As used in this article, unless the context clearly shows otherwise, the term or phrase: “Base assessed value” means the assessed value of real estate or machinery and tools within a local enterprise zone as shown upon the records of the local assessing officer on January 1 of the year preceding the effective date of the ordinance establishing the local enterprise zone development taxation. “Current assessed value” means the annual assessed value of real estate or machinery and tools in a local enterprise zone as shown upon the records of the local assessing officer. “Enterprise zone” means an area designated by the Governor as an enterprise zone pursuant to Chapter 49 (§ 59.1-538 et seq.) of Title 59.1. “Local enterprise zone” means an enterprise zone designated as a local enterprise zone by an ordinance adopted pursuant to § 58.1-3245.8. “Tax increment” means all or a portion of the amount by which the current assessed value of real estate or machinery and tools, or both, in a local enterprise zone exceeds the base assessed value.