HomeMy WebLinkAbout36. 20-33 JANUARY 14, 2020 20-33 RESOLUTION
(CARRIED LOST 3-3 LAID OVER WITHDRAWN )
PURPOSE: OPPOSE SB560, LEGISLATION THAT WOULD LIMIT THE
ABILITY OF CITIES TO EXERCISE DISCRETION IN CREATING
AND MANAGING TAX INCREMENT FINANCING (TIF)
DISTRICTS.
INITIATED BY: CITY OF OSHKOSH COMMON COUNCIL AND DEPUTY
MAYOR STEVE HERMAN
WHEREAS, since 1975 the state has granted the cities and villages broad
authority to create Tax Increments Financing (TIF) Districts to promote economic
development; and
WHEREAS, in recent years cities have relied on "Pay As You Go" ("PayGo")
financing of TIF Districts to shift the financial burden and risk of a TIF District from a
city to a developer; and
WHEREAS, Senate Bill 560, which was introduced in November 2019, restricts
the ability a municipality to provide grants to developers for development costs to 20%
of total TIF District expenses; and
WHEREAS, SB 560 would effectively eliminate PayGo financing, thereby shifting
the risk of TIF Districts from developers to taxpayers; and
WHEREAS, SB 560 would require unanimous approval of affected taxing entities
to create and amend TIF Districts, rather than a simple majority; and
WHEREAS, SB 560 would effectively eliminate the ongoing collaboration
between taxing jurisdictions that participle in creating TIF Districts.
NOW, THEREFORE, BE IT RESOLVED, by the Common Council of The City of
Oshkosh that the City of Oshkosh opposes SB 560 as an unnecessary restriction on local
control and authorizes the proper City officials to contact appropriate State officials,
Representatives, and Senators to vote against the bill.