The council agenda has come out. A few items of note:
- PAAG may not get their million dollars back, but they’re going to “make the city pay,” so to speak, one way or another. In case you’ve forgotten, the Peoria Area Advancement Group, LLC (PAAG) “loaned” the city a million dollars way back in 1998 to explore the financial feasibility of buying Peoria’s water works from Illinois American Water. So confident were they that it would be affordable, they promised not to ask for the money back if a buyout wasn’t feasible. Once it was determined that it in fact wasn’t feasible under the criteria stipulated by PAAG, they decided they wanted their money back anyway. It’s awfully hard to part with a million bucks, especially when you didn’t get your way. Now they’re demanding arbitration over the matter to try to recoup their foolish investment, and the city is hiring legal help to rebuff them. Legal fees are estimated to be anywhere from $20,000 to $40,000 or more.
- City Manager Randy Oliver is up for a raise. If the council approves, Oliver’s salary will go from $149,500 to $153,985 (up 3%). Here’s something curious: he also gets an “automobile allowance” of $500/month, which is also up for an increase to $575/month. I have no idea how much Mr. Oliver is required to drive for his position, but wouldn’t it be cheaper for him to drive a car from the city’s fleet? It doesn’t seem like a guy who makes over $150,000/year really needs an “automobile allowance,” does it?
- That didn’t take long — just a couple weeks after Ferrell-Madden Associates suggested that a TIF district would be needed to revitalize the Warehouse District, here it is on the agenda for Tuesday night. Actually, it’s a recommended TIF (tax increment financing) district for the whole “Southern Gateway,” which includes the Warehouse District (to be rebranded “the Riverfront Arts District”), the River’s Edge Redevelopment Initiative, and the Eagle View Biotech Park. I predict this will elicit no small amount of discussion. After I have a chance to read up on the plans, I’ll write a separate post on this one.
The rich PAAG members took a gamble and lost; now, the crybabies will do anything to get some dough, including threatening the at large candidates with opposition in several ways. “Bring ’em on,” as Bush said to the insurgents!
I don’t know all the details of the deal. but it seems like 1. we shouldn’t have taken the money in the first place. 2. I don’t think the city did a good job in either marketing the research which was done or building enough trust with the public to make the buyout viable. and 3. What kind of example is it to take the money and to not pay it back.
My question is whether PAAG would be trying to get the money back if Ransburg had be re-elected.
PDW — (1) agreed; (2) trust is the main issue why Peorians don’t want the council owning the water company, and it will take a long time to build that trust back up again; (3) it’s an example of how to follow a contract — maybe PAAG can learn from that example.
Peoria has to revitalize downtown, or it will just crumble. A TIF is okay by me to get that area booming again. I’ve been watching downtowns crumble across the country. It would be sad to see another one hit the bottom.
Take the money and not pay it back???? You have got to be kidding, these greadheads tossed some money at what they thought was a sure thing with a nice return, all they had to do was give a little rub n tug to their political cronies and they would get paid back in spades, the pesky public queered the deal and they want the money back. Tough s**t! If for nothing else but to send a message to the other slimy little greedheads lurking in the shadows they should get nothing but an ass full of sand and a slap on the head.
everyone who cares about urban development in p-town should support any and every last measure that helps the pioneering developers achieve the critical mass that’s necessary for the riverfront and the rest of downtown Peoria to thrive. props to the guys who stick their necks out time and again and put it on the line to try and get something going, only to have an indifferent or even hostile populace make it all for naught.