Sunday, September 23, 2007


State tax review delays area projects

"Not everyone is a fan of the “get tough” approach recently taken by Gov. Mitch Daniels’ administration in an attempt to ensure that county officials turn over required property tax data.

That’s because it has dozens of construction projects in a bind statewide, not just the city’s efforts to get the Harrison Square project under way in downtown Fort Wayne."

"In August, Fort Wayne officials went before the state Local Government Tax Control Board and were expecting a final decision from Musgrave on Harrison Square by October."

"The city’s part of the project includes a $45.9 million bond that will be paid with income tax dollars and revenue from various tax increment financing districts.

Fort Wayne was seeking approval from the state to back the bond with general property tax dollars, a move that would reduce the interest costs on the project because investors find property taxes more reliable than other forms of revenue."

"Ryan Kitchell, director of the Indiana Office of Management and Budget, which oversees the local government finance agency, clarified that if Allen County’s data is found to be compliant, Harrison Square will be on the top of Musgrave’s list to review."