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6. Convene a JRB. Members of the Board are appointed by the school district,
county, technical college district and the municipality. If more than one school
district, more than one union high school district, more than one elementary
school district, or more than one technical college district has the power to
levy taxes on the property within the tax incremental district, the unit in which is located property of the TID
that has the greatest value shall choose that representative to the JRB. (If located in a union high school
district, the school district representative for the board shall be held by 2 representatives, each of whom has
one-half of a vote.) There is also a public member appointed by the others. The Board must hold its first
meeting within 14 days of the first hearing notice publication, but before the public hearing. The chairman and
public member should be selected by the others at the first meeting.
A standing joint review board may be created and remain in existence for the
entire time that any tax incremental district exists in the municipality.
7. Hold a public hearing. The Planning Commission conducts the hearing.
All interested parties must be given a reasonable opportunity to express
their views on the plan and the proposed boundaries. After due
consideration the Planning Commission adopts the plan and designates
recommended boundaries. These are both submitted to the local
legislative body for approval.
8. Approve the project plan. The project plan must be approved by the
legislative body anytime prior to or when the creation resolution is adopted.
The approval is by resolution that contains findings that the plan is feasible
and in conformity with the municipality’s master plan, if it has one.
9. Adopt the creation resolution. The legislative body may adopt the
creation resolution no sooner than 14 days after the public hearing has
been held. It must be adopted on or before September 30 for the
district to be effective the previous January 1st. If it is adopted after
September 30 of any given year, the district will be effective the next
subsequent January 1st. See the table on following page.
The creation resolution must contain the following information:
a) Describes the boundaries of the district. They do not need to be the same as those recommended by
the Planning Commission, but should include only whole parcels as they appear on the assessment roll.
The TID must be a contiguous geographic area and may not have any parcels that are connected to the
rest of the district only by a river, street or other right-of-way. No more than 25% of the area may be
vacant property, except in industrial districts or mixed-use. The boundaries of the district may not include
any annexed territory that was not within the boundaries of the municipality as of January 1, 2006, unless:
(1) At least 3 years have elapsed since the territory was annexed; or (2) the municipality enters into a
cooperative plan boundary agreement with the town from which the territory was annexed; or (3) the
municipality and town enter into another kind of agreement relating to the annexation whereby they agree
to pay the town an amount equal to the property taxes levied on the territory by the town at the time of
annexation for each of the next five years. These must be the same boundaries as adopted by the JRB.
b) Establishes the district’s creation date. This date is dependent on the date the resolution is adopted.
The table below shows how to determine the creation date.
Date Resolution Adopted
Date of Creation
Oct. 1, 2012 - Sept. 30, 2013
Jan. 1, 2013
Oct. 1, 2013 - Sept. 30, 2014
Jan. 1, 2014
Oct. 1, 2014 - Sept. 30, 2015
Jan. 1, 2015
c) Establishes the formal name of the district. The first district in a municipality is called Tax Incremental
District Number One, City/Village of _________________. Each subsequent district is given the next
Convene JRB
66.1105(4m)(a)
Hold Public Hearing for TID
Project Plan and Boundaries
66.1105(4)(a), (e) and (f)
f)
Adopt Project Plan
66.1105(4)(g)
Adopt TID Boundaries by
Resolution 66.1105(4)(gm)
and 66.1105(10)(c)
Standing JRB
66.1105(3)(g)
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consecutive number. This number remains with the district even after it is terminated or dissolved.
d) Contains findings that:
i) Not less than 50% of the real property meets at least one of four criteria. It must be a blighted area;
or be in need of rehabilitation or conservation; or be suitable and zoned for industrial sites; or suitable
for mixed-use development.
ii) The improvement planned will likely enhance significantly, the value of most of the other property in
the district. The specific parcels meeting these criteria do not need to be identified.
iii) The project costs are consistent with the reason the district is created. For example, projects planned
in a district created to eliminate blight must be aimed at accomplishing that goal.
iv) The equalized value of taxable property of the district plus the value increment of all existing districts
does not exceed 12 percent of the total equalized value of taxable property within the municipality.
(Effective October 1, 2010, any parcel in a newly created TID that is located in an existing district
shall be excluded when determining compliance with the 12 percent limit.)
e) Confirms that any property within the district found suitable for industrial sites and zoned for that purpose,
will remain under that zoning for the TID’s life (not required for blight or rehab/conservation districts).
10. JRB approves the proposal. It reviews the public record, planning
documents and the resolution passed by the local legislative body under
paragraph (4)(gm). The municipality is required to provide the JRB with
information and projections listed in paragraph 66.1105(4)(i).
