Town Center Tax Increment Financing (TIF) District

On March 12, 2024, Barrington residents approved Article 24 to establish the Town Center Tax Increment Financing (TIF) District (Barrington's first).  The establishment of this district creates a funding mechanism to help achieve the community's vision of Barrington's Town Center.  A central part of that plan is the purchase of the 13-acre lot (Map 239, Lot 7) known as Barrington Common.  Subsequently, the Select Board established the Barrington Center Development Committee (BC#DC) to serve as the advisory board of the TIF district and to help achieve the Town Center vision.  

This page includes specific details about the Town Center TIF District which is a funding mechanism for Barrington Common and the Town Center.

Tax Increment Financing (TIF) is an economic development tool for funding improvements which support commercial development and has been used successfully in communities throughout New Hampshire.  Jump to Frequently Asked Questions.  

2024 Annual Report

Central to the Select Board's efforts to achieve the Town Center vision in 2023/2024 was the acquisition of Map 239, Lot 7.  This 13-acre lot known as 'Barrington Common' is at the center of the Town Center and will become the keystone of Barrington's center.  Voters approved this acquisition at Town Meeting in 2024 (Article #24) along with a funding mechanism to pay for it (Tax Increment Financing, TIF). 

As the Barrington enter Development Committee (BC#DC) engages with the community to implement the Town Center vision and establish Barrington Common, funding will remain a central part of the discussion.  The mission of the BC#DC includes operating with transparency and fiscal restraint. Below are the full mission and vision statements for both the Town Common property and the Town Center as whole.

BCDC Mission:

The Barrington Center Development Committee (BCDC), working hand-in-hand with town residents, local businesses, community organizations, and our municipal government, will implement the vision of Barrington Common and Town Center. We will operate transparently and with fiscal restraint to ensure residents are engaged and excited by the outcome and the process to achieve it.

Town Center Vision:

Our Town Center will contain unique shopping and dining experiences integrated with the Barrington Common and surrounding trail networks to create a variety community spaces. As a result, diverse, community-friendly businesses will establish themselves in the town, providing employment opportunities and municipal revenue support.

Barrington Common Vision:

The Barrington Common will be a welcoming space encouraging community spirit and engagement. The Common will celebrate Barrington's commitment to volunteerism, civil discourse, and inclusive community, offering residents of all ages and abilities a mixture of sports, community events, and areas for tranquil reflection.

Since acquiring the property, the BCDC Committee has prioritized community engagement and feedback from Barrington residents. This includes interactive vision boards at each of the seven Summer Concert Series events, as well as a web-based survey distributed with all tax bills. Additionally, the committee collaborated with the Barrington Parks and Recreation Department to host a Pumpkin Stroll along the newly constructed perimeter trail on the Barrington Common property, and most recently, a community bonfire during the Soiree event.

The BCDC Committee is grateful for the support and enthusiasm shown by the Barrington community and looks forward to continuing its efforts to improve our town while preserving the rural, small-town charm we all cherish.

Interested in getting involved or learning more? Visit our website at www.barrington.nh.gov/bcdc for more information on our initiatives and how you can contribute.

Barrington Common and Town Center Tax Increment Financing Financial Report

The $57,736 of collections is equivalent to approximately $0.03 of the tax rate or 0.1%.

Town Center Tax Increment Financing District

The primary focus for securing funding is to buy the 13-acre vacant lot in-between Calef's Country Store, the Post Office, MD Motors (formerly Knight's Garage), and the Elementary School and establish a the Barrington Common park with gathering and recreation features.  Additionally the plan calls for improvements to the Town Center area including school zone signs, crosswalk(s), and more.  In 2024, voters established a tax increment financing district which would capture taxes from new development within the district to pay for the plan.  The Town Center Tax Increment Financing District is an approximately 516 acre district (~1.65% of Barrington) which captures commercial, public, and recreation property along Routes 9 and 125 in the Barrington Town Center area.  The Town Center vision and establishment of the Barrington Common is a plan to preserve Barrington's character and to spur economic development in Barrington's Town Center.  Barrington has focused much time and energy on the development of a Town Center.  This has included the 2007 Town Center Plan, 2014 Community Profile, Recreation Needs Assessment and Strategic Plan, updates to the Master Plan, and various changes to the Zoning Ordinance and Zoning Map focused on the Town Center.  The vision for this part of Barrington has always included extensive civic use/open space which preserves Barrington's character and supports the desire for commercial development.  The footnote of that vision which has regularly been ignored is; how to fund the type of civic use/open space which residents desire.  This tax increment financing district is that funding source and it uses only the added tax value from within the district.

