From the Eagle Tribune:
SALEM — Selectmen may consider revamping the tax structure for three areas in town, hoping it will help finance road projects and other needed infrastructure improvements.
Selectman Michael Lyons told fellow board members Monday that he wants Salem to establish a tax increment finance district for Route 28, the old Depot area and a nearby industrial park.
The idea came from Planning Board member Robert Campbell. The topic may be one of several the two town boards discuss at a joint meeting to take place later this year, Lyons said.
A TIF district would set the assessed values and taxes for the area, with only incremental increases. Those increases would be tax revenue devoted to improving the area’s roads, sewer and water or other infrastructure.
Supporters said such improvements encourage more commercial and industrial development, which further increases the town’s tax base. On Monday, Selectman Everett McBride said he was willing to consider the idea.
Lyons said it is conceivable that enough new tax revenue could be generated to fund an entire capital project. McBride said that repairing portions of Route 28, expected to occur about 2011, could cost upward of $4 million.