TIDD

The tax-increment district, called a Tax Increment Development District “TIDD”, is an endeavor between Lobo Development and the City of Albuquerque to create a district for UNM South Campus. The district means that a portion of gross receipts and property taxes generated from future commercial development will be used to fund public improvements necessary to support such development, like streets, drainage, water& sewer lines, as well as transit improvements, trails and recreation facilities.

South Campus Tax Increment Development District (TIDD)
November 2, 2021

Talking Points: Key Benefits / Facts

• Formed by the City of Albuquerque on October 4, 2021
• Public-public collaboration between UNM and the City to enhance community services, create new jobs and stimulate economic activity
• Three-year (3) effort involving over 20 publicly-noticed meetings and hearings by UNM and the City… 9 within 2021 alone
• Funds public infrastructure with public money, ie new tax revenue generated within the boundaries of the TIDD by new private business will be used to finance much needed public improvements
• But for the TIDD, new private businesses would not locate or expand in the area or generate additional new tax revenue
  • Does not take revenue from current services or programs
  • No new taxes imposed
  • Is invisible to new business/taxpayers (does not appear on a tax bill)
• Public improvements include:
  • Roads, water and sewer lines, and stormwater drainage
  • Public spaces and facilities (parks, plaza, pedestrian and bike paths, recreation fields)
  • Transit (University Blvd. route) and regional transportation (Interstate 25 improvements)
  • R&D job-creating facilities
  • Public safety (police substation and crime detection equipment)
  • Public parking structures
  • Energy conservation measures (solar)
• Financial summary:
  • New City, County and State tax revenue supports public infrastructure to benefit the TIDD
  • TIDD bonds maximum life is 25-years from the date of issuance of the first bond
  • $336 million of newly created tax revenue for public improvements within the TIDD
    • New City tax revenue expected to generate $131 million for public improvements within the TIDD (dedicated portion approved by City)
    • New Bernalillo County and State of New Mexico tax revenue expected to generate $205 million for public improvements within the TIDD (dedication request pending)
  • $295 million of existing and newly created revenue generated within the TIDD retained for government use, including operations, maintenance, services, and facilities
    • $93 million of existing and newly created revenue expected to be retained by the City
    • $202 million of existing and newly created revenue expected to be retained by the County and the State
    • Existing and newly created revenue may be used for general purposes, including public safety, health, economic development
• 4,450 new jobs expected to be created with over $3.0 billion in wages
• Investment in public improvements and facilities is expected to facilitate $360 million in private investment
• R&D buildings funded by TIDD revenues would be exempt from ad valorem property taxes, as would any other public buildings; however, these buildings, used to accommodate new jobs, would be funded by revenue generated by private enterprise rather than from taxpayer-generated capital outlay
• Revitalizes an underutilized, unsightly portion of the City
• Provides a commercial & employment “anchor” to the southern metro area
• Builds on over $400 million in current public investment (UNM Science & Technology Park and UNM/City sports venues)