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HomeMy WebLinkAbout04-16-26 - Tax Increment Finance Board - Agendas & Packet MaterialsA. Call meeting to order - 12:00 p.m. B. Disclosures C. Changes to the Agenda D. Public Comments on Non-agenda Items Falling within the Purview and Jurisdiction of the Board THE TAX INCREMENT FINANCE ADVISORY BOARD OF BOZEMAN, MONTANA TIF AGENDA Thursday, April 16, 2026 General information about the Downtown Business Improvement District Board is available in our Laserfiche repository. If you are interested in commenting in writing on items on the agenda please send an email to comments@bozeman.net or visit the Public Comment Page prior to 12:00pm on the day of the meeting. At the direction of the City Commission, anonymous public comments are not distributed to the Board or staff. Public comments will also be accepted in-person and through Video Conference during the appropriate agenda items. As always, the meeting will be streamed through the Commission's video page and available in the City on cable channel 190. For more information please contact David Fine, David.Fine@bozemanmt.gov This meeting will be held both in-person and also using an online video conferencing system. You can join this meeting: Via Video Conference: Click the Register link, enter the required information, and click submit. Click Join Now to enter the meeting. Via Phone: This is for listening only if you cannot watch the stream, channel 190, or attend in- person United States Toll +1 253 205 0468 Access code: 978 1280 2476 This is the time to comment on any non-agenda matter falling within the scope of the Tax Increment Finance Board. There will also be time in conjunction with each agenda item for public comment relating to that item but you may only speak once per topic. Please note, the Board cannot take action on any item which does not appear on the agenda. All persons addressing the Board shall speak in a civil and courteous manner and members of the audience shall be respectful of others. Please state your name, and state whether you are a resident of the city or a property owner within the city in an audible tone of voice for the record and limit your comments to three minutes. 1 E. Action Items E.1 Northeast Urban Renewal District FY 2026 Annual Report, FY 2027 Work Plan and Budget and FY 2028 Work Plan and Budget(Fine) E.2 Pole Yard Urban Renewal District FY 2026 Annual Report, FY 2027 Work Plan and Budget and FY 2028 Work Plan and Budget(Fine) E.3 North Park FY 2026 Annual Report, FY 2027 Work Plan and Budget, FY 2028 Work Plan and Budget(Fine) E.4 South Bozeman Technology District FY 2026 Annual Report, FY 2027 Work Plan and Budget and FY 2028 Work Plan and Budget(Fine) E.5 Midtown Urban Renewal District FY 2026 Annual Report, FY 2027 Work Plan and Budget and FY 2028 Work Plan and Budget(Fine) F. FYI/Discussion G. Adjournment H. This board generally meets the 3rd Thursday of the month from 12:00 to 1:30 I move to recommend that the City Commission approve the FY 2027 Work Plan and Budget and FY 2028 Work Plan and Budget as submitted I move to recommend that the City Commission approve the FY 2027 Work Plan and Budget and FY 2028 Work Plan and Budget as submitted. I move to recommend that the City Commission approve the FY 2027 Work Plan and Budget, FY 2028 Work Plan and Budget as submitted. I move to recommend that the City Commission approve the FY 2027 Work Plan and Budget and FY 2028 Work Plan and Budget, as submitted. I move to recommend that the City Commission approve the Midtown Urban Renewal District FY 2027 Work Plan and Budget and FY 2028 Work Plan and Budget, as submitted. City Board meetings are open to all members of the public. If you have a disability that requires assistance, please contact our ADA Coordinator, David Arnado, at 406.582.3232. 2 Memorandum REPORT TO:Tax Increment Finance Advisory Board FROM:David Fine, Economic Development Manager SUBJECT:Northeast Urban Renewal District FY 2026 Annual Report, FY 2027 Work Plan and Budget and FY 2028 Work Plan and Budget MEETING DATE:April 16, 2026 AGENDA ITEM TYPE:Citizen Advisory Board/Commission RECOMMENDATION:I move to recommend that the City Commission approve the FY 2027 Work Plan and Budget and FY 2028 Work Plan and Budget as submitted STRATEGIC PLAN:2.2 Infrastructure Investments: Strategically invest in infrastructure as a mechanism to encourage economic development. BACKGROUND:Please see attached Annual Report, Work Plans and Budgets. UNRESOLVED ISSUES:Please see attached Annual Report, Work Plans and Budgets. ALTERNATIVES:Please see attached Annual Report, Work Plans and Budgets. FISCAL EFFECTS:Please see attached Annual Report, Work Plans and Budgets. Attachments: NEURD Work Plan and Budget FY27-28 V2 TIF Board 20260410.pdf Report compiled on: April 10, 2026 3 Northeast Urban Renewal District FY26 Annual Report and Budget FY27-28 1 NORTHEAST URBAN RENEWAL FY2026 ANNUAL REPORT FY2027 WORK PLAN AND BUDGET FY2028 WORK PLAN AND BUDGET On November 28, 2005, the Bozeman City Commission finally adopted Ordinance No. 1655 which formally enacted the Northeast Urban Renewal Plan and became effective December 28, 2005. The stated mission of the plan and general goals are as follows: DISTRICT PLAN MISSION/VISION “This Plan is the City’s response to remedy the conditions of blight found in the August 2005 [Blight] Report. The Plan also addresses other issues important to the District. The Plan’s purpose is to ensure the vitality of the Northeast Urban Renewal District (NURD) the vitality of the NURD for generations to come, and to make the NURD an area in which its citizens can take exceptional pride. The Plan envisions a mixed-use neighborhood that is user friendly, safe, secure and healthy. While this Plan envisions a District with diversity of housing, businesses and amenities, it intends to maintain the unique ambiance and historic character of the District”. Nine principles were developed for the plan. Each of the principles has one or more goals associated with the plan, some of which specifically relate to this work plan while others represent general objectives and directives. The Northeast Urban Renewal Board (NURB) goals are as follows: GENERAL GOALS:  Outdated or insufficient infrastructure should be repaired, replaced, or otherwise improved.  Provide public utilities to the area efficiently in ways that are not visually or physically obtrusive.  Encourage a land use pattern that facilitates all modes of transportation – vehicular, bicycle, pedestrian, mass transit, and commercial – for safe, efficient and convenient access for residential, commercial, and industrial uses.  Harmonize commercial and industrial development with residential quality of life.  New structures should be designed and built keeping in mind the public values of durability, flexibility, and simplicity. Thoughtful consideration of design, materials, and massing in the construction of new private buildings will add strength and character to the built environment. To the degree that the private sector can be influenced by a public partner in development, the community ought to strongly encourage excellence in urban design as a basis of partnership.  Promote sustainable building practices and design within the district.  Procure new land for park and open space.  Improve landscaping in existing public spaces.  Neither the City of Bozeman nor any of its subdivisions shall use eminent domain to take private property for private use in the implementation of an urban renewal project or similar redevelopment plan.  Encourage the City to help ensure the success of the Northeast Urban Renewal Plan by giving a high priority to the Northeast District in its capital improvements plan.  