The area immediately east of the East Billings Urban Renewal District (EBURD), also known as the Exposition Gateway, lies outside the City limits and is therefore not eligible to be included in the District. However, the area is recognized as having high redevelopment potential and would be a logical expansion of the EBURD. According to the EBURD Master Plan (Sec. 03-9, 10), the eastern end of the EBURD is a major opportunity for full-scale redevelopment. A coordinated, comprehensive, planned development can create a pleasant, pedestrian-oriented collection of hotels, restaurants, and other hospitality businesses serving MetraPark and the rest of the community as a welcoming gateway from Interstate-90, the Heights, and the rest of Billings. The area would be ideal for incorporation into the EBURD but would need to be first annexed into the City. Due to the substandard condition of road, sewer and water infrastructure, haphazard street access and the unpredictable future land use, the cost of annexation and needed public improvements are unknown. A master plan that analyzes future land use alternatives and infrastructure needs would help property owners and the City evaluate the cost of annexation. The expenditure of tax increment funds for this purpose is authorized by MCA, 7-15-4233 (1) (c) and 7-15-4288 (5) which permits tax increment to be used for costs incurred to prepare recommended modifications to an urban renewal project plan. The Exposition Gateway Master Plan would determine if the East Billings Urban Renewal Plan should be modified to include the properties in the new study area.The Billings Industrial Revitalization District (BIRD) is requesting an allocation of $25,000 of tax increment funds for the purpose of developing a master plan for the Exposition Gateway to evaluate the cost and feasibility of expanding the EBURD. The funds would be used to match a $52,500 Big Sky Economic Development Trust Fund Planning Grant from the Montana Department of Commerce.

The City Council may:
• Approve the BIRD’s request to allocate $25,000 of EBTIFD funds towards the development of the Exposition Gateway Master Plan
• Deny the BIRD’s request to allocate $25,000 of EBTIFD funds towards the development of the Exposition Gateway Master Plan

The East Billings Urban Renewal and Tax Increment Finance District received $194,111 in tax year 2009/FY2010. Combined with the carryover of $102,930 from the previous year, less funds obligated to First Interstate Bank; $202,009 is available for project costs. The Council has approved FY11 expenditures totaling $55,655, leaving a total of $146,354 for additional projects.

Staff recommends that City Council approve the BIRD’s request to allocate $25,000 of EBTIFD funds towards the development of the Exposition Gateway Master Plan.