The City of Hopkins is fully-developed with a 4-square mile footprint. In order to grow the tax base, the City must redevelop underutilized property into higher valued developments. Often, redevelopment is only financially-feasible if there is public investment.
The City of Hopkins’ goal is to only provide the minimal incentive needed to make the project happen, realizing that the gain in tax base may not be realized for several years, but allowing marginal properties to continue unchanged will result in stagnant values and neighborhood decline, which also has a cost.
Each TIF request is evaluated individually, which includes performing a fiscal impact analysis. The City believes that the community benefits of TIF developments have been greater than the cost of additional services.