Work with neighborhoods and businesses to ensure actions taken in the district are compatible with adjacent developed areas.  Work with the City to ensure actions taken outside of the District are compatible with projects inside of the District. In 2010, the Northeast Urban Renewal Board began implementing plans and projects reflecting their three funding priorities: 1) Parks, Trails and Greenspace; 2) Infrastructure and 3) Neighborhood Development Plan. 4 Northeast Urban Renewal District FY26 Annual Report and Budget FY27-28 2 Northeast Urban Renewal District (NURB) FY2026 Annual Report (July 1, 2025 to June 30, 2026) Personnel Costs $29,100 Includes salaries and benefits Quiet Zone Engineering $39,300 Additional engineering costs related to final markup, right-of-way acquisition and public bidding. Public Bidding $700 Includes public noticing for future development, public bidding, and neighborhood engagement. Bond Costs $ 213,000 Costs covered under this item include bond repayment ($92,100) and the designated bond reserve ($120,900) for the Series 2017 Northeast Urban Renewal Revenue Bonds. 5 Northeast Urban Renewal District FY26 Annual Report and Budget FY27-28 3 Northeast Urban Renewal District (NURB) FY2027 Work Plan (July 1, 2026 to June 30, 2027) Personnel Costs $40,100 Includes salaries and benefits Public Bidding & Insurance $1,300 Includes public noticing for future developments, public bidding, and neighborhood engagement. Bond Costs $213,000 Costs covered under this item include bond repayment ($92,100) and the designated bond reserve ($120,900) for the Series 2017 Northeast Urban Renewal Revenue Bonds. ROW Improvements on Church between Cottonwood & Aspen Design $80,000 The City has right-of-way on Church Avenue north of Cottonwood Street and south the Aspen Street Bridge. Currently, the Church Street right-of-way is an unpaved trail. North of the Aspen Street Pedestrian Bridge, an unpaved trail continues to Tamarack Street. Staff proposes making improvements in the right-of-way to create a natural parklet near Bozeman Creek. Removing Traffic Calming Device on Wallace $0 (Internal) At a recent meeting of the Northeast Neighborhood Association, NENA members requested removing the traffic calming device on Wallace Avenue between Tamarack Street and Aspen Street as it makes parking difficult in the District. The City Engineering Department has agreed to assist with the removal of the traffic calming device and any signage necessary to improve the street parking. Purchase of Wallace Avenue Easement $30,000 The quiet zone study has identified the improvements required for quiet railroad crossings. It is anticipated that the improvements for the North Wallace Avenue/L Street crossing will include an arm for the pedestrian crossing as well as raised medians on both sides of the railroad tracks to preclude vehicles from driving around down arms. In order to construct the improvements in FY28, the City must purchase an easement on Wallace Avenue from BNSF. Tree Program Design & Implementation $20,000 At a recent meeting of the Northeast Neighborhood Association, NENA members identified a tree program as a neighborhood priority in regard to tax increment funds. The City Forestry Division recommends fully planting any boulevards with “missing” trees. Additionally, funds could be used to enhance the existing boulevard trees with better site conditions to help the existing trees thrive. This would include replacing wood chip mulch for better growing conditions, using permeable pavers to encourage pedestrian traffic away from sensitive trees, and adding smaller pollinator plants in the District. Other Contracted Services $50,500 The district requests a budget for contracted services to be responsive to opportunities related to the design or evaluation of public infrastructure projects and development agreements. 6 Northeast Urban Renewal District FY26 Annual Report and Budget FY27-28 4 Northeast Urban Renewal District (NURB) FY2028 Work Plan (July 1, 2027 to June 30, 2028) Personnel Costs $42,900 Includes salaries and benefits Public Bidding & Insurance $1,300 Includes public noticing for future developments, public bidding, and neighborhood engagement. Bond Costs $213,000 Costs covered under this item include bond repayment ($92,100) and the designated bond reserve ($120,900) for the Series 2017 Northeast Urban Renewal Revenue Bonds. Quiet Zone Construction $770,000 The quiet zone study has identified the improvements required for quiet railroad crossings. It is anticipated that the improvements for the North Wallace Avenue/L Street crossing will include an arm for the pedestrian crossing as well as raised medians on both sides of the railroad tracks to preclude vehicles from driving around down arms. Improvements to Griffin Drive, including upgrades at the railroad crossing, were completed in Fiscal Year 2022. Since improvements will be required for all three crossings before a quiet zone can be implemented, it is important to undertake crossing improvements as monies are available. ROW Improvements on Church between Cottonwood & Aspen Construction $500,000 The City has right-of-way on Church Avenue north of Cottonwood Street and south the Aspen Street Bridge. Currently, the Church Street right-of-way is an unpaved trail. North of the Aspen Street Pedestrian Bridge, an unpaved trail continues to Tamarack Street. Staff propose making improvements in the right-of-way to create a natural parklet near Bozeman Creek. Tree Program Implementation $100,000 At a recent meeting of the Northeast Neighborhood Association, NENA members identified a tree program as a neighborhood priority in regard to tax increment funds. The City Forestry Division recommends fully planting any boulevards with “missing” trees. Additionally, funds could be used to enhance the existing boulevard trees with better site conditions to help the existing trees thrive. This would include replacing wood chip mulch for better growing conditions, using permeable pavers to encourage pedestrian traffic away from sensitive trees, and adding smaller pollinator plants in the District. Bozeman Yards Development Bonding Costs $100,000 The Bozeman Yards project involves replacing a 9,000 square foot warehouse with a 100,000 square foot mixed-use building with 39 condos, commercial space, and an underground parking garage. The City Commission approved a development agreement in November of 2024 to reimburse a portion of the significant infrastructure costs adjacent to the site required for redevelopment. The public infrastructure improvements for Bozeman Yards include completing sections of Aspen Street and Front Street, including stormwater, sidewalks, water, sewer, and landscaping as well as an expansion of the Northern Pacific Park. The applicant will be reimbursed 7 Northeast Urban Renewal District FY26 Annual Report and Budget FY27-28 5 for costs outlined in the development agreement through bonds issued after certificate of occupancy for the project from revenues generated by the project. Construction began in 2025. Tax revenue generation is expected to begin in FY28. Outside bond counsel and a municipal bond advisor will need to be hired to complete the bond issuance. Wallace Works Reimbursement $390,900 Wallace Works is a mixed-use development on the southwest corner of Wallace Avenue and Tamarack Street. The project includes 42 market rate rental units, 7 affordable at 80% AMI rental units, 16 for-sale units, and 2,488 square feet of ground floor commercial. In order to complete the project, the developer is responsible for upgrading the surrounding infrastructure including the construction of a new sewer line in Aspen Street as well as