A First Priority

Well what do you intend to do?

The first, or at least top five, questions a candidate for office is asked. Since I am relatively unknown at this point it's a question only a few dozen have asked. I still have to have a response though and my answers vary.

I care a lot about downtown. I want to see it grow more and think that local government has a profound effect on the capability of an area to prosper or fail (though I am not one who subscribes to many of the extreme abuses of Keynesian economics). My first proposal is not a very exciting one. I would like to increase the use of Tax Increment Financing or TIF's.

TIF's have become popular recently and I believe offer an attractive bonus for companies and developers in areas where they might otherwise not go. Let's discuss briefly a few positives and negatives of this type of tool.

TIF's provide relief for a business or venture in the first few years by keeping taxes at bay. Putting off of or allowing taxes to be left unpaid gives these people more of a buffer to get established and to grow and invest in their business before paying their full burden of the property tax. Now we could take this a step further to discuss the entire property tax system, but that could be saved for another day.

Down side to this type of public aid, a loss of revenue and a sense of unfairness. For instance, I purchased a home in downtown last year. It's not big and I could sure use the relief from the tax burden for the first few years. take that money and reinvest it in my home to make it nicer, but the TIF's are not offered to homeowners. It's a little one sided in that way, though I accept the exclusivity of it.

I want these used more widely downtown and in the surrounding areas. Many of the retail stores (grocery, clothing, etc.) could benefit from this little carrot dangling in from of them. The people are moving into downtown and now it is time to entice the business to follow suit.

My concerns for TIF's come mainly out of the abuse that is bound to come from them. I heard Commissioner Lambert on the radio last week talking about using TIF's for new retail centers in one of the big suburban shopping areas. I would be highly hesitant to use TIF's in a situation like that because why would you defer taxes and give an enticement where none is needed. New development is going to happen and it doesn't always need to be rewarded in this way. We should be careful about where the TIF's are applied and how often and extensive they are granted.

I know, not exactly exciting stuff right. Don't worry next time I will address my pet peeve, Redflex Redlight Cameras, and what I want to do about those.