According to a spreadsheet document distributed at a recent Peoria County Finance/Legislative Study Committee meeting titled “Peoria Riverfront Museum Capital Budget by Project,” updated 7/28/2010, pledges to the proposed Peoria Riverfront Museum total $23,073,484. Of that, only $6,475,076 (28%) have been collected.
In addition, whereas the County has said in the past it would only be contributing $34.5 million to the museum project from the public facilities sales tax revenues, the latest spreadsheet shows a full $40 million being contributed. While that’s the lion’s share of public money, there are also significant amounts coming from other public money pots, including the Illinois capital budget, Illinois Department of Transportation, Housing and Urban Development, Department of Energy, Illinois Department of Natural Resources, Department of Commerce and Economic Opportunity, NASA, and the Peoria Civic Center Authority. Despite all of this public help, and presuming they’ll actually collect all the pledges that have been committed over their multiple years of fundraising, they’re still looking at a budget deficit of $6,448,988.
But they’re moving ahead with construction anyway. What happened to all the money that was going to come in after the sales tax referendum passed? Remember that? When questioned as to why they weren’t making their private fundraising goals before the referendum, their response was a very confident assertion that people were waiting in line to give money, but wanted to make sure the public would support the tax referendum first. Once the referendum passed, the funds would come rolling in, we were told then.
Perhaps the most shocking thing on this spreadsheet is the total amount that has already been spent. Are you sitting down? It comes to $13,471,440. $4.5 million has been spent on architectural and engineering fees for the museum building — another $1.8+ million in fees for the parking garage. $2 million has been spent on something called “pre-opening operating support.” Almost $1 million was spent on “public awareness” — which was their campaign to make sure the $40 million tax referendum passed, so I guess that was money well spent from their perspective.
There are two line items for endowments on the spreadsheet. One shows $2.3 million “committed” but not “received” from Lakeview as a funding source. Another line item shows a $5,248,000 “endowment enhancement” which has been neither committed nor received. The endowment is important because the museum needs the interest from the endowment to cover its ongoing operating expenses. If there’s no endowment, the museum will have no cushion when facing an operating deficit — and let’s not kid ourselves, there are going to be operating deficits.
But they’re moving ahead with construction anyway, undeterred.
Oh, and they’re still counting on the City just giving them the Sears block for nothing. That land is worth $10 million according to the Build the Block website. What is the City’s budget deficit for 2011? Hmmm…. $10 million, I do believe. Wouldn’t it make sense to sell the land to the museum/county and use those funds to plug our deficit so we don’t have to lay off any more police officers? Nah, the museum is more important than public safety, right?
The conventional wisdom now is that the money fairies will sprinkle the museum with cash once it’s built. You know, once people really see the thing being built, then they’ll start contributing! They’re just skeptical that we’re not really going to build it. If we show them we really mean business, then there will be a race to see who can give the most money fast enough.
Second verse, same as the first.
GREAT STORY.
Speaking of the museum. Is it true about it not having an Imax theater now? From the people I’ve talked who did vote for the museum. A majority of them voted for it mainly because they thought it would have an Imax theater. I know it’s a small sample size but I’d bet it is probably true of a good portion of the people who voted for it. So I guess alot of people are going to be disappointed with the museum once it’s finished.
SAMER?!?
Any comments?
Imax? … lol. hahahahahaa….. you could read the Imax annual report and deduce that the likelihood of there being an Imax in Peoria is slim. Their focus has shifted from venues like museums and science centers to commercial multiplexes. Imax wasn’t making money off the museum market.
Bob, No IMAX? I’ll be pissed. That’s a big portion of the gravity for me.
How can the Peoria Civic Center Authority commit money to this project? If contributors are afraid that the museum won’t be built all they have to do is give their money with the stipulation that if the project is not built by such and such a date all of their money would be totally refuned to them without them having to sue or go to court for it. Sounds simple to me.
New Voice – I’ve said what I have to say (at least for now). There is nothing about this information that was surprising to me – so there you go.
Any charity knows that pledges and collections are two very different things.
How can there still be people out there who feel this project will work? Is it wishful thinking or what? With or without an IMAX, PRM was never going to amount to much, certainly not a ‘world class museum!’
I already commented on the Journal Star Op Ed…bashing East Peoria for spending tax payer’s dollars haphazardly on business incentives. J Star specifically mentioned Bass Pro and the new Holiday Inn.
