On February 3, Executive Director Michael Sanderson testified before the Budget and Taxation Committee in support of SB 287 – Economic Development – Tax Increment Financing – Noncontiguous Areas. 

This bill builds on existing tax increment financing (TIF) authority by allowing counties and municipalities to designate specified noncontiguous blighted areas as a single development district.

At the hearing, Senators heard from supporters that “every argument for tax increment financing also works across unconnected areas,” and that the expansion could help promote housing opportunities in under-developed neighborhoods.

From MACo Testimony: 

Under current law, TIF development districts generally must be geographically contiguous. SB 287 updates that framework by authorizing noncontiguous blighted areas to qualify as a development district, while leaving all existing approval requirements and fiscal decision-making in place. The bill does not require the use of TIF, does not expand taxing authority, and does not create new fiscal obligations for county governments.

SB 287’s cross-file, HB 135, was heard in the Economic Matters Committee on February 17. Legislative Services Assistant Charlotte Fleckenstein testified in support of this bill.

More on MACo’s Advocacy: 

• Follow MACo’s advocacy efforts during the 2026 legislative session on MACo’s Legislative Tracking Database
• Learn more about MACo’s 2026 Legislative Initiatives
• Read more General Assembly News on MACo’s Conduit Street blog