Working toward TIF

Skycrest Solar Farm may begin construction soon.

In order to keep the solar farm encompassed in new tax increment financing districts, Jay County officials have been encouraged to move quickly on legislation.

Jay County Redevelopment Commission discussed a resolution and economic development plan Thursday that would lay the groundwork for three new TIF districts.

Redevelopment commission members asked consultant Ed Curtin of CWC Lattitudes to amend the economic development plan to allow TIF district dollars to go toward educational purposes. They also scheduled a special meeting for 5 p.m. Wednesday, Nov. 12, to vote on the resolution and amended plan.

Invenergy, the company planning Skycrest Solar on 2,500 acres in Penn and Jackson townships, has submitted a request to Jay County Plan Commission for partial construction approval.

County attorney Wes Schemenaur mentioned the request Thursday to the redevelopment commission. Business law firm Barnes & Thornburg suggested the county should enact the TIF districts by Jan. 1 in order to maximize tax dollars captured from Skycrest Solar.

The redevelopment commission has been looking into creating new TIF districts for months. Hopes are to encompass the four locations planned for commercial solar energy farms, capturing anywhere from $630,000 to just over $3 million in TIF dollars annually. 

TIF districts capture additional property tax revenue created by property improvements and set it aside to fund initiatives within the district, with the redevelopment commission overseeing those dollars.

Solar farms on the horizon are Skycrest Solar in northwest Jay County, Sun Chief Solar northeast of Redkey, Rose Gold Solar north of Dunkirk and New Jay Solar east of Dunkirk. (Rose Gold Solar and New Jay Solar would be bundled into the same TIF district.)

According to the economic development plan, the four projects represent $473 million in new, private investment in rural Jay County. Eligible uses for TIF dollars per the plan could include projects for transportation enhancement and utility infrastructure, a proposed broadband project with Mainstream Fiber Networks, Jay County Highway Department garage improvements, Jay County Solid Waste Management District’s new building, a new public safety building or the 68-acre infrastructure project on the western edge of Portland. 

Redevelopment commission members Carl Walker and Harold Towell voiced concern about receiving copies of the resolution and plan shortly before the meeting, saying they would like more time to review the legislation. Towell — he also serves as a Jay County Council member — suggested tabling it until redevelopment commission’s meeting in December, with redevelopment commission member and Jay County Commissioner Doug Horn pointing out if they wait until then, the legislation likely won’t be enacted by Jan. 1. 

The redevelopment commission then agreed to table the legislation and host the special session next week.

If approved, legislation will then be presented at Jay County Plan Commission’s meeting Thursday, Nov. 13, and Jay County Commissioner’s meeting on Monday, Nov. 24. Once approved by both, the county would need to give a 10-day notice before a public hearing, after which redevelopment commission can enact the TIF districts.

Redevelopment commission member Chuck Huffman also suggested adding educational purposes to the economic development plan as a potential use of TIF dollars, with his motion passing unanimously.

Also Thursday, redevelopment commission members talked about Portland City Council’s decision Oct. 6 to commit $400,000 toward the county’s 68-acre infrastructure project. Council’s commitment is contingent on Jay County Redevelopment Commission committing the remaining funding for the project.

The county has also an additional $1.282 million in American Rescue Plan Act dollars allocated toward the project. Commissioners also hope to receive $1.21 million through the state’s Regional Economic Acceleration and Development Initiative (READI) 2.0.

Redevelopment commission members questioned how much they would be asked to contribute, with Curtin suggesting a match of $400,000 to allow funding for contingencies. (In July, redevelopment commission withdrew its previous $1.5 million commitment toward the project, citing a lack of financial backing from the city.)

Huffman pointed out Jay County Commissioners president Chad Aker indicated at Portland City Council’s meeting in October that redevelopment commission would be asked to fund the remaining $235,000 for the project. That number has increased, explained Curtin, to allow more “wiggle room” for the overall cost.

After more discussion, Walker asked Horn to approach the topic with his fellow commissioners, saying the redevelopment commission should be presented with a formal funding request.

Relatedly, proposals from developers for the project were due Friday. Planning firm Rundell, Ernstberger and Associates will present amended cost estimates for the project — they have been fine-tuned since the site survey was completed, Curtin said — at redevelopment commission’s next meeting.

In other business, redevelopment commission:

•Approved redevelopment commission’s annual spending plan for 2026. A legally required document for Indiana Department of Local Government and Finance, the plan doesn’t commit redevelopment commission to spend funds as listed and may be amended at any time. The plan accounts for spending $6.55 million next year.

•Paid a $1,900 claim from consulting firm Baker Tilly.

•OK’d paying a $15,021.50 invoice from CWC Latitudes for Curtin’s services over the year, with Towell dissenting. Huffman pointed to a large amount of Curtin’s hours stemming from driving to and from Jay County. He suggested Curtin join more meetings remotely to cut down on costs, with other commission members agreeing.

 •Heard redevelopment commission’s cash balance sits at $1,627,289.18. In a separate fund controlled by redevelopment commission, there is also $1.282 million in American Rescue Plan Act dollars allocated by the county for the 68-acre project.