City council votes to push back tax abatement termsThe Woodbury City Council voted at its Dec. 10 meeting to push back the terms for three of four tax abatement districts it created in 2004.
By: Hank Long, Woodbury Bulletin
The Woodbury City Council voted at its Dec. 10 meeting to push back the terms for three of four tax abatement districts it created in 2004.
The areas are located along Hudson Road near Radio Drive, Bielenberg Drive and Interstate 94, and the money generated by the properties will be used to finance the recently-finished I-94 South Frontage Road project.
Tax abatement districts hold property taxes for development.
The four districts were created to capture property taxes from the Woodbury Lakes development to fund the $6.5 million I-94 eastbound ramp and South Frontage Road project, which was completed this summer.
The road and ramp officially opened in October.
Terms for tax abatement district average between 10-15 years.
When the terms expire, the respective governments can again begin collecting taxes for the general fund.
According to city finance staff, the council-approved abatement plan in 2004 assumed the timing of new construction and defined the years when the property taxes would be captured and used for the I-94 South Frontage Road Improvements.
For that reason the council voted to push the abatement terms back for two of the district by seven years, and one of the district by three years.
The one district it did not change contains Woodbury Lakes.