Tax Increment Financing District (TIF) - Green Bay Road Redevelopment Project
The Village’s Comprehensive Plan of 2008 envisioned a Green Bay Road Corridor that was transformed into a vibrant and attractive mixed-use pedestrian-oriented district reflecting the Village’s overall character and quality, which provides opportunities for alternative housing options for Village residents, and maximizes the opportunities to diversify and strengthen the tax base by maximizing revenue opportunities.
In the 11 years since the adoption of the plan, the vision for the corridor has not come to fruition. Over the past year, the Village Board has been investigating options to revitalize the long-stagnant business district. The option currently under consideration is a redevelopment plan and project for the Green Bay Road and Park Drive business district area, funded from the proceeds of a tax increment financing (TIF) district. Since the vision articulated in the 2008 Comprehensive Plan has not come to fruition on its own, the Village Board is now seeking vehicles to spur growth in the business district. It is hoped that, by making some strategic investments in the district, a seed of growth may be planted which will help revitalize the Green Bay Road and Park Drive corridor. A strong business district can help relieve pressure on residential property taxes and diversify the Village’s tax base.
TIF Fund Financial Activity
|Fiscal Year||Revenue||Expenditures||Fund Balance||State Filing||TIF Audit|
|FY19||$0 (Created 7/15/2019)||$0*||$0||FY19 Filing (PDF)||None Required|
|FY20||$118,044||$0||$118,044||FY20 Filing (PDF)||FY20 Audit (PDF)|
|FY21||$137,438||$0||$255,482||FY21 Filing (PDF)||FY21 Audit (PDF)|
|FY22||$98,462||$6,125||$347,819||FY22 Audit (PDF)|
TIF District EAV by Tax Year
|2019 (Base EAV)||$11,406,976|
Seeking Assistance from the TIF Fund
One of the purposes of the TIF Fund is to help spur financial investment in the business district that would have not have happened otherwise. Said differently, “but for” financial assistance from the Village, the project could not happen. As you can understand, the Village is very interested in ensuring that any funds received were both necessary for the project and contribute to the revitalization of the business district.
To help guide the application process, the Village Board adopted a TIF Fund Funding Policy (PDF). The policy document explains more about what funds may be used for, and how the Village considers the requests. Questions about the policy may be directed to the Village Manager (firstname.lastname@example.org).
Joint Review Board
The Joint Review Board for the Green Bay Road Redevelopment Project Area (Green Bay Road TIF) consists of several representatives of local taxing bodies. The membership is dictated by the TIF Act. The Village serves a coordinating role for the meetings and ensures that the JRB meets annually as required.
The JRB meetings are open to the public and the agendas are posted in advance on the Village website and public notice bulletin board in Village Hall. To learn more, visit the Joint Review Board page.
- What is a TIF District?
A Tax Increment Financing District (TIF) is an area identified by the Village that is in need of redevelopment due to declining conditions and tax base.
Incremental increases to property taxes from within the district are reinvested in that area in an effort to stimulate improvements.
The goal is to provide a temporary financial stimulus to the redevelopment area that otherwise would not occur.
The planned redevelopment may be in effect for 23 years but can be retired sooner.
- Why do we need a TIF?
Our Business District has been showing signs of decline for quite some time. A healthy Business District contributes more to property taxes, reducing the pressure on residential property taxes. Improvements have not come on their own and creating a TIF is a way to spur growth. A TIF District is the best tool to achieve the goal of improving the Business District.
- What does a TIF district do?
A TIF district acts as an economic development tool to encourage revitalization and redevelopment within an area lagging in economic vitality. In a TIF district, the incremental growth in tax revenues based on improvements that grow a TIF District's EAV is directed solely to the TIF District. TIFs require a formal budget and annual audits to track expenditures and activity, which helps ensure that received funds are utilized to improve the district.
- What doesn't a TIF district do?
The creation of the TIF district doesn't limit the budgets or taxing authority of other taxing bodies, grant the Village new authority to issue bonds, decrease tax revenues from current levels in the TIF District for other taxing bodies, or change the Village's obligation for public meetings, budgeting, and auditing of financial records.
- How big is the TIF district?
- The area is relatively small at approximately 15 acres.
- It represents just 0.23% of the New Trier High School District's Equalized Assessed Valuation and 4% of the Village.
- It provides approximately $1,000,000 of tax revenues for all taxing bodies.
- $411,613 to Joseph Sears School
- $236,100 to New Trier High School District
- $160,360 to the Village
- The Goal is to increase the health of the TIF District so the $1 million of support grows to $3.6 million over the life the TIF District.