Fiscal Note
The proposed resolution authorizes the extension of Tax Increment District (TID) 41 for 12 months. TID 41 is estimated to have $1.5 million of incremental revenues in 2026. As allowed under State Statute, the incremental revenue generated during the 12-month extension will contribute towards the Affordable Housing Fund and will be used to benefit affordable housing or improve the City's housing stock. No additional appropriation required.
Title
Extending the life of Tax Increment District (TID) #41 for one year for the purposes of the creation of affordable housing and improving City housing stock in the City of Madison. (District 19)
Body
WHEREAS, Chapter 105 of the Laws of 1975 of the State of Wisconsin created the Tax Increment Law, Sec. 66.1105, Wis. Stat.; and
WHEREAS, Wis. Stat. Sec. 66.1105(6)(g) permits a municipality to authorize the extension of the life of a Tax Increment District (TID) for one year for the purposes of creating, providing, or rehabilitating low-cost housing and improving housing stock; and
WHEREAS, TID #41 has paid off the aggregate of all of its incurred project costs; and
WHEREAS, the City of Madison intends to use seventy-five percent (75%) of the increments generated by the extension of the life of TID #41 to benefit affordable housing in the City, meaning housing that costs no more than 30% of a household’s gross income; and
WHEREAS, the City of Madison intends to use the remaining portion of the increments generated by the extension of the life of TID #41 used to improve the City’s housing stock;
NOW THEREFORE BE IT RESOLVED that the Common Council of the City of Madison extends the life of TID #41 for one year for the purposes of creating, providing, or rehabilitating affordable housing and improving housing stock; and
BE IT FURTHER RESOLVED that the increments generated during this one-year extension shall be used according to the Tax Increment Law; with seventy-five percent (75%) being used to benefit aff...
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