Officials: Wigwam group owes utility bill, taxes

Wigwam Holdings LLC, jointly owned by BWI and Pinebrook Properties, obtained the iconic gymnasium and school complex from Anderson Community School Corp. in 2014.

At the time, ACS provided the developers with $630,000 and the city of Anderson kicked in $100,000 to make the utility payments and for repairs to the roof.

David Eicks, chairman of the Anderson Board of Public Works, said no utility payment has been made for the Wigwam since 2015 and the outstanding balance is more than $33,000.

In February, the Anderson utility office sent a letter to Wigwam Holdings indicating the complex had been placed on disconnect notice. Although a meeting took place, no payment plan was established, city officials said.

During a presentation to the Anderson Redevelopment Commission last week, BWI and JobSource requested $5 million in tax increment financing revenues from the city as a means of securing $6 million through the sale of tax credits to investors.

At that meeting, Gary Hobbs, CEO of BWI, said the utility bill had been paid. But Eicks said Tuesday that the utility bill is still outstanding.

And Wigwam Holdings failed to pay the spring installment of property taxes due for the Wigwam complex in the amount of $185,199, Madison County Treasurer Kelly Gaskill said.

Since the May 10 payment was missed, a 5 percent penalty will be assessed on taxes due, amounting to $9,260 through June 10. After that, the penalty would increase to 10 percent.

The Wigwam complex, including the gymnasium and education facilities, has an assessed value of $11.4 million.

When the property was owned by ACS it was exempt from paying property taxes. The property was officially transferred to Wigwam Holdings in 2015, making this the first year property taxes are owed by BWI to Madison County.

Madison County Assessor Larry Davis said Thursday that ACS had appealed the assessed value of the complex, maintaining it had a negative worth. ACS did not appear at the appeals hearing.

Davis said BWI has indicated it plans to file an appeal on the assessed value of $11.4 million, but no hearing date has been established.

Indiana state law requires the property taxes to be paid even if an appeal is pending. Should the assessed value be lowered on a property, the owner would receive a refund from the county.

The overall conceptual plan for renovation of the Wigwam includes the use of space for a cafeteria and farmers market; boys and girls club; music, dance and choral classes; light industrial employment and an international education project.

Jane Pauley Community Health Center is investing $876,000 for improvements of 25,000 square feet to open a health clinic in the Wigwam facility, and JobSource is committing $3.2 million for 104,183 square feet, including the gymnasium

As part of the project, housing and retail space would be constructed on the athletic field west of the Wigwam.

As envisioned, the project would serve 2,045 people annually, employ 95 people, and provide 115 affordable housing units.