October 30, 2009

Lakefront TID extended for 10 years;
$10 million for development (and nobody else)

Lehman, Mason, Turner and Dickert after press conference

The Legislature has approved a 10-year extension of Racine's Tax Increment District #2, encompassing much of the Downtown lakefront, thus making roughly $10 million available over the next decade for future development .

As Rep. Cory Mason put it: "This will create $10 million in resources to develop this part of the city."

That is one way to tell the story. Another might be:

After keeping all incremental tax revenue from the lakefront's development to itself for the 27 years state law allows, the City of Racine has found a way to keep it away from city schools and county government for 10 more years.

But let's focus on the positive first. Racine's mayor and three legislators held a press conference this morning -- grateful that the impending rain held off -- at the foot of Hamilton Street, by the fenced-off plot that once housed Walker Manufacturing, to announce that TID #2, due to expire at the end of this year, can continue for another 10 years.

Mayor John Dickert heaped praise on Reps. Mason and Bob Turner and State Sen. John Lehman, for gaining legislative approval of Senate Bill 132 and Assembly Bill 175, which allow the ten-year TID extension Looking over the desolate site along the lakefront, marked now by concrete foundations of Walker Manufacturing and an old suitcase trunk factory (and now featuring a huge pile of stockpiled city dirt), the mayor looked toward the future:

"As everyone knows in real estate, the country is coming back to water." He said the city is "in conversations -- early stages -- on four potential partnerships in the downtown area. There are a lot of balls in the air." Asked whether any of them specifically involved the lakefront site (that woulda, shoulda, won't be Pointe Blue, the $200 million condo development that failed before it began in 2007), he declined comment.

Mason called the TID's extension "an exciting step forward," and noted, "This is where Racine was founded, at the mouth of the river."

Lehman added, "this is one of the best development sites on the western shore of Lake Michigan."

Turner, who arrived after the press conference had begun, said the move "will go a long way to putting Racine back on track." He took some kidding, as the only person present who was in city government when the TID was created in 1982. Turner was first elected to the City Council in 1976, and to the Legislature in 1990. (He denies being present when Gilbert Knapp founded Racine in 1834.)

Without the TID's extension, said Dickert, "we wouldn't have been able to do anything." Looking past the chain link fence onto the brownfield site -- one of 59 in the city -- he said, "I can almost guarantee you it won't look like this in 10 years."

District 4 Alderman Jim Kaplan is dreaming big dreams for the area he represents. He'd like to see "a huge Marriott or Sheraton Hotel, curving along the lakefront, with a water park, a whole glass wall looking over the lake. The waves crashing, ice everywhere, and you're playing inside in a tropical setting."

Yeah, well, who wouldn't?

Interestingly enough, TID #2 (click map to enlarge) actually paid off its debt two or three years ago, according to Brian O'Connell, City Development director. The money was spent on the underlying infrastructure that supported the lakefront development; until the mid-1980s Racine's lakefront was marked by oil storage tanks and used car dealers, not by a marina and Festival Hall.

Normally, paying off the debt would trigger the end of a Tax Increment District's life, and all tax revenue would then go to all the relevant taxing districts, including RUSD and Racine County. But the city is allowed to use revenue from paid-up TIDs to support "laggard" ones, and so TID #2's million-a-year has been diverted to TID #8, the State Street district. Mayor Dickert noted a few weeks ago that 9 of the city's 14 TIDs are not generating enough revenue to pay back their debts.

So, in actuality, no "new" revenue is being generated by this legislation. Rather, an existing revenue stream will not be lost by the city, forced to share it with other taxing districts. It will continue to be available solely for city projects within TID #2. And some other revenue source will have to be found for TID #8.

O'Connell noted that the fine print in the legislation "allows" this extension of TID #2. The matter still must go before the City Council, City Planning and the Review Board. "But without this legislation, the TID would have sunset, game over. It was a time-sensitive piece."

TID #2 encompasses the area from 6th Street on the south, Lake Avenue on the west, Lake Michigan on the east and Hamilton Street (actually the north edge of the Walker property) on the north.

53 comments:

  1. More chances for backroom deals! Long live Piot Blue and how well did that workout for Mr. 10 year plan

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  2. What's Piot Blue Mr. Smart guy.

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  3. 10 year plan! 10 year plan! 10 year plan!

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  4. My bad Point Blue the FAILED project led I believe by Mr.10 year plan,
    Mr. I am one call from Obama. (Please make the call)
    Gee we have 9 out of 14 Tif/Bid etc that are failing so lets keep that trend going!

