Schools worry about funding loss with Fort Wayne expansion

FORT WAYNE, Ind. (AP) - School district officials are worried about losing nearly $2.5 million a year in property tax revenue if a proposed expansion of Fort Wayne's city limits goes through.

Mayor Tom Henry announced plans this week that would add about 22,000 residents to Fort Wayne by annexing almost 23 square miles north of the city. That would increase the city's population by 9 percent to about 275,000 people.

City officials say the state property tax caps mean many residents won't see any tax increases from the annexation.

The Northwest Allen County Schools would lose money as some property tax collections will be shifted if the annexation wins approval.

District Superintendent Chris Himsel says the revenue drop could force cuts to transportation and other services.