Thursday, May 29, 2014

Trib-Star Reports Terre Haute Has Not Returned TIF Money

From the Terre Haute Tribune-Star:

City officials have not returned more than $3 million in tax increment finance (TIF) funds to bank accounts formerly controlled by the Terre Haute Department of Redevelopment despite a request last week that they do so made by the Redevelopment Commission.

At their monthly meeting on May 21, the commissioners, an appointed body that oversees the city’s TIF districts, passed a unanimous resolution calling on Leslie Ellis, city controller, to return within 48 hours approximately $3.4 million transferred from several TIF accounts into other accounts controlled by the city. That 48-hour period ended Friday.

Spending that money on anything other than TIF-related expenses, such as bond payments, must be reported under U.S. Securities and Exchange Commission regulations, Lisa Lee, legal counsel for the Redevelopment Commission, said at the May 21 meeting. Such spending could affect the city’s bond rating, she said.