The Master Plan Implementation Committee of Northborough, Massachusetts, convened on March 20, 2025, to discuss key economic development strategies, including Tax Increment Financing (TIF) and the PACE program. The meeting highlighted the town's efforts to attract businesses and improve local economic conditions.

The discussion began with an overview of TIFs, a financial tool used to incentivize business growth. It was explained that TIFs typically offer decreasing tax breaks over a five-year period, starting at 90% in the first year and tapering down to full tax payments by the fifth year. This model has been successfully implemented in Marlborough, which has seen significant growth in high-tech and research businesses. The committee emphasized that each TIF agreement would be evaluated on a case-by-case basis, considering factors such as job creation and the nature of the business.

The committee also received a presentation on the PACE program, which allows commercial property owners to finance energy improvements through special assessments on their tax bills. This program aims to encourage energy efficiency upgrades, such as solar panel installations, without direct costs to the town. The committee expressed interest in exploring this program further.

Additionally, the committee discussed collaboration with the Central Massachusetts Regional Planning Commission (CMRPC) to develop a webpage that connects potential businesses with available properties in Northborough. This initiative aims to streamline the process for businesses looking to establish themselves in the town.

Key questions were raised regarding the terms of TIF agreements, including guarantees for businesses to remain in town after receiving tax breaks. It was noted that TIF agreements could include specific requirements for job creation and retention, with penalties for non-compliance.

The meeting concluded with a discussion about upcoming proposals for TIF agreements related to two specific sites in town. The committee acknowledged the need for careful negotiation and planning, as this would be the town's first TIF in decades.

Overall, the meeting underscored Northborough's commitment to fostering economic development through strategic financial incentives and collaboration with regional planning resources. The committee plans to continue exploring these initiatives and will keep the community informed of progress and opportunities.