A stretch of south Galesburg that once thrived as an industrial corridor could be the city’s next target for economic redevelopment.
The Galesburg City Council will consider a professional services agreement Monday night with PGAV Planners, LLC to begin the process of creating a new Tax Increment Financing district along the South Henderson Street corridor. The proposed area runs generally along South Henderson Street between West Third Street and just south of Enterprise Ave., as well as a few properties along Monmouth Blvd. between South Henderson Street and the railroad tracks to the west.
The contract is valued at $34,500, plus reimbursable expenses not to exceed $500 without prior written consent from the city. The expense would be paid out of the city’s Economic Development Fund.
The corridor includes the sites of former Archer Daniels Midland and Butler Manufacturing plants.
What is a TIF district?
Tax Increment Financing is an economic development tool that uses future increases in property tax revenue generated within a designated area to fund redevelopment costs within that same area. Eligible expenses can include site preparation, utility improvements, roadway enhancements, stormwater infrastructure, and demolition.
If approved, PGAV will assist the city in determining whether all or a portion of the area qualifies under Illinois TIF law. If the area is deemed eligible, the city may direct PGAV to prepare a full redevelopment plan. The entire process, from start to finish, may take five to seven months.
The vision for South Henderson Street
Community Development Director Steve Gugliotta tells WGIL the intent of the new TIF is to support long-term commercial growth and reinvestment in an area that has historically seen limited private investment.
“A TIF can assist with eligible redevelopment costs such as site preparation, utility improvements, roadway enhancements, stormwater infrastructure, demolition, and other improvements that can make sites more attractive for future development,” Gugliotta said.
He said there are no specific projects currently under review — the move is about planning ahead.
“Having a TIF already in place allows the city to respond more quickly and effectively when developers or businesses express interest in locating or expanding in the area,” Gugliotta said.
Ken Springer, president of the Knox County Area Partnership for Economic Development, said KCAP is fully behind the proposal.
“This proposed TIF district will be a tool that will help with future development and redevelopment along the South Henderson Street and Monmouth Blvd. corridor,” Springer said. “I think it’s a great step.”
Monday’s meeting
The Galesburg City Council meets at 6 p.m. Monday at Galesburg City Hall. The professional services agreement with PGAV Planners is among the items on the agenda. Click here for the full agenda.
Galesburg City Manager Eric Hanson will join Galesburg’s Morning News at 8:10 a.m. Monday to preview tonight’s meeting. Tune in live at 93.7 FM/1400 AM WGIL, or live-streamed at wgil.com or the WGIL app.
