Uses of TIF

Tax Increment Financing can be used for the following purposes:

  • Total amount of public improvements associated wiht a redevelopment project which are located in a redevelopment area
  • Acquisition of redevelopment sites including all costs associated with acquisition
  • Site preparation, demolition, grading, special foundations, and other work prior to construction of the project
  • Utility extensions and hookups
  • Rehabilitation of structures within the redevelopment area
  • Construction of structure within the redevelopment project area

Tax Increment Financing is primarily designed to finance public improvements associated with a project. However, residual funds can be used for other allowed purposes after allowing for the cost of public improvements.