Tax increment financing (TIF) has become a common practice when it comes to funding local redevelopment and community improvement projects. According to Wikipedia, thousands of TIF districts operate nationwide in the United States, from small and mid-sized cities to the State of California, which invented tax increment financing in 1952. California maintains over four hundred TIF districts with an aggregate of over $10 billion per year in revenues, over $28 billion of long-term debt, and over $674 billion of assessed land valuation (2008 figures).
Bricker & Eckler LLP and its subsidiary, Argus Growth Consultants, Ltd. ("Argus"), have worked with their Ohio clients on a variety of TIF issues, including creation and implementation. Our experience shows that TIF can be a successful economic development tool for local governments, especially when closely monitored throughout the term of the TIF.
What should you keep an eye out for when assessing your TIF? Please feel free to consult with any of the Argus members listed in the article.
