By VICKI URBANIK
The Porter County Commissioners gave preliminary approval
Tuesday to the establishment of a countywide redevelopment commission to
advise the county on how to revitalize sites in the unincorporated areas.
But unlike the redevelopment commissions that now exist in
several municipalities, the new agency would not have the power to tax or
create new Tax Increment Finance districts. Instead, the new commission
would serve in an advisory role in planning and would work to seek grants to
carry out identified projects.
The idea of establishing a county redevelopment commission
originated with the Porter
County Economic Development Alliance, which presented its proposal to the
commissioners in September.
The commissioners gave first-reading approval to an ordinance
Tuesday establishing a Porter County Department of Redevelopment, which
would be overseen by a new redevelopment commission. The purpose of both
would be to “promote sound and planned redevelopment” in the unincorporated
areas.
The new redevelopment commission will consist of five
advisory board members, three of whom will be appointed by the commissioners
and two by the county council. The ordinance allows one of the members to be
a commissioner and one a council member. In accordance with state law, a
representative from a school corporation will also serve as a non-voting
member.
The redevelopment commission will have the authority to hire
a part-time executive director and part-time staff, as well as receive
assistance from the county engineer, county planner and county attorney,
under the ordinance. The commission is to meet at least once monthly, under
the ordinance.
The ordinance also notes that the commissioners have
“reservations” about some of the powers that state law gives to
redevelopment commissions. As such, the new agency would be specifically
prohibited from being able to condemn property, levy a countywide tax or
establish TIF districts.
In a TIF district, the commercial properties pay their normal
share of property taxes, but the tax money from any new development isn’t
distributed to the school, library, county, township and other units as
usual but instead is “captured”
to pay for infrastructure or other improvements in the TIF district.
County Commissioner President Robert Harper said TIF
districts have evolved into a type of a “third government,” often resulting
in departments with huge budgets but with little oversight by elected
officials. He said one of the main reasons given for promoting economic
development is to expand the tax base, but he questioned the value to the
taxpayer if the revenue from the improvements in a TIF district doesn’t
actually help the tax base.
“It’s sort of a slight of hand thing,” he said.
But while the new redevelopment commission will be advisory
only, both Harper and North Porter County Commissioner John Evans expressed
high hopes for the agency.
“I don’t think it lowers the expectations of what we want
them to do,” Evans said.
He said he believes it’s better to have an advisory body in
place, because taxpayers would prefer to have elected officials make
tax-related decisions.
Harper also said he feels that the county in general hasn’t
been aggressive enough in seeking grants for improvement projects, and that
the new redevelopment commission should fill that void. He also said he can
see the redevelopment commission working closing with the county’s ongoing
corridor planning project as well as the PCEDA, which gets a share of county
income tax funds and which might fund the new redevelopment staff.
“Hopefully this is going to take it to a new level,” he said
of improving the unincorporated areas.
Final adoption of the ordinance is set for Feb. 3, at which
time the commissioners might appoint its members to the commission.
Posted 1/21/2009