Ta-Ta, TIF

A reader sends in an interesting article from Crain's Chicago Business:

TIF districts in Chicago traditionally are like bunny rabbits. Turn around and a dozen more of them pop up. But now, eight of Chicago's 163 tax-increment financing districts are going away. 

Under a plan announced today by Mayor Rahm Emanuel, eight districts that no longer are needed would be dissolved.

One, the Lakeside/Clarendon district on the North Side, has failed to produce even one economic development project within seven years of its formation. [...] "If a TIF district has already accomplished its neighborhood improvement goals, or if a district has clearly failed to produce intended results, it should be eliminated, plain and simple," Mr. Emanuel said. 

The districts collectively have $8.9 million in property tax assets, known as increments. Those funds will be shifted to the Board of Education, the city and other tax-imposing government units.

As UU has said in previous posts, the Lakeside/Clarendon TIF (see overview here) was created in 2004 specifically to attract businesses and ensure that the never-occupied hospital at 4720 N Clarendon would become occupied.  It was recently acquired by Chicago Lakeshore Hospital to expand its current location at 4840 N Marine.

As UU reported, Chicago Lakeshore Hospital did not utilize TIF funds for this project and is a for-profit hospital.  It pays taxes and helps build Uptown's tax base.