Peru is setting up TIF district for new manufacturer

Announcement on company could come at the end of the month

Peru City Hall in Peru, Illinois

Peru could make an announcement by the end of the month which manufacturer has chosen the city for its new location.

An attorney representing the city in the matter said a public announcement is not ready, as of yet.

Monday, the Peru City Council met to continue setting up a tax increment financing district for the project. The company has said development could not happen without the establishment of a TIF district. The TIF district will be a mechanism for the city to recoup costs on land acquisition, roadways, water and sewer.

Within a TIF, property taxes are frozen and the amount that would be collected from improvements made to the property are utilized for its development.

The city plans to have a TIF district established by the end of June, so the company can break ground shortly after July 4.

A May 11 meeting will be set up between Peru officials and other taxing bodies with an advisory vote on the TIF. A public hearing will be conducted 6 p.m. Monday, June 6, to establish the TIF, then the council is expected to finalize it at its Monday, June 20, meeting.

The City Council agreed to work with Jacob & Klein, LTD for legal services in setting up the TIF, as well as an economic development group to assess the property and make financial projections for the city.

The City Council set up an interested parties registry regarding the TIF.

The city can recoup the costs of its services in setting up the TIF through the TIF fund once its established.