City Council approves housing development
SIDNEY -- The Sidney City Council Tuesday approved a TIF plan for R Perry Construction to build 11 new homes in Sidney.
A TIF is Tax Increment Financing. TIF subsidizes companies by refunding or diverting some of their taxes, or consumer-paid taxes, to pay for redevelopment in a TIF district.
The agreement calls for R Perry Construction to act as the developer. The infrastructure for the homes was built earlier as a project called Prairie Winds.
City Manager David Scott explained the role of R Perry Construction and Workforce Housing in the project.
"What we're wanting to do, is R Perry is wanting to build 11 Workforce Housing qualified single family homes in the Prairie Winds Subdivision. It will be that block, right along, behind, Lodgepole Creek Apartments. They're getting ready to close on those. I believe as we speak. They've also came and asked for some Rural Workforce Housing funds that we did get from the State," Scott said.
This project, the R Perry Workforce Redevelopment Project, would result in single family homes priced at a maximum of $275,000. The maximum cost is determined by the State of Nebraska.
Michael Sands of Bayard Construction in Lincoln explained the role of the Redevelopment Plan.
"The Redevelopment Plan, just provides the authorization to grant the TIF as well as this one thing is a little bit unique in the fact that it specifically authorizes the use of Workforce Housing TIF, " Sands said.
He said a Workforce Housing TIF can be used for housing construction as well as infrastructure.
Sands said R Perry intends on contracting with local tradesmen as much as possible.