The Jasper County Board of Education has found it necessary to issue from 1 to 2 Million in
bonds to pay for renovations at the High School. The Payment for these bonds will be
added directly to your Jasper County Property Tax Bill.
I have an alternate funding source that the school board should consider.
They should apply to the city of Newton for TIF (Tax Increment Financing) funds.
I think this would be appropriate because Newton’s TIF district is partially responsible for
the cash shortfall that the district is experiencing and the High School is in the TIF district.
How a TIF works is that any increment (increase) in property taxes in the TIF district goes
directly to the city instead of the normal taxing bodies.
TIF’S were developed to renovate “Blighted “areas and by law can only be used in areas
that would not see any development or improvement without the TIF district.
Some of the blighted areas that were included in Newton’s TIF are a Brand new Napa store
that was just completed before the TIF went in, A brand new Industrial park, an Industrial
park that is less than 20 years old, and farm land. This is blight? It is clear that much of the
TIF area was not included because of blight but because of the amount of tax revenue that
could be captured by including these areas.
The result of this is that the School district will not receive any increase in tax revenues for
23 years in the TIF district.
The farm land included in the TIF will be a future city developed subdivision that the school
district will not receive any tax revenue for. The new assisted living facility, Napa store, new
bank facility, new video store, new Biodiesel facility, new building on the west side of the
square or any future development in either industrial park will not gain the school district
one cent for 23 years. Plus the TIF can and probably will be extended at that time.
So I think it would be very appropriate for Newton’s TIF to share some of its windfall with the
school district.
Now you might ask what is done with the TIF money that the city collects.
It is given out to TIF money applicants.
Some of the more notable recipients of TIF funds are St. Thomas Catholic Church and the
Peoples State Bank.
I am sure neither the church nor the bank could have addressed their blighted conditions
without TIF funds.
You might ask where the other taxing bodies were; including the school district when their
future tax revenues were being taken by the city of Newton. There was no opposition to this
by the other taxing bodies.
I guess they knew that all they have to do is hand the bill for any future revenue shortfalls to
the taxpayers.
How Newton Illinois TIF district is costing Jasper County School District