Proposed tax increment finance district encompasses majority of Jasper industry
Tuesday, the Jasper Redevelopment Commission passed a resolution to begin the process of creating the city’s first tax-increment finance district.
Jasper could be the second city in the county to create and use the TIF districts as soon as early next year. The districts, created by resolution, allow the increased property taxes created by the increased assessed value of improved commercial properties in the district to be used for improvements that support the development of the district. TIF cannot be collected from residential areas or improved residences in a TIF district.
The increased taxes that are collected can be used for things like the development of The Parklands, the Downtown Master Plan projects, and improvements to support further economic development in the district. According to state law, the Jasper Redevelopment Commission would control how those funds are allocated.
Ed Curtin of Columbus-based CWC Latitudes, LLC, has been consulting with the redevelopment commission since April to create the TIF districts. Curtin also assisted Huntingburg and Bedford in achieving Stellar Community designation.
The map presented for approval today included the majority of the city’s industrial base from 36th Street to south of 100W in the TIF district. The district runs along the Patoka River and includes the downtown area as well as the Jasper Cabinet building and the proposed Shovel-ready site on Jasper’s south side.
Commission member John Kahle remarked that the district encompasses 90 percent of the city’s industrial area.
Commission member Andy Seger asked how the TIF district would impact the tax abatement process. According to Curtin, both programs play different roles in the process of economic development. He recommended that those properties improved in the TIF district that seek abatement may have to have a shortened abatement time frame. He also pointed out that both programs serve different purposes, tax abatement was good for long range operational expenses whereas TIF would be appropriate for improvement projects.
“Both are certainly tools to incite economic development,” Seger added.
The current property taxes for the designated area will remain available for the city, any improvements made that increase the assessed value of the industrial properties will remain in the TIF funds for at least 25 years after it is approved. Annually, though, the redevelopment commission will determine how much of the TIF funds created by improvements will remain with the TIF fund and how much will be allotted to the city coffers.
The proposed district will be presented to the Jasper Planning Commission Wednesday at 7:30 p.m. and the Jasper Common Council will review it at the November 19 meeting at 7 p.m.
The plan will be up for approval in December but the public will be invited to a hearing prior to that decision being made. Here is a downloadable version: TIF_Map.
If approval is granted, the Jasper Redevelopment Commission plans on approving a confirmatory resolution creating the TIF district in January.
The city is interested in hearing from the public about the TIF proposal.
“We will be paying attention to comments at the plan and council meetings and from the public,” Seger said.
The redevelopment commission also approved $173,445 from the sale of the 10 acres of The Parklands to the Greater Jasper Consolidated School District to be placed back into the city’s rainy day fund.