The district cannot be created unless the Board approves the creation resolution. Approval is by majority vote
within 30 days after receiving the creation resolution. The JRB must submit its decision to the municipality
within 7 days of making it. The JRB must contain a positive assertion that, in its judgment, the development
described would not occur without the creation of the TID.
The Board’s decision to approve or deny the proposal must be based on three criteria. First is whether the
expected development would occur without using TIF; second is whether the economic benefits are sufficient
to compensate for the cost of improvements; and third whether the benefits outweigh the anticipated tax
increments to be paid by property owners in overlying districts.
The Board must issue a written explanation to the municipality, if it rejects the proposal.
11. After the district has been approved by the municipality and the JRB, the
municipal clerk must submit an application to DOR for base value
certification. DOR provides forms for this purpose. All forms and other
required information must be submitted to DOR by October 31st of the
creation year (as defined in sub. (4)(gm)2).
12. The municipal assessor must identify parcels within a TIF district
upon the assessment roll, with the name of the district. The clerk makes
a similar notation in the tax roll.
Separate Hearings Method
This method requires holding two separate hearings, one for the project plan and another for the district
boundaries and creation. Requirements for the boundary public hearing appear in the TIF law before those for
the project plan hearing, but the law does not specifically state which one must be held first.
These instructions assume the project plan hearing will be first. The whole separate hearing process takes less
time when done in this order. That’s because the 14-day waiting period between the project plan hearing and
creation resolution adoption can be taking place while preparing for and holding the boundary hearing.
JRB Approves
66.1105(4m), (b) and (c)
Submit Base Value
Application 66.1105(5), (b)
Identify TID Parcels on
Assessment Roll and on Tax
Roll 66.1105(5)(f)
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The following steps are required to implement the law’s provisions under the separate hearing scenario, with the
project plan hearing first.
1. A proposed project plan is prepared by the Planning Commission. All the
items listed below must be included:
a) A listing of the kind, number and location of the proposed public works or
improvements within the district. Indicating, if any, which projects
included are within the one-half mile radius of the TID boundary.
b) An economic feasibility study.
c) A detailed list of estimated project costs.
d) A description of the financing methods and the time when the costs or obligations are to be incurred.
e) A map showing existing uses and conditions of real property in the district.
f) A map showing proposed improvements and uses.
g) Proposed changes in zoning ordinances, master plan (if any), map, building codes and municipal
ordinance.
h) A list of estimated nonproject costs.
i) A statement of the proposed method for relocation of any displaced persons.
j) Indication as to how creation of the district promotes orderly development in the municipality.
k) A signed attorney’s opinion advising whether the project plan is complete and complies with the law.
The Planning Commission prepares the project plan.
2. A public hearing notice is prepared for publication. It indicates when the
project plan hearing will be held. A statement advising that a copy of the plan
will be provided on request must be included.
3. Specific properties in the district that are blighted or in need of
rehabilitation or conservation work are identified. Owners of these
properties shall be notified of the finding and hearing date, at least 15 days
before the hearing is to be held (not required for industrial districts).
4. A copy of the hearing notice must be sent by 1st class mail to all
governmental entities having power to levy taxes on property located
within the proposed TID boundaries. The notice is sent to the school
board of any school district and the Chief Executive Officer of all other
taxing entities. The notice must be sent by 1st Class mail before the
hearing notice is published.
5. The project plan hearing notice is published as a Class 2 notice under
Wis. Stats. Chapter 985. The notice should contain the public hearing date,
information as to where the proposed district is located and a statement
indicating a copy of the project plan will be provided on request. It could also
contain a brief description or a map of the area proposed to be included in the district. If it is anticipated that
the proposed project plan’s project costs include cash grants made by the municipality to owners, lessees, or
developers of land that is located within the tax incremental district, the hearing notice should contain a
statement to that effect. It is important that the hearing notice is published properly. DOR cannot certify the
district without a timely public hearing notice publication. See requirements on page 3.
6. The public hearing is held on the date indicated in the notice. The
Planning Commission conducts the hearing. All interested parties should
be given a reasonable opportunity to express their views. This hearing
must be held at least 7 days after the second hearing notice publication
and a minimum of 14 days before the legislative body adopts a creation
resolution for the district.
Prepare Proposed Project
Plan 66.1105(4)(f)
Prepare Notice of Public
Hearing 66.1105(4)(e)
Notify Certain Property
Owners 66.1105(4)(c)
Send Notice by 1
st
Class Mail to
Local Governmental Entities
66.1105(4)(e)
Publish Class 2 Notice
66.1105(4)(e) and (5)(d)
Hold Public Hearing for
Proposed TID Project Plan
66.1105(4)(e)
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7. The project plan is adopted and approved. The Planning Commission
adopts the project plan and submits it to the legislative body for
approval. The plan must be approved by the legislative body before or
concurrent to adoption of the creation resolution. Approval must be by
resolution which contains findings that the plan is feasible and in
conformity with the municipality’s master plan, if it has one.
