* WARNING: THIS IS AN UNOFFICIAL, INTRODUCTORY COPY OF THE BILL.
THE OFFICIAL COPY CONSIDERED BY THE CITY COUNCIL IS THE FIRST READER COPY.
INTRODUCTORY*
CITY OF BALTIMORE
COUNCIL BILL R
(Resolution)
Introduced by: Councilmember Young
A RESOLUTION ENTITLED
A COUNCIL RESOLUTION concerning
Title
Informational Hearing - TIFs and PILOTs
FOR the purpose of requesting the Director of Finance to brief the Council on the current use and necessity of TIFS and PILOTS in Baltimore City, the impact they have on jobs and housing, and the importance of the role they play in regard to the property tax rate in Baltimore City.
Body
Recitals
TIFs and PILOTs are programs that are generally used to encourage the redevelopment of ailing neighborhoods and commercial zones. TIFs require developers to pay all existing property taxes on the projects they propose. Any new tax revenue generated after construction is then directed back to a City Trustee who earmarks the funds for public services. Under State law, TIFs can only be granted for infrastructure improvements and parking garages.
TIF bonds must be approved by an ordinance of the Baltimore City Council. In conjunction with the ordinance, the City will request the Supervisor of Assessments in the Maryland State Department of Assessment and Taxation to certify the original assessable property tax base of the TIF district. The final bond documents are subject to final approval by the Board of Estimates. TIF bonds may be taxexempt or taxable private activity bonds, depending on whether a project meets the "private security and "private use" test under IRS regulations.
...
Click here for full text