TIF Districts in Mount Prospect

The Village has two tax increment financing districts: The Prospect and Main TIF, adopted in January 2017, and the South Mount Prospect TIF, adopted in May 2022.

TIF is a development tool local governments can utilize to make public improvements and attract new development to an area. Tax Increment Financing helps local governments attract private development and new businesses using local resources that do not depend upon an increase in taxes or the reduction of other services. This investment — public and private — means more revenue to help a community meet its other needs.

How TIF Works

When a TIF redevelopment project area (often called a TIF district) is created, the value of the property in the area is established as the “base” amount. The property taxes paid on this base amount continue to go to the various taxing bodies as they always had, with the amount of this revenue declining only if the base declines (something that the TIF is expected to keep from happening) or the tax rate goes down. It is the growth of the value of the property over the base that generates the tax increment. This increment is collected into a Special Tax Increment Allocation Fund for use by the municipality to make additional investments in the TIF project area. This reinvestment generates additional growth in property value, which results in even more revenue growth for reinvestment.

A tax increment is the difference between the amount of property tax revenue generated before TIF district designation and the amount of property tax revenue generated after designation. Establishment of a TIF does not reduce property tax revenues available to overlapping taxing bodies, as the property taxes collected on properties included in the TIF at the time of designation continue to be distributed to them in the same manner as they would if the TIF did not exist. Only the new property taxes generated by the incremental increase in the value of these properties after the TIF is established are available for investment in the TIF.
You can learn more about TIF in Illinois by visiting the Illinois Tax Increment Association website.

Joint Review Board

Annually the Joint Review Board (JRB) for each Tax Increment Financing District (TIF) must meet to discuss the annual report filed with the State of Illinois. A JRB is initially established when a new TIF is under consideration and the JRB makes a recommendation to the Village Board. The JRB is composed of certain taxing districts affected by the TIF, including representatives from school districts, county, township and the Village. The Village has two TIF Districts, therefore, there is the potential for two Joint Review Board meetings. Meeting history is detailed below. 

South Mount Prospect TIF Joint Review Board

March 22, 2022 Meeting | 3:00 PM

View the Agenda for the March 22, 2022  South Mount Prospect TIF JRB Meeting

View the South Mount Prospect TIF Redevelopment Project Area (RPA) Tax Increment Financing District Eligibility Report and Redevelopment Plan and Project 

Prospect and Main TIF Joint Review Board

November 9, 2023 | 11:00 AM

View the Notice and Agenda Packet for the November 9, 2023 Prospect & Main JRB Meeting
Minutes of this meeting are pending. 

November 10, 2022 | 3:00 PM

 View the Notice, Agenda Packet for the November 10, 2022 Prospect & Main JRB Meeting  - includes minutes to the November 21, 2021 JRB meeting. 

November 17, 2021 Meeting | 11:00 AM

View the Agenda for the November 17, 2021 JRB Meeting

View the Meeting Packet for the November 17, 2021 JRB Meeting

Agendas and minutes from previous JRB meetings (through 2016) are available in the TIF Document Portal.

TIF Quick Links

• Prospect and Main TIF [Adopted 2017] - Learn about the Village's downtown TIF district, including the boundary, facts about the Prospect & Main TIF and more.
• South Mount Prospect TIF [Adopted in May 2022] - Learn about the Village' s southside TIF district, including boundary, facts, and more. 
• Downtown Projects within the Prospect and Main TIF: Updates to construction projects within the TIF, as well as the measurement metrics associated with these developments.
• Downtown TIF No. 1 [Dissolved in 2016]
• TIF Document Portal  - Easily access dozens of documents related to TIF, including ordinances, agendas and minutes of Joint Review Board meetings, TIF studies and more. 

 Frequently Asked Questions

The Village has compiled a list of questions many people have regarding TIF, including how it works, the impacts TIF could have on other taxing bodies/residents, and the goals TIF can help achieve.

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