Relating to: equalized value calculations, project costs, and local levy limits relating to tax incremental districts. (FE)

AB 706 modifies Wisconsin's tax increment district (TID) rules by reducing the local tax base limit from 18% to 12% of a city's total taxable value for certain districts. It restricts residential use in mixed-use TID projects to 35% of the district area and expands allowable TID spending to include park development costs. These changes directly affect cities and towns operating TIDs by altering how they calculate tax base limits and fund eligible projects. The bill aims to clarify TID management while controlling tax impacts on non-district areas.