The Committee on Finance on Oct. 16 heard an update on city procedures for tax increment financing (TIF) and special tax assessment (STA) incentives after state statutory changes removed state review from the local process. The committee voted to table further action and requested written materials — including a draft standard operating procedure (SOP), the new application form and compliance forms — from the solicitor’s office and Economic Development Council (EDC).

Background and change: Solicitor-designate Peter Winters told the committee that recent state legislation eliminated state participation in reviewing local incentive agreements and that the city has revised its application, policies and contract templates so the municipality can administer TIFs/STAs without the state’s Office of Business Development review. “That is complete at this point,” Winters said of the policy and application work; he agreed to forward the draft SOP to the council office the next day.

Process going forward: EDC Executive Director Derek Santos described how the local process will operate: initial eligibility screening and an application handled by EDC, coordination with assessors and other departments for valuation and compliance details, and legal review by the solicitor before a TIF board recommendation and council action. Santos said the EDC will continue to assist applicants with applications and will prepare concise summaries for council consideration.

Compliance and monitoring: Counsel asked who would monitor compliance reports once the state no longer does so; Santos and Winters said the assessor’s office will take responsibility for annual compliance monitoring, with the solicitor’s office and EDC supporting enforcement and contract issues. Ramon (assessor) and staff will verify investment and job-creation commitments and could refer enforcement to the treasurer when needed.

Committee action and next steps: Councilor Joseph Lopes moved to table further action and requested that the solicitor provide the SOP and appendices (application and compliance form). The motion passed. Solicitor Winters agreed to send the draft SOP to the council office the following day and the application and compliance forms by the next Monday; EDC said it will notify applicants who had letters of intent pending during the statutory transition.

Ending: The committee tabled the matter to allow review of the SOP, application and compliance forms; members said they may request additional changes or recommend that policy be codified in ordinance after review.