Tuesday, August 18, 2009

Who pays TIF?

Another letter to the Fort Worth Star-Telegram daily newspaper that you can't miss. Ms. Walker, a former JPS board member, makes many excellent points.

Enough is enough

Thank you for the insightful comments in the Aug. 2 editorial about the Trinity Uptown plan, particularly as regards the use of tax increment financing as a vehicle to encourage public-private development.

While some projects may have been successful, TIFs have rewarded large corporations and developers, ultimately placing a heavier tax burden on ordinary taxpayers. As you pointed out, 80 percent of the new taxes collected in the Trinity Uptown TIF will go directly to the TIF, not to the general revenue fund of the taxing entities.

There are TIFs in Tarrant County in which some taxing entities have pledged 100 percent of new tax revenue to the TIF. This leaves the burden of maintaining the infrastructure and the public safety needs of the TIF area directly on the taxpaying public.

The Tarrant County Hospital District is a taxing entity that is forced to participate in TIFs. Other public hospital districts in the state have requested, and received, legislative exemption from forced participation. A public hospital serves the neediest and poorest of the community — that is its only mission. Public hospitals are in the healthcare business, not the development business. In 2008, the Tarrant County Hospital District paid the various TIFs in which it participates more than $7 million. Incrementally, over time, the payout will be astronomical and detrimental to the hospital district and to the people whom the district is pledged to serve.

Enough is enough. Our elected officials must pursue legislative exemption from any further participation in TIFs. It is unconscionable to do otherwise.

— Martha B. Walker, former JPS Health Network board member, Arlington

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