The Logansport Redevelopment Commission approved an amendment to its agreement with the developer of the recently completed multiplex that resulted in the company agreeing to a $25,000 decrease in its incentive.
The commission oversees all of the city’s tax increment financing, or TIF districts, which capture increments of the area’s total assessed values as they ideally increase over time. These funds are then used as incentives to attract new development projects.
Part of the $4 million multiplex was funded by a $250,000 incentive approved by the commission, $25,000 of which was made up of administrative fees the commission was responsible for, leaving the developer with an incentive of $225,000.
Mary Max Cinemas Logansport 5, located at 3910 Lexington Road, opened late last month in the city’s east end TIF district.
Logansport City Council recently approved combining all of the city’s TIF districts, the planning for which has already begun.
The commission approved an amendment to the economic development agreement with the multiplex’s developer, Logansport Theater LLC, at its meeting Wednesday. The change allowed for an extension on the building’s completion, which was pushed back several times since the groundbreaking last winter.
The agreement also had to be amended this spring to extend the deadline for hiring requirements. The commission paid attorneys to handle this amendment, incurring a cost of about $4,000, said Bob Bishop, president of the commission.
Bishop said he and Logansport City Attorney Randy Head volunteered their efforts on the amendment passed Wednesday.
In light of the delays leading to necessary changes to the agreement, Bishop said Logansport Theater LLC offered a sum of $25,000.
“I’m really happy the theater was willing to continue to contribute,” Bishop said, adding that the $25,000 was “above and beyond what it cost” to amend the agreement.
Commissioners also voted to pay off the commission’s $25,388.01 administrative fee on the agreement, which they had been approving interest payments on since awarding the incentive.
Commissioners present at Wednesday night’s meeting approved the measures unanimously. Commissioner Charlie Hastings and Mike McCord, a nonvoting member of the commission representing the Logansport School Corporation Board, were not in attendance.
The approvals will next be discussed at a city council finance committee meeting before going up for final approval at city council’s next meeting Dec. 2.
Mitchell Kirk is a staff reporter at the Pharos-Tribune. He can be reached at 574-732-5130 or email@example.com. Follow him: @PharosMAK