Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Tax Increment Financing Tif topic
No spam. Unsubscribe anytime.
Board weighs Oak Forest TIF No. 7 extension: $90,000 now vs. roughly $1.9 million later
Summary
School officials and trustees debated an Oak Forest request to extend TIF No. 7 from its original 2016 term to 25 years; the village offered a one-time $90,000 surplus to District 228 while staff estimated the district could forgo about $1.9 million in future tax revenue if the extension is approved.
Doctor Morrison presented the village of Oak Forest’s request to extend Tax Increment Financing (TIF) No. 7, reviewing the timeline and financial tradeoffs the district would face if it approves the extension. "The first year of TIF number 7 was 2016," Morrison said, and the extension would change the years remaining on the TIF from roughly 13 to 25. Morrison said total TIF revenue from 2016 to 2024 is approximately $3,000,000 and that, based on current EAV and the current tax rate, the district would lose "at least $1,900,000" over the 12 years past the original TIF expiration if the extension is granted.
Board members questioned the terms and sought alternatives to a single one-time payment. One board member who reviewed TIF 8 said the village was offering a one-time surplus payment of $90,000 for TIF 7 and suggested that if the village wants a 12-year extension the board should ask for multi-year commitments rather than a single payment. "If you want 12 years, commit to x dollars for the 12 years you’re asking," the board member said, arguing a single payment does not offset the projected revenue loss. Morrison acknowledged uncertainty in projecting EAV growth but said the $1.9 million figure is a conservative estimate under current rates and EAV assumptions.
The board discussed the number and scale of active TIFs across the district and whether some TIFs produce little or no revenue. Morrison noted several TIFs have $0 in revenue because land remains undeveloped. Several trustees said they were skeptical of accepting only a single-year payment in exchange for a 12-year extension and suggested the district could vote to deny the request or press for a different structure. Morrison said he plans to bring a formal item to the August agenda for an official vote and is available for one-on-one follow-up with trustees in the meantime.
Next steps: the superintendent’s office will include a formal motion on the August agenda after further legal/negotiation work; trustees indicated at least one member was leaning toward a no vote without a different payment structure.
