City of Bloomington West Side Area Analysis

Directed by Barry M Rubin, PhD

Led by Barry M Rubin. In 1979, after three attempts at annexation, the City of Bloomington entered into a Payment in Lieu of Annexation (PILOA) agreement with the businesses located in the West Side Area (WSA). In this agreement, the City agreed to provide a minimal level of services in exchange for an annual payment in place of the taxes that otherwise would have been charged under annexation. The agreement was renewed in both 1987 and 1998 with the current agreement set to expire December 31, 2012. The current agreement includes 57 businesses. The City is scheduled to receive $250,000 annually under the current PILOA agreement, however, the City averages payments of just $204,668 annually due to delinquency rates with PILOA businesses. The City faces two viable options: annexation of the area or renegotiation of the PILOA
agreement. This report provides a full analysis of these options.


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