Council places TIF payment ordinance to School District on debate agenda after record questions

At a Tuesday committee meeting, aldermen voted to place on the debate agenda ordinance 2025-3-73, which would authorize annual payments of $50,000 from the Enos Park and Madison Park Place tax increment financing (TIF) districts to Springfield School District 186 for 12 years, for a total not to exceed $1,200,000.

The ordinance prompted extended questioning because council members said the payments appeared to have been promised in documents attached to past TIF extensions but were not reflected in the city’s records as previously authorized or paid. An OPED representative told the committee the city “was not making these payments.”

Alderman Conley asked when the payments would begin and how far back the city would go; OPED staff said the payments would go back to 2023 and that staff would check whether funds were available for an initial payment and would circulate further information by email. “We go back to 2023,” an OPED representative said. When asked whether the city had made any payments to the school district, staff replied, “We were not making these payments.”

Council members noted that the payments were referenced in a May 21, 2020, letter from the school district and cited an email from former Mayor Jim Langfelder to Jennifer Gill that referred to $100,000 annually for two TIFs over 12 years; some aldermen said they had not seen an ordinance authorizing the payments. Corporation counsel told the committee that the school district had documentation, including emails and a supportive letter, attached to the meeting packet; staff said the city had not found an ordinance authorizing the payments and that is why the current ordinance is before the committee.

Alderman Gregory and others discussed the history of the Enos Park and Madison Park Place TIFs, noting previous up-front payments made to other taxing bodies such as park districts when the TIFs were extended. Alderman Hanauer asked about the effect on TIF balances and whether other taxing bodies might seek similar payments, potentially reducing available TIF funds for projects; counsel said those concerns are case-by-case but noted the school district holds a large share of the property-tax levy and therefore stands to be most affected.

The committee voted to place the ordinance on the debate agenda so the council can consider formal authorization and funding availability. Staff committed to provide council members with a follow-up email showing prior records of payments (if any), the letter of support from the school district dated May 21, 2020, and confirmation of TIF expiration dates.

No final appropriation or payment was approved at the meeting; council members asked staff to report back with precise figures and to confirm whether initial back payments can be covered from TIF balances or require separate appropriation.