Bain) to assist in remodeling, site work, and landscaping as part of a project to provide a food truck prep and truck organizational area at 202 North 18th Street.

The property is located at the northwest corner of the intersection of North 18th Street and 2nd Avenue North. The application was initially submitted to the BIRD on April 23, 2025. The BIRD Review Committee considered this application on April 28 and recommended approval to the full BIRD Board. The BIRD Board reviewed and recommended approval of this project to the City Council at its board meeting on May 7.

The subject property is being remodeled for a food truck support business with some building remodeling and internal work, site work, parking pad concrete, landscaping, fencing and other improvements. Of the TIF allocation recommended, $4,686 is going to fencing (50% of total fencing cost) and the remaining $4,281 will be landscaping, curbs and facade. The total cost for the project is $72,689. The BIRD Board found that this project was in line with the EBURD Master Plan and Urban Renewal Plan, particularly in the areas of economic growth, property redevelopment, and supporting commercial business so that it continues or expands in the District.

The BIRD Board's recommendation of $8,967 toward the improvements results in about a 8:1 investment in private to public funds for the project based on a total project cost of $72,689. This ratio exceeds the 5:1 recommended ratio in the City's TIF Policy. The TIF contribution also represents a 12% contribution toward the total project cost, below the 16.666% recommended threshold in the City's TIF Policy for qualifying expenses. The payback for this investment based on property tax increases is estimated at about 11 years. The BIRD Board noted several reasons for its support of the project:

• With the renovation of this property, this project is in alignment with the EBURD Urban Renewal Plan under its Business Programs and Projects and Infrastructure Improvements goals (See Pages 3 and 4, item I and IV of the Urban Renewal Plan Attached), and
• The EBURD Master Plan's principles of fostering economic growth, and ensuring commercial operations continue. Improvement of this property in the EBURD aligns well with the urban renewal efforts of the City and the EBURD.

Table 1.

Qualified Improvements	Recommended TIF Reimbursement	City TIF Policy	Urban Renewal Plan	MT Code Annotated
Site Work (curb, facade and landscaping) Fencing (50% of total cost)	$4,281 $4,686	Section 1(b)(c)	Section 2 (I) Business Programs and Projects Section 2 (IV) Infrastructure Improvements	7-15-4288

This process and action of the BIRD is under its authority per the Memorandum of Understanding between the City of Billings, Big Sky Economic Development, and the BIRD, Inc. approved by the City Council on May 13, 2019 and renewed for one year on April 22, 2024. The MOU expires on June 30, 2025.
 

The City Council is the final authority in disbursing TIF funding. This proposed use of TIF funds conforms to the City's TIF Policy and aligns with the EBURD Urban Renewal Plan and Montana Code for urban renewal projects and programs. The City Council may:

• Approve the recommendation from the BIRD Board for the expenditure of these TIF funds, or;
• Modify and approve the recommendation from the BIRD Board for the expenditure of these TIF funds
• Disapprove of the recommendation from the BIRD Board for the expenditure of these TIF funds.

The request is for a total of up to a maximum of $8,967 to be reimbursed to the Food Truck Stop only upon completion of the work and submittal of the invoices for the cost incurred. It is expected that this project will be completed in early FY26 and if this award is approved, there will be sufficient budget available in the FY26 Budget.