Budget discussions were on the Warsaw Redevelopment Commission agenda, however, Warsaw Community and Economic Development Director Jeremy Skinner did not have the budget ready for the Commission’s review during its meeting Monday.
Typically, Skinner said, he has the budgets ready for the Commission to review at June’s meeting and to approve at July’s meeting.
Skinner said he is still working on some things that he was not quite done with, so he said he would send out the budget to Commission members when he is done with it.
He said he is trying to get a better grasp of what revenue the residential tax incremental fund would generate. He’s had conversation with county officials to see what kind of information they could give him.
Skinner said with the COVID-19 pandemic over the last year, the taxes were a little different.
Skinner said the Commission will have to review the budgets once he sends them to the members, so the Commission can approve them in July. Skinner said if members have any questions while reviewing the information to let him know.
In other business, the Commission approved a resolution to make Cross PVD UV Coating and Finishing Corporation a taxpayer. Skinner said it was the final resolution to make Cross PVD UV Coating and Finishing Corporation, a company that is replacing Winona PVD Coatings, a taxpayer in the consolidated Northern Economic Development Area.
Even though the two companies are not related and make different products, Skinner said it will capture any personal property taxes Cross PVD would pay on equipment it purchased from the sale of Winona PVD in order to pay off bonds that were already issued for Winona PVD. Winona PVD closed at the end of 2019.
In September 2015, the Warsaw Common Council approved two resolutions in regards to the bonds. The first resolution was the issuance of certain Redevelopment Commission tax increment special taxing district bonds. The bonds were not to exceed $865,000, and the interest rate for the bond was not to exceed 6.5% and not mature before Feb. 1, 2030.
The second resolution was an agreement between Winona PVD, the city and Redevelopment Commission that if the TIF revenues are insufficient to pay the principal, Winona PVD is required to pay the remaining amount.
Skinner said “Winona PVD’s stuff went to auction” and covered a portion of the bonds.
A public hearing was held during Monday’s meeting to hear any remonstration against the resolution. There were no remonstrators.
The resolution has been approved by the Warsaw Common Council and Plan Commission.
