Bill > LD185

This bill modifies existing Maine state law regarding Tax Increment Financing (TIF), which is a method municipalities use to fund economic development projects by reinvesting property tax revenues generated from new development. Specifically, the bill expands the allowable uses of TIF revenues by increasing the percentage of captured assessed value that can be spent on certain municipal facilities from 15% to 25%. The changes permit municipalities to use TIF funds for two key purposes: first, to cover costs related to constructing, renovating, or operating public safety facilities, now explicitly including emergency shelters; and second, to fund up to 50% of capital costs for renovating or constructing municipal service facilities, broadening the previous language that only referenced central administrative offices. These modifications provide local governments with more flexibility in using TIF revenues to support critical infrastructure and service-related projects that contribute to general economic development within their communities.

Budget and Finance

https://legislature.maine.gov/legis/bills/display_ps.asp?LD=185&snum=132