We’re all enjoying the calm before the storm. We’ve heard the warnings — the city council is going to have to make some deep cuts in order to close the $10-12 million budget gap. They’re trying to plug the gap without raising taxes. That means the cuts will have to be made “with a chainsaw, not a scalpel,” and will be “bloody,” to quote the mayor and another council member.
Yet, at the same time, the council had absolutely no trouble raising taxes to collect $40 million for a private developer. Think about that — they raised the sales tax (granted, for an area restricted to downtown — the so-called “Hospitality Improvement Zone”). They will collect money from that sales tax, and they will hand it over to Gary Matthews, a private citizen and developer, so he can build a huge hotel addition to the Pere Marquette. Matthews will, in turn, give the lion’s share of that money to Al Zuccarini for the properties he owns on the block shared by the Pere.
So, at the same time that the council is talking about cutting police officers, eliminating raises for employees, cutting back on code enforcement and road maintenance, and other draconian cuts in public services, they’re giving $40 million to Gary Matthews for a private development. At the same time the council is unwilling to even consider raising taxes for public services, they had no problem raising taxes to benefit a private development. In fact, they approved that deal with nary any discussion and absolutely no public input!
The council wants concessions from everyone — except in the area of developer welfare. The one area that primarily benefits only a handful of people gets a free pass, while those areas that affect everyone in the city get the axe.
And my question is: Where’s the outrage? Do Peorians really not care? Do they think this is good public policy? Do they really think that we’re spending too much on public services and not enough on developer favors? Or are they uninformed? Do they not know this is happening? Or have they given up? Have they become jaded and numb to fiscal irresponsibility coming out of City Hall?
If this hotel deal were a good business decision, the developer would have already gotten his private financing lined up and started construction. But he hasn’t. He can’t get private financing. And you know what that means? I guarantee you it means this: He’ll be back to the city asking for more money in one form or another. Count on it.
Maybe that will be enough to wake up Peorians and cajole them into expressing outrage to their city council members. Then again, maybe not.
So, the HRA taxes I pay help keep the money losing Civic Center afloat so it can attract business so that it helps line the pockets of the owners of downtown hotels and few remaining restaurants. I see. Skip a day in economics class and I miss waaay too much info.
C.J.,
Why must you ALWAYS steal my thunder?
As I write this, my resignation is making its way to the top of the company step-ladder.
With more free time [all day] devoted to nothing but blogging I will soon begin too show you up.
Until then, you have my permission to agree with me.
What kind of a great guy am I? I will accept your apology before you even offer it!
good evening
Steve J.: the City gave and paid millions for the ballpark to be built, and will never be paid back. You should look up the history of how the ballpark was sold to the city fathers. And I wish it was “sold” to the city fathers.