More about this famous “TIF Report” and the City of Branson’s strange math equations and processes…..

The City in their deep desire to go the extra step in their story telling, or I should say their “reporting” went on to add a section of the report that supposedly attempted to show the “Loss” of tax revenue to the Schools from the various TIF districts. I understand the method the Finance Department used to calculate these figures and will not dispute them, what is not being said is the real disingenuous part of the report. The money that they are not getting would not be there to get if the TIF had not been passed. The School District is getting the same Real Estate tax income they did before the Landing was built. You know, the small amount of real estate taxes that the old resorts and restaurants and parks generated back in 1999 or 2000. That same money is allocated to the school district. This is where a little simple math needs to be used. The TIF deal works pretty much like this. What’s coming in before keeps coming in and what comes in above that (EXTRA) for a period of time after goes to the bond debt. SO for the algebra students out there:

X = taxes collected for the schools before the TIF
Y = NEW Taxes collected over and above X
And here is the big one:

X + Y = (T)otal taxes

Now Y or in some cases ½ of Y must be paid to the bond debt:

T – Y = X

So therefore:

X still gets paid to the Schools so how can anyone with any mathematical skills say that the TIF cost the schools?

RETRACTED PORTION

For the less fortunate in the mathematics skills division:

If Johnny has 5 apples and Suzie gives him 3 more, but Johnny has to give 3 apples to Frankie because he introduced Suzie and Johnny,,,,

Johnny STILL HAS 5 APPLES! He may think they are SOUR APPLES, but he still has 5 APPLES!

In most TIF cases, there is yet another “left out” bit of information. Before the TIF was created, some properties had ZERO to very little Personal Property Taxes charged against them and now after the TIF hundreds of thousands of dollars are being collect on those same properties by way of NON-CAPTURED personal property taxes! Yet the city report does not bother to even hint about those hundreds of thousands of dollars.

Perhaps the city council members and their finance department need to consider a tour of the underprivileged schools they reported about and meet up with a math teacher.

NOTE: One of our loyal readers wrote that they believe the PILOTS are not 50% at Branson Hills as I stated... In order to be as fair and honest as possible I am retracting this portion just in case they are correct. The basis of the argument remains, no LOSS occurs.