Get all TIF facts

The Gazette Editorial Board

----

Time and again, Coralville's aggressive use of tax increment financing has raised the question of whether the city's tactics fit the intent of the law.

It's an issue legislators should consider, using Johnson County as a case study.

The $759 million in taxable property included in city TIF increment there carry hidden costs to adjacent areas, according to a report released last month by Peter Fisher of Iowa Fiscal Partnership.

Fisher estimates Coralville's Coral Ridge Mall/Highway 6 TIF area costs Iowa City property owners an average $80 in extra property taxes each year.

Next month at the Coralville Public Library, Sen. Joe Bolkcom, D-Iowa City, chair of the Senate Ways and Means Committee, and Rep. Tom Sand, R-Wapello, chair of the House Ways and Means Committee, will hold a panel discussion on Fisher's report and his call for statewide reform.

We're glad to see the panel will include representatives from Iowa City, North Liberty, Johnson County government, Clear Creek Amana and Iowa City school districts - all who are directly or indirectly affected by the TIFs affecting their tax base.

In considering reform, legislators must balance the need for effective economic development tools with the interests of interconnected public bodies.

Before deciding what, if anything, to do about TIFs, they must first hear all the facts.