One of the biggest struggles any municipal entity faces is providing effective communication to their stakeholders, and Downtown Development Authorities often fall into this rabbit hole even more than others. While annual reporting has always been a requirement for DDAs, with no specific oversight it is often a task that gets passed over or forgotten.
Providing an annual report not only keeps your DDA compliant with State requirements, but it fosters ownership with your downtown stakeholders. By sharing simple information on the basic financials and achievements of the DDA, people outside the Authority get a glimpse into what goes on over the year. DDAs like Elk Rapids, East Jordan, Bellaire, and more are producing easy to read, informative reports to update their stakeholders.
Basic State reporting requirements state you must include the amount and source of revenue in the account; the amount in any bond reserve account; the amount and purpose of expenditures from the account; the amount of principal and interest on any outstanding bonded indebtedness; the initial assessed value of the project area; the captured assessed value retained by the authority; the tax increment revenues received; the number of jobs created as a result of the implementation of the tax increment financing plan; and any additional information the governing body or the state tax commission considers necessary. Along with this information we suggest including a brief history of the DDA, lists of completed project, and plans for the future.
By producing a readable Annual Report, DDAs can foster buy-in from their community stakeholders and continue to grow the activities they are able to accomplish.