Santa’s Warehouse A Tax Increment Financing Example December 28, 2016
Every project starts with an idea Santa needs a distribution warehouse in the Central U.S. Santa’s Warehouse
TIF Application Submit application to Regional Planning/CRA Public document Details the general project, costs and funding sources Santa’s submits his application Jan. 11, 2017
Redevelopment Plan Includes all Statutory Requirements Cost Benefit Analysis Kick starts a series of public meetings
Meeting Timeline
Meeting Timeline
Meeting Timeline
Meeting Timeline
Meeting Timeline
After all the public meetings:
Issuance of TIF Funds Limited use Purchase TIF bonds No real money changes hands May be taxable income
TIF Bond
Notice of Intent to Divide
Funding the TIF Bond
Send Proof of Funding to CRA
Release of Bond to Developer
Assignment of Bond
Tax payouts - Year 1
Throughout the process
County Treasurer Splits Taxes
Tax payouts – Year 2
When bond is paid or expires
Tax payouts – Project Completion
Full taxes go to taxing entities
During the TIF process Elected officials are invited to multiple meetings General public may comment at meetings. Meeting schedule takes two to six months No tax revenue is lessened Public is ensured new infrastructure & improvements Public is ensured increased future tax base