CHARLESTON, SC (WCSC) – Members of the Charleston City Council met to discuss the possibility of establishing a special financial district to use future tax revenues to fund improvements to a 65-acre property downtown.

Council members unanimously approved the first reading of the Union Pier Tax Increment Financing District on Tuesday night.

The goal of the Tax Increment Financing District (TIF) is to encourage the growth and redevelopment of Union Pier. Using a TIF system would mean that public tax dollars or funds would not be used to subsidize private development. Instead, tax revenues from redevelopment projects would be used to create a space for the community to enjoy.

“I am pleased that the Council recognizes the importance of a TIF for Union Pier to put the public’s interests at the forefront of this redevelopment,” Charleston Mayor William Cogswell said in a press release. “With a TIF, parks, public access to the waterfront, affordable housing and resiliency measures are possible, and we advanced those goals tonight.”

Cogswell proposed the idea of ​​establishing a TIF in May.

The next step is for the Charleston County Council and the Charleston County School District to begin a 45-day process to hold votes on establishing the TIF district.

The TIF funds would be managed with public involvement and strict oversight to ensure Union Pier continues to develop according to the needs of the community, said Deja Knight McMillan, spokeswoman for the city of Charleston.

Union Pier currently generates no tax revenue, but Knight McMillan said that once fully developed, the redevelopment could generate up to $22 million annually for our schools.

The city said TIFs have proven beneficial in the past on projects such as the King Street revitalization, and officials hope to repeat that success in the Union Pier development.

The city will discuss TIF and affordable housing during a special meeting of the Community Development Committee on Sept. 26. The meeting will be open to the public and shared online.

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