What is Tax Increment Financing?
Tax Increment Financing (TIF) is a fundraising mechanism provided to New Hampshire municipalities through RSA 162-K. It is based around the planning and creation of territorially defined areas called development districts. When one of these districts is created, the total property valuation of the area is recorded. Property taxes derived from that original valuation are treated as normal, but taxes derived from increases can be directed towards funding projects laid out in the district’s development plan. When managed appropriately, TIF can be used to fund improvements that benefit the whole community by attracting new development, revitalizing blight, and/or enacting quality of life projects. This can have the benefit of significantly expanding the tax base and providing more or easier access to services for residents in a less financially impactful way. The Town of Hooksett has previously completed a successful TIF District from 2006, and in March 2017 created a new TIF District along Route 3A to provide infrastructure to the whole corridor
Important Documents & Links
- Approved District Plan (Adopted March 2017)
- Route 3A TIF Advisory Board Page - A repository for archived Minutes, Agendas, and old documents
- Watch Live Meetings - The Route 3A TIF Advisory Board, Town Council, and the Economic Development Advisory Committee all have a detailed archive of video recordings of their public meetings discussing the subject. Contact staff for help locating information you'd like to see!
- Cash Flow - First 3 years
Key Maps and Technical Details
- Route 3A TIF District Summary Map with labels (Updated 6/24/2021)
- Final Planning Memo (1/22/2020)
- Tech Memo - Route 3A Utility Expansion (60% Completion)
- Plan Map - Zone 1&2 Optimized (10/21/2020)
- Plan Map - Zone 3 South Optimized (2/27/2020)
- Plan Map - Zone 3 North Optimized (4/27/2020)
2021 Annual Town & Schools Report Extract
What happened of note this year?
Though the ongoing community, state, and national impacts of COVID-19 are many and vast, the work on Hooksett’s Route 3A TIF District Project continued. The Town of Hooksett’s personnel, the Town’s engineering consultant Underwood Engineering and others have been working diligently with community partners from other political subdivisions and private landowners. Significant accomplishments have been made including:
- Executed a land agreement between the town and a private landowner to provide more advantageous positioning for sewer infrastructure in the corridor
- Updated a draft recommendation to Town Council on how to proceed with the development of the TIF District as it relates to the design and installation of the sewer and water systems. The recommendation will include projected annual cash flows to include TIF funds, potential loan funds, and taxpayer funds.
- Designed and planned routes to incorporate water service form the Hooksett Village Water Precinct.
- 3A TIF District Advisory Board members began in earnest to engage businesses on hooking up and assisting with the infrastructure projects.
- As of May 20th, 2021, 90% of the engineering for the district for phases 1 & 2 has been completed.
- Despite spirited advocacy, the Town failed to win Community Project Funding for the development of phases 1 & 2 of the sewer development component.
- Negotiated project planning components with the Hooksett Sewer Commission.
- Applied for a grant funding opportunity through Senator Jean Shaheen’s Office.
2020 Annual Town and & Schools Report Extract
"Hooksett’s journey with its Route 3A TIF District achieved exciting progress this year. Throughout 2019, the District’s Advisory Board monitored and steered preliminary engineering and project planning conducted by staff and the town’s contractor, Underwood Engineering. During this process they also met regularly with other local public bodies and potential partners to discuss cooperative possibilities and considered the most cost-effective and logical project phasing. By January 8th, 2020, the Advisory Committee had worked through a large slate of options, and voted to recommend the following series of 10 positions for Town Council to consider:
- That the Town should fund the design of all proposed sewer in roads and cross-country sections that will be turned over to the Town.
- That construction will be divided by segment between areas funded by the town and those by private sources
- That the Town should contribute $0.3M towards the necessary water main construction from Vista Drive to Rte. 3A and work with a private partner in the district for this particular project
- That the design of the two other water main extensions should be paid for by the Town, with the construction paid for by the Hooksett Village Water Precinct and Town jointly; split to be determined.
- That the Town should meet and contract with all existing occupied property owners in Zones 1/2/3 to determine who wishes to connect
- That the Town should pursue a Clean Water State Revolving Fund (CWSRF) loan in June 2020 to refinance the current $2.5M bank loan.
- That the Town should target completion of Phases 1 & 2 at exit 10 as the first project $8.48M in 2021-2022 through a second warrant article and CWSRF loan pursued in 2021
- That the Town enter into Agreements with each commercial entity looking to connect and whom will be responsible for paying for sewer that will be turned over to the Town.
- Agreements would establish connection fees if reimbursement of construction costs is applicable
- That the second project, Phase 3 North at exit 11, should follow with a third project, Phase 4 between exits 10 & 11, pursued upon ability of funding.
- That he Town should accept the Planning Stage Technical Memorandum issued by Underwood dated 12/18/2019 as revised to reflect the above recommendations 1-9
On January 22nd, 2020, Town Council voted to adopt all nine of the recommendations put forward by the Route 3A TIF Advisory Committee."