A tax increment financing rebate was proposed to the Panora City Council Monday night.

Denis Frischmeyer of DG Panora, LLC. requested that the City consider a 100% tax rebate for five years for the new Guthrie County Hospital clinic they plan to build on Highway 44 near 13th Street. Frischmeyer told the Council that his company has worked out the land purchase from Panora Telco and the hospital has signed a 10-year lease with the developer, anticipating they would purchase the building in 10 years.

City Administrator Lisa Grossman said the City’s tax abatement policy currently offers three years at 100% or five years at a sliding scale from 80-40%. The Council approved a motion that Grossman and Mayor Pat Parker negotiate with the developer on a tax increment financing agreement. GCH CEO Pat Peters informed Raccoon Valley Radio in August that the estimated $2.3 million, 6,700 square-foot facility is expected to start construction this March with completion in October or November of 2021.