How can the Star be so critical of East Peoria, when the same thing, if not worse, is going on right in Peoria? Of course one of the criticisms J Star levels against the Holiday Inn is that “It will not enhance their quality of life.” What… like a $140 million museum will enhance the quality of life for people in Chillicothe, Bradford, Bartonville…?
Journal Star is “not allergic to all incentives, just those used to subsidize mostly minimum wage jobs for large companies in growing areas that shouldn’t require the boost.” What?!? Were they referring to Bass Pro Shops, or a $140 million museum that will employ 12 full-time & 30 part-time employees?
Next.
Samer,
OK… I can see how your argument makes sense. Maybe if you lost YOUR job at CAT you wouldn’t be so quick to blindly support this project.
Bob — There has been no official change in the museum’s stance that they will be building an IMAX theater. The spreadsheet still has a specific line item for “IMAX Theater.”
Two points: 1) There is a certain group of people in this town who support the “arts” to the hilt, no matter the project. The museum is included in their dreams, to the detriment of the majority of the people. They will push this thing thru. 2) I believe that Caterpillar has assured the movers and shakers that they will make up any difference in money needed and collected, to the detriment of their stockholders. Get ready to eat this museum, like it or not, it is a done dealThe majority of this City Council does not have the intestinal fortitude to stop it.
New Voice,
Just because I don’t agree with you doesn’t mean I blindly support anything. That said I am not going to waste my time on responding to your drivel on this topic going forward. Yes I work for Caterpillar, and yes I am for the museum at least in concept. The two are not related – I was for the museum years before I even applied to work at Caterpillar. I’ve voiced my thoughts and concerns – but you apparently view dissent as ignorance and I won’t argue with a wall any further.
Not everyone at Cat supports this boondoggle.
It is true that Cat would like to have a ‘cat experience’ facility for marketing and promotional purposes. It probably would be useful and a draw for some amount of tourism akin to the Deere pavilion in the quad cities. Does it have to be on the museum block? Not really. I think some in Cat are embarrassed by how poorly this has been managed. Embarrassed enough that some involved in it have been pushed out (albeit gently).
Will it come to completion? We will see. Oberhelman is very focused on cost benefits and accountability. My sense is that he isn’t as sold on it as Owens was. Cat has some options in East Peoria’s redevelopment initiative.
if the deficit is 6-MIL or in the end grows to 50-MIL, are they able to place any remaining financial burden(s) on the shoulders of the tax payers? is this why they are proceeding?
just curious
Samer,
My sincere apologies. Bringing your job into the fray was hardly a fair shot. I can admit when I’ve gone…a bridge too far?
Perhaps we agree on this issue more than either of us would like to admit. In fact, many of those who oppose this project, have suggested scores of alternatives to the present design, location, purpose, etc, of the current museum plan.
I guess what is most frustrating is that any suggestions coming from outside the ‘circle,’ have been summarily ignored [or met with downright hostility].
Again, my apologies.
where do these money faeries that sprinkle cash live? is it near the leprechaun shanty-town?
CJ makes an excellent point regarding the IMAX theater. The IMAX theater is still part of the museum plan, that is, County taxpayers are still on the hook for PAYING for it. So, the whole thing—the theater, the seats, the screen, the speakers, etc. will be built on the taxpayers’ dime, yet there is NO contract with IMAX!!! There NEVER was a contract with IMAX, there is not now, and it’s extremely unlikely there ever will be. WHY are the taxpayers paying for an “IMAX” theater that will sit empty and unused?
CJ – I disagree with your point of view on the museum. We can never forget our history, where we’ve been, where we want to go. If we don’t embrace our history, science and culture, we are nothing. If the Mayans didn’t build temples hundreds of years ago, today we would barely know they existed. I can hear the talk now – they sure built great roads and had plenty of police protection! Let the roads crumble. Build the dang museum.
Bottom line this council, Mayor Ardis, Spain, BVA, Spears, Turner, and Timmy in particular,have built a reputation of leveraging the lives and saftey of the taxpayers witht he taxpayers wallet. They are all failures and need to go. This spring you all can start with Spain and Turner. Do not give them any of your votes. Vote for anyone else.
Yes an IMAX will be built but it will have an 8mm projector inside as IMAX themselves aren’t showing up to this horse and pony show. Any bets? I’ll give 2 to 1 on any
“I was for the museum years before I even applied to work at Caterpillar”
“I have worked at Caterpillar since the beginning of 2007.”
http://peoriachronicle.com/category/museum-block/page/14/
CJ’s first blog on this topic begins Jan 2006. That was when the first plan was introduced… you can see it at that link.