8. The Planning Commission prepares a second hearing notice for
publication. This notice indicates when the public hearing will be held to
consider the district boundaries and creation. It must be published as a
Class 2 notice, again being careful to meet all Class 2 notice
requirements. A copy of the notice must be sent prior to publication to
the same taxing entities that received a project plan hearing notice. This
notice must also be sent by 1st Class mail. It could include a brief description or map of the area to be
included.
9. The JRB meeting notice is posted as a Class 1 notice under Wis. Stats.
Chapter 985. This notice should contain the meeting date, time and location.
10. A JRB must be convened. Members of the Board are appointed by the
school district, county, technical college district and the municipality. (If
located in a union high school district, the school district representative for the
board shall be held by 2 representatives, each of whom has one-half of a
vote.) There is also a public member appointed by the others. The Board
must hold its first meeting within 14 days of the first hearing notice publication, but before the public hearing.
The chairman and public member should be selected by the others at the first meeting. Note: When the
project plan public hearing is held first, the JRB does not have to be convened until afterward. It is not
required by statute, but as a courtesy, reference to the JRB could be included in the cover letter sent to other
taxing entities with the project plan notice.
11. The Planning Commission holds the public hearing regarding district
boundaries and creation on the date indicated in the hearing notice. All
interested parties are given a reasonable opportunity to express their
views on the proposal. After the hearing the Planning Commission
designates the district boundaries it recommends and submits its
recommendation to the local legislative body.
12. The local legislative body adopts a resolution creating the TIF
district, at least 14 days after the project plan hearing was held. The
creation resolution must contain the same information and findings that
are described in items (a) through (e) in the combined hearing method,
pages 5 - 6.
13. Likewise the municipality must provide the JRB with the same
information and the JRB must take action based on the same criteria and
time schedule described in the combined hearing method.
14. The local clerk must submit a request for base value certification along
with all required documents and forms to DOR by October 31st of the
creation year. If the resolution is adopted during the period October 1, 2012
through September 30, 2013, the application is due to DOR by October 31,
2013.
15. The municipal assessor must identify parcels within a TIF district
upon the assessment roll, with the name of the district. The clerk makes
a similar notation in the tax roll.
Plan Adopted by Plan
Commission, Approved by the
Municipality’s Council
66.1105(4)(f) and (4)(g)
Prepare and Publish Hearing
Notice Notify Local Government
Entities 66.1105(4)(a)
Convene JRB
66.1105(4)(a)
Hold Public Hearing for
Proposed TID Boundaries and
Creation 66.1105(4)(a)
Approve TID Creation by
Resolution 66.1105(4)(gm)
JRB Approves
66.1105(4m)(b) and (c)
Apply for Base Value
66.1105(5)(b)
Identify TID Parcels on
Assessment Roll and on Tax
Roll 66.1105(5)(f)
Publish Class 1 Notice
66.1105(4m)(e)
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MAY THE BOUNDARIES AND PROJECT PLAN BE AMENDED?
A municipality may modify a district’s boundaries not more than 4 times during
the district’s existence by subtracting or adding territory to the district in a way that
does not remove contiguity from the district and is served by public works or
improvements that were created as part of the district’s project plan, provided that
the equalized value of taxable property of the amended district plus the value increment of all existing districts
does not exceed 12% of the total equalized value of taxable property within the municipality (addition
amendments only).
This modification is done by amending the Project Plan. A single amendment to a project plan that both adds and
subtracts territory shall be counted under this subdivision as one amendment of a project plan. Project plans may
be amended to change or add projects at any time or to allocate increment from one TID to another. Procedures
for amending a plan are described in s. 66.1105(4)(h)1.
Project plan amendments are prepared by the Planning Commission. A public
hearing must be held, taxing entities notified, a Class 2 notice published and a
JRB convened. The amendment must be adopted by the Planning Commission
and approved by the local legislative body and JRB. The JRB’s approval must
contain a positive assertion that, in its judgment, the development described in the
documents that the board has reviewed would not occur without the amendment
of a tax increment district.
Basically these actions must be done on the same time schedule as when the district was created. These
requirements apply to all types of amendments.
1. A public hearing notice is prepared for publication and a copy is sent to each taxing entity by 1st Class mail
before it is published.