all perimeter site improvements in the R.O.W. to include landscaping, sidewalk, curb, gutter, and stormwater. The City Commission approved the development agreement in October of 2024. The applicant will be reimbursed for costs outlined in the development agreement when the project begins to pay property taxes. Annual project generated tax increment was estimated at $390,897 in the approved development agreement. The applicant will not be reimbursed any amount over the actual project generated tax increment. Other Contracted Services $533,200 The district requests a budget for contracted services to be responsive to opportunities related to the design or evaluation of public infrastructure projects and development agreements. Northeast Tax Increment Finance Assistance Programs Approved Development Agreements Wildlands Development Agreement (Anticipated expense in FY29 $580,000) The Wildlands project includes expansion of an existing building at the northeast corner of the intersection of East Peach Street and North Wallace Avenue and demolition of improvements on the adjacent lot to provide adequate space for the expansion and relocation of the parking lot. The applicant has requested reimbursement for the public infrastructure improvements required in conjunction with the project. The City Commission concurred in the Board’s recommendation to approve that request once the applicant has completed the projects and paid at least two years of property taxes that equal the amount of the reimbursement. Wallace Works Development Agreement ($2,055,563) This reflects the total anticipated expense. The FY27 and FY28 appropriations represent the first and second annual payments of 100% of the project-generated tax increment. Payments will continue until the full $2,055,563 is repaid to the developer. Wallace Works is a mixed-use development on the southwest corner of Wallace Avenue and Tamarack Street. The project includes 42 market rate rental units, 7 affordable at 80% AMI rental units, 16 for-sale units, and 2,488 square feet of ground floor commercial. In order to complete the project, the developer is responsible for upgrading the surrounding infrastructure including the construction of a new sewer line in Aspen Street as well as all perimeter site improvements in the R.O.W. to include landscaping, sidewalk, curb, gutter, and stormwater. The City Commission approved the development agreement in October of 2024. The applicant will be 8 Northeast Urban Renewal District FY26 Annual Report and Budget FY27-28 6 reimbursed for costs outlined in the development agreement when the project begins to pay property taxes. Reimbursement will continue until the applicant is made whole, roughly 7 years. Construction began in 2025. It is anticipated the project will create increment for the pay-go agreement beginning in FY28. Bozeman Yards Development Agreement (Anticipated expense in FY29 $580,000) The Bozeman Yards project involves replacing a 9,000 square foot warehouse with a 100,000 square foot mixed-use building with 39 condos, commercial space, and an underground parking garage. The City Commission approved a development agreement in November of 2024 to reimburse a portion of the significant infrastructure costs adjacent to the site required for redevelopment. The public infrastructure improvements for Bozeman Yards include completing sections of Aspen Street and Front Street, including stormwater, sidewalks, water, sewer, and landscaping as well as an expansion of the Northern Pacific Park. The applicant will be reimbursed for costs outlined in the development agreement through bonds issued after certificate of occupancy for the project from revenues generated by the project. Construction began in 2025. Tax revenue generation is expected to begin in FY28. Light Conversion USA Development Agreement $450,000 (pending approval) Recognized in FY28’s appropriations, an application for public improvements related to the building of an office and potential coffee shop has been received by the Economic Development Department. The request includes reimbursement for demolition, sidewalk, curb, gutter, alley, CILWR, and water and sewer services. Staff are currently reviewing the application for the Tax Increment Finance Board and City Commission consideration. If an agreement is approved, it will likely be a pay-go agreement in which the project will use project-generated taxes to pay back the total amount. Staff is anticipating roughly $450,000 in requested tax increment finance reimbursement. Northeast Urban Renewal District (NURB) Unscheduled Projects Explore Acquisition & Enhancement of Additional Parkland Economic Development Staff reached out to the Northeast Neighborhood for input on future projects within the District. Several projects were voted on by the neighborhood association at their Fall 2025 meeting. There was a preference for enhanced green space, parks, trees, and highlighting natural amenities within the District. Looking forward, Economic Development staff will continue to seek out projects that explore the acquisition and enhancement of parkland within the District. 9 Memorandum REPORT TO:Tax Increment Finance Advisory Board FROM:David Fine, Economic Development Manager SUBJECT:Pole Yard Urban Renewal District FY 2026 Annual Report, FY 2027 Work Plan and Budget and FY 2028 Work Plan and Budget MEETING DATE:April 16, 2026 AGENDA ITEM TYPE:Citizen Advisory Board/Commission RECOMMENDATION:I move to recommend that the City Commission approve the FY 2027 Work Plan and Budget and FY 2028 Work Plan and Budget as submitted. STRATEGIC PLAN:2.2 Infrastructure Investments: Strategically invest in infrastructure as a mechanism to encourage economic development. BACKGROUND:Please see attached annual report and work plans and budgets. UNRESOLVED ISSUES:Please see attached annual report and work plans and budgets. ALTERNATIVES:Please see attached annual report and work plans and budgets. FISCAL EFFECTS:Please see attached annual report and work plans and budgets. Attachments: Pole Yard URD FY 27-28 Work Plan and Budget DRAFT V2 TIF Board 20260410.pdf Report compiled on: April 10, 2026 10 POLE YARD URBAN RENEWAL DISTRICT FY2026 ANNUAL REPORT and FY 2027 WORK PLAN AND BUDGET FY 2028 WORK PLAN AND BUDGET The Purpose and Intent of the Pole Yard Urban Renewal District and Plan The creation of the URD in the Pole Yard enables the City of Bozeman to eliminate conditions that contribute to blight substantially impairing sound growth of the City through investments in public infrastructure and efficient delivery of public services. Goals of the Pole Yard Urban Renewal District Plan GOAL 1. Promote Innovative Economic Development Rationale: Commerce strengthens the community, opens reinvestment opportunities, enables livable wage jobs, and supports the sound growth of the community, helping to eliminate conditions that contribute to blight. GOAL 2. Enable Enhanced Connectivity and Mobility Rationale: Connecting neighborhoods through investments in multi-model transportation corridors strengthens the fiber of the community. GOAL 3. Invest in Efficient Delivery of Public Infrastructure Rationale: Infrastructure is the backbone of the community. Private development typically requires a corresponding public investment in infrastructure. Capital improvements will help achieve economic vitality and support the delivery of public services. GOAL 4. Foster Urban Neighborhood Coherency Rationale: Higher concentration of development achieves greater efficiency in the delivery of public services. Urban growth, oriented to centers of employment and activity, can reduce or eliminate commute times, lower transportation costs and create vitality and a sense of