Businesses on the downtown Washington square can breathe a little easier in 2010.
Tax-increment financing, which was set to expire at the end of this year, has now been extended for another 12 years.
The Washington Downtown Square TIF has been in place since 1986 and the funding generated has served to help businesses improve their properties throughout the years.
City planning and development director Jon Oliphant said the projects downtown businesses are allowed to enter into have to have some kind of impact on the assessed value of the property.
“It’s not about basic maintenance. These are substantial projects like facade repair, roofing jobs, window replacement, doors, interior work or HVAC (heating, ventilation and air conditioning),” Oliphant said.
Oliphant added the TIF funding has served as a plus for downtown businesses to stay competitive during the last 23 years.
“When you consider during the course of that time, businesses have been added to our city like the new Wal-mart or Menards, it helps to have that incentive to keep a thriving downtown and make it competitive with the bigger businesses,” Oliphant said.
When a TIF district is established, the assessed values of all properties within the TIF are frozen.
Oliphant said as assessed valuation increased throughout the last two decades, the taxing bodies continue to receive the base level, and additional money is used for their renovation needs.
Oliphant estimated 15 to 18 businesses have taken advantage of the TIF money over the years.
Lindy’s Downtown Market received more than $60,000 to make both indoor and outdoor renovations.
Tom and Judy Gross also took advantage of TIF opportunties when they moved to Washington in 2003.
The couple has created Cornerstone Inn, Denhart Baking Co., C-Note Pub and the Washington Room on the sqaure and have also renovated the old Bank Plus building.
“The former Bank Plus building is finishing up with its redevelopment now, and that used TIF funds. You can really see the difference with a lot of the businesses on the north side of the square and the facade changes,” Oliphant said.
Oliphant added he expects more paperwork for potential infrastructure projects will cross his desk over the next 12 years.
“This has certainly been done by other municipalities thorughout the state, but sometimes they can’t meet all the objectives, or it is terminated before it’s even set to expire. We’re lucky it’s worked out so well and excited we can offer it for another 12 years,” Oliphant said.
Washington, Ill. —
