Tilton officials last month approved creating a new Tax Increment Financing District.
According to Tilton Treasurer Tiffany Jones, “we are adding some parcels to a TIF IV so that the builders can receive benefits from the TIF. One of our TIF Districts is set to expire in 2026 and we still have undeveloped areas so we added them to a new TIF so they can all be developed.”
Consultants Moran Economic Development and Attorney Ken Beth will assist in setting it up.
According to the village, it offers TIF assistance in certain areas.
Tax Increment Financing is a development tool designed to help finance certain eligible improvements to property in designated redevelopment areas (TIF districts) by utilizing the new, or incremental, tax revenues generated by the project after completion.
Upon the creation of a TIF District, the current property values within that district become a base value from which it cannot decrease. Any projects or improvements that cause an increase in value over that base would create an increment in value, and the incremental tax revenues from that increment in value are paid to a “special allocation fund.”
The proceeds of the fund are then used to reimburse the developer for eligible project costs or to retire indebtedness incurred to cover those costs. Eligible project costs are the total of all reasonable or necessary costs incurred or estimated to be incurred and any costs incidental to a redevelopment plan or project. Specifically, these costs include, but are not limited to: costs of studies, surveys and plans; professional service costs (architectural, engineering, legal, financial, etc.); property assembly costs (acquisition, demolition, clearing and grading; costs of rehabilitating, reconstructing, remodeling of existing structures; costs of construction of public works; and financing costs, including issuance interest and reserves. In other recent village board action to help businesses during the coronavirus pandemic, Tilton awarded business stabilization grants totaling $65,000. All businesses received $5,000 each, with the exception of $2,500 to Burger King and also Paw A Day.
Those receiving grants: Better Days Distillery Inc., Green Jade Chinese Restaurant, Imagine Salon, Lupita’s Family Restaurant, R & R Travel, Rich’s Family Restaurant, Robin’s Bar, RR Fitness, Southgate Salon, True Grit, Danville Institute of Gymnastics and Saloon by the Rail.
- Danville Commercial News