community. Integrated elements of growth, ensuring a cohesive neighborhood that in turn contributes to the well-being of the entire community, will reduce geographic, as well as economic and social isolation. GOAL 5. Protect Public Health Rationale: An area that includes a superfund site presents the need for increased diligence to comply with the obligation to not exacerbate the human health contact risk or environmental contamination. GOAL 6. Encourage the Retention of Existing Businesses 11 Rationale: Urban infill development can affect the community through such things as additional traffic and noise, particularly when the existing public systems do not meet current standards. GOAL 7. Respect Critical Environments Rationale: Riparian and wetland areas provide benefits to the community through such things as filtering urban runoff, providing habitat for wildlife and flood protection. Pole Yard Urban Renewal District (PYURD) FY2026 Annual Report (July 1, 2025 to June 30, 2026) Highlights of investments are documented below. The only expenditure in FY26 were payroll costs of $6,400. Pole Yard Urban Renewal District (PYURD) FY2027 Work Plan (July 1, 2026 to June 30, 2027) Personnel $34,800 This includes salaries and benefits for support staff Contracted Services $150,000 The district requests a budget for contracted services to be responsive to opportunities related to the design or evaluation of public infrastructure projects and development agreements. 12 Other/General $2,650,200 We propose allocating the entirety of the expected increment to be responsive to opportunities. It is likely that in FY 26 we will either support developer or city led Infrastructure projects and development agreements. These funds could also be devoted to the design or construction of public infrastructure that serves the District. Specifically, the vast majority of these funds could be allocated to the construction of quiet zone improvements at the Rouse Ave. crossing in the event the project moves forward within the Fiscal Year. Pole Yard Urban Renewal District (PYURD) FY2028 Work Plan (July 1, 2027 to June 30, 2028) Personnel $36,700 This includes salaries and benefits for support staff Contracted Services $150,000 The district requests a budget for contracted services to be responsive to opportunities related to the design or evaluation of public infrastructure projects and development agreements. Other/General $572,900 We propose allocating the entirety of the expected increment to be responsive to opportunities. It is likely that in FY 26 we will either support developer or city led Infrastructure projects and development agreements. These funds could also be devoted to the design or construction of public infrastructure that serves the District. 13 Memorandum REPORT TO:Tax Increment Finance Advisory Board FROM:David Fine, Economic Development Manager SUBJECT:North Park FY 2026 Annual Report, FY 2027 Work Plan and Budget, FY 2028 Work Plan and Budget MEETING DATE:April 16, 2026 AGENDA ITEM TYPE:Citizen Advisory Board/Commission RECOMMENDATION:I move to recommend that the City Commission approve the FY 2027 Work Plan and Budget, FY 2028 Work Plan and Budget as submitted. STRATEGIC PLAN:2.2 Infrastructure Investments: Strategically invest in infrastructure as a mechanism to encourage economic development. BACKGROUND:Please attached annual report, work plans and budgets. UNRESOLVED ISSUES:Please attached annual report, work plans and budgets. ALTERNATIVES:Please attached annual report, work plans and budgets. FISCAL EFFECTS:Please attached annual report, work plans and budgets. Attachments: NP URD Work Plan and Budget FY 27-28 V2 TIF Board 20260410.pdf Report compiled on: April 10, 2026 14 NORTH PARK URBAN RENEWAL DISTRICT FY2026 ANNUAL REPORT and FY2027 WORK PLAN AND BUDGET FY2028 WORK PLAN AND BUDGET Goals of the North Park Urban Renewal District Plan GOAL 1: Promote Economic Development, with a Focus on Value-Adding Commerce Rationale: Value-adding commerce strengthens the community, opens reinvestment opportunities, supports livable wage jobs, and provides for economic needs of the citizens, helping to eliminate conditions that contribute to blight. GOAL 2: Invest in Efficient Delivery of Public Infrastructure Rationale: Infrastructure is the backbone of the community. Private development typically requires a corresponding public investment in infrastructure. Capital improvements in the district will help achieve economic vitality and address conditions that contribute to blight. GOAL 3: Support Planned Urban Density and Design Rationale: Higher density achieves greater efficiency in the delivery of public services. Live-work opportunities can reduce or eliminate commute times, lower transportation costs and create vitality and a sense of community. Design elements such as open space and pedestrian facilities promote recruitment of value-adding businesses interested in quality of life for their employees. 15 North Park Urban Renewal District (NPURD) FY2026 Annual Report (July 1, 2025 to June 30, 2026) Highlights of investments are documented below. Professional Services $15,000 Outside legal costs and third-party review of development agreements. North Park Urban Renewal District (NPURD) FY2027 Work Plan (July 1, 2026 to June 30, 2027) Professional Services $150,000 We are expecting a developer-led infrastructure investment with significant future bonding. North Park Urban Renewal District (NPURD) FY2028 Work Plan (July 1, 2027 to June 30, 2028) Professional Services $150,000 We are expecting a developer-led infrastructure investment with significant future bonding. 16 Memorandum REPORT TO:Tax Increment Finance Advisory Board FROM:David Fine, Economic Development Manager SUBJECT:South Bozeman Technology District FY 2026 Annual Report, FY 2027 Work Plan and Budget and FY 2028 Work Plan and Budget MEETING DATE:April 16, 2026 AGENDA ITEM TYPE:Citizen Advisory Board/Commission RECOMMENDATION:I move to recommend that the City Commission approve the FY 2027 Work Plan and Budget and FY 2028 Work Plan and Budget, as submitted. STRATEGIC PLAN:2.2 Infrastructure Investments: Strategically invest in infrastructure as a mechanism to encourage economic development. BACKGROUND:Please see attached annual report and work plans and budgets. UNRESOLVED ISSUES:Please see attached annual report and work plans and budgets. ALTERNATIVES:Please see attached annual report and work plans and budgets. FISCAL EFFECTS:Please see attached annual report and work plans and budgets. Attachments: SBTD Work Plan and Budget FY 2027-2028 DRAFT V2 TIF Board 20260410.pdf Report compiled on: April 10, 2026 17 SOUTH BOZEMAN TECHNOLOGY DISTRICT FY2026 ANNUAL REPORT and FY2027 WORK PLAN AND BUDGET FY2028 WORK PLAN AND BUDGET New Mission and Vision for the Montana State University Innovation Campus The Mission of the Montana State University Innovation Campus is: • To promote economic development and support partnerships between regional, national, and international high tech-based businesses and the research community of Montana State, the region, and the State of Montana. • To create a world-class research park to promote academic and industry collaboration to advance research and scientific discoveries with Montana State University Faculty and Students that will maximize the academic talent and regional resources of Montana State University, the region, and the State of Montana. • To promote learning and collaboration in support of scientific research, new discoveries, and inventions to further the commercialization of Montana State University’s intellectual assets and technology transfer. • To provide state-of-the-art facilities, programs, services, and amenities to support the growth and success of technology-based businesses. • To provide ‘the place'' to link academic, private, and governmental researchers and scientists to advance new discoveries in support of the Citizens within the State of Montana, the nation, and the world. The Vision of the Montana State University Innovation Campus is: To be recognized as the 'the place' that provides a unique community to connect people and support public private partnerships to stimulate new ideas, push forward the advancement of research and science, and produce new discoveries and technologies that will transform the world. 