NASHVILLE, Tenn. - The Tennessee Comptroller's Office has been wanting to clarify how cities can use a specific type of tax incentive.
It follows a NewsChannel 5 investigation into Metro's use of Tax Increment Financing (TIF).
Our investigation showed that the majority of property taxes from many buildings downtown actually go to MDHA-Metro's developement agency, instead of going to the city's general fund to help pay for city services like schools and public safety. MDHA then uses the tax money to help fund more development.
For example, the AT&T Tower, also called the Batman Building, generated $1.7 million in property taxes last year.
But even though all the building's TIF loans were paid off in 2002, only $49,000 went into Metro's general fund. The rest went to MDHA.
That is a practice that Betsy Knotts, with the Comptroller's office, said was a concern.
Friday the Tennessee Comptroller's Office announced that it will host a luncheon on October 13 to discuss TIF and explain the impact of a law passed in 2012 that regulates TIF.
Public officials from across the state have been invited to attend.
They must RSVP to the Comptroller's office by October 6.
