For the first time in two years, the Allentown Neighborhood Improvement District Development Authority will have surplus tax dollars to return to state and city coffers.
At its Wednesday night meeting, the board decided to divide about $7.1 million, $6.8 million for the state and $241,804 for Allentown. The revenue surpassed his $22 million in the city’s unique tax subdivision, which was returned in the spring.
This $22 million figure represents the state tax revenue downtown Allentown generated prior to the creation of the NIZ. In other words, the government said he received $7.1 million more in taxes from downtown in 2021 than he did in 2011.
Since 2020, there have been no year-end overruns. His ANIZDA tax revenue for fiscal year 2019 was $7.7 million.
“Last year there were no end-of-year surpluses and the first surplus was less than $22 million,” said Steve Bamford, executive director of Anizda. “In the first overweight year, he has his two moves in May and December.”
In May, ANIZDA reported that state and local tax revenue for 2021 hit $94.5 million, up more than 20% from $78.3 million in 2020. The latter figure is down 9% from 2019.
Bamford revealed that NIZ had $1.45 million in revenue through the first three quarters of 2022, $383,000 above budget. It cost him $521,000, about $245,000 less than his budget.
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“A lot of that favorable variance comes from legal fees, product development, contingencies, and marketing costs,” says Bamford. “Our attorney has been extremely busy on our behalf throughout his first three quarters of the year, but much of the legal work so far this year has been reimbursed from developer or bond income. I got it.”
Net income through September 30th was $929,000.
ANIZDA’s estimated 2023 operating expenses are $1.1 million, with an expected surplus of $123,000.
“This is very similar to the budget approved for 2022,” Bamford said. He said bonds issued for the City Center Investment Corp. project and fees from his Da Vinci Science Center project increased his $54,000 in earnings. An additional $97,000 is also factored into employee payroll and benefits.
The 2023 interim capital increase budget of $840,453 is deposited in the Pennsylvania Local Government Mutual Fund. These funds will be used to improve the parking lots attached to the PPL Center, including more efficient equipment for payments, concrete floor treatments, and replacement of grout and ceilings.
Bamford said he doesn’t know if these improvements will happen in 2023, but he would like to have the flexibility to go ahead with it.
Morning Call reporter Evan Jones email@example.com.