Plain English Breakdown
The official source material does not provide details on how the 10% share is divided among different groups or what happens if there isn't enough excess tax revenue in an allocation area.
Bill to Share Property Tax Money
This bill requires cities to allocate a portion of extra property tax revenue from specific areas to schools, libraries, and local government groups providing public safety.
What This Bill Does
- Requires cities to set aside 10% of the excess property taxes collected in an allocation area.
- The extra money must be shared with school districts, public libraries, and other local government entities that provide police services, fire protection, emergency medical service, or public safety.
Who It Names or Affects
- School corporations
- Public libraries
- Local governments providing police services
- Local governments providing fire protection and other emergency services
Terms To Know
- Tax increment financing
- A method where a city uses the increase in property tax revenue from new development to fund improvements.
- Allocation area
- A specific part of a city or town where extra property taxes are collected due to new development.
Limits and Unknowns
- The bill does not specify how the 10% share is divided among different groups.
- It's unclear what happens if there isn't enough excess tax revenue in an allocation area to cover the required distribution.