TIDDFACTS

SunCal's project is a 3,950-acre community proposed for the Westside of Albuquerque. This project will include homes, retail and commercial uses along with schools and hundreds of acres of open space.

It is proposed that SunCal's project will include 9 Tax Increment Development Districts (TIDDs).

The purpose of a TIDD is to promote economic development and sustainable communities.

TIDDs fund, through business and other taxes generated from SunCal specific geographic districts, construction of public improvements and infrastructure. After the improvements are built and new tax revenue is in place, then reimbursements are provided to SunCal. Only at the end and only if the new revenue is in place does SunCal get reimbursed for the money it spent to build the public infrastructure.

The TIDD process is very straightforward:

• First, the TIDD's geographic borders are set and the initial assessed value of all the land within the District is established.
• Second, SunCal pays for all the costs of public infrastructure, such as roads, bridges, sewer and water systems UPFRONT and out of pocket.
• Finally, TIDDs issue bonds based upon the new businesses and values generated from within the 9 Districts. The bond sale proceeds reimburse SunCal for the costs of the public infrastructure. The bonds are repaid from the new business taxes and other taxes generated within the Districts - NOT from current Albuquerque taxpayers or current businesses. By using TIDDS, the new development pays for its own infrastructure instead of having the City pay for it from its general fund.