Tax Increment Financing

Tax Increment Financing, or TIF, is a value capture funding method used to subsidize redevelopment, infrastructure and urban renewal. TIF diverts proposed future tax gains, in unrealized real estate values and sales taxes, to subsidize current improvements within a stated geographic area.  read more on wikipedia

The tax funds taken by TIF decrease the amount of tax dollars that would otherwise be available for the neighboring public infrastructure such as schools, safety and libraries. As with blight, there has been much controversy about the validity and abuse of tax increment financing.

Due to such abuse and mismanagement California repealed the use of TIF in January 2012.  read the Denver Business Journal Article.

And in Colorado, Senator Morgon Carroll introduced the ‘Urban Renewal TIF Transparency Act’ in March 2012. If passed this will allow the public to easily access and understand the accounting of all Colorado TIF projects.  read the Denver Post Article

Read current items about  ‘tax increment financing’ IN THE NEWS

FEATURED NEWS ITEMS

“Tax increment financing not bringing in more jobs or income, says analysis” a report from Ball State University. January 2015. blog post on Taking Welton

“Eminent Domain’s Economic Benefits Cast into Doubt” by Dan Stensel in Heartland News 4 December 2014. blog post on Taking Welton

The Redevelopment Racket by Scott Beyer for the American 8 October 2014.

“What is Tax Increment Financing and how is it used in Colorado – specifically in Fort Colllins.”
League of Women Voters 28 June 2013.

California Redevelopment Agencies Abused Their Powers & Should Never Return
Institute For Justice 6 March 2012.

What is Tax Increment Financing?
presentation of Arapahoe Square and other TIF projects in Colorado.
O’Toole, Randal. CATO Institute 12 October 2011.

Tax Increment Financing (TIF) 101
North Dakota Policy Council 31 December 2009.
*state specifics may differ, but this is a great introductory video