Joliet takes closer look at its tax financing zones for development

Joliet has hired a consultant to examine what the city is getting out of its tax increment financing districts.

TIF districts provide special tax incentives to encourage economic development in areas that meet a legal definition of being blighted.

Joliet has six TIF districts, including a site at Interstates 55 and 80, where the Rock Run Collection development is underway, including a new Hollywood Casino Joliet under construction.

The Rock Run Collection site will not be included in the TIF study, Economic Development Director Paulina Martinez told a City Council committee last month.

TIF districts that will be included are:

• Two in the downtown area

• One along Cass Street

• One in the area around Saint Joseph Medical Center

• One in the area of the former Silver Cross Hospital campus

The City Council on Tuesday approved a contract with Johnson Research Group to review the city TIF districts. Johnson will be paid $72,615 from TIF district funds.

TIF districts set aside property tax revenue created when property is improved and tax assessments go up. The money that otherwise would go to local taxing bodies instead is used to incentivize economic development.

Martinez told the City Council Land Use and Economic Development Committee on May 29 that the Johnson study, among other things, will explore whether the city’s TIF program can be used to attract more development.