Chippewa Falls (WQOW)- Tax revenue from frac sand could help one city make downtown improvements. The city of Chippewa Falls will receive more money than it thought from EOG in property taxes.
The city says it valued the land, property and other items associated with the sand plant at about $35 million; meaning it was expecting to collect between $600,000 and $700,000 through tax revenue. But Wisconsin's Department of Revenue recently informed the city that the value of the plant is actually closer to $65 million; meaning that tax revenue has now doubled to about $1.4 million."
"We didn't want to do our financial planning where we were making judgments that were just wrong," says Chippewa Falls City Planner Jayson Smith. "So we were being very careful."
But Smith says the city is limited on how it can spend that extra money. Smith says money has to go towards making improvements to roads and utilities in order to attract developers to Chippewa Falls. WQOW asked Smith for an example.
"What we are seeing is we are getting interest from developers in some of the other properties that are adjacent to that for redevelopment purposes; renovating those buildings," Smith explains. "They are seeing opportunities where they want to be a part of that downtown development plan."
The city says one thing that could change is switching the Bridge Street entrance from a one-way into a two-way. There's no timetable on that potential project.
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