Your statement that you have supported this for years before you worked for Cat is blatantly dishonest.
Since the latest version of the museum has so very little in common with the original version, it is more accurate to say that what you supported “for years” doesn’t even exist.
Sorry.
New Voice,
I appreciate your apology – and all is forgiven. I can assure you I can appreciate going a step to far or getting a tad stubborn when you care deeply about an issue.
Dissenter, yes we need to remember our history and document it. What we don’t need is a project that is going to cost us for the next 99 years and not really accomplish this very thing. We have a perfectly good museum at Lakeview and it could be enhanced without costing an arm and a leg. The financial planning for the PRM simply is totally flawed and has been from day one. This has nothing to do with documenting our history it has to do with spending money unnecessarily.
charlie – here’s a link to a re-printed PJ Star article in December of 2004 – the title of the article?
“Museum deal gets city’s OK – Agreement allows Lakeview, Cat to build Sears block facilities”
http://www.riverfrontmuseum.net/news.asp?id=14
Some person or shadowy group has decided this WILL happen no matter what – just like the trail and the stadium and the wreck plex….
While I have been on the record of being against the publicy funded museum, my main concern is that there is no stop loss with the museum, whereas the EP publicly funded projects have a limit of liability.
What happens to the Museum when it is built and attendance/gate fees are no where close to the projected amounts? I dont have the numbers in front of me, but the projected attendance figures that the museum board quoted as very high and the break even on the project based on attendance was also very high.
With the EP Projects, if Bass Pro opens and has no one show up, EP is out the amount invested only (Land is still theirs to redevelop).
If/When no one shows up to the museum, we will still be on the hook paying for it.
While no disrespect to him (He will be long gone), but if the museum would fail (Fail to the point operations are ceased/closed), I will lead the charge to put up a Merle Widmer statue on the museum grounds. Merle was one of the few to research the financials of the project and not scared to speak his mind about the irresponsible spending taking place.
When did a “plan” first get made public, Jon?
“Tuesday’s agreement replaces a deal passed in September 2003, which gave Lakeview nearly 60 percent of the block and reserved the remainder for retail uses.”
yeah, we can keep going back further and further and say the “build the block” has been around for many years, maybe decades… but when did we first have a museum plan on which to have an opinion?
Charlie, you know very well that I am objecting to your statement that Samer was “blatantly dishonest”.
Who specifically said “plan”? Oh, that’s right, YOU did. What did Samer say?
“yes I am for the museum at least in concept.” and “I was for the museum years before I even applied to work at Caterpillar.”
Because, we all know you can’t be for a concept – only a plan, right? The city council can’t “have an opinion” without a detailed plan, nonetheless vote in September 2003 and December 2004 on the matter, right?
Instead of keeping to the issue being discussed – you had to personally insult someone in addition.
At least New Voice recognized that he should apologize – he admitted he went too far.
Go ahead…continue to defend a statement that you know was wrong…that’s the last I’ll have to say about it.
words of advice: FOIA. be gadflies about the whole stinkin’ thing; all of you. Open Meetings Act. same. oh, and go back and re-read the referendum that passed. it tells us all in plain english where the money can go. belwood is on the list. maybe peoria should just consolidate the museum with the nursing home and have people visit to listen to the stories of old folks. afterwards, they can munch on irish babies.
Feb, 4, 2010 — Special Peoria County Board COW meeting — To quote Mr. Urich from that meeting — http://www.peoriacounty.org/countyBoard/avmeeting
Mr. Harding asked if the Caterpillar Experience changed or is it stable in the plan. Mr. Urich referred to the budget presented in March 2008 that showed $41 million which is what’s shown today. Mr. Harding said the Endowment Fund needs to be at a higher level. He referred to the letter from Caterpillar and indicated that according to the letter, Caterpillar expected the County to fund $40 mil. He asked if we are working with $34.9 or $40 mil? Mr. Urich said there were $200,000 previously budgeted in the General Fund and that’s why it shows $34.9 mil. The plan is for $34.9 mil in commitment from the County of Peoria.
http://www.peoriacounty.org/countyBoard/files/get/Agenda_and_Minutes%2F2010%2FFebruary%2F4+-+Special%2F100204Minutes.pdf
Please be aware that the figure was the $34.9M per Mr. Urich’s own words — that was the taxpayer share. So, now the taxpayer is being asked to ante up to the $40M, as many of predicted from day one, so the taxpayer is in essence helping to fund the endowment via the back door.
