WI SB480

Cities and villages may create residential tax incremental districts (TIDs) for owner-occupied single-family or 2-family housing developments with specific size limits: lots under 7,500 sq ft for single-family, 15,000 sq ft or less for 2-family, and homes capped at 1,500 sq ft (single-story) or 2,000 sq ft (two-story)

Residential TIDs are exempt from the standard 12% cap on total equalized property value but are subject to a separate 3% cap for all residential TIDs combined within a municipality

Project costs in residential TIDs are limited to infrastructure construction or improvement necessary for residential development, and must be paid directly from tax increments or financed by a developer

Residential TIDs cannot serve as donor or recipient districts, meaning tax increments cannot be shared between residential TIDs and other TIDs

Project plan amendments to increase costs are prohibited within 10 years of the TID's termination date unless the joint review board votes unanimously to approve