OTTUMWA — The city of Ottumwa has proposed using county, city and school tax dollars to cover for the losses at the Bridge View Center and The Beach Ottumwa.

But Wapello County officials said Wednesday they object to the city’s plan to expand the TIF district and agreed to write a letter against the plan.

“It’s plain wrong,” said Supervisor Jerry Parker.

The supervisors held a special meeting to discuss the city’s Urban Renewal Plan. The city is proposing expanding the Tax Increment Financing district. This means that for all new developments, the city would be able to dictate the percentage of tax dollars received by the city, county and school district in certain areas of town. In other districts of Ottumwa, the county, city and schools receive a set amount.

In the city’s proposal, they would use the TIF dollars for economic development projects, like improvements, operational expenses/losses, repair and maintenance for The Beach Ottumwa and Bridge View; infrastructure and other improvements for a new casino and other ancillary development; improvements to the levee system; and improvements to the storm sewer system.

The supervisors said they object to using TIF dollars for operational expenses/losses, repair and maintenance for the Beach Ottumwa and the Bridge View Center; infrastructure and other improvements for a new casino and other ancillary development.

“If there’s new revenue, new growth, property tax dollars, we don’t get all of it, or in some cases, none of it, from county and school perspectives,” said Board Chairman Steve Siegel.

When a school district loses money through TIF, the district is able to increase property taxes. Essentially, property taxes would be raised to cover Bridge View’s losses, Parker said.

Supervisor Greg Kenning said the city’s proposal could be considered breaking the contract the county entered into when it contributed $1 million to Bridge View.

“I don’t think we can tolerate going back to the Bridge View issue and opening up a potential can of worms,” he said.

“I don’t think we can argue that covering losses is an economic development project. It doesn’t add anything to the community,” said Siegel.

Ottumwa City Administrator Joe Helfenberger said he recommends that the Ottumwa City Council remove improvements to a casino and The Beach Ottumwa from the proposal; Bridge View, however, remains an option.

Helfenberger said that covering Bridge View’s losses is a recommendation from the bond council. He told the supervisors he is reviewing information and would provide further information as soon as he can.

The city, meanwhile, will hold a public hearing on the proposal at 6:30 p.m. Nov. 17 in the City Council Chambers at City Hall.

Pat Shaver can be reached at (641) 683-5360 or by e-mail at p.shaver@ottumwacourier.com.