This Fiscal Note is not an official copy and should not be quoted or cited.
This Fiscal Note is not an official copy and should not be quoted or cited.
Fiscal Note - SB 0950 - Prohibits use of TIF for redevelopment projects that are primarily retail enterprises
COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. NO. 3966-01
BILL NO. SB 950
SUBJECT: Tax: Real Property
TYPE: Original
DATE: March 16, 1998
FISCAL SUMMARY
ESTIMATED NET EFFECT ON STATE FUNDS Net Effect on All State Funds
FUND AFFECTED
FY 1999
FY 2000
FY 2001 None
$0
$0
$0
Total Estimated
$0
$0
$0
|
ESTIMATED NET EFFECT ON FEDERAL FUNDS | |||
| FUND AFFECTED | FY 1999 | FY 2000 | FY 2001 |
| None | $0 | $0 | $0 |
| Total Estimated
Net Effect on All Federal Funds |
$0 | $0 | $0 |
|
ESTIMATED NET EFFECT ON LOCAL FUNDS | |||
| FUND AFFECTED | FY 1999 | FY 2000 | FY 2001 |
| Local Government | $0 | $0 | $0 |
Numbers within parentheses: ( ) indicate costs or losses
This fiscal note contains 3 pages.
FISCAL ANALYSIS
ASSUMPTION
Officials of the Department of Economic Development and Department of Revenue stated the proposal would not affect their agencies, administratively.
Oversight assumes that the proposal's effects on political subdivisions would vary from potential project to potential project. There would be no measurable direct impact to state or local fund sources.
| FISCAL IMPACT - State Government | FY 1999 | FY 2000 | FY 2001 |
| (10 Mo.) | |||
| 0 | 0 | 0 | |
| FISCAL IMPACT - Local Government | FY 1999 | FY 2000 | FY 2001 |
| (10 Mo.) | |||
| 0 | 0 | 0 | |
FISCAL IMPACT - Small Business
Small businesses in redevelopment areas could be affected by this proposal.
DESCRIPTION
This act would prohibits use of tax increment financing (TIF) for some redevelopment areas which are primarily retail enterprises. Redevelopment projects for primarily retail enterprises could use TIF if the redevelopment area is part of a federal enterprise zone, has residents who meet certain low income and high unemployment criteria, or has been underutilized property for at least three years. Retail enterprises would be defined by standard industrial classifications 52 through 59.
This legislation is not federally mandated, would not duplicate any other program and would not require additional capital improvements or rental space. This legislation would not affect Total State Revenue.
SOURCES OF INFORMATION
Department of Economic Development
Department of Revenue
Jeanne Jarrett, CPA
Director
March 16, 1998