Tax Increment Financing (TIF) Plan
Tax Increment Financing History in Colerain
In 2021, the Board of Trustees adopted and created several new Tax Increment Financing (TIF) Districts, with the intent of capturing and retaining as much property tax revenue locally for use by Colerain Township. Unlike prior TIFs, the Township initiated these TIFs to last for 30 years and entered into agreements with the Northwest Local School District to make them 100% whole on their potential lost tax revenue through service payments in future years.
Outside of the commitments to the Northwest Local School District and statutorily obligated payments to the County Commissioners, the Township has funds committed in three of the TIF Districts:
- Kroger TIF: All dollars in this fund are committed to repay Kroger for the infrastructure installed with development.
- Colerain Towne Center TIF: All dollars in this fund are committed to repay the loans for the construction of Generation Drive.
- Northridge TIF: The Township has obligated services payments totaling $1M over the life of TIF to cover a portion of the costs of constructing the bridge that will connect Sovereign Road to Pippin Road. This commitment was outlined in the development agreement that guaranteed the construction of single family housing along Sovereign Road.
All remaining TIF District revenues are uncommitted and available for use on eligible projects as determined by the Board of Trustees. In 2022, the Board of Trustees met to discuss potential long term revenues and eligible capital projects in each TIF District. Staff was provided guidance from the Trustees on modifications to the proposed plan and were instructed to evaluate and update the plan annually with the approved Strategic Plan and Budget Book. Given that revenues are unknown until the final construction of each development, it will be important to annually revisit assumptions and project costs to align them with the priorities of the Board of Trustees.
A summary on the modified plan is below. For complete with assumptions on revenue and expenses, information on establishing resolutions, and development expectations please download the excel workbook found here: https://www.colerain.org/DocumentCenter/View/3878/TIF-Sheets---No-Debt