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  5. Dickert - 10 year plan
    TID - 10 years

    Coincidence? Yeah, pretty much but hey on the bright side at least one of those two things happened!

    I bet Dickert doesn't put his name next to anything that has "10" in the title from now on - too many bad memories.

    Thank goodness the song is the 12 days of Christmas and not the 10 days of Christmas.

    He will never eat octopus...because it has TENtacles.

    He will never go camping, because he would have to stay in a TENt.

    He will remain calm, lest he be called TENacious.

    Though he may stay at a hotel, it will never be on the tenth floor.

    He will choose seldom, because he cannot choose OfTEN.

    See how much you are missing out on John? Deliver the plan and reclaim the tens in your life, otherwise the number of people voting for you next time will be.....

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  6. Walker Manufacturing, not Walker Forge.

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  7. Yes the Forge was on 17th, this is a waste of ten mill.

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  8. 10 is the lonliest number, thanks to John.

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  9. Bunch of empty suits, atleast they got pictures right........

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  10. Let's see if I got this right; even though the debt has paid off and the taxes generated from District #2 could now be used citywide, Dickert strikes a deal that denies the city of this revenue just to keep it in District #2. Sounds like he's sticking it to the city as a whole once again (between Dickert, Wisneski and McCarthy special interest rules in this town). So the scenario will play out that Jim Kaplan's dream of "a huge Marriott or Sheraton Hotel, curving along the lakefront, with a water park,..." will be subject to the rampant crime in Racine rather than using this money to support RUSD and fight crime. Sounds like plan Mr. Mayor. Enjoy your only term.

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  11. OMG DICKERT SAID IT AGAIN..."I can almost guarantee you it won't look like this in 10 years."
    WOW he loves that number lmao

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  12. My head swims just about every time I read comments like these.
    Everyone is an expert here except the guys who actually have been doing this as their careers.
    Have some faith, people.
    If they moved that money to RUSD now it would cause such an uproar among you very same people it wouldn't be funny. Give the money to the county and watch Mac use it on the west end to placate his base voters.
    I honestly think that there are about 6 or 7 people who just keep posting over and over about the mayor and the 10 year plan because they've got major sour grapes over his win.

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  13. Key

    The Mayor said he had 9 out of 14 TIF/BID that was not working. This would be one of them I think.
    Also please read the Post on what is going on in City Hall and think can we trust them???

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  14. Will someone - anyone - please explain to me what sustaining manufacturing jobs will be creatd by this TIF? This might help our SEIU brothers and sisters (meaning low service wages) but will not make a dent in the unemployment rate currently in place.

    What a joke.

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  15. Lehman and Mason RAISED YOUR TAXES!

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  16. Hey Kay - When you MOVE INTO the city, and PAY TAXES to the city, we'll care what you have to say.

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  17. Pete and Dustin, I would like to know how many times this can happen(extension) IE, if in ten years there's something in the fine print allowing it to be extended for another 2333 years?

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  18. Question:

    1 million times what number = Ten million?

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  19. Now I know why the mayor is so adamant not to see another TIF fail - because currently there are 9, and one more would be....oh no.....TEN! Ahhhhhhhh!

    The dreaded Dickert Ten, never shall he mention again.

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  20. You will no longer be able to call Dickert at 10 am or pm, and don't even think about 10:10.

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  21. Dustin

    Rumor has it that Dickert is going to rename the 10th district to "districtview"

    Is that true? You have 10 minutes to answer in 10 words or less.

    Thank you (x's 10)

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  22. I have heard that the Mayor likes to talk down to people, but I wonder if he has a clue as to what a fool he has made of himself. If I were him I wouldn't show my face or even think reelection. Wow, wonder what's going to happen 10-10-2010 lol

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  23. October, being the 10th month of the year, has been officiaaly banned by Dickert. October will now be known as the 13th month.

    Listen to the man. Failure to act will mean the end of the world on 10/10/2010. Forget that 2012 stuff, Dickert knows all about the 10's.

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  24. "The Mayor said he had 9 out of 14 TIF/BID that was not working. This would be one of them I think.
    Also please read the Post on what is going on in City Hall and think can we trust them???"

    Dear uninformed dumbass -

    This is one of the districts that is making money. That is the whole point of extending it. If you are going to comment on something, take the time to look into it first.

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  25. This is really scary, read the comments from this Racine Post story, it's all coming back to bite us in the rear......http://news.racinepost.com/2009/02/john-dickert-running-for-mayor.html

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  26. Hey, let Helding in there to blow it up. Then, all the toxic residuals will sink to the bottom of the lake.

