The Pierre City Commission has approved a new tax increment financing district, or TIF, to help fund a new 100-unit apartment complex in the city.
City officials say the TIF gives Stencil Group, a Sioux Falls-based developer, about $762,000 in deferred property taxes to cover expenses for the project. Commissioners approved Stencil Group's TIF request at a meeting Tuesday.
A TIF essentially allows a portion of city's property taxes to be used to subsidize a project. Many municipalities use these as a tool to drive development.
The new complex is set to be built on the northeast side of Pierre near City Hall. Officials estimate the development will increase the value of the property from around $80,000 to over $21 million.
Construction on the apartment is expected to take about a year and a half.
At that same meeting, commissioners also approved fees for the city's new outdoor pool, which is set to open in May. Annual passes purchased before May 1 are $100 for individuals and $295 for families. After May 1, the cost goes up to $150 and $345. Daily passes will be $10 for those under 48 inches tall and $12 for those over 48 inches tall. Kids age three or younger are free.