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been able to undertake, but will likely be <br />less able to achieve in the future given the <br />likely diminished effectiveness of TIF and <br />limited ability to assemble parcels of land, <br />include long-term tax base stabilization and <br />growth, job creation, development of low - <br />to -moderate income and workforce housing, <br />remediation of pollution, elimination of <br />blight, recycling and redevelopment of <br />infrastructure, and redevelopment of <br />communities. Passage of the 2010 Jobs - <br />State Stimulus bill and the 2011 one-year <br />extension offered up flexibility in several tax <br />increment and public finance provisions, but <br />only with a short window for actually using <br />the tools. <br />Research into another strategy of <br />community reinvestment has focused on <br />public and private investments in youth. <br />This body of work suggests that this form of <br />economic development pays off in areas <br />such as improved high school graduation <br />rates and homeownership rates. Helping <br />youth develop the social and emotional <br />skills necessary to be contributing members <br />of the state economy meets the state's <br />interest in building quality communities that <br />sustain into the future. <br />Response: To ensure Minnesota is able to <br />continue to effectively compete with other <br />states, the Legislature has a responsibility <br />to partner with cities, state agencies, and <br />other community reinvestment <br />organizations to develop a statewide <br />community reinvestment strategy, and to <br />identify and implement additional tools to <br />fund community reinvestment efforts. <br />The state should partner with cities in <br />community reinvestment activities. State <br />acknowledgment of the need for <br />community reinvestment and economic <br />development is essential to the state's <br />prosperity, and legislation is needed to <br />generate resources sufficient to address <br />these critical needs at the local level. <br />Given the big picture view of investing in <br />people, the state should maintain a long- <br />term vision for a healthy society and <br />renew its commitment to early childhood <br />family education and preschool programs <br />that better equip individuals to contribute <br />to the local and state economies and that <br />ultimately make for quality communities. <br />LE -26. Tax Increment Financing <br />(TIF) <br />Issue: TIF is the most important tool <br />available to fund community development <br />and redevelopment efforts. Over time, the <br />TIF law has become increasingly complex <br />as the Legislature seeks to provide cities <br />with the resources to grow the state's <br />economy while maintaining limits on the use <br />of property taxes. Cities need greater <br />flexibility to use TIF for community and <br />economic development that support a city's <br />residents and businesses. Further <br />restrictions of TIF would render the tool less <br />effective and will hinder local efforts to <br />support job creation, housing, <br />redevelopment and remediation. <br />Response: The Legislature should not <br />enact future TIF law restrictions, rather <br />the Legislature should: <br />a) Expand the use of TIF to assist in the <br />development of technological <br />infrastructure and products, <br />biotechnology, research, multi -modal <br />transportation and transit -oriented <br />development, restoration of <br />designated historic structures, non - <br />retail commercial projects, and non - <br />wetland areas where unstable/non- <br />buildable soils exist; <br />b) Increase the ability of TIF to facilitate <br />redevelopment and housing activities; <br />c) Allow term extensions for <br />redevelopment districts which are <br />taking longer to develop; <br />League of Minnesota Cities <br />2016 City Policies Page 62 <br />