Introduced
by
To revise the law that allows a local taxing authority to choose to exempt its taxes from “capture” by the tax increment financing authority plan (TIFA) of a new historical neighborhood authority, so that rather requiring it to pass a resolution “opting out” of the capture, it would instead have to pass a resolution to “opt in.” A TIFA "captures" the increment of extra local property tax revenue that would result from the property value growth which might be generated by certain improvement projects the authority undertakes. The “captured” tax revenue would be used to pay off the debt incurred by borrowing to subsidize these activities. The boundary of a TIFA may encompass more than one taxing authority (such as a library district inside a municipality, for example). The bill is part of a legislative package comprised of House Bills 5178 to 5182, each of which applies to a different type of TIFA.
Referred to the Committee on New Economy and Quality of Life
