Housing & DevelopmentParks, Trails & RecreationPlanning & ZoningPermits & LicensesPublic SafetyPublic WorksInspectionsCity of Hopkins, MinnesotaCommunityCity HallCity of Hopkins, MinnesotaContact UsAbout This SiteCity of Hopkins, MinnesotaSearchThe Depot Coffee HouseHopkins Activity CenterHopkins Center for the ArtsHopkins PavilionOverpass Skate Park

The City recently took actions that have added over $70 million dollars to the total market value of property in Hopkins.

The Council, acting as the Housing and Redevelopment Authority, voted to decertify three tax increment finance (or TIF) districts. Tax Increment Financing is one of the main tools the City uses to assist redevelopment in Hopkins.

The three districts that have been decertified are:

  • TIF District 1-1. This tax increment district is located between 7th and 12th Avenues, Excelsior Boulevard, and First Street North. It is the oldest district in the City. It was created in 1971 and has served the community in many aspects of redevelopment. The original or "frozen" market value for this district was $9.5 million. Over the years the city received about $19 million in tax increment revenues and used the funds to finance various redevelopment efforts. Due to the redevelopment, the current value of this district is $73.3 million.
  • TIF District 2-7. This district encompasses the Thermotech property in south Hopkins. It was implemented to undertake various site improvements to facilitate an expansion to the Thermotech building. The original market value for this district was $1.7 million. Over the years the city collected about $655,000 in tax increment revenues and used the funds to finance the improvements on the site. The current value of this district is $6 million.
  • TIF District 2-8. This is the former Little League property, located at the northwest corner of 11th Avenue and Fifth Street South. It was created in 1996 to redevelop the former Hopkins Little League property that had a market value of about $10,000. Over the years the city collected about $300,000 in tax increment revenues and used the funds to finance soil corrections and site improvements. Due to the redevelopment, the current value of this district is $1.6 million.

The positive impact from decertification of a TIF district is the added value to the city's tax capacity base. When a district is created, the market values are frozen at their current value. Any new or "incremental value" is captured and taxes on those values are used to pay for the redevelopment efforts in that district. At the time of decertification all of that new or "incremental value," which was generally created through redevelopment efforts, is added to the city's total tax capacity base.