FARMINGTON — Selectmen voted unanimously this week to contract with a professional consulting firm for assistance in creating a tax increment financing district for the downtown area.

Representing Eaton and Peabody Consulting Group, John Holden met with the board for the second time Tuesday after the board initially put the topic on hold so that members could learn more about TIF districts.

Before the district can be established, a downtown redevelopment plan is required. The plan will define the downtown district, include data needed for the TIF district and provide a one- to three-year work plan for committees of the Downtown Association.

The focus of a downtown TIF is revitalization and development, as well as encouraging new private investments and improvements, according to materials supplied by Holden.

The town can then take a percent of new taxable investment and apply it to projects under the plan such as improving downtown infrastructure, marketing and promoting the downtown or creating a low-rate loan program for improving or restoring properties.

Holden will work with the town and Downtown Association on the plan and downtown TIF application needed by the Maine Department of Economic and Community Development.

Selectmen agreed to pay Eaton and Peabody $9,850 to complete the downtown redevelopment plan and $9,500 for work to complete the downtown TIF application.

The services will be funded from the town’s existing TIF Reserve Account, which has a balance of $175,551, Town Manager Richard Davis said Thursday.

While supportive of creating a TIF district, Selectman Ryan Morgan asked Selectman Andrew Hufnagel, who was not present, whether the district could include the West Farmington village, an area recently re-zoned as light-commercial-residential.

Holden agreed to look into it to see if and how it could be included.

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