By Dave Fidlin
Correspondent
A few tweaks could be in store for one of Whitewater’s five active tax-incremental financing, or TIF, districts.
The city’s Community Development Authority on Dec. 17 discussed altering the scope of TIF District No. 5, which was established in 2007 and has an anticipated sunset of 2027.
TIF is a mechanism that allows municipalities to borrow money for infrastructure improvements. The increased property tax revenue from the improved land is then diverted from the tax rolls to pay off the loan.
TIF No. 5, eyed for mixed-use projects, is in the northeast side of the city. When the district was established, it had a budget of $6.34 million. The lion’s share of that budget, $4.6 million, was earmarked for street construction, improvements and other infrastructure-related amenities.
Discussing the proposed changes to TIF No. 5, Patrick Cannon, executive director of the Whitewater CDA, said there are not any plans to change the specific boundaries within the district. But some of the line items within the budget could be subject to amendment.
One of the more noticeable changes actually would take place a half-mile outside TIF No. 5’s boundaries, but would benefit the district. Fiber cable infrastructure could be installed near the intersection of Elizabeth and Main streets, and TIF funds could help bring the project to fruition.
CDA officials also are looking to throw into the pot a $1 million economic incentive plan that would be aimed at spurring additional development within the district.
With TIF No. 5’s sunset slated in 11 years, Cannon described the plan to bring the plans to fruition as a “short window” of time.
As a first step in the planned amendment to TIF No. 5, CDA officials held a public hearing at their December meeting. A resident in the audience briefly stated he believed the district was performing well, but no one else spoke for or against the planned changes.
The hearing is one in a series of steps toward changing the scope of TIF No. 5. A joint review board, comprised of officials from several taxing entities — including Walworth County — reviews and offers recommendations on all TIF proposals.
A preliminary meeting of the joint review board was held in advance of the CDA meeting, and Cannon said feedback was positive. The board is slated to make an official motion in relation to the planned changes in the near future. Input from the Whitewater Common Council also will be sought.
Whitewater’s other TIF districts include No. 6, which is located in the far southwestern corner of the city’s boundaries. That district has been designated primarily for industrial use and includes development of a business park.
TIF No. 7 includes sections of the far southeastern section of the city and is designated for mixed-use development. TIF No. 8, meanwhile, is in the far northeastern section of the city and has a heavily industrial focus.
The last of the group, TIF No. 9, is on the far eastern section of the city and also is focused primarily on industrial development.
