The city council approved a TIF funding deal for a possible project for Mount Vernon Family Dentistry to relocate to the Business 30 bypass corridor.
Dr. Ben Pospisil said he has been looking at a possible expansion or relocation of his business, but was looking at a roughly $1 to $1.5 million cost on the project.
“We’ve started to grow out of our space in uptown Mount Vernon, where I have practiced for the past 18 years,” Pospisil said. “I’m looking at a proposed dental office and chiropractor’s clinic to move into the Business 30 area, and decided to apply for TIF funding for the project to see how that might benefit us.”
City administrator Chris Nosbisch said he always anticipated TIF funding might be needed for some of the businesses that relocate to the Business 30 area, especially with the design standards that are required for businesses in that area.
“Those design standards are going to drive costs of the projects that relocate out at the Business 30 bypass area,” Nosbisch said. “That was part of the goal, however, to have businesses adhering to what we want things to look like along that area.”
Pospisil said his original estimate for the project almost eight years ago was $1.2 million, and the cost recently is roughly 20 percent more.
“I could finish my career where I am at now, but I’m looking to help the dentist who moves into this practice after me, and have room to grow for new clientele,” Pospisil said. “Relocating to the Business 30 bypass corridor will help us increase the employees we have as well as increase clients we’re able to see, clients who come from an hour to an hour and a half away and spend time in this community before and after their appointments.”
Pospisil also noted that if he were to move out of his current space along First Street, there are other interested parties looking for an office space his size for their potential businesses.
“By losing one potential uptown business, we have the ability to gain another,” Pospisil said.
Brad Robison with Robison Construction is working with Pospisil on his project.
“The lot Ben is looking at is perfectly sized for a dental center,” Robison said. “There’s expenses tied to the project because we’d need to meet some storm water retention in our design, where that has always been to utilize Hwy. 1 as the drainage area in the past.”
Council member Paul Tuerler praised the work of Nosbisch in coming up with the matrix design for possible TIF projects for the Business 30 corridor, as it helps not only the council but also businesses know what level of TIF support they may receive for tax relief on the project over a span of years.
“When TIF is used appropriately, it really helps drive economic value and growth in the city,” Tuerler said. “This is an excellent rubric that helps me as a council person understand what benefit a project has from TIF financing.”
Council member Craig Engel said that for him, one of the keys the council needs to remember is as the city grows, so will some of the businesses in the community.
“If we’re seeing a growth of 10 to 20 percent of population over the next 20 years, that’s going to mean the need for a dental practice that grows to cater to that population as well,” Engel said.
Nosbisch said that the rubric does also take into consideration businesses that have been in the Mount Vernon community for a longer span of time as ones who may benefit from additional funding.
“I’m a strong proponent of rewarding businesses in this community who have stuck with the community of Mount Vernon,” Nosbisch said.
The council approved the TIF financing for Pospisil’s possible expansion. The plan will also advance through planning and zoning.
The rubric, Nosbisch said, is something the council can make adjustments to in the future if it is not working as intended.