A 12-year extension for the City of Monmouth’s one Tax Increment Financing district was approved yesterday by the Illinois Senate.Senator Jil Tracy introduced the bill which the chamber approved 52-2, with the two nos coming from Chicago area Republicans, Jim Oberweis and Tom Rooney.
A TIF District is an economic development tool cities use in which they establish a district, take a base property value for that district and as property values rise the increment by which the property’s value is raised goes into a fund.
That fund can then be disbursed by the local government for things like infrastructure to develop commercial sites, redeveloped obsolete buildings or improve the viability of a commercial district.
TIF Districts expire after 23 years unless the Illinois legislature acts to add another 12 years.
The Monmouth City Council approved a request to extend the life of their TIF District in November.
Senator Tracy says Monmouth has been successful in using TIF to revitalize their downtown including around the square and courthouse.
“This is a very heavily relied upon economic tool in downstate specifically in the city of Monmouth,” Tracy says.
Prior to the General Assembly’s approval the extension had to received support from local taxing bodies affected like Warren County and Monmouth-Roseville District 238.
The measure will now move to the Illinois House.
