Tax Increment Financing
The Meridian Kessler neighborhood has become eligible for tax increment financing. An important meeting to discuss this compelling topic will be tomorrow evening at North United Methodist Church at 38th and Meridian, between 6:00 and 8 pm.
Tax increment financing (TIF) is a tool that communities can use to generate economic development in a specific geographic area. TIFs work to leverage private investment in the specified geographic area or “District.” The private investment generates increased property tax revenue.
The TIF retains the increased tax revenue within the district for reinvestment in infrastructure, projects, site cleanup and development expenses over a fixed term (maximum of 25 years). At the end of the term the increased tax revenue returns to the community along with new development and resulting businesses.
TIFs can be a tool for implementing community-based revitalization plans through encouraging neighborhood based development, multi-family housing development, improving parks, fixing basic infrastructure, returning vacant land/buildings to serve the community and the tax base. TIF is a flexible tool which can help to improve our neighborhoods.