Now, the question is how much interest can be saved from the 35% interest rebate from the Federal Build America Bonds not whether or not the museum group has kept their word. You really should attend the committee minutes, they are illuminating, especially when the chairman adjorns the meetings without asking for any miscellaneous business (ie: that is the section where the public is usually allowed to put in their two cents worth). Since so many citizens attend those meetings, NOT, it is really seemingly so inconvenient for the public to have a voice.
D Money: You might as well start a fund for Merle’s statue.
aaron–Do I detect someone who has read Swift’s “A Modest Proposal”?
The plan is for $34.9 mil in commitment from the County of Peoria.
No, the plan is to cook the frog in the warm water. First the elected official ‘frogs’ with the taxpayer ‘frogs’ always footing the bill.
Dissenter: Thanks for your comments. It’s interesting that you used the Mayan temple — a place of worship — as your analogy. I’ve often felt that there was an almost religious devotion to this museum project by its supporters.
I’m not suggesting we forget our history. On the contrary, I would love to see a Peoria history museum, and have long supported the idea of establishing one. One of the reasons I’m opposed to the proposed museum plan is because I don’t believe it’s actually going to do much to preserve or showcase our history. See my post about that by clicking here.
This proposed plan is bad for other reasons, too. From another post of mine opposing the sales tax referendum:
I could go on (and have in other posts), but you get the idea. I’m not opposed to a good history museum, even one supported by tax dollars to a degree. I’m just opposed to poor design and unnecessary waste of taxpayer dollars.
karrie-
i am a poet(and english lit major) trapped in a lawyers career. i also suggest checking the gadfly reference (suprised no one did). FOIA is getting far more teeth these days, but no one wants to pursue it. the illinois better government association (which I am not a member or contributor or paid to endorse; i simply think they do mostly good work) helps. i also suggest to all subscribing to the RSS feed for il government. thats the long answer. short answer, yes, swift.
i suggest to all to quit debating and go back and see what referendum passed. at the time, i said the county included belwood in order to send money that way. the county said they had to draft the referendum that way. BS. you can always be more narrow than what the state says; there is money going to belwood in the future. the museum is the new and even more draining civic center. then again, government has been the biggest mover in all markets for decades.
America is a republican democracy – not a democracy.
America is not free market – Uncle Sam is a sucker for food dehydrators.
Aaron–I was an English teacher (but not a poet)–so caught the “Irish babies” reference. I haven’t read this thread enough to know if this is about a “modest proposal.”
aaron: You are correct. The public facility sales tax … the excess … over and above the amount needed for the museum, is proposed to be pledged as some type of collateral for the proposed Bel-wood bonds. Please remember that the Bel-wood bond is being proposed as a 30 year bond. A 30 year bond term …. that means that there is not enough revenue to size a 20 year bond.
The referendum for the Bel-wood increase …. specifically used the word ‘maintain’ as to the purpose of the tax increase.
Maintain does not mean build a new $51M nursing home.
As long as we have the same type of candidates and as long as voters keep electing the same type of candidates, expect more of the same insanity.
People will not be coming to the single use attractions if they think that there personal safety is at risk.
doesn’t anyone see this as bait and switch? am I the only person who finds this a lie?
“The only people for me are the mad ones, the ones who are mad to live, mad to talk, mad to be saved, desirous of everything at the same time, the ones who never yawn or say a commonplace thing, but burn, burn, burn, like fabulous yellow roman candles exploding like spiders across the stars and in the middle you see the blue centerlight pop and everybody goes ‘Awww!'”
— Jack Kerouac, from On The Road (1957)
C.J. wrote,
“One of the reasons I’m opposed to the proposed museum plan is because I don’t believe it’s actually going to do much to preserve or showcase our history.”
– This museum was NEVER meant to do that. Once The Lakeview Museum of Arts & Sciences took over, the history element of this museum went right out the window. Sure, they payed Peoria’s history lip-service, but what did anyone at Lakeview know about preserving our history?