18 South Bozeman Technology District (SBTD) FY2026 Annual Report (July 1, 2025 to June 30, 2026) Highlights of investments are documented below. The only expenses in FY26 are for personnel, $6,500, and legal fees, $5,000 South Bozeman Technology District (SBTD) FY2027 Work Plan (July 1, 2026 to June 30, 2027) Contracted Services $10,000 Per the development agreement with Big Sky ICINF, LLC, staff anticipates the district will bond in FY2027 to reimburse the developer for the construction of public infrastructure related to the Aurora R&D and Engine Works buildings. Staff is requesting budget authority to spend up to $10,000 of existing cash-on-hand for costs related to issuing bonds related to the Development Agreement with Big Sky ICINF, LLC including bond council and municipal bond finance professionals. 19 Development Agreement with Big Sky ICINF, LLC $3,599,200 Please note that there is currently a development agreement, adopted pursuant to Resolution 5420, with Big Sky ICINF, LLC to reimburse the developer for the construction of public infrastructure related to the construction of two buildings within the District on the MSU Innovation Campus. The development agreement is not a guarantee of reimbursement or bonding for reimbursement. Road network infrastructure is complete on the Innovation Campus. A tax generation analysis will determine if the debt coverage ratio exists to bond for reimbursement to the developer for the improvements. Bond issuance is expected in FY27. South Bozeman Technology District (SBTD) FY2028 Work Plan (July 1, 2027 to June 30, 2028) Contracted Services $82,000 Per the development agreement with Big Sky ICINF, LLC, staff anticipates the district will bond in FY2027 to reimburse the developer for the construction of public infrastructure related to the Aurora R&D and Engine Works buildings. Staff is requesting budget authority to spend up to $82,000 of existing cash-on-hand for costs related to issuing bonds related to the Development Agreement with Big Sky ICINF, LLC including bond council and municipal bond finance professionals. Debt Service $276,900 As part of the development agreement with Big Sky ICINF, LLC, the City will issue bonds to reimburse the developer for public infrastructure associated with the construction of multiple buildings on the Campus. Approved Development Agreements Development Agreement with Big Sky ICINF, LLC (Appropriated in FY27) $3,599,200 Please note that there is currently a development agreement, adopted pursuant to Resolution 5420, with Big Sky ICINF, LLC to reimburse the developer for the construction of public infrastructure related to the construction of two buildings within the District on the MSU Innovation Campus. The development agreement is not a guarantee of reimbursement or bonding for reimbursement. Road network infrastructure is complete on the Innovation Campus. A tax generation analysis will determine if the debt coverage ratio exists to bond for reimbursement to the developer for the improvements. Bond issuance is expected in FY27. 20 Memorandum REPORT TO:Tax Increment Finance Advisory Board FROM:David Fine, Economic Development Manager SUBJECT:Midtown Urban Renewal District FY 2026 Annual Report, FY 2027 Work Plan and Budget and FY 2028 Work Plan and Budget MEETING DATE:April 16, 2026 AGENDA ITEM TYPE:Citizen Advisory Board/Commission RECOMMENDATION:I move to recommend that the City Commission approve the Midtown Urban Renewal District FY 2027 Work Plan and Budget and FY 2028 Work Plan and Budget, as submitted. STRATEGIC PLAN:2.1 Business Growth: Support retention and growth of both the traded and local business sectors while welcoming and encouraging new and existing businesses, in coordination with the Economic Development Plan. BACKGROUND:Please see attached document. UNRESOLVED ISSUES:Please see attached document. ALTERNATIVES:Please see attached document. FISCAL EFFECTS:Please see attached document. Attachments: Midtown Work Plan and Budget FY27-28 V2 TIF Board 20260410.pdf Report compiled on: April 10, 2026 21 Bozeman Midtown Urban Renewal District An Urban Renewal District with a Tax Increment Financing (TIF) Program Page 1 of 12 MIDTOWN URBAN RENEWAL DISTRICT FY2026 ANNUAL REPORT FY2027 WORK PLAN AND BUDGET FY2028 WORK PLAN AND BUDGET The City Commission passed Ordinance No. 1685, “Adopting an Urban Renewal Plan for the North Seventh Avenue Corridor and Adjacent Properties”, on November 27, 2006. On December 16, 2015, the City Commission passed Ordinance No. 1925, which adopted a new urban renewal plan, expanded the boundaries of the original district, and renamed the North Seventh Urban Renewal District the Bozeman Midtown Urban Renewal District. The 2015 Midtown Urban Renewal Plan provides for the remediation of blighted conditions within the urban renewal area by advancing five broad goals through a series of implementing activities and strategies. The five goals include the following items: 1. Promote Economic Development • Rationale: Economic vitality strengthens the community, provides for physical needs of the citizens, opens reinvestment opportunities, and helps to eliminate the conditions that contribute to blight. 2. Improve Multimodal Transportation • Rationale: Increasing travel options supports public health, reduces resource demand, increases efficiency and reduces costs, improving the quality of life and making the community a better place to live and work, helping to eliminate conditions that contribute to blight. 3. Improve, Maintain and Support Innovation Infrastructure • Rationale: Infrastructure is the backbone of the community. Private development typically requires a corresponding public investment in infrastructure. Therefore, capital improvements in the district will help achieve economic vitality and address conditions that contribute to blight. 4. Promote Unified, Human Scale Urban Design • Rationale: Protecting and building upon existing physical assets increases vitality, desirability and leverages economic development, strengthening community values and mutual support helping to eliminate the conditions that contribute to blight. 