The framework
According to the report, Fort Worth has 11 active TIF districts. City officials can use TIFs to develop specific areas within their city limits that support taxable property values and encourage new growth in that area without increasing taxes on residents or businesses.
The report states that as the TIF district begins to see more investment and new development, the total taxable value of that area begins to rise. The funds that make up the difference between the new taxable value and the original base value—referred to as the tax increment—are then used to help finance public improvements within that specific TIF district.
TIF funding typically supports larger infrastructure projects. According to the report, these projects include:
- The creation of roads or utilities
- Environmental remediation
- Destruction of existing structures
- Historic preservation or rehabilitation
The specifics
Two TIF districts sit in the Community Impact coverage area in north Fort Worth: Texas Motor Speedway and the area called Lone Star, which encompasses the area along the Alliance Gateway Freeway from Alta Vista Road to I-35W.
According to the report, the Texas Motor Speedway TIF district was created Jan. 1, 1996. Initially, it was valued just over $5 million; today that value stands just shy of $150 million—a 2,798.8% increase.
The Lone Star TIF includes Cabela’s Sporting Goods & Outdoor Store located at 12901 Cabela Drive. According to the report, the TIF was created on June 15, 2004, and was valued at approximately $16 million. That value has increased to just over $140 million today, which represents a 793.1% increase.