FAQ

What does City Prop 1 do?

Prop 1 gives voters the power to approve the DDA’s request to extend TIF97 aka Moving Downtown Forward aka “Infrastructure First” Plan.

What are the financial implications if TIF97 is extended?

The impact would be substantial. While TIF97 has diverted $25 million in city tax revenue over the past 29 years, projections show an extension could divert $88 million over the next 20 years. This could lead to higher property taxes or reduced city services.

How would an extended TIF97 affect other local institutions?

Other local authorities would also lose significant funding. For example, Northwestern Michigan College (NMC) could lose an estimated additional $_____ million over the next 20 years.

What happens when TIF97 ends as scheduled?

The diverted tax revenue would return to the city's general fund and other taxing authorities. This would allow for more flexible spending on citywide priorities and fulfill the original 30-year investment promise.

Will Prop 1 affect brownfield projects?

Yes, it will require voter approval for brownfield TIFs as well. Given that these projects can divert millions in tax dollars, it's appropriate for taxpayers to have a say.

Who is opposing Prop 1?

These propositions are a grassroots effort by Traverse City residents. Over 1,400 registered voters signed our petitions, including former mayors, city commissioners, and DDA board members. We're working to make the city's use of TIF programs accountable to all residents.