Tax Increment Financing (TIF) allows a portion of new property taxes generated by development in a designated district to be used to fund public infrastructure improvements in that district. A TIF district and plan must be established by a city council, with input from an advisory board. TIF revenues can be used to acquire land, improve transportation, extend utilities, and construct parking or other traffic improvements. TIF funds can pay bonds issued for improvements or be saved until enough revenue is available to fund projects. As new development increases property values in a TIF district, the additional tax revenue above the original base value is dedicated to improving infrastructure to support further growth.

1. Using Tax Increment Financing RSA 162K