TIF: A Powerful Tool For Economic Development

In 1984, Henry County Commissioners made the bold move of adding the option of Tax Increment Finance to the county’s economic development toolbox. TIF captures increases in assessed value from new development to finance projects designed to stimulate economic development activity.

Henry County, Knightstown, Middletown, and New Castle have redevelopment commissions (RDCs). Each RDC manages its respective TIF district.

The Henry County Redevelopment Commission (RDC) is comprised of five volunteer members appointed by the County Council (2) and County Commissioners (3). Founding members of the Henry County RDC were Ray Daisey, Walter Chambers, Tom Stein, Scott Hayes, and Don Webber. Current members are Paul Janssen, Jon Madison, David Gratner, Chad Malicoat, and Scott Hayes.

For the Henry County RDC, the New Castle Henry County Economic Development Corporation serves as the contract staff. The County Auditor serves as the Treasurer of the RDC.

“TIF is the only tool that local elected officials have to invest in the community to attract businesses and jobs,” shared Corey Murphy, President of the EDC, at a recent EDC meeting. “This has been the primary tool to grow the industrial park south of New Castle on State Road 3 that now hosts over 1,000 employees.”

Murphy pointed out several of the catalytic economic development projects were made possible, in part, through TIF:

  • Improvement of Mercer/CR700 S for Draper logistics (now employing 700+ people)
  • Water infrastructure including water tower at Exit 123 (partnership with Spiceland Water Utility, reduce rate impact)
  • Facilitate physical location for water service connection between New Castle and Spiceland
  • Purchase, razing, clean up and sale of land at former L&K Motel at I-70/State Road 3
  • Construction of G.W. Pierce Parkway, connecting State Road 3 to New Castle Motorsports Park
  • TS Tech ($49 million+ investment and 400 jobs)
  • Boar’s Head South ($90 million+ investment and 500+ jobs)
  • Boar’s Head North ($23 million+ investment and 36+ jobs)
  • Boar’s Head South Expansion – in progress ($126 million investment and 120+ jobs)
  • $180,000 of new equipment for the New Castle Career Center (workforce development pipeline), an additional $90,000 pledged
  • Supporting SR 109 Infrastructure Project (Tomz, Henry Community Health Clinic, housing)

As Henry County continues to leverage TIF to build the local economy, community leaders are hopeful the General Assembly and Indiana Legislature will preserve this vital tool for years to come. Contact the EDC at 765-521-7402 to learn more.