Some people view TIFs as de facto tax freebies because the additional property tax revenue generated by the development goes to pay off the initial bonds either given to the developer or spent on public infrastructure, and doesn't go into schools, the general revenue stream, or whatever else a municipality collects tax money for.Markitect said:You will note, I did not say TIF money was limited to building public infrastructure. While I did not give an exhaustive list, I did note the money can alo be used for things like site prep (demolition, environmental remediation, etc.). It can also be used for some historic rehab work (though there are other dedicated funding sources for that), relocating businesses, job training, studies/administrative services, and reimbusing developers for certain kinds of work.
TIFs are not used to relieve developers from paying property taxes altogether. Yes, they can be used as a subsidy, but they aren't tax freebies or tax reductions or anything like that.
I haven't heard about the Platteville TIF. I was actually referring to Dodgeville, which annexed a large chunk of open farmland and created a TIF. They've built their streets and are looking to use TIF funds to assist Wal Mart in building their super store.benscrape said:Yes. The small town that is using the TIF is Platteville, since I am going to school here. And I remember a big debate that was goin on here about it, but then the Common Council didn't even bother to listen to the side that was against it or wnated more studies to be done. Anyways, the TIF is being used for more then just the Super Walmart. There is additional retail being planned with this, mainly strip mall type retail, a subdivision, forgot how many lots, and condos/apartments are being added. So the TIF is being used for more then just Walmart, but to have it included I think is pretty much not necessary.
TurkPBR said:La Crosse has used several (11, I believe) TIF districts. They worked out pretty well to spur growth downtown and helped the city garner grants and loans to do streetscaping, rebuild the levy downtown, expand the civic cetner, develop a downtown transit center, and acquire land to the north of downtown for mixed-use.
Several projects in the TIF districts were/are the Market Square Ramp (parking ramp, retail, and apartments), CenturyTel Midwest headquarters, Logistics Health headquarters (renderings released today), most of the historic buildings refurbished, the new 4-5 story condo development, several other office projects, and several residential properties near the riverfront.
I did a google search for La Crosse TIF districts, and there is a PDF file on there that shows the district #10 proposal and explains how it works between the city, county, and redevelopment authority.