Home Local News New South Madison TIF District would provide $115 million in financial support

New South Madison TIF District would provide $115 million in financial support


Madison is looking to create a tax incremental financing (TIF) district that could provide an estimated $115 million in financial support for its South Side, the City of Madison announced on Tuesday.

The TIF district, called TID 51, is bounded by Fish Hatchery Road, Wingra Creek, John Nolen Drive and the Beltline Highway. TIF is an economic development financing tool that funds public works and other community investments through new property taxes generated by development growth.

“The creation of TID 51 will allow us to make significant, needed investments in South Madison, particularly in affordable housing and small business support,” said Mayor Satya Rhodes-Conway in a press release. “The TID 51 plan is guided by what we heard over several years of deep engagement with the South Madison community, and the projects it will fund will be shaped by community engagement as well.”

The South Madison Plan adopted by the Common Council on January 4, 2022, recommended the creation of a TID, according to a press release from the City, and during this plan creation process, South Madison residents voiced the need to combat displacement, increase home ownership, and to focus on maximizing economic opportunities for the area.

In addition to $50 million of public works projects, the proposed TID 51 plan allocates $22 million for affordable housing; $15 million for Community Development Authority (CDA) revitalization projects; and $19.9 million for economic and community development assistance, of which $6 million is allocated for small business.

The City of Madison will introduce the proposed TID 51 plan to the City’s Tax Increment Finance Joint Review Board (JRB) this Friday, Jan. 27.