Senate File 23, carried by Senator Rest and presented Feb. 18 with Office of the State Auditor staff, would clarify what counts as "unobligated increment" transferred under temporary authority during the COVID period and how those funds must be returned by the statutory deadline.

Jason Nord, TIF Division Director at the Office of the State Auditor, told the committee the office found ambiguous language on whether dollars transferred and then loaned or invested must be returned by Dec. 31, 2025, even if repayment of loans is scheduled for later years. "We just spotted some ambiguity with this deadline coming up," Nord said, and explained the proposal would explicitly require repayment of principal and interest on loans and the return of earnings on invested funds to the originating district when the loans or investments are repaid.

Nord told the committee approximately $92,400,000 was transferred statewide under the temporary authority; he said the proposed language is intended as a reasonable default interpretation to avoid unintended forfeitures of increment and to align repayment timing with actual loan repayment schedules. Senate File 23 was laid over for possible inclusion; the Office of the State Auditor said it is open to alternate drafting that provides the same clarity.