– The involvement of Peoria Historical Society, Wheels O’Time, etc, in this project was laughable. The two historic homes under the PHS flag are pathetic. I am amazed they still retain their historical landmark status. Wonder what will happen to them when Lakeview gobbles up all the bucks? Wheels O’ Time Museum? Your ‘TIME’ is almost up! You going to compete with $140 million worth of raw museum power downtown? African American Museum? You guys could have had something special, now you and your ‘history’ will play second fiddle to Lakeview.
– Lakeview never was and never will be an history museum. They have dropped the ball far too many times in the past when it came to preserving Peoria’s history.
– Please! What ever you do…don’t put that dentist in charge of protecting our historical assets…!
Hummm, so I want to build a new, much bigger house. The bids are in – it will cost 500,000 to build. I have saved hard – and have $30,000 toward the house – Of course I have thousands in unpaid credit card debt – but I go ahead and break grown because.. why?
“The Secret” told me to post a picture on my wall and dream and it will all come true? Come on, lets get Peoria out of debt FIRST, save to pay for this non-essential item and THEN build. Aren’t we still trying to finish paying for the zoo? And the library updates?
Didn’t the schools just suspend the student counselor program for lack of funds?
NV, I am starting to come around. I have been thinking for the past 2 hours about why I travel to the places that I do. Never once did I think “I went there to check out their regional museum.” The one city my mind kept coming back to was Nashville. Why do most people go there? Country music. I do not even like country, but I went there and saw the Ryman. It is historic and famous. What makes Peoria famous and interesting? Well my mind kept coming back to one word….vaudville. I have decided that if we really want to draw people here, we have to become known for something. Vaudeville could be our version of Nashville’s country music hall of fame. Then, maybe the Madison could reopen as a Vaudville theatre. It sounds sketchy, but if you have been to Nashville, then you know that there are several smaller museums that have opened up and are doing well around the country music hall of fame. We SHOULD make the Block a aunthetic museum to a specific interesting time period in America that made Peoria famous….Vaudville. I would travel for that experience.
Dissenter sez: “If the Mayans didn’t build temples hundreds of years ago, today we would barely know they existed. I can hear the talk now – they sure built great roads and had plenty of police protection! Let the roads crumble. Build the dang museum.”
I sez: Maybe if they’d had better police protection the Mayans would still be around.
The RiverCity Museum should have a heavy emphasis on French explorers with emphasis on Jean Baptiste Pointe du Sable, who lived in Peoria in the early 1800’s; and Pere Jacques Marquette, one of the first Europeans to see the region where the city of Peoria, Illinois now stands. The musuem should also archive and educate about Peoria’s liquor barons.
Emerge, I was secretly hoping that all the bloggers would post about how great my idea was and talk about all the branding ideas that could come from it. Imagine the speakeasys with the liquor barons as an offshoot from the Vaudville museum. I agree that we have a deeper history than just Vaudville, but I just don’t know if an explorers museum would draw people from all over the country. It would be a nice field trip place for central IL students, but not a brand that sells.
Yes I think the Vaudeville angle would make Peoria unique. But how do you make Peoria into a top tier theatre friendly location?
Just chop the baby in two.
The Sears “block” is actually two blocks, as Fulton doesn’t go through to Water. Scale back the museum plans to fit on the northern half of the block, revert Fulton to a pedestrian mall between Adams and Washington, and build a new ped mall through the heart of the Sears Block. Sell the south half of the block to a developer. I remember reading that this is the most valuable tract of land between Chicago and St. Louis; I’m sure the City could use the profits from the sale to help the budget.
In one fell swoop, this plan would (1) still provide for the museum; (2) bring the project in line with its current funding; (3) link the Civic Center/Twin Towers area with the riverfront via the Fulton Pedmall; and (4) encourage more private development in the heart of downtown.
Sterling, good concept, except the whole Sears block is also supposed to contain Caterpillar’s Visitor Center…and as far as I know, they still want to build it, still have the $$$$ ready to go…they’re just waiting on the County to get things going on the Museum.
Anon — Ha! Now THAT’S funny. I literally laughed out loud.
Sterling — Welcome to the club. I’ve made a similar recommendation for years. It’s such an obvious solution, anyone except those with taxing ability would have implemented it years ago.
“Mr. Urich said there were $200,000 previously budgeted in the General Fund and that’s why it shows $34.9 mil. The plan is for $34.9 mil in commitment from the County of Peoria.”
How can $200K budgeted mean that the county is going to commit 34.9 to the museum? I am lost with what the 200K has to do with $34.9 mil.