The City Council approved a resolution that established a Tom Hession Drive economic area during its Monday evening meeting. It is the first step in creating a Tax Increment Financing (TIF) district around that area, according to Mayor Tom DeBaun.

City attorney Jenny Meltzer said the map provided to the council was oddly shaped because of what has been annexed in that area. She said everyone annexed did so voluntarily by filing a petition with the city.

The TIF includes POET Biorefining but all of that company’s taxes and assessed value will continue to be given to county schools and libraries as they normally would, she said.

There are other parcels included, Meltzer said. There is an economic development project coming that will have a tax abatement from the county for 10 years.

“As it falls off, that increment of assessed value will go into the TIF fund,” she said.

The purpose of the TIP fund is to reimburse expenditures being spent on North Access Road, 300 North and to build up a small fund to do additional road improvements as they are needed.

For example, Meltzer said Tom Hession Drive will likely need to be expanded. The TIF will not pay for the entire expansion, but once enough of a small reserve is built up, the city anticipates doing a pass through, which has not done with other TIFs.

Meltzer said they anticipate this taking place in five to seven years, depending on the assessed value that is determined by the assessor’s office.

In other business, the council approved an ordinance that allows the Shelbyville/Shelby County Animal Shelter to make the decision on what the disposition should be on dog bite cases.

“Dog bite cases don’t take up a lot of time but they seem to come in waves,” DeBaun said.

The Board of Works, which previously heard the cases typically defers to the animal shelter staff’s recommendation.

If the owner of the animal does not agree with the shelter’s decision, he or she can appeal to the board.