The Billings Industrial Revitalization District (BIRD) Board of Directors recommends the City Council approve reimbursement of $44,532 from the EBURD tax increment finance district funds to Belle Chemical to assist in providing new security fencing at 501 North 22nd Street as part of Belle Chemical's renovations to occupy the property.
 

The Billings Industrial Revitalization District (BIRD) Board of Directors is presenting this recommendation to the City Council for allocating $44,532.00 in tax increment finance funds (TIF) from the East Billings Urban Renewal District (EBURD) to provide financial assistance to Belle Chemical for new security fencing as part of its relocation and property improvement efforts at 501 North 22nd Street. The applicant is requesting TIF funding to assist in installation of the new security fencing to improve the look of the property while ensuring the company's equipment and property are secure at the site. Belle Chemical is a new owner of the property and is making renovations to move its operations to the site in the EBURD from another part of town and reuse the former warehouse building. Excluding the recent property purchase, the total cost of property improvements is $159,845, including the fencing and additional renovations. The BIRD Board's recommendation of $44,532 toward the improvements results in about a 3.5 to 1 ration of private investment to public investment, not counting the property acquisition. The fencing is of very high quality and meets the requirements for fencing on the EBURD Zoning Code per Section 27-1815 (f) B.

The expenses for the fencing recommended by the BIRD Board are eligible as per Section 7-15-4288 (4) (See BIRD Board Recommendation attached) and Section 7-15-4233 (1) (i). The project also is in alignment with the EBURD Urban Renewal Plan under its Business Programs and Projects goal (See page 3, item I of the Urban Renewal Plan Attached) and the EBURD Master Plan's principles of fostering economic growth, ensuring industrial operations continue, and encouraging community collaboration around public safety. Reuse and improvement of this vacant building in the EBURD and relocation of a successful Billings business to the EBURD to facilitate Belle Chemical's continued expansion in the community aligns well with the urban renwal efforts of the City and the EBURD.
 
The BIRD Application Review Committee conducted a site visit on October 1, and reviewed the application on October 2 and made a recommendation of approval to the the BIRD Board. The BIRD Board of Directors voted at its meeting on October 7 to recommend funding of this application to the City Council. 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.

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 or Disapprove of the recommendation from the BIRD Board for the expenditure of these TIF funds.

The request is for a total of $44,532 to be reimbursed to Belle Chemical only upon completion of the fencing work and submittal of the invoices for the cost incurred. While the EBURD budget has capacity to cover this payment of TIF assistance, a budget amendment would need to be completed for this project if it is approved by the City Council.