5. Support Compatible Urban Density Mixed Land Uses • Rationale: A sense of place is strengthened by a strong core identity. Increasing live-work opportunities and community interaction, ensures that 22 Bozeman Midtown Urban Renewal District An Urban Renewal District with a Tax Increment Financing (TIF) Program Page 2 of 12 the North 7th Avenue area remains a great place to live, work, operate a business, and play, and helps to eliminate conditions that contribute to blight. The City Commission approved the Midtown Action Plan in 2017, which charted a new direction in pairing infrastructure spending and blight remediation with proposed private investment. The intent of the Action Plan is to, “attract targeted private investment by leveraging the market potential of the Midtown District and removing barriers to redevelopment through strategic infrastructure investments and incentives.” The Annual Report and the recommended Work Plan and Budget reflect this specific strategy and approach to using private investment to propel blight remediation and urban renewal. The Midtown Action Plan proposes targeting future development that includes the following elements: • Infill. The intent of urban renewal is to remove blight to improve an area for the entire community benefit. Remodeling of existing structures or infill of underutilized lots is the priority of this Plan. As discussed, infill development is more challenging than vacant greenfield development and warrants focused investment of staff time and resources. • Increased building density. Increased building density increases the number of people in the District, which helps create the desired active pedestrian environment. More density of buildings grouped together in districts is especially desired to encourage pedestrians to explore adjacent buildings. Buildings that are separated by large parking area or vacant lots will impede pedestrian movement. • Encourages multimodal transportation. New projects should provide amenities such as adequate bike parking or bus schedule real time monitors in lobbies. At the same time, the Urban Renewal District should invest in infrastructure projects such as bike lanes and signals or covered bus stops to make alternative transportation options visible, safe, and desirable. • Retail that serves surrounding residents. To achieve a more vibrant pedestrian-oriented environment the District must consist of uses that are a frequent destination by residents. Retail amenities that are experience based such as restaurants or ice creams shops are desired because they generate activity and are more resilient to emerging ecommerce trends. Such amenities will also attract more housing investment. • Housing. Bozeman is in significant need of all types of housing, therefore it is called out as a specific use that is desired. The Midtown District zoning is intended to accommodate more dense housing projects with potential access to retail amenities nearby. The City Commission funded a package of several major infrastructure improvements in the District through the approval of $6,500,000 in bonds with a 25 year term on July 6, 2020. The infrastructure improvements include the streetscape infrastructure on N. 7th Ave. that enhances the walkability, aesthetics, and investment potential of the District as a whole, 23 Bozeman Midtown Urban Renewal District An Urban Renewal District with a Tax Increment Financing (TIF) Program Page 3 of 12 along with improvements to Aspen St. and N. 5th Ave. that will accelerate ongoing private investment in this emerging node of commercial activity. The District is also focused on investing in public infrastructure that removes barriers to specific private investments. These incentives primarily pay for the costs of public infrastructure associated with the private projects, as well as demolition costs and the cost of various system development charges, such as impact fees. These early investments in projects will create new incremental taxable value that will allow for greater blight remediation throughout the District in the coming years. Over time, these increases in taxable value will benefit the broader community by increasing the overall tax base through productive infill development. The remediation of blighted conditions in the District and its ongoing redevelopment will take many years. Bozeman has 20 more years to focus on redevelopment of the Midtown area. As instructed by Commission adopted policy documents, the District will continue to focus on remediating blight, by attracting targeted private investment and growing the tax base. Midtown Urban Renewal District (MURD) FY2026 Annual Report (July 1, 2025 to June 30, 2026) 24 Bozeman Midtown Urban Renewal District An Urban Renewal District with a Tax Increment Financing (TIF) Program Page 4 of 12 Highlights of investments are documented below. Debt Service Series 2020 $412,800 The City Commission approved the Series 2020 bonds for a 25 year term that ends 2045. This expenditure is the annual payment on the $6,500,000 in debt issued to finance the cost of the N. 7th Ave. Streetscape Project, and the Aspen and N. 5th Ave. Improvements Project. Lighting Design 5th Ave Trail $36,100 Construction of a multi-modal paved path along N. 5th Ave from Oak Street to Westlake Park was completed in FY25. To enhance safety on the trail, pedestrian scale lighting from Westlake Park to Hemlock Street was designed in FY26. Temporary lights have been placed on the portion of the path from Hemlock Street to Oak Street as that portion of the trail will be removed if the adjacent properties are developed. Whittier Parking Lot Design $67,100 The Midtown Action Plan calls for building partnerships for key infrastructure improvements. Per State Law, there are only a few ways urban renewal funds can assist schools in Montana. Tax increment financing may be used to complete certain infrastructure projects, including parking lots. During the design process for a new Whittier School parking lot, it was discovered that a utility will need to be relocated underground. To bury the utility, additional design will need to be completed. This project began in FY25 and was completed in FY26. Aspen Intersection Improvements Design $37,100 Enhanced multimodal transportation is a pillar of the Midtown Urban Renewal District Plan and the Midtown Urban Renewal District Action Plan. To realize that vision, safe pedestrian connections must be built. Design includes survey, mapping, and project management for a pedestrian crosswalk with a rectangular rapid flash beacon (RRFB) on North 7th Avenue at Aspen Street. The original agreement was amended in FY26 to include a speed study. This project began in FY25 and was completed in FY26. Mendenhall Sewer 5th Avenue and Main Street Sewer $464,000 Tax increment financing from the Downtown Urban Renewal District, the Midtown Urban Renewal District, and funds from the City’s Wastewater Fund were approved in order to upgrade of the existing, aged 6-inch sanitary sewer main in Mendenhall from 5th Avenue to Grand Avenue to a new eight-inch sanitary sewer main. Agreements for the infrastructure improvement were entered into in October of 2023. Construction of the main began in the spring of 2024. The Midtown portion of sewer construction is was completed in the fall of 2025 and the reimbursement payment occurred in FY26. Codify Engineering Design Standards for N. 7th Ave. Streetscape $47,300 Recent improvements to the N. 7th Ave. streetscape are not currently required for redevelopment projects on the corridor. In order to protect the public investments already 25 Bozeman Midtown Urban Renewal District An Urban Renewal District with a Tax Increment Financing (TIF) Program Page 5 of 12 made and to ensure design continuity for the corridor, codifying the streetscape design is necessary for the future development of the corridor. Update Special Improvement Lighting Districts $7,800 To account for lighting improvements along the North 7th coordinator, an existing lighting district (SILD 460) was modified. Additionally, a new lighting district was created for the improvements on Aspen Street. Midtown Urban Renewal District (MURD) FY2027 Work Plan (July 1, 2026 to June 30, 2027) Debt Service Series 2020 $409,600 The City Commission approved the Series 2020 bonds for a 25 year term that ends 2045. This expenditure is the annual payment on the $6,500,000 in debt issued to finance the cost of the N. 7th Ave. Streetscape Project, and the Aspen and N. 5th Ave. Improvements Project. Whittier Parking Lot Construction $200,000 The Midtown Action Plan calls for building partnerships to hone in on key infrastructure improvements. Per State Law, there are only a few ways urban renewal funds can assist schools in Montana. Tax increment financing may be used to complete certain infrastructure projects, including parking lots. $200,000 represents an estimate of the construction cost for the Whittier Parking Lot in FY27. 