Auditor Says the City of Neillsville is Looking Good for 2013
Friday, March 28th, 2014 -- 9:57 AM
-Mike Lenzmeyer, an auditor, of CliftonLarsonAllen informed the City of Neillsville that everything is looking good for 2013.As of December 31st, 2013, Neillsville had $3.4 million in their general fund. $1 million of that was earmarked for emergency situations which still leaves the city with a $2.4 million day-to-day operating budget. Mike said that?s very good.
Mike then talked about TIF activity. The TIF Districts and TIF District Construction Loans are a public financing method that is used as a subsidy for redevelopment, infrastructure, and other community-improvement projects. The completion of a project often results in an increase in the value of surrounding real estate, which generates additional tax revenue. Sales-tax revenue may also increase and jobs may be added.
In Neillsville?s case, the loan for TIF District #2 was taken out in 1999 at $867,000. The city has another 9 years to recoup their investment. Mike said that with this loan, they are on track to recover their money, but it will be close. The loan for TIF District #3 was taken out in 2006 and they still have 20 years to recover their investment for that. The loan was taken out at $1 million dollars and Mike said based on current projects, the city will be short, but they might be saved by having a developer fund the remainder based on the agreement reached.
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