Tax Incremental Finance (TIF)

Creation

  1. Who may create a Tax Incremental District (TID) and what kind of TIDs may be created?
  2. Can a TID that is in more than one county be created or would two separate TIDs be required?
  3. Can a TID be located in more than one school district?
  4. Can a city and village create a joint TID to develop an industrial park?
  5. How long does it take to create a new TID?
  6. Where can you obtain the application forms?
  7. When is the deadline to apply to the Department of Revenue (DOR) for a base value?
  8. Does the Planning Commission have to hold a public hearing?
  9. If the Planning Commission is only an advisory board to the council, and does not have authority to pass resolutions, what should they submit?
  10. Do the maps in the project plan have to be adjusted if the local governing body approves different boundaries than those recommended?
  11. Are there requirements that must be met in the local governing body resolution?
  12. Can one Joint Review Board (JRB) meeting and public hearing be used when several TIDs are being created at the same time?
  13. What year is used for the value of parcels in a TID?
  14. In a mixed-use TID, what constitutes a vacant land test?

  1. Who may create a Tax Incremental District (TID) and what kind of TIDs may be created?

    Cities and villages can create TIDs. Towns have limited authority to create a TID. Detailed information on creating a TID is available from publication PE-207, A Guide to Wisconsin's Tax Increment, and from the town publication PE-207T, A Guide to Wisconsin's Tax Increment Law - Creating a Town District. Environmental Remediation TIDs are also an option.

  2. Can a TID that is in more than one county be created or would two separate TIDs be required?

    A TID can be located in more than one county, but a complete set of separate forms for each county must be submitted to DOR.

  3. Can a TID be located in more than one school district?

    Yes, list each school district and identify the parcels in each on the required forms.

  4. Can a city and village create a joint TID to develop an industrial park?

    Yes, effective October 1, 2012, two or more cities may enter into an intergovernmental cooperative agreement to jointly create a multijurisdictional TID, 66.1105 (18) Wi Stat.

  5. How long does it take to create a new TID?

    It depends on how often the governing body meets and the time to develop the project plan and boundaries. Generally, a minimum of two months is required. Sample timelines are available in publication PE-221 , Municipal TIF Districts Timeline for Creation. Towns should refer to publication PE-221T , Town TIF Districts Timeline for Creation.

  6. Where can you obtain the application forms?

    The required forms and process timelines can be found on DOR's website under Tax Incremental Financing.

  7. When is the deadline to apply to the Department of Revenue (DOR) for a base value?

    For TIDs created after October 1, 2011, applications must be submitted by October 31st of the creation year to DOR for a base value. DOR will certify the values the following year. For example, to get a base value set on January 1, 2012, the creation resolution must be adopted between October 1, 2011 and September 30, 2012, and the application must be received on or before October 31, 2012. DOR will certify the value between January and April 2013.

  8. Does the Planning Commission have to hold a public hearing?

    Yes, unless the municipality has no Planning Commission or the municipality has designated another authority to act in that capacity.

  9. If the Planning Commission is only an advisory board to the council and does not have authority to pass resolutions, what should they submit?

    A copy of the minutes of the Planning Commission meeting showing the recommendation approval should be forwarded to the council.

  10. Do the maps in the project plan have to be adjusted if the local governing body approves different boundaries than those recommended?

    The maps in the final project plan should be updated to reflect the boundaries approved by the local governing body and the JRB.

  11. Are there requirements that must be met in the local governing body resolution?

    Yes, they are found in sec. 66.1105(4)(gm)4., Wis. Stats., which details the requirements.

  12. Can one Joint Review Board (JRB) meeting and public hearing be used when several TIDs are being created at the same time?

    Yes, but each creation should be listed separately in the public hearing notice. A separate resolution is needed for each TID created.

  13. What year is used for the value of parcels in a TID?

    For a creation resolution adopted between October 1, 2011 and September 30, 2012, use the assessment as of January 1, 2012. These should be the assessed values as of the final adjournment by that year's Board of Review (BOR). The value forms should not be completed until after the BOR.

  14. In a mixed-use TID, what constitutes a vacant land test?

    Vacant land is described in sec. 66.1105(4)(gm)1, Wis. Stats.

FOR MORE INFORMATION PLEASE CONTACT:

WISCONSIN DEPARTMENT OF REVENUE
Division of State and Local Finance
Office of Technical and Assessment Services
P.O. Box 8971 MS 6-97
Madison, WI 53708-8971
Phone: (608) 266-5708
Fax: (608) 264-6897
E-Mail Additional Questions

Last updated March 22, 2013