The Tax Increment Financing District is the method that the city will use to issue bonds to pay for its share of the Packery Channel project at no cost or risk to the City or to Taxpayers. What seems impossible, only works because the Packery Channel project will increase the value of nearby commercial property. The city draws a line around all the commercially zoned property that it believes will increase in value because of Packery Channel. After Packery Channel is opened and the property in the district is developed, property values will rise, which will also increase the taxes paid on this property. This increase, or tax increment is the only money that can be used to pay for the bonds.
Law prohibits the city from using other funds, raising tax rates or other taxes for the bonds.
This means that the bondholders take all the risk, because they will not be paid in full if there is not enough money raised. After talking to Wayne Lindstad, Trombone player, unofficial leader and charter band member, it sounds like a whole bunch of these people showing up are regular or sometimes members of the band. The composition of band members playing last week at Ballyhoos might be a little different from the players that show up at the Band Shell at Robert s Point for the Heinz 57 celebration. Big Band, Dixieland Jazz, a touch of Country Western, a pinch of Latin, a few Polkas, and a waltz or two are sure to bring the dancers out. The rest is history.