HomeMy WebLinkAboutagenda item 2015 0625 rdc 06d1Depa rt men t of
Community Investment
Redevelopment Commission Agenda Item
DATE:
FROM:
SUBJECT:
June 22, 2015 C .
Beth Leonard Inks, Director of Admin & Finance~
Determinations of Need for Tax Increment to be collected in 2016
PURPOSE OF REQUEST:
Attached are 2 resolutions for the 2016 tax collection year. Specifics are:
1. Resolution #3296 -Releasing the Tax Increment for South Side #3 (Erskine Village)
to be allocated to the respective taxing units. As you will recall we currently have cash on
hand to pay off the bonds in this area but bond documents do not allow payoff until February
2017.
2. Resolution #3297 -Determining that the Tax Increment to be Collected in all TIFs
(other than South Side #3-Erskine Village) is needed to Satisfy Obligations of the Commission
I will be happy to answer any additional questions you may have on this subject.
227 W. JEFFERSON BLVD. SOUTH BEND, IN 46601 I P: 574-235-9371 I FAX: 574-235-9021 I SOUTHBENDIN.GOV
ITEM: 6.D.(1)
RESOLUTION NO. 3296
RESOLUTION OF THE SOUTH BEND REDEVELOPMENT COMMISSION
DETERMINING THAT THE TAX INCREMENT FOR ERSKINE VILLAGE TO BE
COLLECTED IN THE YEAR 2016 MAY BE ALLOCATED TO THE RESPECTIVE
TAXING UNITS AND OTHER RELATED MATTERS
WHEREAS, the South Bend Redevelopment Commission (the "Commission"), the
governing body of the South Bend, Indiana, Department of Redevelopment (the "Department")
. and of the Redevelopment District of the City of South Bend, Indiana (the "Redevelopment
District"), exists and operates under the provisions. of IC 3 6-7-14, as amended from time to time
(the "Act"); and
WHEREAS, the Commission has previously adopted resolutions, which have been
amended from time to time, declaring the South Side Development Area to be a redevelopment
area within the meaning of the Act (the "Area") and designated territory within such Area as
Allocation Area No. 3 (the "Allocation Area") under Section 39 of the Act; and
WHEREAS, the Commission, in accordance with the Act, has previously established an
allocation fund for the Allocation Area (the "Allocation Fund"); and
WHEREAS, Section 39 of the Act requires the Commission to determine the amount, if
any, by which the assessed value of the taxable property in the Allocation Area for the most
recent assessment date minus the base assessed value, when multiplied by the estimated tax rate
of the allocation area, will exceed the amount of assessed value needed to produce the property
taxes necessary to make, when due, principal and interest payments on bonds, plus the amount
necessary for other purposes described in Section 39; and
WHEREAS, if the amount of excess assessed value determined by the Commission is
expected to generate more than two hundred percent (200%) of the amount of allocated tax
proceeds necessary to make, when due, principal and interest payments on bonds plus the
amount necessary for other purposes described in Section 39, the Commission shall submit to the
Common Council its determination of the excess assessed value that the Commission proposes to
release to the respective taxing units for confirmation or modification of such finding by the
Common Council and thereafter to provide notice to the St. Joseph County Auditor, the Common
Council, and the fiscal officers for each taxing unit located wholly or partly within the respective
Allocation Areas before July 15 of each year written notice of the following: (i) the amount, if
any, of excess assessed value that the Common Council has determined may be allocated to the
respective taxing units in the manner prescribed in Section 39;
NOW, THEREFORE, BE IT RESOLVED by the South Bend Redevelopment
Commission as follows:
1. The Commission hereby determines that for tax year payable 2016, all of the
assessed value in the Allocation Area is excess assessed value and may be allocated to the
respective taxing units in the manner prescribed in Section 39 of the Act because the
Commission hereby finds that the amount by which the assessed .value of the taxable property in
the Allocation Area for the most recent assessment date minus the base assessed value,. when
multiplied by the estimated tax rate of the allocation area, will exceed the amount of assessed
value needed to produce the property taxes necessary to make, when due, principal and interest
payments on bonds, plus the amount necessary for other purposes described in Section 39. In
making this determination, the Commission has considered the effect that such determination
will have on the property tax rate in the Redevelopment District.
2. This determination for 2016 shall not be construed to affect any future
determination of the Commission with respect to the capture of assessed value of the taxable
property in the Allocation Area in the years following 2016.
3. The President or Vice President of the Commission is hereby authorized and
directed to immediately notify or cause to be notified the South Bend Common Council of its
determinations made herein; and thereafter to provide notice to the St. Joseph County Auditor,
the Common Coupcil, and the officers who are authorized to fix budgets, tax rates, and tax levies
under Indiana Code 6-1.1-17-5 for each taxing unit located wholly or partly within the respective
Allocation Areas of the determinations made by the Common Council, through the use of a letter
in such form as may be recommended by legal counsel, such approval to be conclusively
evidenced by the execution of said letter.
* * * * *
ADOPTED AND APPROVED at a meeting of the South Bend Redevelopment
Commission held on the 25th day of June, 2015 at 1308 County-City Building, 227 West
Jefferson Boulevard, South Bend, Indiana 46601.
ATTEST:
Sigriature
Printed Name and Title
South Bend Redevelopment Commission
CITY OF SOUTH BEND,
DEPARTMENT OF REDEVELOPMENT
Signature
Printed Name and Title
South Bend Redevelopment Commission
EXHIBIT A
(Form of Letter)
Date
Mr./Ms. [Name]
Taxing Unit
Address
Subject: Release of Incremental Assessed Value for tax year payable 2016
Dear Mr./Ms. [Name]:
In accordance with the provisions of IC 3 6-7-14-3 9, and upon the findings and recommendations
of the Redevelopment Commission to the South Bend Common Council, the South Bend
Common Council has determined that for the tax year payable 2016 the excess assessed value in
Allocation Area No. 3 (Erskine Village) of the South Side Development Area may be allocated
to the respective taxing units in the manner prescribed in IC 3 6-7-14-3 9.
Very truly yours,
Marcia Jones
President
South Bend Redevelopment Commission