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South Bend Redevelopment Commission <br />Regular Meeting -July 21, 2006 <br />6. NEW BUSINESS (CONT.) <br />E. Airport Economic Development Area <br />continued... <br />apparently, has as part of its business plan to <br />come to the Redevelopment Commission to <br />ask for TIF funds to be used for major repairs <br />and maintenance. He thinks that is wrong. <br />That drains TIF which should be used to <br />create new jobs and tax base. Though it may <br />be a legal use of TIF, it isn't a wise use. <br />Mr. Inks responded that he didn't know why <br />the bond payments were set up to come from <br />golf course revenues. Bond payments are in <br />excess of $600,000 annually. If net profits <br />are only $300,000 you can't cover all of the <br />costs. If you took the debt service out of the <br />golf course and paid that from some other <br />source, such as TIF, then the golf course <br />could establish a fund to pay for long term <br />capital. The view in the past has been that <br />there is only so much money. It's a matter of <br />how you want to see it laid out on paper. <br />Mr. King indicated that it may make some <br />sense to pay debt service out of TIF in order <br />to demonstrate that this is an industrial <br />development activity. But, he'd mostly like <br />to encourage a management mindset and a <br />business model for this golf course that is <br />aimed at it being self sustaining instead of <br />taking funds out of a pocket that would <br />otherwise be used to benefit the community <br />by attracting new industry and creating new <br />jobs. <br />Mr. Downes made a motion to approve the <br />amendment to the 2006 Blackthorn Golf <br />Course Budget in anot-to-exceed amount of <br />THE AMENDMENT TO THE 2006 BLACKTHORN <br />GOLF COURSE BUDGET WAS NOT APPROVED. <br />STAFF WAS INSTRUCTED TO BRING BACK AN <br />ACCEPTABLE PLAN QUICKLY <br />33 <br />