South Jacksonville is looking at extending the village’s Tax Increment Financing, or TIF agreement.
The village’s joint review board met on Monday to review the status of ongoing and future developmental projects.
A TIF agreement encourages investment with the district, by not collecting property taxes on new development in early stages of projects. Property tax rates are kept low, early in a TIF District.
Village President Steve Waltrip says there was a strong discussion about extended the current TIF agreement, which was created in 2001.
“It would move out to 2021 I believe. It would be an extention of the current agreement we have that is already in place. It only makes sense and I think the trustees would like to have that as well,” says Waltrip.
Waltrip says the village is “way down the road” from making a final decision on a TIF extension.
During the fiscal year 2014, South Jacksonville’s TIF fund entered into a redevelopment agreement with Prairie Power Inc. The deal included the construction of a new roadway and infrastructure improvements north of 1916 Southbrooke and east of Baymont Inn & Suites.
Prairie Power Inc. agreed to reimburse the developer of the project up to $588-thousand from the TIF Fund.
The village’s TIF District Special Fund Balance for fiscal year 2014 was over $1.59 million, which generated a real estate tax increment of around $375-thousand.
The TIF District has attracted multiple projects in recent years, including a new Prairie Power Inc. building in 2011 and a $30 million grain handling facility for Bartlett Grain Company in 2013.