5th Avenue Pedestrian Scale Lighting Construction $250,900 Construction of a multi-modal paved path along N. 5th Ave from Oak Street to Westlake Park was completed in FY25. To enhance safety on the trail, pedestrian scale lighting from Westlake Park to Hemlock Street was designed in FY26. Temporary lights have been placed on the portion of the path from Hemlock Street to Oak Street as that portion of the trail will be removed if the adjacent properties are developed. Aspen Street Intersection Improvements Construction $200,000 Enhanced multimodal transportation is a pillar of the Midtown Urban Renewal District Plan and the Midtown Urban Renewal District Action Plan. To realize that vision, safe pedestrian connections must be built. Design includes survey, mapping, and project management for a pedestrian crosswalk with a rectangular rapid flash beacon (RRFB) on North 7th Avenue at Aspen Street. The original agreement was amended in FY26 to include a speed study. This project began in FY25 and was completed in FY26. Parking Garage Design and Due Diligence $1,500,000 As the district begins to reach goals associated with walkable density, staff recognizes the importance of additional parking within the district and continues to monitor the progress of any potential proposal to construct a parking structure. The city issued a request for 26 Bozeman Midtown Urban Renewal District An Urban Renewal District with a Tax Increment Financing (TIF) Program Page 6 of 12 proposals (RFP) for the construction of public parking spaces as a component of a private redevelopment project. These monies cover the costs of retaining consultants to do due diligence to determine if a proposal is in the best interest of the district and to cover conceptual design costs associated with the city’s selection of a project. The RFP was issued in FY26 and due diligence will continue into FY27. North 5th Avenue Improvements Design $40,000 In FY26, North 5th Avenue was surveyed for potential improvements. Improvements recommended include sidewalk extension, midblock crosswalk, RRFB at Farr Automotive, constructing sidewalk at the northwest corner of 5th and Peach, intersection improvements at 5th and Short, and crosswalk improvements at 5th and Villard. 5th Avenue and Main Street Intersection Improvements $55,000 In order to improve pedestrian connectivity between Downtown Bozeman and Midtown Bozeman, additional lighting poles and electrical work were completed near the intersection of Main Street and 5th Avenue. As the work is in both districts, the cost is split between the Downtown Urban Renewal District and the Midtown Urban Renewal District. Mendenhall Sewer (7th-5th) Design $100,000 Design costs for an upgrade to the 6-inch vitrified clay sewer line to the current 8-inch standard sewer line as identified in the 2017 Midtown Action Plan. 5th and Mendenhall Lighting Development Agreement $375,000 The lighting project includes 20 new light poles and luminaires located on both sides of the street on 5th Avenue from Main Street to Mendenhall Street, the south side of Mendenhall Street from 5th Avenue to 7th Avenue, and the north side of Main Street from 5th Avenue to 7th Avenue. Midtown Aspen Development Agreement $3,024,100 The 7th and Aspen project is a three-phase project consisting of affordable housing, workforce housing, market rate housing, and commercial development. Phase 1 and 2 of the project are expected to have 29 rental units affordable at 60% AMI, 17 rental units affordable at 50% AMI, 50 units of workforce housing for 80% AMI. Phase 3 will initially be developed as parking and will eventually be developed to include market rate apartments and commercial spaces. Per the development agreement reimbursement will take place at occupancy of phase 1 and phase 2. Payment on this development agreement is expected in FY 28. Professional Services and Outside Legal Counsel Contracted Professional Services $ 100,000 To assist with district management and implementation of the work plan and budget, as well as responding to new opportunities, Staff will contract for services on an as-needed basis. 27 Bozeman Midtown Urban Renewal District An Urban Renewal District with a Tax Increment Financing (TIF) Program Page 7 of 12 Outside Legal Counsel $ 60,000 The Midtown Urban Renewal District continues to see strong interest in redevelopment. This interest will necessitate work on development agreements under the Midtown TIF Assistance Program, and depending on the scope of the projects, the need to issue additional bonds. Maintenance $10,000 Maintenance of basic infrastructure can prevent blight and prevent long-term deterioration and decline. Utilities $5,000 Electrical payments as newly installed infrastructure is transitioned to special improvement lighting districts. Midtown Marketing and Recruitment $ 10,000 This item includes maintenance of the District website, midtownbozeman.org, as well as programs like the banner program to drive traffic to the website. The District uses the website to communicate effectively with property owners, developers, and the public and “to disseminate blight clearance and urban renewal information.” In addition, the board and staff continue to actively recruit development projects in the district that are in support of the urban renewal plan. Additionally, this money will assist in the district exploration of a business improvement district. District Operations Payroll $ 142,600 The City’s Economic Development Department manages the Bozeman Urban Renewal District in response to City Commission and the Midtown Urban Renewal Board work plans and policy guidance. 1.5 FTE are dedicated to staffing the Bozeman Urban Renewal Program as a whole, of which the Midtown URD contributes a proportionate share of funding. Training $ 8,200 Strong professional development drives the success of the urban renewal program. Staff plans to participate in the National Development Council’s Economic Development Finance Professional (EDFP) Certification Program and the International Economic Development Council’s (IEDC) certified economic developer course series over a number of years. Other $ 1,889,800 We propose allocating the entirety of the expected increment to be responsive to opportunities. It is likely that we will either support developer or city led Infrastructure projects and development agreements. These funds could also be devoted to the design or construction of public infrastructure that serves the District. 