The South Billings Urban Renewal Association (SBURA) Board of Directors is presenting this recommendation to the City Council for allocating $58,375 in tax increment funds (TIF) from the South Billings Boulevard Urban Renewal District (SBBURD) to the Boys and Girls Club of Yellowstone County for demolition and minor site improvements to property at 503 Orchard Lane. The property is located directly to the north of the Boys and Girls Club facilities and the funds would be used for demolition of a vacant house and installation of a fence to secure the property for future use by the Club (See Application Attached). The Club has acquired the property through a donation from the Stuart Family that specified it be used by the children of the Boys and Girls Club.

While this project will not generate increment, the improvement to the neighborhood, the overall elimination of blight, and the preparation of the property for future use by the Boys and Girls Club are significant and warrant the investment of TIF funds. This project is also in conformance with the South Billings Master Plan for the reasons outlined above. This property has seen trespassing and vandalism since it was vacated (See Site Photos Attached).

The application for TIF Assistance was approved by the SBURA Board of Directors at its March 5, 2019 Board of Directors meeting.

City Council may:

• Approve the SBURA recommendation and allocate the TIF Funds for this project; or
• Disapprove the SBURA recommendation and not allocate the TIF Funds for this project

The Development Agreement (See attached) specifies a one-time payment of $58,375 to the Boys and Girls Club of Yellowstone County as part of the SBURA TIF Application Program. The funds are payable on completion of the project. There is currently more than $5 million in the SBBURD Budget and so there are adequate funds available for payment of this development incentive. An FY19 budget amendment to specifically identify this project may be required as part of the Fourth Quarter Budget Amendment process.
 

The South Billings Urban Renewal Association Board of Directors recommends the City Council approve a $58,375 grant from the South Billings Boulevard Urban Renewal District tax increment district funds to assist the Boys and Girls Club of Yellowstone County with this project.