Technology-Intensive Incentives

About the Program

1.	Up-front TIF-based cash for developers and companies that construct technology-intensive projects in designated communities
2.	Cash incentive equal to the net present value of a portion of the future incremental municipal tax revenues generated by the project
3.	Benefits the developer/owner by:
	Providing investment capital, reducing equity/financing requirements Reducing financial risks Enhancing return on investment
4.	TIF cannot be combined with municipal real estate tax abatements

Eligibility:

1.	New construction or major rehabilitation and upgrading of existing facility.
2.	Letter of credit required to assure completion
3.	Project must generate future incremental municipal property tax revenues and be located in one of the following towns:
	Ansonia Bloomfield Bridgeport Bristol Derby East Hartford East Windsor Enfield Griswold Groton Hamden Hartford Killingly Meriden Middletown Naugatuck New Britain New Haven New London Norwalk Norwich Plainfield Plainville Plymouth Putnam Southington Sprague Stratford Stamford Thompson Torrington Waterbury West Haven Winchester Windham Vernon *Visit ctbrownfields.com for a current list of eligible cities

Process:

1.	The municipality quantifies the annual incremental property tax revenues generated by the proposed project.
2.	The municipality together with the CDA determines the percentage of those incremental tax revenues that will be allocated to CDA.
3.	CDA sells bonds to fund the cash incentive, the amount of which is determined by the incremental tax revenue allocated to CDA and the bond repayment period.
4.	CDA provides the developer or owner with proceeds from the sale of bonds as a cash incentive to invest in the project.

Example:

1.	An investment in an IT project located in a designated community increases the municipal "Grand List" by $10 million.
2.	The project--when completed--generates $250,000 in additional annual property tax revenue for the municipality.
3.	The municipality dedicates one-half ($125,000) of these incremental revenues for the repayment of bonds issued to fund the up-front TIF incentive over 15 years
4.	The developer or company receives up-front cash equal to the net present value of that 15-year stream of payments, less related issuance costs.

Contact
Cynthia R. Petruzzello - 860.258.7833
Karin A. Lawrence - 860.258.7814
David J. Norton - David J. Norton - 860.258.7858

See our CDA Lending Partners

For Additional Information on all CDA Programs Contact CDA by email.