How does that old saying go about ‘Fair and Balanced’ reporting? The Argus Leader Editorial Board and columnist Jodi Schwan both have endorsed using a TIF for the Washington Square project, something I would expect out of Stormland TV news (who is always sucking up to city subsidized projects) but I found it to be a little strange for our local newspaper.
Then there is the tired old argument that TIF’s are needed for any of these projects to succeed;
But it all comes down to public-private partnerships.
“They’re not important. They’re absolute. They’re critical. You can’t do it without them,” he said. “If you’re setting out to do something transformational for your city, it’s impossible to do it with only private money. You need at least a third of the money … to come from the public sector.”
Let’s think about that. The Houwmans are looking for less than 15 percent of their financing from TIF with no other public funding. Stark is saying one-third is justifiable.
While I am all out opposed to TIF’s, especially when big developers make ridiculous statements about them being the lifeblood of redevelopment, let’s say for a moment I supported them. I think a TIF would be fine for the utility work and cleaning up the alley between Main and Phillips Avenue, but 15% of the total cost? I don’t think so. There seems to be this movement by developers (and investors) in Sioux Falls (who have already seen record growth over the past several years) to feed at government’s trough. While a TIF is certainly not a handout, it is a rebate on property taxes (and they are requesting the rebate for 10 years). While the County struggles to make ends meet (they are considering another opt-out) we want to give another private development millions in tax rebates.
Worst of all, they have suckered our local paper into believing that somehow we need more parking in that area (that can only be used at night and weekends).
I think this project should sink or swim on it’s own. No pulling strings behind closed doors in City Hall or at our local paper. If we really want Downtown to be successful in development we need a stronger concerted effort of helping private homeowners and apartment owners surrounding downtown with fixing streets, infrastructure and community development grants and loans. Neighborhoods and districts are built by individuals helping each other. A couple more condos at 12th & Main in no way should be funded partially through property tax rebates, and shame on the Argus for getting in the middle of the fight that is between the developers and our local government.