ENFIELD – Town officials will meet tonight to discuss a tax increment financing deal they want to establish with the owners of a Dover-Foxcroft-based spruce mill that plans to open a $17 million operation on U.S. Route 2 in West Enfield next year.

Members of the Board of Selectmen will meet at the VFW Hall at 7 p.m. to familiarize themselves with TIFs and their benefits. Residents are invited.

When a town realizes an increase in valuation created by an investment, it also experiences a reduction in its share of state revenues and an increase in county taxes.

A TIF allows a town to “shelter” the new valuation from the calculations of state revenue sharing, education subsidy and county tax assessment, in effect creating more money for the town.

The proposed Pleasant River Lumber Co. mill will employ 70 people full time while cutting more than 100 million board feet of lumber annually.

As part of the deal that lured the company, Pleasant River will supply wood chips to fire the boilers at the adjoining Ridgewood Renewable Power plant.

Pleasant River bought 250 acres from Ridgewood Renewable Power LLC, and state officials pledged to designate the area a Pine Tree Zone. The designation would allow the companies to claim tax refunds and exemptions, reduced electrical rates and tax increment financing.

As part of the zone, companies must pay workers at least $10.76 an hour, plus benefits

Pleasant River is due to start construction in the spring, but owner Luke Brochu and Dennis St. Peter of Civil Engineering Services of Brewer presented their plans to a town planning board Oct. 12.

The board voted 5-0 to approve their plans, although the approval wasn’t required under state law.

If all goes well, tonight’s meeting will be a prelude to a special town meeting Dec. 5 in which residents will be asked to give their final approval to the TIF deal with Pleasant River.