•March 27, 2019•

Editors Note: In the March 20, 2019 article on the candidate forum held March 14 Sullivan Mayor Ann Short’s answers were incomplete. In the effort to provide her an equal opportunity to respond, the News Progress is publishing the mayor’s complete responses to the SCED forum questions. Our duty at the News Progress is to allow each candidate fair and equal coverage.

Question 1 TIF districts
Tax Increment Financing is confusing to the general public. It is an economic development tool that was created by the State for municipalities to use. We created TIF 1 in 1986 and TIF 2 in 1991. The will be expiring in 2011 and 2026. TIF 3 was created in 2001 and will expire in 2024.
On your property tax bill about ½ of the amount goes to the schools and the remaining ½ is divided u-up between the City, Fire and Ambulance, County and Lake Land. However, since some properties are located in a TIF district, the distribution of those amounts are treated differently by the County. We have worked with 57 different individual developers who came to the City and expressed a desire to increase the value of their property. We have signed agreements with them and they have increased the value of their property. When they pay their increased property taxes annually, the initial amount paid before TIF goes to the various taxing bodies in the county. That difference between the two amounts is the Increment. That is paid to the City Tax Increment Fund. We can then share that back with the developer, through a signed agreement, to meet the eligible costs he incurred in making the improvements. The balance of the funds can then be used for City improvements which are allowed under the original and amended plan. We hire a TIF attorney to determine what reimbursements to the developers are allowed and also what City expenditures are allowed. Those must follow what is allowed by State Statute.     Login or Subscribe to read the rest of this story.