Council approves $500,000 from Middlebury East TIF for wastewater plant design; seeks interlocal to fix cost split

Elkhart County Council · November 21, 2025

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Summary

Planning staff requested $500,000 from the Middlebury East TIF toward a $1.5 million design portion of a Middlebury wastewater treatment expansion. Council approved the appropriation and asked for an interlocal agreement to document a 60/40 overall cost split between Middlebury and the county before further appropriations.

Planning and Development staff requested county appropriations to support engineering and design for a planned Middlebury wastewater treatment plant expansion.

May Krautzer (Planning & Development) told the council the $500,000 request from the Middlebury East TIF is part of a $1.5 million design component tied to a larger estimated $22 million project for design and construction over six to seven years. Krautzer said the town of Middlebury would cover 60 percent of overall project costs and the county 40 percent; design elements were described separately (a different split applies to design vs. overall construction).

Council members asked for those splits and other responsibilities to be recorded in an interlocal agreement. County attorney Steve Olsen summarized the council—s understanding: the overall project will follow a 60/40 split (town/county) for total cost while some design elements may split differently (e.g., 75/25 for design). The council approved the appropriations on the agenda and required an interlocal agreement before further appropriations are presented.

Council members heard public comment from Middlebury residents who expressed concern about shifting costs to residents; planning staff replied that using TIF funding helps avoid putting the full burden on town or county residents and that the town has pursued grants to offset costs.