|Pittsfield City Council to Consider TIF Agreements |
|By Jack Guerino, iBerkshires Staff |
12:43PM / Monday, May 11, 2020
PITTSFIELD, Mass. — The City Council will act on two tax incentive financing agreements Tuesday as well as accept more emergency funding to strengthen the city's response to the pandemic.
One TIF is to support the development of a brewery and restaurant on North Street and the other to aid in the building of a new hotel.
Both of these projects came before the council earlier in February but were sent off to various subcommittees for consideration.
The City Council will first consider the agreement with Robert Trask, who plans to open a brewery and restaurant at 41 North St.
He plans to purchase and invest $1.7 million in the former J. Allen's Clubhouse.
The agreement will work similarly to past agreements with 100 percent of the incremental increase in real estate property taxes forgiven in the first year, decreasing by 20 percent a year over the five-year term.
41 North Tap Room would be on the hook for investing the full amount agreed upon in the property as well as creating 30 full-time jobs within five years.
This agreement was recently approved by the Committee on Finance and a separate allocation of $150,000 from the city's Economic Development (GE) Fund was approved by the Committee on Community and Economic Development.
Earlier this month, the Finance Committee voted to recommend the TIF agreement with Mauer and Dilip Desai who plan to construct a 77-room Holiday Inn Express at 1055 South St.
The agreement is structured the same as the brewery's and the Desais would be responsible for $10 million in a new hotel and create 25 to 30 jobs,15 of which will be full time.
Both of these projects may be delayed because of the pandemic.
Trask was unable to disclose a new timeline at the Finance Committee meeting and said he needed more information in regard to the pandemic.
The Desais indicated that if they can't begin construction this spring, they will likely ask to delay the project for a year.
The mayor has the ability to change deadlines within the agreements.
The City Council will also vote on accepting $125,000 in Community Preservation Act funds to help bolster Pittsfield's $1.1 million city relief and recovery fund.
These funds specifically will go toward emergency home security funds for households just above the federal CARES (Coronavirus Aid, Relief, and Economic Security) Act income threshold.