Mitchell City Council approves resolution to establish a Sales Tax Grant Incentive Program

By Mitchell Now January 3, 2024 7:47 am

The Mitchell City Council on Tuesday night approved a resolution establishing a Sales Tax Grant Incentive Program. The program is intended to attract new businesses to Mitchell according to City Administrator Stephanie Ellwein.

“The intent behind the resolution is to create a standard so that anyone who meets the criteria that would be outlined would have the opportunity to apply,” Ellwein told the council. She added that there would be an application process similar to the TIF program.

The criteria include a minimum increase in sales or new sales of at least $2 million, limitation of the grant to two percent of the annual documented sales, a maximum five-year grant period, and proof of sales on an annual basis.

The program is modeled after a similar one in Pierre.

Mitchell Mayor Bob Everson revealed at the meeting that a large retail chain is interested in coming to the north side of Mitchell. “They need some kind of incentive to move forward with it,” Mayor Everson said at the meeting.

Council members praised the program, calling it a step in the right direction.

It was noted that the council can alter the resolution in the future. The council approved it unanimously.

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