Ridgeland financing Christmas presents for Northsiders
It’s going to be a great holiday season on the Northside this year thanks to the city of Ridgeland’s new innovative plan to use Tax-Increment Financing (TIF) to finance Christmas.
The plan is to subsidize Christmas spending by allowing the sales tax revenue from holiday shopping to finance Northsiders’ credit card bills.
“We figured if we could do it for all the car dealers, why couldn’t we just do it for all our citizens,” said Ridgeland city councilman Macon M. Rich. “Then we figured, why not do it for the whole metro area, as long as they shop in Ridgeland.”
Here’s how it works: When you shop in Ridgeland, a new city software system will track the incremental sales tax revenue created by your purchases. Then a multiplier effect of 18.7 is added to that. Instead of that money going to Ridgeland, it will go to pay off your credit card bill for all your holiday shopping.
“It’s a great economic development tool,” said Ridgeland councilman Bill Foldes. “The city really doesn’t lose anything because it’s incremental revenue. And all that shopping will help all our stores do better and ultimately increase tax revenue for the city. It’s going to be such an awesome Christmas, Santa won’t have anything to do!”
The Northside Sun contacted Santa at the North Pole for his opinion on this new municipal financing mechanism. “Ho, ho, ho, Merry Christmas,” Santa said. “It’s good to see the city of Ridgeland in the holiday spirit, but Christmas has been taking care of itself for hundreds of years without government intervention.”
“My elves are working overtime and everything is on schedule,” Santa said. “We have plenty of gifts for all the good girls and boys — no Christmas TIF needed. Ho, ho, ho.”
When asked if the Ridgeland city council members were on the naughty or nice list, Santa said. “No comment.”
Meanwhile, Jackson Mayor Chockfull O’ Mumbo, was none too happy about Ridgeland stealing away its holiday shoppers. “This is outrageous! They are using tax dollars to steal our business. There ought to be a law.”
O’Mumbo threatened to use his newly cemented relationship with President Trump to see what federal action can be taken. O’Mumbo and Trump bonded on Trump’s recent visit to the museum grand openings, opening the floodgates of federal money to help Jackson.
Even if the shopping TIFs don’t work, Ridgeland officials said it’s still going to be one heckuva Christmas for car dealers. “Even if we aren’t able to lower taxes because of all this money we’re giving car dealers, the car dealers are going to be able to afford much nicer corporate airplanes,” Ridgeland city councilman Buck Dollarhide said. “This means a much shorter flight down to the Super Bowl games.”
The Ridgeland Christmas TIF financing involves a substantial amount of legal work to make sure it complies with existing state and federal regulations. The law firm of Dewey, Cheetham and Howe has been retained by the city to handle the legal aspects of the Christmas TIF.
