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Talk About Tulsa => Development & New Businesses => Topic started by: ttown_jeff on February 05, 2007, 10:49:39 PM

Title: What is TIF or Tax Increment Financing?
Post by: ttown_jeff on February 05, 2007, 10:49:39 PM
Here is link to a rudimentary discussion of what a TIF is.  Since there is so much conversation about development, I think it would be good to be conversant on this very popular subject.

http://boundrationality.blogspot.com/2007/02/tax-increment-financing-or-tif-how-does.html#links

Enjoy. Remember, Santa is watching.
Title: What is TIF or Tax Increment Financing?
Post by: Double A on February 06, 2007, 05:55:14 AM
That is a must read. Outstanding. Two thumbs way up! It's about time we got honest about the potential hazards of TIF districts.

Another problem with TIF districts is the fact they can be renewed. TIF's should be used to jumpstart economic development in targeted areas, not as corporate welfare IMO.

I never understood how TIF districts could be Constitutional in Oklahoma due to the special law provision used to nullify the Oklahoma Municipal Collective Bargaining Act and more recently by the chair/vice chair of the TPS Board to basically legislate from the School Board (//%22http://chiggers.blogspot.com/2006/02/charter-school-act-assailed-by-tps.html%22) in an effort to kill Charter Schools.     That is, until I read this article and realized that TIFs are structured to circumvent government oversight, much like Security and Prosperity Partnerships (//%22http://www.youtube.com/watch?v=H65f3q_Lm9U%22), Privately Owned/Operated Public Infrastructure (//%22http://www.tulsanow.org/forum/topic.asp?TOPIC_ID=3340&SearchTerms=jenks,toll,bridge%22), or Fast Track Free Trade Agreements (//%22http://www.citizen.org/trade/fasttrack/%22).
Title: What is TIF or Tax Increment Financing?
Post by: tim huntzinger on February 06, 2007, 11:55:02 AM
TIF's are an important tool but overused.  For instance, the application of TIF's to the Pearl District would be OK by me.  TIF's used willy nilly for commercial projects like the 71st/HWY75 development or the Bass Pro are robbing Peter to pay Paul.
Title: What is TIF or Tax Increment Financing?
Post by: carltonplace on February 06, 2007, 12:04:51 PM
Bass Pro is a Broken Arrow project, and it wasn't a TIF, it was a loan secured by the city of BA that will be repaid by BP.

Tulsa Hills will provide shopping for an underserved area and will payback much more sales tax over time then the TIF sat aside for infrastructure.

Title: What is TIF or Tax Increment Financing?
Post by: USRufnex on February 06, 2007, 12:06:12 PM
TIF's don't have to be used to just for condos or general plans in Brady or Blue Dome, as seems to be the case in Tulsa.

They can be used to attract jobs, the way Milwaukee did for Manpower...
http://www.findarticles.com/p/articles/mi_qn4196/is_20060107/ai_n15994176

They can be used just for a stadium--or in this case the Kansas Speedway...
http://racing.ballparks.com/Kansas/index.htm

And they can be used for a large scale mixed use project like Gallery Place in DC complete with the Verizon Center (like the East End)...
http://www.downtowndc.org/library/SOD_2005.pdf



Title: What is TIF or Tax Increment Financing?
Post by: sgrizzle on February 06, 2007, 12:45:54 PM
Yeah, with Tulsa Hills, that are was brining in very little in tax dollars before, so a TIF could do nothing but help the area.
Title: What is TIF or Tax Increment Financing?
Post by: Double A on February 06, 2007, 03:15:04 PM
Anybody know how many TIFs are downtown? How 'bout the rest of Council District 4?

Title: What is TIF or Tax Increment Financing?
Post by: carltonplace on February 07, 2007, 07:48:54 AM
In Downtown there is a TIF in the Brady that is about to expire, one in the CBD that accomplished little, and the one for Home Depot that built the new community center, and will be used for improvements in Gunboat. I can't think of any others in District 4.
Title: What is TIF or Tax Increment Financing?
Post by: Double A on February 07, 2007, 08:07:53 AM
I am pretty sure blue dome has a TIF, Kendall Whittier too. Now, does anybody know how many TIF's are in the other Council Districts?
Title: What is TIF or Tax Increment Financing?
Post by: tim huntzinger on February 07, 2007, 09:07:59 AM
quote:
Originally posted by carltonplace

In Downtown there is a TIF in the Brady that is about to expire, one in the CBD that accomplished little, and the one for Home Depot that built the new community center, and will be used for improvements in Gunboat. I can't think of any others in District 4.



I think that Gunboat area could be so cute.  Using that as an example, how would one take advantage of the TIF? What is the process for implementing one?