I just got out of a workgroup about a bill (HB 4967) which would allow for new Tax Increment Finance (TIF) districts surrounding transit and transportation stops. The meeting, though, turned into an opportunity for the counties, community colleges and libraries to bash TIF districts.  The bill, as introduced, would allow for a municipality to set up a TIF district within 1/2 mile of a transit/transportation stop, invest in that district and capture growth as a result of the TIF district.  The counties and community colleges complained that their members can’t opt-out of this. The libraries want a straight exemption.  I testified that allowing this will result in the municipalities investing in the district and having their growth dollars captured, while the other taxing jurisdictions would reap the benefit of the new growth by opting out.  The counties said that they are willing to negotiate, but they want to opt-out then have the leverage in bargaining.  The community colleges said that they can’t afford this because of property tax reductions.  The libraries claimed that TIF districts are taking all their money for economic development.  I testified in support of the bill with full regional cooperation and no opt-outs.  Their will be another workgroup in two weeks.  Anyone want to come testify about this issue?  Transit-oriented development is a proven way to create jobs and growth in a community, and revitalize Michigan.  Apparently, the counties, community colleges and libraries don’t see it that way.

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