Tax Increment Financing
Tax Increment Financing (Commonly referred to as “TIF”) is a program governed by state law which authorizes municipalities to capture property tax revenues derived from the incremental equalized assessed value (EAV) above the base EAV that existed at the time the area was designated a TIF district. The derivative money is to be used for community projects, public improvements, and incentives to attract private investments to the area.
As a part of the Harold Washington administration, I was involved in the establishment of Chicago TIF districts. I have always supported the use of TIF Funds to facilitate the building of low-income housing, Grocery stores and community approved economic development projects in blighted areas.
I oppose the use of TIF funds to build downtown parks or refurbish downtown skyscrapers.
I support measures to provide greater transparency in the reporting of the amount of TIF Funds diverted from the secondary taxing bodies. We must include the amount of funds directed to TIFs on Property tax bills and through regular publication and notification as requested by homeowners, renters, and various city residents.
TIF's should sunset as originally scheduled and ancillary taxing bodies should receive the funding needed to fulfill their core responsibilities.
We must stop the practice of Porting TIF funds into neighboring TIF districts as a means of diverting funds from blighted communities into those which are not blighted.