At Town Meeting in 1988, Barrington voters adopted the provisions of RSA 162-K which authorizes tax increment financing districts.  This first step of the process laid the foundation to allow the Select Board to propose tax increment financing districts for voter approval.  In 2022, the Planning Board and Select Board started the conversation around accomplishing the Town's goals for the Town Center.  At the center of those conversations was how to pay for investments in the civic use/open space of the Town Center.  Both Boards felt that a tax increment financing district was a great way to reinvest the increased tax value in order to promote additional commercial development.  The Town Administrator held meetings and solicited input from public and private stakeholders alike.  This input was incorporated into the Development Program presented to the Select Board.

Town Center Tax Increment Financing District Details

At Town Meeting in March of 2024, voters approved the Town Center Tax Increment Financing District.

• Barrington Commons and Town Center Tax Increment Financing District Development Program and Financing Plan 20231211

Quick Facts

• A tax increment financing district can be a “win-win” for residents and businesses
  • For residents: A tax increment financing district can encourage desired commercial development in specific areas of the community where it is wanted and needed and would not otherwise occur on a timely basis. Once the public improvements in the district have been paid for, the increased tax revenue generated by the new development becomes part of the Town’s general revenue. With a tax increment financing district, the improvements needed to stimulate tax base expansion are offset by that expansion at basically no cost to the other tax payers.
  • For Businesses: A tax increment financing district can provide an attractive and viable mechanism to pay for the public improvements necessary to support desired business development, expansion, or renovation in specific areas desirable to the Town. Without access to these public improvements, an otherwise desirable business may choose to locate or expand in another community resulting in lost tax base, jobs and economic vitality. Businesses want to locate in a “Town with a plan”.  Properties within the tax increment financing district are assessed and pay the same taxes as all other property owners.

Town Center Tax Increment Financing District History/Development Process

March 12, 2024 (Town Meeting Voting Session)

Article 24 - 1,438 Yes, 1,157 No - PASSED (55.41%)

February 3, 2024 (Town Meeting Deliberative Session)

Deliberative Session Presentation and Discussion Video (1 hr. and 30 mins.)

January 8, 2024 (Select Board Meeting - Warrant Public Hearing)

Town Center Tax Increment Financing Public Hearing Presentation Video (45 mins.)

December 11, 2023 (Select Board Meeting)

1. At the December 11, 2023 meeting, the Select Board discussed proposed terms for a purchase and sale.

*In early 2024, the Select Board finalized the following terms of a Purchase and Sale Agreement: Map 239, Lot 7 Purchase and Sale Agreement 20240229

November 27, 2023 (Select Board Meeting)

1. At the November 27, 2023 meeting, the Select Board voted to move forward with a purchase and sale on Map 239, Lot 7 to be funded through a proposed tax incremental financing district.  The new proposal is different than the 2023 proposal in the following ways:
   1. Smaller – 516 Acres
      1. Nearly 1/3 the size of the 2023 proposal; focused on the Town Center.
   2. Shorter – 8 Years
      1. Proposed at less than half the length as the 2023 proposal.
   3. Focused/Specific – Buy Map 239, Lot 7
      1. Not an abstract plan like 2023, a tangible and specific plan to preserve Barrington’s character.

September 11, 2023 (Hired TF Moran to Update Town Center Vision)

1. At the September 11, 2023 meeting, the Select Board discussed having TF Moran complete an evaluation and updated visual plan for the vision of the Town Center. 

August 17, 2023 (Town Center Concert Series)

1. At the August 17, 2023 Town Center Concert, Select Board members had an informational table to talk with residents about the larger vision for the Town Center.

August 14, 2023 (Select Board Meeting)

1. At the August 14, 2023 meeting, the Select Board reviewed feedback from abutters of the 13-acre parcel who are all in support of Town acquisition. 

July 10, 2023 (Select Board Meeting)

June 27, 2023 (Select Board Strategic Planning)

1. At the June 27, 2023 Strategic Planning Session, the Select Board reviewed a 13-acre lot for sale in the Town Center and an opportunity to reevaluate the Town Center Tax Increment Financing District.  There was broad interest from the Board in further considering both items.

March 28, 2023 (postponed from 3/14) - Town Meeting Vote - Article 9

Frequently Asked Questions

• What is a Tax Increment Financing District?

  • Tax Increment Financing (TIF) is a method of funding public improvements with the incremental taxes created by new construction, expansion, or renovation of property within a defined area of the community.  In return, these municipal improvements serve as the spur to additional development, which generates tax dollars.  These tax dollars are used to pay the cost of the improvements directly.  Then the Tax Increment Financing dissolves, and all future tax dollars revert to the general fund, benefiting all taxpayers.
    • Additional Resources
      • NH Office of Energy & Planning TIF Explanation Guide
      • NH Office of Energy and Planning Tax Increment Financing Bulletin 201511
      • Tax Increment Financing – NHMA Article 201610

• What are the Rules?

