Atlanta Advances Neighborhood Reinvestment Through TAD Extensions

The City of Atlanta has taken a significant step toward expanding long-term investment in neighborhoods by approving legislation to extend the life of six of the city's Tax Allocation Districts (TADs). The action is a key component of Mayor Andre Dickens' Neighborhood Reinvestment Initiative. It is intended to generate additional funding for affordable housing, infrastructure improvements, economic development, parks, and other community investments over the coming decades.

The extensions allow the city to continue capturing growth in property tax revenues within the TADs and reinvest those dollars in the communities where they are generated. City leaders estimate the extensions could leverage billions of dollars in future public and private investment while supporting redevelopment efforts in neighborhoods throughout Atlanta.

What Happens Next?

Although the City Council has approved the legislation, several implementation steps remain before the extensions become fully effective.

The next phase includes:

• Final approval and execution of intergovernmental agreements with participating taxing jurisdictions, including the City of Atlanta, Fulton County, DeKalb County, Atlanta Public Schools, MARTA, and any other affected taxing authorities. Each jurisdiction must review and approve the agreements through its respective governing board or authority, typically by formal resolution or vote, before the TAD extensions become fully effective.

• Updates to redevelopment plans and financing documents for each affected TAD.

• Coordination with the Atlanta Urban Development Corporation and other implementation partners regarding project priorities and funding strategies.

• Development of project lists and investment criteria to guide future expenditures.

City officials anticipate much of this implementation work will occur over the next several months, with new investments expected to begin rolling out during the upcoming fiscal years as projects are identified and approved.

Looking Ahead: Special Service Districts

While extending the TADs addresses many of the city's current redevelopment goals, Atlanta leaders have also begun discussing the future use of Special Service Districts (SSDs) as an additional economic development tool.

Unlike TADs, which rely on the growth in property tax revenues, SSDs allow property owners within a defined geographic area to fund enhanced services or capital improvements through an additional property assessment. SSDs are commonly used to support streetscape improvements, public safety initiatives, transportation enhancements, beautification projects, and maintenance services that benefit commercial corridors and business districts.

Although no formal SSD proposals have been adopted, city officials have indicated they may become part of Atlanta's long-term economic development strategy once the TAD extension initiative is fully implemented. For REALTORS®, property owners, and developers, future discussions surrounding SSDs will be important to monitor, as they could influence how infrastructure and neighborhood improvements are financed in the years ahead.

ACBR will continue monitoring both the implementation of the TAD extensions and any future proposals involving Special Service Districts, keeping members informed as additional details become available.