The Knoxville City Council approved retiring three different Tax Increment Finance (TIF) districts at their meeting Monday night.

TIF districts are utilized by cities in a way that a municipality diverts future property tax increases to fund community improvements. The TIF Districts that were retired on Monday were Five Star which is now Weiler, Industrial 3M from a 3M expansion, and Eric Drive where the Cobblestone Inn and Suites hotel is located. Knoxville City Manager Heather Ussery says that property taxes will now flow normally in these areas.

“When the debt is satisfied for those projects there is no longer a need for those TIF districts and the city goes through this process of repealing those ordinances from when they were initially approved and retiring them. Then property taxes basically start to flow normally between the three entities, the county, the city, and the school.”

Hear more about the TIF districts from Ussery on Thursday’s Let’s Talk Knoxville.