City development staff on Jan. 5 presented a detailed review of Two Rivers’ 12 active tax increment financing districts (TIF/TID), recommending early termination of two underperforming single‑parcel districts to return increment to the general fund and to consolidate capacity for future redevelopment of the Hamilton property.

New development director Jeff Socksy told council the 12 districts have generated roughly $52 million in incremental growth since 2000 but that several single‑parcel TIDs have not produced broader catalytic development. Socksy identified Culver’s TID (TID #13) and Eggers East (TID #16) as candidates for termination, noting that terminating them before April 15 would allow increments to revert effective Jan. 1, 2026. He estimated the Culver’s TID would return about $58,000 a year in incremental revenue under present valuations.

Socksy said the strategy is intended to use TIF “for what it's intended purpose is, is to spur incremental development,” and to avoid keeping value segregated from other taxing jurisdictions longer than necessary. He also described pending state statutory changes that could permit municipalities to capture additional increment for affordable housing or to use TIF‑allowable expenditures to capitalize revolving loan funds; staff flagged that one assembly bill had passed and the senate was expected to consider a companion measure.

Council members pressed for statutory parameters, deadlines for developers (a February deadline for site plans was discussed), and details on which districts would remain open. Staff said formal action would be brought to council in February with proposed termination resolutions and any necessary project‑plan amendments.

The discussion lays out staff’s recommended TIF policy shift and sets a public timeline for council action and follow‑up analysis.