"If normal infrastructure bonds were issued outside of a TIF district, they would generally have to be approved by a taxpayer vote, and receive 60 percent or more support.  The property taxes of all citizens would be increased to pay for the bonds. Following development, the increased property taxes from the new appraisals would be divided among all taxing authorities, as normal

However, as Americans have learned over the past five years – all financial decisions, even magical things, involve risk. Not every project or idea is a success just because one wants it to be. There is no free money.

The potential moral hazard of TIF is becoming apparent. Many people, both taxpaying citizens and elected officeholders, are asking questions about TIF benefits. In many ways the questions reflect the local impact of negative bailout and crony capitalism decisions at the national level."

The source of this study has vanished from the earth.  

Policy Study, Deborah Thornton, Public Interest Institute, 2012

The link is dead.  It was:

http://scholar.googleusercontent.com/scholar?q=cache:xGvZpA8GvKQJ:scholar.google.com/&hl=en&as_sdt=80000005&sciodt=0,23