The City of Willmar works closely with the
Economic Development Commission (EDC)
Located in the heart of West Central Minnesota, Willmar has connections to the busiest north/south and east/west railway. The City boasts not only an expansive shovel-ready industrial park but also a thriving technology park on a historic campus. “Although Willmar has a diversified economic base, agricultural production and agri-business are the chief industries of the City and surrounding area. Willmar has also established itself as a regional center for medical/professional/financial services, education, government, transportation, and wholesale and retail trade” (City of Willmar Comprehensive Plan).
Willmar has the fastest growing diverse population outside of the Minneapolis/St. Paul area; you will find a multitude of diverse small businesses downtown and throughout the City. Willmar was designated an All-America City in 2005 and is a designated Main Street community.
How do Tax Abatements compare with TIF?
Both Tax Increment Financing (TIF) and Tax Abatements can be used for similar purposes, rely on property tax funding, and have very similar bonding powers. But, they differ in the following ways:
- TIF requires approval only by the City of Willmar to capture all local property taxes
- TIF can be used for longer durations (up to 25 years in some cases)
- TIF is subject to validation testing, including a blight-test for redevelopment districts, but-for findings, and limits on what tax increments may be spent on.
- Abatement requires each taxing entity’s approval to capture their share of the property taxes, and cannot capture special district taxes
- Abatements have shorter terms (Typically 5-, 10-, 15-years; and 20-years, if the City is only participating taxing entity)
- Abatements have no validation testing