Tax Increment Finance (TIF)

What is TIF?

Tax Increment Financing (TIF) has proven to be one of the most effective economic development tools available to Illinois municipalities for financing development and redevelopment. With this tool, municipalities can make the improvements they need, like new roads or new sewers, and provide incentives to attract businesses or to help existing businesses expand without tapping into general funds or raising taxes.

When a TIF area (often called a TIF District) is created, the value of the property area at that time is established as the “base” amount. Property taxes are still paid to the various tax bodies using the base amount, the amount is reduced only if the base declines or the tax rate decreases. It is the growth in the value of the property over the base that generates the tax increment. This increment is collected into a special fund (the Special Tax Increment Allocation Fund) for use by the municipality to make additional investments in the TIF project area. 

After the redevelopment has occurred and the TIF District ends (usually after 23 years, the maximum allowed by Illinois law absent an extension), all of the taxing bodies benefit from the new growth and the new tax rate.

 

Brookfield TIF Districts

There are 4 TIF districts in Brookfield: 8 corners, Downtown/ Grand Boulevard, Ogden Avenue, and Congress Park. 

8 Corners

 

Downtown/ Grand Boulevard

 

Ogden Avenue

 

Congress Park

 

 

TIF Programs

Façade and Property Improvement Program 

Program Overview PDF  |  Application Form

The Property Improvement Program (PIP) is intended to promote reinvestment in the Village. is a 50/50 reimbursement grant that can assist businesses within a TIF district rehabilitate/restore the visible exterior façade or landscaping of existing commercial buildings in a TIF district. This is a 50/50 grant reimbursement program, so the Village will reimburse the applicant for 50% of the total improvement costs (must be between $1,000 and $20,00).

Examples of Improvements NOT Eligible for Reimbursement

• New construction (any alteration or enlargement of a building that requires removal of more than 40% of the total linear feet of the existing exterior walls of the building measured around the exterior perimeter of the building.)
• Interior finishes, fixtures, or remodeling.
• Re-roofing or repair of NON-visible roof surfaces.
• Routine property maintenance (washing, cleaning, replacing part you would have to normally)

 

Signage Modernization Program

Overview PDF & Application

The fundamental goals of the Signage Modernization Program are to promote business retention, enhance the appearance of the Village, and address deterioration and obsolescence within the districts. Program applicants may receive a municipal subsidy in connection with the construction of high-quality signage. Program participants are eligible to receive a 0% interest loan upon the disbursement of the loan to finance the eligible sign improvement project or upon the completion of the project, if the project is not financed.