2021 Delaware Code
Title 22 - Municipalities
Chapter 17. Municipal Tax Increment Financing Act
§ 1705. Application of bond proceeds.
All proceeds received from any bonds issued and sold pursuant to this chapter shall be applied solely for:
(1) The cost of purchasing, leasing, condemning or otherwise acquiring land or other property, or an interest in them, in the designated TIF District or as necessary for a right-of-way or other easement to or from the TIF District;
(2) Demolition and site removal;
(3) Plans, specifications, studies, surveys, forecasts and estimates of cost and revenues;
(4) Relocation of businesses or residents;
(5) Installation of utilities, construction of parks and playgrounds, and other necessary improvements, including streets and roads to, from, or within the TIF District, parking, lighting and other facilities;
(6) Construction or rehabilitation of buildings;
(7) Reserves or capitalized interest;
(8) Necessary costs of issuing bonds;
(9) Permissive costs of issuing and servicing the bonds, which may include up to 0.5% of the bond issues as origination costs incurred by the municipality, and up to 2.0% of the bond debt service payments as administrative costs if administered by the municipality;
(10) Payment of the principal, premium, if any, and interest on loans, money advanced or any indebtedness incurred by a municipality for any of the purposes set out in this section, including the refunding of bonds previously issued under this chapter; and
(11) Any costs permitted under § 1801(2) of this title, and for any purposes described in § 1802(b)(2) of this title; provided, however, that the purposes described in § 1802(b)(2) of this title shall be with reference to the designated TIF District.
