After almost 40 years, tax-increment financing (TIF) has become “an innovative development tool that has changed the face of the city,” The Columbus Dispatch reports. TIFs are not a tax break; according to the article, “[t]he portion of property taxes paid on existing land value…continues to be distributed to the taxing agencies, including libraries, the Columbus Zoo and Aquarium and Metro Parks.” TIFs benefit developers because new tax dollars generated by the development are set aside for public improvements including roads, street lighting, and sidewalks, which help improve property values. The Arena District, Easton, and Polaris areas were developed using TIFs, and in return brought jobs and income and sales taxes to the city. According to the article, “TIFs are a great example of why government must weigh short-term gain against greater long-term benefit.”
TIFs drive thriving developments throughout Columbus
