Tax Increment Financing Guidelines

Tax Increment Financing (TIF) is a public funding tool used to stimulate economic development in specific areas. It works by capturing the future tax revenue generated from increased property values due to new developments or improvements. Initially, property taxes are collected at their current levels. As investments raise property values, the additional tax revenue (the "increment") is reinvested in the area for infrastructure, public services, or other improvements. This helps attract further investment without raising taxes across the board, making it a strategic way to revitalize neighborhoods and boost local economies.