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  27. Why do you keep calling this Dickert guy the Mayor? I thought Monte Ostreman was the mayor. Why wouldn't you include the Mayor in all the pictures?

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  28. Monte does not have a ten year plan! That's why!

    Oh wait....

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  29. Why not turn this area into some Green friendly park land that the working People could use not just the rich. I know I cannot afford to buy a lake front condo, or go to a Lake front resort water park.
    How come these guys are Progressive when it comes to putting more money into the teachers pockets, or their former lobbyist land developer buddies (Pointe Blue), but not when it comes to the people?

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  30. "Why not turn this area into some Green friendly park land that the working People could use not just the rich. I know I cannot afford to buy a lake front condo, or go to a Lake front resort water park."

    If only Racine had open and public access to the lakefront...

    North Beach, Myers Beach, Zoo Beach - the lakefront bike and walking paths

    There you go, class envying jerk.

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  31. Dickert will go down in Racine history as THE worst Mayor ever along with the shortest term ever. I wonder if his family is embarrassed yet?

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  32. 8:12

    Making money? With what project? The Bankrupted Condo? The State/Main Ruin? Point Blue?

    Note to Jim K there will be NO Water Park NO Hotel coming to that area.

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  33. On a positive note, these jaspers now have their mug shoots ready for the next scandal.

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  34. Kay, once again you've got it wrong. When you say, "Everyone is an expert here except the guys who actually have been doing this as their careers," you seem to forget one small thing: Dickert's "career" has only been seven months long. He doesn't have a clue what he's doing. He, like most of the city council, plays to special interest because they are going to be the one's rewarding them when they're no longer in office. Can you say KRM?

    You say, "Have some faith, people." But, how can we have faith in a mayor that refers to Racine as a "low-income community," or lies to us to get votes and then doesn't follow through. The only jobs he's even come close to bringing to town are more positions in City Hall.

    I do think the one person that keeps putting post after post about the "10's" should consolidate all of his remarks into one post rather than trying to get us to believe that he is several people posting their opinions. And even though he thinks he's being cute or witty with the "10" remarks, it's getting old, it's no longer funny, it takes up a lot of space and should just be deleted by Pete or Dustin. But, on the other hand, I don't think posts about the 10 year plan lie should be ignored. Kay, the guy lied to all of us who live in the city of Racine. If you don't live and pay taxes in this town, maybe you should butt out, particularly when you don't know what you're talking about.

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  35. I give Graham's post 10 stars.

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  36. Graman-
    You hit the nail on the head !! AGAIN !!!

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  37. O'Connell must be fired ! Next mayor ,please,please.

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  38. Nominate Graham for mayor!

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  39. Ten thumbs up Graham!

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  40. Graham easily makes Racine's Top 10 list.

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  41. I liked 10 the film, 10 the plan is a no show

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  42. If I had a dime for every time someone mentioned the 10 year plan.

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  43. Three blind mice on the left.

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  44. You say three blind mice on the left but you left out the conservative republican wishing for a motel. A place to drink in this aldermans district goes against his mission,his mission from.....

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  45. Cory Mason looks like a priest

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  46. Mason, Lehman, and Turner wouldn't come within 10 ft of Dickert. Nope, would't touch Dickert with a 10 ft pole.

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  47. Graham is an idiot. Graham thinks Keith Deschler should run for Mayor. Enough said. Can we get comments from people who actually have a clue?

    This site is nothing more than an intellectual vomatorium for the pea brains of this town.

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  48. Still waiting on the list of projects that worked in this TID! Come on if it work so well the list please.
    Point Blue never happened btw. Maybe now that Mr. 10 has 10 million to play with of the tax payers he can funnel it to a crony or two and try again. Do not forget the low income housing!

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  49. Anon 6:42, who's the idiot here? If in your own words,

    "This site is nothing more than an intellectual vomatorium for the pea brains of this town,"

    why are you here posting on it?

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  50. Isn't this like refinancing an adjustable rate mortgage? Why fix anything in this city as long as you can keep stretching out the payments.

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  51. "Isn't this like refinancing an adjustable rate mortgage?"

    Yes - and that interest rate is 10%. It is all part of the plan. Dickert knows what your neighborhood, the city and interest rate will look like in 10 years. But only 10 - beyond that would be absurd to even guess.

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  52. Toxic Kay manages to dismiss the Mayor and somehow demonize McReynolds in the process.

    The mind of a demented soul.

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  53. When Mason and Lehman get together on anything.....we all seem to PAY for it in the END.......the wrong END.

    It's sounds like another shell game

    who's buddies pocket gets the cash????

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