The city of Blue Springs has terminated tax increment financing within the Fall Creek redevelopment area, located on the southwest portion of Missouri 7 near U.S. 40, marking the first termination of a TIF in Blue Springs in over 17 years.
TIF programs reallocate funds from property taxes to finance developments in a specific area, and raise money through increased property values.
The goal of the original TIF agreement, passed in 1998, was $3.9 million, though the redevelopment area only raised $2.6 million.
City Administration Eric Johnson confirmed that while the city is celebrating the TIF coming to a close, it did fall short of the original vision for the Fall Creek center.
“The original TIF plan allowed for the developer to receive more funds than what they have received,” Johnson said. “Had they been able to execute and fulfill the original vision of the plan, they would have received the full TIF reimbursement, but they did not.”
The original intent for the development center was to receive a B&B Theatre installation, but that didn’t come to fruition. Johnson said there have been conversations with Miller Theatre to build on the premises but nothing has come of the discussion as of yet.
Even though the area didn’t receive the full benefits of the TIF, Councilman Ron Fowler, District 3, said he felt the property value is worth “a whole lot more,” now and the tax districts involved will benefit.
Prior to the TIF implementation, the Fall Creek redevelopment center was an empty lot, according to the council.
With the TIF ending, future developers interested in the center will have fewer restrictions moving forward, according to Assistant City Administrator Christine Cates. The area still has a community improvement district sales tax to help generate funds for future developments, which the city still hopes to see.