Tax Increment Financing (TIF)

URAP Building

Within the State of Colorado, Urban Renewal Authorities can develop a stream of revenue known as tax increment financing (TIF). TIF is the difference between property and/or sales taxes after a development is completed and before a development started. The Urban Renewal Authority of Pueblo primarily utilizes the property tax increment originated from development to finance new projects. TIF may only be collected and spent in the project area that it was generated (for maps of current Pueblo project areas, click below). Likewise, the ability to collect TIF may only last for a period of 25 years from date of which a project area is established.

 

Below is a graphic depiction of property tax increment in Colorado as well as the detailed explanation and mathematical construction of property tax increment financing in Colorado.
 

 

TIF Graph

 

Colorado Property Tax Increment Mathematics



 

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