Exploring Management Practice Variation in Tax Increment Financing Districts
Tax increment financing (TIF) has become a mainstay of local economic development efforts. A significant body of research has investigated the effectiveness of TIF efforts as economic development tools. Such research has concentrated on measuring economic impact of TIF projects, with widely varied results. There has been little examination of the internal differences in TIF project planning and management that affect TIF district performance. This qualitative study builds a theory of TIF performance by examining differences in management practices across TIF districts in the Dallas/Fort Worth Metroplex. Archival analysis is used to determine what efforts cities take to assess risk (preimplementation) and to measure ongoing TIF project performance (postimplementation). Cities are then classified, and descriptive analysis documents the observed differences.
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