Dispute over movie theater may result in entire redevelopment commission being replaced

LOGANSPORT, Ind. (WLFI) - The Logansport redevelopment commission is responsible for overseeing how 'tax increment financing' or TIF funds are used in the community. Typically, these funds are used on infrastructure like sidewalks, lights, and streets.

But when the mayor and city council decided TIF funds would be used to bring a movie theater to town, redevelopment commission members disagreed. Commission members may now lose their positions.

"They made if very clear that if they wanted TIF funds to be used and if we did not support that then we would lose our volunteer positions and that's exactly the path that they have taken," Redevelopment Commission president Lynne Ness said.

Mayor Ted Franklin said he didn't want it to come down to possibly releasing the members of their duties but said he will do whatever he has to do to bring new business to Logansport.

Mayor Franklin also said using TIF money on retail projects is a common practice.

"Many other communities across the state have used this very mechanism and we're not breaking new ground, it's new ground to Logansport but it's not a new process statewide," Franklin said.

Franklin said the area where the theater will be built is zoned for retail, not industrial use which TIF typically funds.

Councilman Bob Bishop said the city council is only left with a few options if the commission doesn't agree with their decision to use TIF funds for the theater.

"We have two options. We can not bring the theater to our city or we can dismiss the board so that's what we're left with. We don't have a choice," Bishop said.

The redevelopment commission is made of five people total. Two are appointed by the city council and three appointed by the mayor and they can be dismissed at any time.

The theater is set to be completed this winter and will bring four full-time jobs and 25 part-time jobs to Logansport.