No. 1179 determining tax increment needed to satisfy obligations of the commission regarding the Sample-Ewing Allocation Area (No. 8)

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RESOLUTION NO. 1179 RESOLUTION OF THE SOUTH BEND REDEVELOPMENT COMMISSION DETERMINING TAX INCREMENT NEEDED TO SATISFY OBLIGATIONS OF THE COMMISSION REGARDING THE SAMPLE -EWING ALLOCATION AREA (SOUTH BEND ALLOCATION AREA NO. 8) WHEREAS, on April 16, 1993, the South Bend Redevelopment Commission (the "Commission ") adopted its Resolution No. 1151 (the "Declaratory Resolution ") declaring that an area designated by the Commission as the Sample -Ewing Development Area (the "Area ") in the City of South Bend, Indiana, is a "blighted area" within the meaning of the Redevelopment of Cities and Towns Act of 1953, I.C. 36 -7 -14, as amended (the "Act "); and WHEREAS, on May 21, 1993, after notice of the public hearing thereon and after obtaining all other approvals required by law, the Commission, in its Resolution No. 1154, confirmed the Declaratory Resolution; and WHEREAS, the Commission in accordance with the Act, has previously established the "Sample -Ewing Allocation Area (South Bend Allocation °t Area No. 8) which has boundaries conterminous with the Area; and WHEREAS, the Commission previously designated the Rum Village Industrial Park Allocation Area (South Bend Allocation Area No. 4) and the Studebaker Corridor Allocation Area (South Bend Allocation Area No. 6) and these allocation areas are now contained in the Sample -Ewing Allocation Area (South Bend Allocation Area No. 8) since the adoption of Resolution No. 1151; and WHEREAS, the Commission, in accordance with the Act, has previously established the South Bend Department of Redevelopment Allocation Area (South Bend Allocation Area No. 8) Special Fund (the "Allocation Fund "); and WHEREAS, 50 IAC 8 contains rules adopted by the Indiana State Board of Tax Commissioners concerning tax increment finance (the "Regulations"); and WHEREAS, Section 39 of the Act and 50 IAC 8 -2 -4 require the Commission to determine before July 15, 1993, whether the sum of the balance in the Allocation Fund plus estimated future investment earnings on that balance is sufficient to satisfy obligations of the Commission over the terms of those obligations, and whether the capture of only a portion of the potential captured assessment (as defined in the Regulations) will result in a balance in the Allocation Fund in 1994 that, when combined with future investment earnings on that balance and the resultant tax increment to be collected in 1994, will be sufficient to satisfy the obligations of the Commission over the terms of those obligations. NOW, THEREFORE, BE IT RESOLVED by the South Bend Redevelopment Commission as follows: 1. The Commission hereby determines that the sum of the current balance in the Allocation Fund plus estimated future investment earnings on that balance is not sufficient to meet the uses by the Commission of such sum pursuant to Section 39(b)(2) of the Act. 2. The Commission further determines that the capture of only a portion of the potential captured assessment in 1994 will result in a balance in the Allocation Fund in 1994 that, when combined with future investment earnings on that balance and the resultant tax increment to be collected in 1994, will not be sufficient to satisfy the obligations of the Commission of such sum pursuant to Section 39 (b) (2) of the Act, and that therefore all of the potential captured assessment for the Allocation Area in 1994 shall be treated as captured assessment (as defined in the Regulations). In making this determination, the Commission has considered the effect that the determination will have on the property tax rate in the Redevelopment District.