How is a TAD created?
The Georgia Redevelopment Powers Law was enacted in 1985 to give additional powers to local municipalities in order to facilitate the redevelopment of blighted or economically depressed areas. One of the powers granted to local governments in this law was to issue tax allocation bonds to finance infrastructure and other redevelopment costs within a tax allocation district. In 1986 the City of Atlanta held a referendum on TADs that resulted in the City’s ability to establish districts. In order for an area to be designated a TAD, the government must verify that the area is in need of redevelopment. However, the area is not required to be blighted, which is a requirement in many states. These findings are reported in a Redevelopment Plan, which demonstrates why the area needs to be redeveloped and how the municipality plans to revitalize the area. The Plan provides the redevelopment agency with the powers to improve dilapidated facilities and to use tax increment financing to achieve the
The Georgia Redevelopment Powers Law was enacted in 1985 to give additional powers to local municipalities in order to facilitate the redevelopment of blighted or economically depressed areas. One of the powers that was granted to local governments in this law was to issue tax allocation bonds to finance infrastructure and other redevelopment costs within a tax allocation district. In order for an area to be designated a TAD, the government must verify that the area is need of redevelopment. These findings are reported in a Redevelopment Plan, which demonstrates why the area needs to be redeveloped and how the municipality plans to revitalize the area. The plan provides the redevelopment agency with the powers to improve dilapidated facilities and to use tax increment financing to achieve the goals of the redevelopment plan. What is the difference between a Tax Allocation District and Tax Increment Financing? The TAD is the geographic area in which TIF can be used. These terms are used
