Bryson Block gets tax rebates
The Washington City Council approved changes to a development agreement concerning the Bryson Block Building at its meeting Tuesday. Washington Preservation LLC owns the Bryson Block Building but was not receiving the tax rebates it was promised under the TIF (Tax Increment Finance) agreement.
City Administrator Brent Hinson said the city signed a TIF agreement with Washington Preservation in 2008 to rebate a portion of the building’s taxes to the owners. Washington Preservation would receive a full rebate on the taxes paid on the improved portion of the building for the first five years. It would be rebated 75 percent of the taxes on the improved portion for the following five years, then 60 percent for the 10 years after that.
Hinson said the city put the tax rebate into the wrong fund when it was to begin making rebate payments to Washington Preservation in 2010. In all, the city owed Washington Preservation about $5,000 in tax rebates for 2010 and 2011.
Hinson said he discovered the error at the end of 2011 when he was going through the city’s fund balances and noticed there was no money in the fund earmarked for Washington Preservation. He said another cause of the confusion was that Washington Preservation had not filed the necessary certifications to have the taxes rebated. He said all of those errors have been fixed and that Washington Preservation will receive its rebates as scheduled.