What is Tax Increment Financing (TIF)?

Tax Increment Financing (TIF) refers to the increased property tax revenue generated by the growth in assessed value within a redevelopment area. TIF is neither a tax nor an impact fee. Instead, it serves as a financing tool to support public infrastructure improvements in underdeveloped or blighted areas, promoting revitalization and growth.

Redevelopment Plan

The Summerville Midtown Redevelopment Plan aims to revitalize the Midtown area using tax increment financing. This plan envisions transforming the Highway 78 corridor and the Midtown of Summerville into a lively, transit-friendly residential and commercial space. It highlights public projects needed to boost local business, prevent property value decline, and promote private investment. Tax increment funding will support essential infrastructure, making the area more appealing for commercial development. This plan will improve pedestrian and bike safety, traffic safety, and public facilities.

Redevelopment Principles/Objectives

• Improve Form and Function of Transportation Network in Project Area for All Modes of Transportation
• Enhance Public Facilities in Project Area by Making Them More Accessible and Attractive.
• Encourage Private Investment in Project Area.

Public Investment Projects

• Improvements to transportation and stormwater infrastructure including road improvements and construction of pedestrian and bicycle paths and trails.
  1. Maple Street Extension
     • Widening from 2 to 4 lanes
     • Intersection improvements at Hwy. 78
     • Traffic Signal at W. Richardson Ave.
     • New Alignment at Parsons Road
  2. Cedar Street Extension
  3. U.S. Highway 78
  4. U.S. Hwy. 17A (Main Street)
  5. Berlin G. Myers Parkway/Salisbury Tract
• Improvements to streetscaping, including the installation of street lighting, sidewalks, a vegetative buffer, landscaped medians, pedestrian crossings, bicycle facilities, utility improvements and transit facilities.
• Improvements to or Construction of Public Buildings, Environmental, Cultural or Recreation Facilities. 
  1. Construction of a Dorchester County Coroner's Office 
  2. Construction and expansion of Town of Summerville Public Safety and General Services
  3. Improvements to or construction of school facilities on the Alston Bailey Elementary and Alston Middle School site 
  4. Improvements to the "Woodlands" tract for a Town Park
• Public Improvements Associated with Sawmill Development 
• Any architecture, design, engineering or land acquisition to accomplish the above projects are included in the Project Costs

Duration Of Plan

• Duration: 25 years
• Managed by: Town of Summerville staff and consultants
• Expenditures: Approved by Town of Summerville Town Council
• Amendments: Approved by three taxing entities in the District

Initial Projects

In December 2022, Summerville issued $20,000,000 in TIF bonds to fund the following projects: 

1. Maple St. Extension ($11,000,000)
2. Dorchester County Coroner's Office ($2,000,000)
3. Dorchester School District Two School Improvements ($2,000,000)
4. Public Infrastructure Reimbursement - Sawmill Development ($5,000,000)

PROJECT MAINTENANCE

• Maintenance Responsibility: Respective jurisdiction ownership
  • State of South Carolina: U.S. Highway 78, Berlin G. Myers Parkway, existing Cedar Street portion
  • Town: Maple Street, Cedar Street extension
  • Dorchester County & School District 2: Their own facilities
  • Town: All other public improvements
• No TIF revenue for maintenance costs
• Minimal impact on Town's general operation and maintenance expenses. 

GENERAL LAND USES IN PROJECT AREA

The Redevelopment Project Area contains a mixture of residential and commercial uses, and no change in those uses or applicable zoning is presently foreseen. The property within the Sawmill project is zoned General Business (GB).