Harbor Point Project Tax Break Controversy Continues
Updated: Friday, August 2 2013, 10:11 PM EDT
City leaders will soon decide whether to grant another huge tax break to a major development that could wind up costing taxpayers several millions of dollars.
Since developers rolled out plans to build $1.8 billion in office space, apartments, and even a hotel on the piece of land known as Harbor Point, controversy has centered on their request that taxpayers foot part of the bill. The requested package of tax breaks could save the developers upwards of $200 million dollars.
The tax break would come in the form of Tax Increment Funding - meaning the city would essentially take out a loan to help fund the project then use the developer's property taxes to pay down the load.
Councilman Carl Stokes says he has serious concerns about using TIFs to steer development. "I think those that are very risky, the ones people are saying to us 'this is so risky, I can only do it if the city gives me money.' that doesn't make a lot of sense... I don't think we should do those deals," Stokes said.
City leaders are set to vote on the tax break next month.