DeKALB – The city is researching the pros and cons of expanding its number of tax increment financing districts.

At Monday’s meeting, City Manager Mark Biernacki said the DeKalb City Council will be presented with a report by the end of 2012 on whether certain areas of the city should be designated as tax increment financing districts.

In these districts, local taxing bodies can only collect on a property’s base value for a maximum 23 years. Property taxes are not capped though. The money collected above the base value – referred to as the increment – goes into a special fund to pay for improvements within the district.