SB 408

Bill Subjects

Economic Development, Redevelopment And Renovation Of Urban Areas Tax Increment Financing (Tif)

Abstract

Changes the nonvoting adviser of a redevelopment commission to a voting school liaison member (school liaison) beginning July 1, 2021. Requires the school liaison to be either: (1) a member of the school board of a corporation in the territory of the redevelopment commission; or (2) a teacher recommended by the school board. Provides that if the school liaison is a teacher, the school liaison is entitled to a salary, per diem, or reimbursement of expenses. Provides that if a person will receive tax increment financing assistance for the redevelopment of a property, a redevelopment commission is prohibited from entering into a redevelopment agreement for the property if the redevelopment commission or unit was assigned a purchase agreement for the property in the past 18 months. Requires a redevelopment commission to designate a percentage of the bond proceeds for bonds issued after June 30, 2021, for a redevelopment project area that will be redeveloped by a private enterprise, to be paid to a school corporation located within the redevelopment project area. Provides that for a tax increment financing allocation area established after July 1, 2021, the expiration date may not be more than 35 years after the date on which the allocation provision is established. Beginning July 1, 2021, requires a redevelopment commission and a private enterprise that enter into a redevelopment agreement that provides tax increment financing assistance to the private enterprise to also enter into a minimum tax payment agreement (agreement). Provides that an agreement must require a private enterprise to pay property taxes in an amount that is at least equal to the sum needed to make all payments that are due in the calendar year on obligations payable from the tax increment revenues used to finance the redevelopment of the allocation area. Requires the agreement to have a termination date. Makes conforming amendments.