Many cities and towns cannot use TIF funds to aid struggling businesses.
Many cities and towns cannot use TIF funds to aid struggling businesses.
Many cities and towns across Illinois may not be able to use tax increment financing funds to aid struggling businesses.
While local authorities are able to keep utilities and city services running for their citizens, they learned that TIF districts, pillow taxes and revolving loan programs cannot be utilized as emergency funds, according to the Daily Chronicle.
“We’re looking at other ways to help small businesses and the residents,” Oglesby Mayor Dom Rivara told the Daily Chronicle. “Hopefully, we can get it done ahead of the curve.”
Meanwhile, Peru Mayor Scott Harl started a relief fund with $5,000 out of his own pocket. As of March 27, the fund has raised $12,000. But the money is running out of that fund quickly.
“It will definitely go fast,” Harl told the Daily Chronicle. “It’s the right thing to do for our residents.”
State Rep. Lance Yednock (D-Ottawa) and state Sen. Sue Rezin (R-Morris) said they are looking into ways of assisting cash-strapped businesses.
“There are a lot of businesses hurting, and they’ve been asking what relief is coming through,” Yednock told the Daily Chronicle.
Rezin indicated she is looking to help loosen the requirements on relief funds such as TIF, but urged businesses to apply for grants and small business loans.
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