HomeMy WebLinkAbout5B1TIF Neutralization 2022 Baker Tilly
Redevelopment Commission Agenda Item
DATE: 9/16/2022
FROM: Joseph Molnar, Property Development Manager
SUBJECT: Annual TIF Neutralization Analysis (Baker Tilly)
Funding Source (circle one) River West; River East; South Side; Douglas Road; West Washington; RDC General
Purpose of Request:
This request is for Baker Tilly Municipal Advisors to provide professional services for the annual
TIF Neutralization worksheets required by state law. These worksheet calculations are done for
each TIF area and are used to adjust the base assessed value for natural growth in property
values.
For example, if the base assessed value of a TIF area was originally $1,000,000 and the area
had natural appreciation of 3%, or $30,000, this amount would become part of the increment
captured unless the base is adjusted.
After adjustment, this $30,000 would be added to the base, which would now be $1,030,000,
allowing other taxing jurisdictions to maintain their tax base by capturing the natural appreciation
of property. Increment captured by the TIF area should be a result of new development, not the
natural appreciation in property values that pre-existed the TIF.
Staff requests approval to complete the required annual TIF Neutralization worksheets.
INTERNAL USE ONLY: Project ID: ;
Total Amount – New Project Budget Appropriation $_______________;
Total Amount – Existing Project Budget Change (increase or decrease) $_______________;
Funding Limits: Engineering: $_____________________; Other Prof Serv Amt $____________;
Acquisition of Land/Bldg (circle one) Amt: $___________; Street Const Amt $________________;
Building Imp Amt $_________; Sewers Amt $_________; Other (specify) Amt $ ________________
_________________________Pres/V-Pres
ATTEST: __________________Secretary
Date: ____________________
APPROVED Not Approved
SOUTH BEND REDEVELOPMENT COMMISSION