>> The sheriff property taxes collected by the city and then claimed by Chicago's tax increment finance district grew.

47% between 2019 2023, according to Awt Tw News analysis that massive growth funneled 5.8, 4 billion dollars into the special districts that are designed to spur redevelopment and eradicate blight.

The report for 2024 is not set to be published until July.

Now, you may have heard the term, but what exactly is a TIF district?

The Sharon answers the question in tonight's edition of WT Tw News explains.

>> Once upon a time the king moves mayor of a mystical land named Chicago came across a magic wand that possessed truly awesome powers.

This so-called magic want is a financial tool called tax increment financing.

Better known as tips with just a flick of the wrist he's one makes a giant of taxpayer dollars to pay as long as they promise to use that money to make the city a better place to live.

Tiff wasn't invented in Chicago, but former Mayor Richard Daley perfected as he worked to transform Mud City into the leaning my truck.

here's how deceptively simple tool works.

>> City officials determine an area is particularly blight.

Maybe its roads sidewalks are in bad shape for its air is rife pollution or it's true.

It's taken to They declared it district.

>> A distinction which stays in place for 23 years and is there to promote public and private.

Which make it simple.

>> Say you buy house for $100,000 and set aside $2500 to cover your annual property Every cent will go to critical services like police, fire, libraries and schools.

But just as you sign on the dotted line, city officials, including your home a poor and new >> 10 years go by.

If your home has doubled in value and your property tax bill has gone up.

The original share is still funding crucial city services just as it did a decade But the rest, the tax increment or the amount your taxes have gone up since the stiffest declares has been flowing into a special account.

The mayor and his friends on the Chicago City Council can use to subsidize projects in your area.

>> Millions for new You've got it.

A new housing development.

No prom.

And the people of Chicago.

>> Maybe not.

>> Has more than a billion dollars every year flows away public parks and libraries and each to attend count and everyone's taxes go up its agents.

Us all.

At the same time, what tips are meant for the lighted areas sometimes already a fluid parts of the city.

Make it onto that.

His list produced from the funds alongside any private investors seizing on the opportunity and growing area.

>> Austin leading to gentrification.

Tif districts are a powerful tool to be that there are no magic wand.

>> A fairytale ending isn't guaranteed around the corner.

>> But budget deficit dragon sometimes.