Cleveland City Council is "proactively" revising Mayor Justin Bibb's proposal to use revenue from rising property values to spur private investment Downtown and revitalize the city's waterfronts, according to a City Council media release.
Council wants to ensure half the funds raised are spent in city neighborhoods, rather than Downtown, Council President Blaine Griffin said Monday in the release.
"To say this legislation could be a game-changer for our city would be an understatement," Griffin said in the statement. "As Council President, I will ensure every neighborhood in Cleveland reaps the benefits of this transformational revenue."
In January, Mayor Justin Bibb brought forth proposed legislation to create a "Shore-to-Core-to-Shore" Tax Increment Finance (TIF) district to use tax incentives to fund plans for Downtown revitalization and other improvements.
The proposed "Shore-to-Core-to-Shore" TIF district would funnel a portion of rising property taxes from much of Downtown and the near West Side to fund Bibb’s sweeping plan to develop river and lakefront projects, including a pedestrian land bridge and scenic lakefront overlooks.
Bibb's proposal would also allow the city to use TIF money anywhere in the city. That means a Downtown TIF project could potentially fund a park in the Central neighborhood, according to Cleveland’s Development Chief Jeff Epstein.
A TIF is an economic development tool typically used as a development incentive that allows increases in property taxes to be diverted to specific projects throughout the city.
The city estimates the TIF district will generate between $3.5 to $7.5 billion in new revenue over the next 42 years.
Those funds should be used to address "pressing needs," including street repairs, utility infrastructure, recreation centers, parks and more, Griffin said.
Any plan that does not include the neighborhoods is a "non-starter," said Ward 10 Councilmember Anthony Hairston, who chairs the development, planning and sustainability committee, during a meeting Monday.
"The Administration looks forward to continuing the TIF district discussion once City Council hears the legislation," a spokesperson for Bibb said in a written statement on Monday.
Bibb's proposed legislation has not yet been heard by council, which won't take the legislation up until after budget hearings — scheduled for after Presidents' Day.
Griffin's statement asks that all residents, particularly those living in middle, edge and distressed neighborhoods, attend the meetings and give feedback.