2. A Class 1 notice under Wis. Stat Chapter 985 is published 5 days prior to any JRB meeting. While a Class 2
notice under Wis. Stat. Chapter 985, is published twice, i.e., once each week in consecutive weeks with the
last publication at least 7 days before the public hearing on the proposed project plan, boundaries and
amendment of the district . (Example: 1st notice posted 6-3-13, 2nd notice posted 6-10-13, earliest public
hearing held 6-17-13.) It must include the purpose and cost of the amendment and advise that a copy will be
provided on request.
3. The JRB must meet within 14 days of the hearing notice publication, but
before the public hearing. The chairman and public member are chosen at
this meeting. Note: a Class 1 notice under Wis. Stat. Chapter 985, is
published 5 days prior to JRB meeting.
4. After the hearing, the Planning Commission adopts a resolution approving the
amendment and submits it to the local legislative body for approval.
5. Council approval must contain findings that the amendment is feasible
and in conformity with the master plan, if the municipality has one.
There is no required waiting period between the public hearing and
approval by the legislative body.
6. The JRB must also approve the amendment (by majority vote) before it
can take effect. This takes place within 30 days after receiving the
amendment and supporting information. The JRB notifies the municipality of
its decision within 7 days of making it. It must provide a written explanation if
it rejects the proposal.
7. Within 60 days after final approval of the amendment, the municipal clerk
must give DOR written notice that the project plan or territory has been
amended. Also, copies of the amendment; hearing notice; letter to other
Modifying Boundaries
66.1105(4)(h)2
Prepare Notice of Public
c
Hearing and JRB meeting
66.1105(4)(h)2
and (4m)(e)
Convene JRB
66.1105(4m)(a)
Plan Commission Adopts
Resolution 66.1105(4)(h)
Local Legislature Approves TID
Project Plan Amendment
66.1105(4)(h)
JRB Approves
66.1105(4m)(b) and (c)
Notice Sent to DOR
66.1105(5)(cm)
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taxing entities; affidavit of hearing notice publication; and resolutions adopted by the Planning Commission,
legislative body and JRB should be sent to DOR.
8. DOR will review this information to determine whether or not the base
value of the district must be redetermined. This is done if the
amendment adds or subtracts territory. If the boundaries are modified,
the value of the new area is determined and added to the original base
value.
9. The local clerk must submit a request for base value redetermination along
with all required documents and forms to DOR by October 31st of the
amendment year. If the resolution is adopted during the period October 1,
2012 through September 30, 2013, the application is due to DOR by October
31, 2013.
Also, each year between April 15 and May 15, the municipal clerk must notify DOR of any amendment
adopted during the preceding year. This form (PE-209 - Certification of Continued TID Value Increment) is
filed electronically and explained in the subsequent year letter sent yearly to the municipal clerks.
HOW IS THE BASE VALUE DETERMINED?
The Tax Increment Law specifies that when a tax incremental district is created,
its base value must be determined as soon as reasonably possible. The
municipal clerk applies in writing to DOR on prescribed forms. The clerk must fill
out the forms available on the internet at www.revenue.wi.gov/slf/tif.html and
submit them with the base certification application by October 31st in the year the district is created. Instructions
for completing them are printed on each form.
1. The following items must be included in the base application:
a. Equalized Value Determination Request Form
b. Legal Requirements Form
c. TID Parcel Lists
•
Assessable Property
•
State Assessed Manufacturing Property
•
Tax Exempt, Municipal Owned Property
d. Base Year Personal Property List
•
Assessable Personal Property
•
State Assessed Manufacturing Personal Property
e. Assessor’s Final Report and Special District Supplement
f. Statement of Assessment
g. A map of the district with parcel numbers listed. The numbers should correspond to those on the parcel
lists (two hard copies or one PDF file).
h. A boundary description - must describe outer boundaries (metes and bounds), not just a listing of
property included. This should be the same as approved by the municipality and the JRB.
i. Proof that other taxing entities were sent a hearing notice prior to publication - i.e., copies of cover letter
or affidavit by clerk.
j. A copy of letter sent to owners of blighted or rehab. property (not required for industrial).
k. Affidavit of Public Hearing Notice Publication from newspaper (verifying both publications).
l. A copy of the adopted project plan and planning commission approval resolution.
m. A copy of the creation resolution.
TID Base Value Redetermined,
if Necessary 66.1105(5)(c) and
(5)(ce)
Apply for Redetermined
Base Value
Clerk Makes Application
to DOR 66.1105(5)(b)
Municipal Owned Property
Value Determined
66.1105(4)(k), 66.1105(5)(bm)
Documents you may be interested
Documents you may be interested
