Through District Improvement Financing (DIF), a town or a city can establish a funding stream for economic development activities that is linked to, and derived from, the results of economic development. DIF is a locally-enacted tool that enables a municipality to identify and capture incremental tax revenues from new private investment in a specific area and direct them toward public improvement and economic development projects. DIF is not a new tax or special assessment and it does not increase a municipality’s tax rate.
__________________________________________________________________________
Key word being "incremental".
Lets assume
- Table Talk Properties taxed commercially was paying $100,000 per year
- The new residential development, after TIFS, pays $120,000 per year
In this example would only $20,000 go towards the DIF????
While the initial $100,000 goes to the General Fund......
Comments