Morris City Council Unanimously Approves a new Tax Increment Financing District
After a public hearing last night that drew about a dozen Morris residents, the Morris City Council unanimously approved of a new Tax Increment Financing District for the purpose of encouraging the building of a $10.3 million 60-unit apartment complex on the site of the old Morris Elementary School. The plan would give Alexandria-based Unique Opportunities some $900,000 in deferred tax breaks for the next 26 years with the hopes that they’ll build the units on the long-vacant property. Twenty percent of the proposed apartment units would be set aside for low to moderate income households. Samuel Herzog of Unique Opportunities told the hearing that his company was willing to take less of a profit on what it considers a local project, suggesting that the proximity makes it easier for them to maintain the units. Herzog said they propose to have a complex with “nice units across the board,” each with a washer and dryer, and access to an elevator, conference room and heated garage.
Once developed, the apartments would generate $86,000 annually in taxes for the City of Morris, $9,000 of which would go to the Morris School District to help pay down any levies. Proponents argued that without the tax assistance from the City, the project is not financially feasible, saying the owners could make more money buying Treasury Bonds.
Some members of the public spoke up against the proposed financing. James Stoker of Morris said the plan was “an unaccountable use of public money,” while Annette Watson of Morris called TIF projects “discriminatory” because they take from some taxpayers and give to others.
But the Council Members were united in their stance that Morris needs more housing options, even with the Stevens County Housing and Redevelopment Authority making plans to build a housing complex. Council Member Kim Gullickson noted that the City is not getting any tax revenue if this project does not happen. “We can utilize land that’s been sitting there for years and years,” she said, adding that there is not a long line of developers waiting to build apartment buildings in Morris.
Mayor Kevin Wohlers noted that TIF Districts created in recent years have greatly benefitted the City of Morris, such as the expansion of Willie’s SuperValu, the development of East Pointe Apartments, and improvements to Heartland Motor Company that has sparked the development of a number of businesses along that strip.
The apartments are scheduled to be completed by the end of next year.
Also at last night’s Morris City Council meeting, Council Members unanimously approved a resolution authorizing and supporting the collection and disposal of debris and garbage caused by recent flood waters. That process has already begun this week, although City Manager Rebecca Schrupp said the job is taking more time because they need separate trucks for different categories of items. The City will not be picking up any branches or yard waste, or any hazardous materials. Once the City is finished picking up debris from a street, they will not be going back to that street.
