Seven months after the Tulsa Premium Outlets mall opened in Jenks, the suburb received word earlier this week that the state will match sales tax funds.
The matching funds from the Oklahoma Department of Commerce will be based on the sales tax performance of Jenks. The maximum amount is $138.9 million over 25 years.
Jenks originally set up a tax increment financing or TIF district to spur outside investment into areas without infrastructure. The move led to Simon Property Group coming to town to build the mall and the infrastructure.
Jenks Mayor Cory Box said that by giving Simon some money back from sales tax revenue the city gained a mall and more.
“The city will relinquish two of its pennies (per each dollar of sales tax revenue) to offset some of these costs,” Box said. “As a result, we have a brand-new mall, and the mall is going to attract a lot of other good business.”
The mall, which includes stores like Fabletics, Lacoste and Perry Ellis, took nearly a decade to build, but now the city gets matching money back from the state to improve public infrastructure and increase economic growth. The success of the TIF district led to the Oklahoma Department of Commerce certifying Jenks as a qualified recipient for the matching funds.
Box said the sales tax revenue inside of the TIF district will benefit the area outside of the district.
“So, there’s a TIF, and let’s call that a circle, and there’s a bigger circle around that called the project area,” Box said. “Where the dollars that are generated inside the little circle can be matched to add value and benefit outside the larger circle.”
In a press release, city officials announced plans to allocate the matching funds for many projects. This includes sewer and water line extensions, improving Arkansas River accessibility and the repair and repainting of Jenks Main Street and the pedestrian bridge.
