Chelan County Board of Commissioners Must Hold Hearing Before TIF Moratorium

Chelan County Board of Commissioners approved a moratorium last month on the establishment of Tax Increment Financing (TIF) Districts within the county's unincorporated areas.

County Moves to Pause Malaga TIF

Chelan County Board of Commissioners approved a moratorium last month on the establishment of Tax Increment Financing (TIF) Districts within the county's unincorporated areas.

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However, the county must hold a public hearing before the moratorium can become official.

This comes after the Chelan-Douglas Regional Port Authority wanted to establish a TIF in Malaga, where Helion hopes to build the world's first ever fusion power plant, the Microsoft data center locations, the old Alcoa plant, and other businesses in the area. It would cover over 3,300 acres.

Chelan County Commissioner Kevin Overbay, who represents the Malaga area, said the county hopes the moratorium can give the county and the Port time to negotiate a joint TIF.

"It's moving really rapidly," Overbay said. "A joint TIF would allow us to basically have a say as to what projects we would prioritize from the transportation element as well as a potential infrastructure element."

Port Pushes Back on Moratorium

The county provided plans to the Port for what a joint TIF would look like. The Port has not responded. After announcing their plans for a TIF, Port CEO Jim Kuntz said they do not agree with the county's position.

"The Regional Port respectfully disagrees with Chelan County's TIF moratorium. The Regional Port will continue to perform the necessary due dilligence on the potential formation of a TIF District in Malaga. The Regional Port has direct statutory authority granted by the state under RCW 39.114 to form a TIF District," Kuntz said.

The county estimates a TIF would reduce the county's overall revenue by $50 million over 25 years.

The Public Hearing is 11 a.m. Sept. 23 at the Chelan County Board of Commissioners Chambers.