New TIF proposal approved by Beaver Local
CALCUTTA — The Beaver Local Board of Education gave its blessing Monday for St. Clair Township officials to develop a new Tax Increment Fund (TIF), which officials say will not negatively affect the school or residents.
The TIF agreement involves real estate tax payments to handle infrastructure projects throughout the township.
St. Clair Township currently holds two TIF districts. TIF I–which started in August 1999 and is expected to expire in August 2019– is an agreement made between the school and the township, to which a portion of the real estate taxes for the schools are diverted to the township for the purpose of infrastructure projects. This TIF dealt with the McGuffey Drive project.
TIF II, on the other hand, involved collection of real estate taxes through commercial matters, but does not affect the school district. TIF II started in 2004 and will expire in 2024.
On Monday, township Trustee James Sabatini said that with the planned expiration of TIF I next year, the township is looking into starting TIF III, which like TIF II will be for commercial matters.
“What we are looking to do is take the new properties that have come into the township, namely Power GM, McDonald’s and Dunkin and the book place, and those will be included in TIF III, so when these other TIFs expire, everything will move over to that, and we can continue the compensation with them.”
Sabatini said that although there are statutes in the TIF law in which the township can ask a school district for a portion of their taxes, but stated that when it comes to TIF III, also like TIF II, it will not require the school district to pay any additional monies nor will it result in an increase of taxes to residents residing in the school district.
As for the agreement presented to the board on Monday, Sabatini said that the agreements grant permission for the township to waive certain notices require 14 to 45 day notices to the public and the district, and that the township would like to get the TIF III by the end of the year.
Sabatini also stated that at the time TIF II was started, since the school district was not going to be involved, the township wasn’t required to address the matter with the school district. However now, under Ohio Revised Code, the township must seek approval from the school board.
“We need to inform the school board that are they are not being asked to participate with us moving forward in TIF III”, Sabatini said.
The agreements were approved, 4-0, with board member Jerry Barnett absent.