TIF districts bring business, save taxpayers

Pocatello city leaders say TIF – tax increment financing – districts are bringing new businesses to the city and saving taxpayers money in the process.

TIF districts work by collecting on new revenue generated when businesses located within a TIF district make improvements to their facility. The extra revenue goes to reimburse new businesses that opt to relocate to Pocatello.

“We will help pay for their sewer and water and the street going to and from their location,” said Pocatello Mayor Brian Blad.

The city doesn’t reimburse businesses for the cost of building a new facility.

Currently, the city has four active TIF districts. The North Yellowstone District, which includes the Pocatello Square shopping center, is now valued at $63 million – up from $3 million when the district was created.

Blad said that each time a TIF district closes, the city’s tax levy decreases.