Working toward TIFs

DUNKIRK — Two tax increment financing (TIF) districts may be coming to the city.

On Monday, Dunkirk City Council gave Mayor Jack Robbins and city attorney Wes Schemenaur the OK to begin the process of creating TIF districts in the area of a planned housing project and the Main Street corridor.

It also heard from the mayor about two downtown buildings being targeted for renovation.

Schemenaur spent a few minutes explaining TIF districts. When a property is in a TIF district, any increase in taxes collected is captured to be used for economic development within the TIF district. (Such increases generally come with new development/construction, which boosts the assessed value of the property.) Those funds are administered by a redevelopment commission, which has members appointed by the mayor and city council.

The redevelopment can use those funds for a variety of purposes as laid out in the city’s economic development plan, which is required to be in place before a TIF district can be created.

Schemenaur suggested a standard TIF district for the Main Street corridor — likely extending a block in each direction — and a residential TIF district for the land on the south side of the city that is planned for new apartments. (There are different rules for TIF districts on residential property.) He noted that there will be some cost involved in creating the TIF districts, mentioning law firm Barnes & Thornburg and CWC Latitudes consultant Ed Curtin.

“There’s gonna be some effort and expense to this,” he said.

Council members Jesse Bivens, Christy Curts, Dan Watson, Donna Revolt and Randy Murphy gave Robbins and Schemenaur the thumbs up to move forward.

Both Robbins and Bivens noted that creating TIF districts has been discussed several times in the past decade-plus.

Robbins also told the council that Dunkirk Industrial Development Corporation is partnering with private investors — Rock Fuqua, Jesse Walter and Dr. Oakland Gaerke — on a project in the Stewart Brothers building at 304 S. Main St. in downtown Dunkirk. He said the first plans are to replace 17 windows on the second floor and remove a balcony. The goal is to create apartments upstairs with retail space on the first floor, with Fuqua, Walter and Gaerke eventually taking ownership of the building.

He noted that the city also got approval from Jay County Commissioners on Monday to take control of an adjacent property at 303 S. Main St. that could be converted into a parking lot. (See related story.)

Robbins said the same investors purchased the former Gaunt’s Jewelry building at 213 S. Main St. with plans of an upstairs apartment and downstairs retail space.

“This is a good thing for Dunkirk,” the mayor said. “I think that’s really going to help the downtown.”

“We might be short of buildings here in Dunkirk here before long,” he added. “It’s growing. …

“Things are happening in Dunkirk.”

He added that he’s also heard some interest about the Todd Building, though no viable plans have been presented to him as of yet. The building is the subject of ongoing litigation with Todd Building Group, which had plans of putting a restaurant in the building that never came to fruition. (The city has been trying to recoup funds that were loaned for the building’s renovation.)

Robbins said after the meeting that he feels if the right opportunity comes up a deal can be worked out to allow the sale of the building.

In other business, council:

•Approved an update to the city’s water ordinance that includes adding or increasing various fees. It increases the fee for an after-hours service call to $50 from the current $35 and creates a $100 tampering fee.

•Heard from Robbins that an application has been turned in for an Indiana Department of Transportation Community Crossings grant for paving Pleasant Street on the west side of the city, Fourth Street, D Street and Lincoln Avenue between Main and Angle streets.

•Approved the following: vacating an east-west alley between Hoover and Indiana streets; payment of claims totaling $272,366.33; payment of a $9,066.98 claim from Culy Contraction for work to repair a water line on Blackford Avenue; and payment of a $990 claim from McCammon Brothers for utility work in Dunkirk City Park. 

•Heard from Revolt about plans to apply for a grant from The Portland Foundation for installing pickleball courts in the park.

•Was reminded by clerk-treasurer Kara Lowe that she is advertising for an open clerical position and has received several applications.