Understanding Brownfield Redevelopment

For residents, a BRA does not raise your property taxes. Instead, it uses a tool called tax increment financing (TIF) — which captures a portion of the new taxes generated when a property is improved — to reinvest back into the project area. This means redevelopment is funded through the new value created, not through additional taxes on existing residents. 

No. A BRA does not hand out money from the city’s general fund. Instead, it allows the city to partner with developers so that certain costs — such as environmental cleanup, site preparation, or public infrastructure — can be offset by the future tax revenue the project itself creates. Developers are still expected to invest their own resources, and any incentives are tied to measurable community benefit. 

Community members have multiple opportunities to provide input — through the BRA board members, BRA and City Commission public meetings, and direct communication with city staff and elected officials. The city is committed to making sure residents understand how the process works, have the facts they need, and have space for dialogue.

Yes. A property does not have to have environmental issues to qualify for a Brownfield TIF. For the right project, Brownfield tools can be used to support new housing development or redevelopment. One option is Housing Tax Increment Financing (TIF), which uses a portion of the new property tax revenue created by a project to help cover certain costs of development (such as site preparation, infrastructure improvements, or demolition). This helps communities like St. Joseph expand housing options at different income levels and makes housing projects more financially feasible without raising taxes. 

Not always. While some Brownfield projects do involve cleaning up environmental concerns, the law in Michigan defines Brownfields more broadly. Sites can also qualify if they are underused, functionally obsolete, or blighted. This allows communities to address a wider range of problem properties — not just those with contamination — and turn them into productive spaces that benefit the community.  

Michigan’s 2023 updates to the Brownfield Redevelopment Financing Act (PA 381) allow “housing property” to use Brownfield Tax Increment Financing (TIF) when one or more units of residential housing are constructed or rehabilitated.  This also includes housing units within mixed-use projects (such as retail, rentals, parking, etc.). Housing-related activities under a Brownfield Plan that incorporate attainable housing may also be reviewed by the Michigan State Housing Development Authority (MSHDA).

AMI stands for Area Median Income. AMI is the midpoint of all household incomes in a specified region, where half of households in the area earn more than the AMI and half earn less. The U.S. Department of Housing and Urban Development (HUD) updates AMI numbers every year for each county or metro region.   

Why it Matters

Understanding area median income (AMI) helps us see who affordable housing supports in our community. Many working families, such as teachers, health care workers, first responders, skilled tradespeople, and young professionals, fall within the AMI range, meaning attainable housing enables them to live and thrive close to where they work.

Both the Michigan State Housing Development Authority (MSHDA) and the U.S. Department of Housing and Urban Development (HUD) use AMI to set consistent, data-based guidelines for what’s considered affordable housing in each community. Because housing costs and incomes vary widely across Michigan, AMI ensures that affordability is measured locally, not with a one-size-fits-all standard.