Muncie, IN -Today, the Ridenour administration took the initial steps toward closing out four of its TIF districts by presenting Resolutions to the Muncie Redevelopment Commission (MRC) Board. The board was in unanimous support. Delaware Dynamics, The Waelz project at the Old Borg Warner location, the Bison project just north of the new justice center, and the Nebo Road are the TIF Districts being closed out. “The Delaware Dynamics expansion was funded without using any TIF District debt, so in my mind the TIF should be closed. Closing when appropriate is what we will be doing going forward and it is the right step to take. Closing the TIF will allow for any revenues from the new assessed value of the expansion to be distributed to the Muncie General Fund, Muncie Community Schools, MITS, MSD, and the Library instead of to the TIF District” stated Mayor Ridenour.
Two other TIF Districts fell through before debt for different reasons: The Recycling plant project at the Old Borg Warner location ended when Heritage Environmental backed out of the project and the Bison financing package was rejected by the city council which ending that project. The TIF districts remained on the books without projects. “We see no reason to leave a TIF District open when the project is complete, debt paid off or if it fails to materialize” said City Controller Trent Conway.
One TIF District, Nebo TIF, has slightly more than $30,000 in the bank with $47,000 more tax revenue expected in 2020. This TIF District was originally set up to help create the Auto Dealership Mall at McGalliard and Nebo Roads on the Northwest side of the city. The Hubler Ford Dealership is complete and open for business. There are two more buildings under construction at this time which will mean additional tax revenue as they get assessed and put on the tax rolls. “The debt for this TIF District has been paid off in full. To simply keep generating funds for some yet to be determined future MRC project, when other tax entities could use those resources, is contrary to what this Administration believes is the right thing to do. We are closing it down because I believe that was the intent of the law on TIF Districts. When a project is completed, we shut down the TIF. When we get new projects in the future, we will go to the MRC and the City Council to set up a new one for that one project” – Mayor Ridenour said.