  • Some key provision are listed here, but you should review the entire statute, RSA 162-K for a full understanding.
    • A municipality must first adopt the provision of RSA 162-K before creating a Tax Increment Financing. (Done at Town Meeting in 1988)
    • Following adoption of the provisions of the statute, the Town may then establish one or more development districts.  (Proposed for March 2023; See Town Center TIF District Maps)
    • For each district, the Town must establish a Development Program including a Tax Increment Financing Plan which shall allocate use of tax increments for financing, operation, maintenance, and improvements in the district and for general municipal purposes.  (See Town Center TIF District Development Program and Financing Plan)
    • There is no limit to the number of Tax Increment Financing Districts a community can have, however, the total acreage in any one District shall not exceed 5% of the total acreage in a municipality or more than 8% of a community’s assessed value. Furthermore, all Tax Increment Financing Districts combined shall not exceed 10% of the total acreage of the community or more than 16% of a community’s assessed value.
      • The proposed Barrington Commons and Town Center Tax Increment Financing District is 516 acres or 1.65% of Barrington's total acreage.
      • The proposed Town Center Tax Increment Financing District is valued at $38,833,200 or 2.1% of Barrington's total valuation.
    • Money raised within a district must be spent within that same district.

• Who Approves a Tax Increment Financing District?

  • RSA 162-K requires the legislative body to create and/or amend a Tax Increment Financing District.  In Barrington, the voters are the legislative body and make such decisions each March at Town Meeting.  

• What is the Tax Impact of a Tax Increment Financing District?

  • According to the Financing Plan, the costs to support a Tax Increment Financing District are paid for directly by additional tax value created within the Tax Increment Financing District, there is no cost to taxpayers.  

• How Does a Tax Increment Financing District Work?

  • After defining the Tax Increment Financing District, the current assessed values and property tax revenues are “frozen” and continue to flow to the Town’s general fund. However, any future “incremental” increases in property tax revenues within the Tax Increment Financing District (through new construction, expansion, or renovations) can be “captured” and all or a portion of this new revenue can be used to pay for the  improvements detailed within the development program. Once the development program is complete, the property taxes generated in the District go to the Town’s general fund.

• Does the Tax Increment Financing District Divert Tax Dollars Away from Other Town Needs?

  • No.  The Tax Increment Financing District generates revenues only on incremental increases in value, so no tax dollars are diverted from current Town, Education, or County taxes.
    • Town Center Tax Increment Financing District Tax Details
      • The Town Center Tax Increment Financing District is currently assessed at $40 million dollars.  Taxes will continue to be collected and distributed based on that value.  Additional development that occurs as a result of the Tax Increment Financing District will be assessed as part of the Tax Increment Financing District (the "increment") and those tax dollars will go towards the costs to support the Tax Increment Financing District.  

• What Projects are Planned in the Town Center Tax Increment Financing District?

  • The Town Center Tax Increment Financing District Development Program** lists the variety of projects which could be funded using the Tax Increment Financing District.  
  • (Coming Soon)

• Have Other New Hampshire Communities Adopted Tax Increment Financing Districts?

  • Yes.  Several NH communities, including Londonderry, Dover, Rochester, Jaffrey, Derry, Durham, Peterborough, and Swanzey, have adopted Tax Increment Financing Districts as part of their overall development strategies.  Tax Increment Financing Districts allow communities to compete for development.  In the seacoast Tax Increment Financing Districts have also been used in Farmington, Northwood, Exeter, Portsmouth, and Stratham.
  • 

• How is a Tax Increment Financing District Administered?

  • RSA 162-K requires the establishment of a Tax Increment Financing District Advisory Board which oversees funds that are dedicated to making the improvements within the district.  The Town Center Tax Increment Financing District Development Program and Financing Plan** details the specific duties and responsibilities of the Advisory Board and addresses the division of responsibilities among the Select Board, Town Administrator, and Advisory Board.  The Tax Increment Financing District Advisory Board is a public board subject to RSA 91-A, the Right-To-Know law.

• I Own Property or Live in the Tax Increment Financing District, What Does that Mean?

  • First, and most importantly, property owners in a Tax Increment Financing District are assessed and pay taxes the same as all property owners in Barrington.  The incremental tax revenue generate from properties within the district will be directly reinvested within the district.  Additionally, property owners in the Tax Increment Financing District have the opportunity to serve on the Advisory Board which must be comprised of a majority of property owners in the district.  Finally, owning property in a Tax Increment Financing District creates the opportunity to partner with the Town to make large-scale improvements to support economic development.  

• Is the Tax Increment Financing District Permanent?

  • A Tax Increment Financing District only lasts as long as needed for the improvements to be made.  Typically, a Tax Increment Financing District will sunset at a pre-determined date.  Alternatively, once the development program is complete, the Tax Increment Financing District expires and any revenues generated going forward go to the Town's general fund.  Town Meeting has the ability to amend or repeal the Tax Increment Financing District at any time.

• I Have More Questions Regarding Tax Increment Financing Districts in Barrington, Who Do I Contact?

  • Contact Town Administrator, Conner MacIver: [email protected] or 603-664-7395.