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The Ann Arbor Chronicle offered this brief description of the DDA and because we could do no better in describing the Ann Arbor DDA, we repeat it here:

By way of background, in 1975 the state legislature authorized the Downtown Development Authority Act (Act 197 of 1975), which enabled cities to set up DDAs with the purpose of protecting and revitalizing their downtowns. The Ann Arbor DDA was established in the early 1980s, and renewed by city council in 2003 for another 30 years. It is governed by a board that’s appointed by the city council, based on nominations by the mayor, who by statute also serves on the board. The DDA is funded by tax increment financing (TIF) – that is, it “captures” a portion of the property taxes in a specific geographic area that would otherwise be collected by taxing authorities in the district. The tax capture is only on the increment in valuation – the difference between the value of property when the district was established, and the value resulting from improvements made to the property. In Ann Arbor, the DDA also operates the public parking system under contract with the city.

October 16, 2012 -