Cory points out something I have known about Lloyd Companies for a long time, they don’t need TIF’s to develop, but hey if they CAN get them, they will use them;
But when we look at the big picture, TIF is a free ride. Go east on Eighth Street two blocks. You find apartment buildings there. I don’t know who built them or when, but the developer of those buildings didn’t get a TIF district to help make those apartments happen. That developer managed to cover his own construction bills and still pay regular taxes to support the city, school district, and county. TIF removes half of that burden from new developers, giving them an unfair advantage as they enter a tight Madison housing marketplace that ought to be drawing hordes of builders and buildings without taxpayer help.
I also find it interesting that Lloyd Companies tried to keep this a secret from the public;
Funny thing was, neither that resolution nor that night’s agenda packet nor any other online document I could find told us where that TIF district would be, or who was asking for it, or what they were going to do with it. Also funny was that the Lake County Commission hadn’t taken any formal action on any proposal to create a TIF district.
A little digging revealed that the proposal for TIF district #2 comes from Lloyd Companies in Sioux Falls. Lloyd prefers that their proposal not circulate until they finalize it.
As Lloyd said on the ‘100 Eyes’ show the other day, (SIC) “A TIF is whenÂ we (Lloyd co.)Â getÂ a percentage ofÂ our property tax payment refunded to us, then we use that refund to pay off our bank loan that funded the project.”Â Can you imagine if you could putÂ 80% of your property taxes paid each year towards your mortgage? For the next 10-14 years? ButÂ Lloyd doesn’t think it is a handout? LOL.
There is other ways to give incentive to a business to create jobs, but apparently in Madison, the only incentive is your tax dollars. This kind of shit goes on in Sioux Falls to;
I knew it! TheÂ dog ordinances on Monday’s Madison City Commission agenda are a ruse to distract us from the corporate welfare our commissioners plan to hand out. Madison is taking sales tax dollars away from homebuyers and other towns to subsidize one local business,Custom Touch Homes.
It’s quite the scam to;
Follow the money here, people: right now, if Custom Touch sells a $100,000 house to someone in Sioux Falls, Sioux Falls gets $2,000 and Custom Touch gets $100,000. If Madison’s city commissioners o.k. this sales tax rebate, then Sioux Falls gets bupkis. Madison gets $1,000. Custom Touch gets $101,000. Taxpayers outside of Madison subsidize a boost in pure profit for a Madison business. Clever!
I get so tired of these handouts in the name of creating jobs. But are they good jobs? They should be living wage, dependable jobs, but that is not always the case.
I have often wondered if I am in the wrong line of business – I think I want to become a consultant in our state.
“We have quite a few communities on board, with commitments so far totaling around $130,000,”
The coalition, which includes representatives from Watertown to Elk Point, hopes to raise $200,000 for its study.
One I-29 community that has committed financial support is Madison, which has pledged $25,000 from the city and the local economic development corporation,
He also is asking the state of South Dakota to contribute $50,000 toward the study.
I do think the study is a worthy cause, but I wonder why it can’t be done by city and state employees or contracted through both of our universites that already get state money. It seems we are quick to hire outsiders all the time.
Fire up the government burn barrel.