The Billings City Council voted Monday to consolidate three boards that oversee part of tax increment financing (TIF) into one board.
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The new setup requires the city to hire a TIF coordinator — one person who will oversee all three TIF boards.
The council voted to approve 9-2 on Monday.
Deputy Mayor Mike Boyett, who proposed the consolidation months ago, pointed to improvements such as the paved roads on Hillview Lane and Orchard Lane in south Billings as examples of what TIF dollars can accomplish.
Hillview Lane was once dirt and gravel before being repaved with curb, gutter, sidewalks, and storm drains — all paid for through TIF.
TIF money is made up of tax dollars specifically earmarked to improve blighted areas and help spur development.
"Just to see the street and you'll see a brand new street with curb and gutter and a sidewalk and mailboxes," Boyett said. "It's a beautiful area compared to what it was before, and that's a result of TIF."
Boyett said the previous structure — with three separate boards doing the same work across three different districts — was not efficient.
"All three boards did the same work, same different districts, but they did the same function," Boyett said.
TIF money has also funded projects such as part of the Amend Recreation Center in South Billings and the construction of the AC Marriott Hotel in downtown Billings.
The consolidation moves the city to one meeting instead of three, held at one location — City Hall — a change Boyett said will improve public access.
"With the consolidation, it will mean one meeting instead of three and one meeting place at City Hall, all better for public participation," Boyett said. "The public will know where it is. They'll know what time of the month it is and the day."
Sean Lynch, president of the Downtown Advisory Committee, expects the consolidation will not affect the Downtown Billings Urban Renewal District.
"The only thing that they can say is whether that application is done properly and whether it complies with state law," Lynch said.
Lynch says the urban renewal districts will still make recommendations on projects.
The consolidation is in line with the boards formed by a new state law passed in 2025 that required a city-appointed board.
Not all council members supported the change.
Councilman Tony O'Donnell voted against the consolidation, saying decisions about how TIF dollars are spent should come from those closest to where the money is needed.
"They have interests in their business interests or whatever, and that's where their heart and soul is," O'Donnell said.
O'Donnell said he supports what TIF can do but wants to ensure proper oversight of public funds.
"We have a sacred obligation to make sure that tax money is spent appropriately," O'Donnell said.
Councilwoman Amy Aguirre was the other no vote.
"I really feel like it will water down their capacity to really fully understand the applications that are coming forward to them," Aguirre said.
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