In order to use Tax Increment Financing within an Urban Renewal District, legal counsel advises that all projects be specifically identified in the urban renewal plan or as amendments to the plan.  The Downtown Billings Alliance (DBA) is recommending that the Council amend the Expanded N. 27th Street Urban Renewal Plan by adding a retail retention and recruitment program so that funding can be committed to it at a future date.  State law requires a two (2) step process to amend an urban renewal plan and this proposed resolution of intent is the first step.  If Council approves the resolution, it will describe the proposed project, state the Council's intent to amend the plan to include the project, will post or publish a proposed ordinance that will be the actual plan amendment and set a public hearing date for September 10, 2012. 

The City Council may

• Approve the resolution of intent.  This is the first step in a two (2) step process.  The resolution of intent describes the proposed urban renewal plan amendment, contains a proposed ordinance that will amend the plan and sets a public hearing date for the Council to accept public comments and consider adopting the ordinance/plan amendment.
• Disapprove the resolution of intent.  The resolution is the required first step of amending an urban renewal plan.  If the Council does not approve the resolution, the plan will not be amended and the program will not be eligible for expenditure of tax increment financing. 

There is no immediate financial impact.  The DBA is not proposing to fund the project at this time, but the options that are being discussed have relatively low cost.

The Downtown Billings Alliance and staff recommend that the City Council approve the resolution of intent to amend the Expanded N. 27th Street Urban Renewal Plan to include a retail retention and recruitment program as a project that is eligible for tax increment financing.