rail corridor

The Bemidji City Council has approved up to $2 million for future projects in the rail corridor, with plans to potentially recapture some of the funds at a later date. Council’s action Tuesday created an interfund loan that will provide the $2 million from various accounts, while also establishing a tax increment financing district which municipalities can use to recoup additional property taxes generated by new real estate that is then used to pay off development costs. The land in question, bordered by rail lines, the Mississippi River and Irvine Avenue, was purchased by the city in 2003 and had previously been used for industrial purposes.