Frequency of TIF use raising questions - Grand Island Independent
“TIF is an incredibly valuable tool,” Jensen said. “I’m a big advocate of it. I’ve looked at numbers with different developers, and it’s needed to really make the numbers work. But how much, how often and for what purpose TIF is being used were subjects at a recent League of Nebraska Municipalities meeting, which gave Jensen pause. When it comes to benefits to certain developers, Jensen said, it’s important to “keep your neutrality. Grand Island has used TIF for affordable housing, as well as commercial development. It has helped local businesses but has also had requests from outside developers, including those developing a new Super Saver at Five Points. Another recent request came from Chief Industries for a mixed-use development at Highways 281 and 34. Jensen said the process may become more politicized because taxpayers may not think bigger companies need financial incentives. If the project would happen with or without TIF, the Legislature said, TIF shouldn’t be given. TIF works by capturing the new value of an improvement and letting the owner use the property taxes on that new value to pay for the improvement for up to 15 years. Source: www.theindependent.com
