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Tax Incremental District
Current Tax Incremental Districts
- TID No. 3 Amendment #1 Project Plan
- TID Project Plan No. 3
- TID No. 4 Project Plan
- TID No. 5 Project Plan
- Summary of Plans
What is Tax Increment Financing?
Tax Increment Financing (TIF) is a method that dedicates tax revenue to businesses for redevelopment, infrastructure, and other improvement projects. When a Tax Incremental District (TID) is created, the current value of all the taxable property within the defined boundaries is established. This is the base value. Over the life of the TID, the tax revenue generated from the growth of the property value for all taxing jurisdictions is used to pay for improvements to the property that are within the TID project plan.
Is it a tax increase?
No. Tax rates are the same inside and outside the TID.What project costs are eligible?
- Public works and improvements
- Financing costs
- Real property assembly costs
- Relocation costs
- Utility infrastructure
- Cash grants
- Environmental remediation
Which businesses' projects are eligible?
- Projects within a half mile of the district.
- Projects started after the TIF is formed.
- Projects must be in TID #3, #4, or #5 Project Plans.
- Project expenses can be incurred for roughly the first 20 years of the life of the TIF Districts.
- Projects do not need to be started immediately after the TID is in place. Instead, this can include future plans.
- Final decisions are made by the Common Council with recommendation from the TIF Project Review Committee.
Steps for Local Businesses to Apply for TIF Assistance
1. Check eligibility based on TID #3, #4, and #5 project plans and maps.—The project plans include broad categories of improvement.
2. Businesses should identify their project(s) and associated costs.
—A project could be a concept ideas and costs can be estimates.
—Eligible projects don't include projects started prior to assistance approval or refinancing.