Town officials in Canton accepted a $10,000 Preservation of Place (POP) grant from CMSC to explore tax increment financing, or TIF, as a way to help finance private development and jump-start revival of the former Collins Company factory complex, reports the Hartford Courant.
The POP grant will help pay for a consultant to prepare a plan on how best to use the financing method, which could then be used in other parts of town in addition to Collinsville. Tax increment financing helps a municipality fund a development project through infrastructure improvements or other benefits and is paid back through increased tax revenues once the work is done.
Current tax revenue from the Collins Company property is $31,000 annually, but officials predict it could be as much as $1.6 million if fully redeveloped. First Selectman Leslee Hill said there is a lot of interest in the community to see something happen with the old factory and the town needs to respond.