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30 S C T / A U G U S T 2 0 1 7 special-assessment district in a comprehensive financing ap- proach. It's an important best practice to consider." South Baltimore is one place in which developers and public officials are using TIF financing and special assess- ments to bring about major improvements. A case in point is Port Covington — a 15 million-square-foot, $5.5 billion de- velopment now in the planning stages. Under Armour CEO Kevin Plank's Sagamore Development Co. is reportedly seek- ing $1.1 billion in public financing for Port Covington, in- cluding $535 million in TIF. In return, the blighted industrial zone will benefit from new parks, streets and sewers, along with the addition of offices, residences, retailers, a mixed-use project and, possibly, a new Under Armour campus. "It is really fascinating how large-scale this whole rein- vestment is," said Kramer. "It is huge: The specific geographic boundaries of Baltimore's Inner Harbor district, the city's biggest TIF investment to date, could actually fit in the Port Covington district three or four times." The new guide also highlights the role of TIF and special assessments in another Baltimore project: Harbor Point, a mixed-use brownfield redevelopment on a 27-acre waterfront site formerly occupied by a chrome-ore-processing plant. TIF funds, the book's authors note, are helping the $1 billion de- velopment move forward by offsetting some of its high reme- diation and infrastructure costs. But TIF can be useful also for smaller projects, says Kramer. The book highlights the role of public incentives at a single retail property: the 15-acre High Point Shopping Center, in Osage Beach, Mo. Despite a beautiful view of the Lake of the Ozarks and excellent road frontage, the center was an eyesore, the book says, with a long-vacant Walmart. But $5.1 million in TIF — $3 million for a 75,000-square-foot Dierbergs grocery store and $2.1 million for additional retail development — helped revitalize the center. Among other single-purpose case studies highlighted in the guide are the Galleria at Pittsburgh Mills, in Tarentum, Pa.; the Shops on Butterfield, at Yorktown Center, in Lombard, Ill.; and the St. George Place redevelop- ment, in Houston. TIF is used for single-purpose projects just as often as it is for larger districts, Kramer says. "Some smaller cities don't have the ability to invest in large-scale develop- ment, perhaps because of investment caps," she said. "But for project-specific TIFs, you can follow all of the same best practices that we outline in this document. They really are universal." But this is not to suggest that TIF is universally un- derstood. In fact, dispelling misconceptions about TIF among critics or among pub- lic officials not well versed in the process is a perennial challenge, sources say. This is particularly true away from the major cities, says Gibbs. "Generally, the urban communities get it, but a lot of rural communities don't," Gibbs said. "They see TIF as a giveaway or direct subsidy rather than as an investment." Some offi- cials from nonmetro areas have sought to tighten TIF regu- lations or even banish the incentive outright, he says. "They are challenging the whole fundamental TIF idea and trying to withdraw it," Gibbs said. "It's just because of a misunder- standing. You'll flash a big number like the city contributing $15 million for the roads and infrastructure on a project, and it will be seen as a $15 million gift. But really, the numbers speak for themselves — it's just a straight business model: You invest x , and you're going to get a return of y over z number of years." Little wonder the latest edition of the TIF guide puts so much emphasis on clear and transparent communication among all parties. "One of the things that we want to see is re- ally transparent and accountable investments across the board," Kramer said. In addition to weighing such questions as when a municipality should use TIF or how to draft appropriate TIF policies, the book includes a whole chapter on boosting com- munity buy-in, with best practices related to communications and marketing. "Developers, in addition to the city, need to step up their game and be transparent," Kramer said. The book also includes a discussion of what Kramer calls the "but for" analysis of a TIF project. "Everybody should outline that this development would not occur but for the investment of TIF," she said. "The guide explores some of the best due-diligence approaches for outlining how that analysis occurs and why you should make that a transparent and public process." In addition to seeking lots of community input, the city and the developer should be sure the pro forma for the project is handled by an objective, outside source, Kramer says. "There are several professional firms that are thinking critically about what the 20- or 30-year outlook is for retail," she said. "The city cannot undertake a pro forma by itself, nor do I be- lieve a developer should take it on by itself." One of the biggest misconceptions among officials who lack much experience with public-private partnerships is the idea that retailers will choose to open stores wherever markets meet their basic criteria, regardless of whether in- centives are on the table, says Myriam Simmons, director Sagamore Development Co. is reportedly seeking about $535 million in TIF for Baltimore's Port Covington project TIF