28 Bozeman Midtown Urban Renewal District An Urban Renewal District with a Tax Increment Financing (TIF) Program Page 8 of 12 Midtown Urban Renewal District (MURD) FY2028 Work Plan (July 1, 2027 to June 30, 2028) Series 2020 Bond Repayment $ 411,200 The City Commission approved the Series 2020 bonds for a 25 year term that ends 2045. This expenditure is the annual payment on the $6,500,000 in debt issued to finance the cost of the N. 7th Ave. Streetscape Project, and the Aspen and N. 5th Ave. Improvements Project. Mendenhall Sewer (7th-5th) Construction $672,000 The 2017 Midtown Action Plan includes the reconstruction of the sewer line in Mendenhall from 5th Avenue to 7th Avenue. Design costs for an upgrade to the 6-inch vitrified clay sewer line to the current 8-inch standard sewer line are included in the FY26 proposed budget. North 5th Avenue Improvements Construction $160,000 In FY26, North 5th Avenue was surveyed for potential improvements. Improvements recommended include sidewalk extension, midblock crosswalk, RRFB at Farr Automotive, constructing sidewalk at the northwest corner of 5th and Peach, intersection improvements at 5th and Short, and crosswalk improvements at 5th and Villard. Professional Services and Outside Legal Counsel Contracted Professional Services $ 100,000 To assist with district management and implementation of the work plan and budget, as well as responding to new opportunities, Staff will contract for services on an as-needed basis. Outside Legal Counsel $ 60,000 The Midtown Urban Renewal District continues to see strong interest in redevelopment. This interest will necessitate work on development agreements under the Midtown TIF Assistance Program, and depending on the scope of the projects, the need to issue additional bonds. Maintenance $10,000 Maintenance of basic infrastructure can prevent blight and prevent long-term deterioration and decline. Utilities $2,300 Electrical payments as newly installed infrastructure is transitioned to special improvement lighting districts. 29 Bozeman Midtown Urban Renewal District An Urban Renewal District with a Tax Increment Financing (TIF) Program Page 9 of 12 Midtown Marketing and Recruitment $ 10,000 This item includes maintenance of the District website, midtownbozeman.org, as well as programs like the banner program to drive traffic to the website. The District uses the website to communicate effectively with property owners, developers, and the public and “to disseminate blight clearance and urban renewal information.” In addition, the board and staff continue to actively recruit development projects in the district that are in support of the urban renewal plan. Additionally, this money will assist in the district exploration of a business improvement district. District Operations Payroll $ 150,500 The City’s Economic Development Department manages the Bozeman Urban Renewal District in response to City Commission and the Midtown Urban Renewal Board work plans and policy guidance. 1.5 FTE are dedicated to staffing the Bozeman Urban Renewal Program as a whole, of which the Midtown URD contributes a proportionate share of funding. Training $ 11,800 Strong professional development drives the success of the urban renewal program. Staff plans to participate in the National Development Council’s Economic Development Finance Professional (EDFP) Certification Program and the International Economic Development Council’s (IEDC) certified economic developer course series over a number of years. Other $ 1,373,800 We propose allocating the entirety of the expected increment to be responsive to opportunities. It is likely that we will either support developer or city led Infrastructure projects and development agreements. These funds could also be devoted to the design or construction of public infrastructure that serves the District. Redevelopment Incentive Programs The Midtown Urban Renewal District’s redevelopment incentive programs are based on criteria included in the 2015 Midtown Urban Renewal District Plan and the 2017 Midtown Action Plan. Due to the rapid growth in the tax increment financing districts and limited staff capacity, the following redevelopment incentive programs will be suspended for FY 25 and FY 26, but there is the intent that they may return in future fiscal years. Technical Assistance Grants (TAG) This program is to provide technical assistance funding to encourage developers to build on parcels along the N. 7th Avenue corridor or rehabilitate existing structures. It recognizes the complexities of redeveloping parcels which have existing substandard 30 Bozeman Midtown Urban Renewal District An Urban Renewal District with a Tax Increment Financing (TIF) Program Page 10 of 12 buildings and infrastructure; it was created to offset the costs of those complexities with grants for those proposing work which eliminates blight and advances the implementation of the District Plan. The program was approved by Resolution 4777 and is administered by the MURB. The maximum grant amount for the program is $7,500 and requires a 1:1 match. Midtown Tax Increment Finance Assistance Program – Direct Incentives The City Commission approved an incentive program, the Midtown TIF Assistance Program pursuant to Resolution 4770 in 2017. Resolution 5087 reauthorized and updated the Program in 2019. Awards will be based on the quality of projects and their support of the Midtown Urban Renewal Plan. Projects of a larger magnitude may require the issuance of tax increment revenue bonds. Projects $50,000 and under may be awarded by staff (previously the Board) and sent to the City Commission as Consent Items. Projects over $50,000 require the approval of the City Commission. Fiber Conduit Connection Incentive Program The District has made significant investments in facilitating competitive telecommunications options through the provision of public conduit. This program, modeled on a program created by the Downtown URD provides matching grants of up to $2,500 to connect buildings to the City conduit system. The program facilitates connections to infrastructure and the utilization of the existing conduit investment. 31 Bozeman Midtown Urban Renewal District An Urban Renewal District with a Tax Increment Financing (TIF) Program Page 11 of 12 Midtown Tax Increment Finance Assistance Program Approved Development Agreements Lumberyard Pay Go Development Agreement $5,581,016 The Lumberyard Project consists of hundreds of new units of housing, including at least 155 units of housing affordable at 60% of area median income for a period of 50 years. The development agreement approved reimbursement of $7,581,016 for certain eligible costs of the project. The development agreement approved by the City Commission outlined an initial payment of $2,000,000, which has already been paid, and subsequent payments when certain project milestones are met. The project will receive 80% of its actual new tax generation as reimbursement until the remaining $5,581,016 is reached or the district ends, whichever comes first. There are currently no tax proceeds for this project, so no appropriations are budgeted for this item in this fiscal year. Unscheduled Future Projects Construct N. 8th Avenue between W. Beall Street and W. Villard Street Construct N. 8th Ave. to current city standards including curb, gutter, sidewalk, street trees, stormwater, and water and sewer lines. Construct N. 8th Avenue between Durston Road. and W. Birch Street Construct N. 5th Ave. to current city standards including curb, gutter, sidewalk, street trees, stormwater, and water and sewer lines. Construct N. 5th Avenue between W. Tamarack Street and Oak Street Construct N. 5th Ave. to current city standards including curb, gutter, sidewalk, street trees, stormwater, and water and sewer lines. Mendenhall Sewer between 7th Avenue and 8th Avenue Install standard water and sewer infrastructure in Mendenhall between N. 7th Ave and N. 8th Ave. Construct North 3rd Street between Tamarack Street and Oak Street Construct N.3rd Ave. to current city standards including curb, gutter, sidewalk, street trees, stormwater, and water and sewer lines. Construct 15th Avenue from Tschache Lane to Baxter Lane Construct 15th Avenue to current city standards including curb, gutter, sidewalk, street trees, stormwater, and water and sewer line between Tschache Lane and Baxter Lane. 32 Bozeman Midtown Urban Renewal District An Urban Renewal District with a Tax Increment Financing (TIF) Program Page 12 of 12 Beautification at Westlake Park Beautification would include public benches and seating, as well as other park amenities. Future Park Acquisition Acquisition of the vacant parcel at 11th Street and Tschache Lane. 33