S.D. beef plant asked to pay past-due taxes

ABERDEEN, S.D. (AP) — The Brown County Commission says the beef plant under development in Aberdeen will not get the benefit of tax increment financing bonds until it pays $131,000 in past-due property taxes.

The commission approved the financing district in 2006. Todd Meierhenry, a Sioux Falls attorney hired by the commission, says the decision can be retracted up until the first bond sale.

Northern Beef Packers officials declined comment.

Under tax increment financing, increased property taxes generated by new development pay for improvements on that property such as roads.

Plans called for the beef plant to open as early as spring 2007. Construction has been delayed by flooding and financing woes. The state recently approved a $5 million loan for the $120 million plant.

A number of liens for unpaid work that total about $15 million have been filed against the plant.

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