Laserfiche WebLink
Tax Increment Financing in Minnesota <br /> dimiseemmilmmEt • <br /> • City may lose a portion of its LGA/HACA f�F <br /> duration of the TIE district. This has a direct impact on <br /> the general fund of the City. <br /> Landowner(s) Perspective <br /> A. Benefits <br /> • Development can proceed because TIF providezi a <br /> funding source for public improvements where no other <br /> viable funding source exists. <br /> • <br /> • • Without TIF, landowner absorbs development costs of <br /> • either: <br /> • Special assessments for public improvements, <br /> and/or <br /> • Hard costs of!and acquisition and site <br /> preparation. • <br /> With TIF these costs are funded in whole or in part by <br /> TIF, and landowner pays only his property taxes, which <br /> are the same whether TIF applies or not. <br /> B. Costs <br /> • Usually a slightly extended development period <br /> required for the TIF process. <br /> ti Usually landowner provides financial guarantees to ity <br /> securing taxes and debt service on TIE bonds (if <br /> applicable). <br /> • Greater City monitoring of scope, quality and timing of <br /> new development. <br /> • <br /> 10 <br /> SPRIN(•:ST=fl <br />