|
SOUTH BEND (INDIANA) REDEVELOPMENT COMMISSION
<br />STATEMENT DISCLOSING THE IMPACT OF AMENDING THE RIVER WEST
<br />DEVELOPMENT AREA AND RIVER WEST ALLOCATION AREA
<br />4
<br />ESTIMATED IMPACT OF AMENDING THE AREA, THE RIVER WEST ALLOCATION AREA, AND THE PLAN
<br />Scenario I: Present Situation (Prior to Amending the Area, the River West Allocation Area, and the Plan)
<br />(Cont’d)
<br />River West Allocation Area is $282,980,497 is multiplied by the certified 2024 tax rate for the South Bend –
<br />Portage Township taxing district, less the combined South Bend Community School Corporation referendum rates
<br />of $0.3840, for a net tax rate of $4.9708 (the “Net South Bend – Portage Township Tax Rate”) (per $100 of
<br />assessed value), to generate an estimated annual real property Tax Increment of $9,701,490, after the application
<br />of the Circuit Breaker Tax Credits. The incremental assessed value of the South Bend – German Township taxing
<br />district portion of the River West Allocation Area is $280,185,964, multiplied by the certified 2024 tax rate for the
<br />South Bend – German Township taxing district, less the combined South Bend Community School Corporation
<br />Referendum Rates of $0.3840, for a net tax rate of $4.9375 (the “Net South Bend – German Township Tax Rate”)
<br />(per $100 of assessed value), to generate an estimated annual real property Tax Increment of $10,366,260, after
<br />the application of the Circuit Breaker Tax Credits. The incremental assessed value of the South Bend – Warren
<br />Township taxing district portion of the River West Allocation Area is $24,262,000, multiplied by the certified 2024
<br />tax rate for the South Bend – Warren Township taxing district, less the combined South Bend Community School
<br />Corporation Referendum Rates of $0.3840, for a net tax rate of $4.9590 (the “Net South Bend – Warren Township
<br />Tax Rate”) (per $100 of assessed value), to generate an estimated annual real property Tax Increment of
<br />$876,670, after the application of the Circuit Breaker Tax Credits.
<br />Scenario II: Assumes the Area, River West Allocation Area, and the Plan are Amended
<br />Scenario II depicts the impact on the overlapping taxing units (holding all other factors constant) if the Area, River
<br />West Allocation Area, and Plan are amended, and assumes that the incremental assessed value from the Future
<br />Development is captured, and the net assessed value of the Future Development is added to the assessed value
<br />of the overlapping taxing units.
<br />The Commission intends to capture an illustrative $10,000,000 of incremental assessed value from the Future
<br />Development in the Expansion Allocation Area located within the South Bend – Portage Township taxing district.
<br />Multiplied by the Net South Bend – Portage Township Tax Rate, net of the application of the Circuit Breaker Tax
<br />Credit, and LIT PTRC, the incremental assessed value is estimated to generate $361,480 of annual net Tax
<br />Increment in the South Bend – Portage Township taxing district. The Commission intends to capture an illustrative
<br />$10,000,000 of incremental assessed value from the Future Development in the Expansion Allocation Area
<br />located within the South Bend – German Township taxing district. Multiplied by the Net South Bend – German
<br />Township Tax Rate, net of the application of the Circuit Breaker Tax Credit, and LIT PTRC, the incremental
<br />assessed value is estimated to generate $361,070 of annual net Tax Increment in the South Bend – German
<br />Township taxing district.
<br />Scenario II also depicts the impact on the School Corporation’s Referendum tax rates, which may not be included
<br />in the Tax Increment calculation. It is estimated that the Future Development would reduce the School
<br />Corporation’s Debt Referendum tax rate by $0.0001 and increases the School Corporation's Operating
<br />Referendum levy by $66,680. This Scenario does not show any other impacts on the taxing units within the South
<br />Bend - Portage Township and South Bend – German Township taxing districts as a result of the Expansion
<br />Allocation Area.
<br />Scenario III: Assumes the Area, River West Allocation Area, and the Plan are NOT Amended
<br />Scenario III represents the impact on the overlapping taxing units if the Area, River West Allocation Area, and the
<br />Plan are not amended, assumes the Expansion Areas and Expansion Allocation Area are not established, and
<br />therefore, assumes the Future Development does not occur as a result of the Projects not being funded.
<br />Impact Summary
<br />In the 2024 Amending Resolution, the Commission finds that the amendment of the Area and River West
<br />Allocation Area will result in new property taxes that would not have been generated without this new allocation
|