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Mayor Beth Davis, city treasurer Les Plotner, city attorney Bill
Bates, and Lincoln and Logan County Development Partnership director Rob Orr
presented details and answered questions favoring the agreement,
each saying, "This would be good for Lincoln."
They said it would bring more jobs, more businesses and more
economic growth, and all at virtually no added cost to the city.
When Plotner spoke, he first acknowledged the size of Wal-Mart
and then said, "No one else could make an offer like this." He was
referring to the entire infrastructure that Wal-Mart offered to
provide for themselves.
We gave more to all of the other retail businesses coming in --
Sysco, Dollar Tree/Goody's, Coy's Auto -- he said. Yet, we'll get
more back, over and above that $600,000 rebate they requested, from
the businesses that will follow, the gas station [Murphy's Oil],
restaurants and from the 27 acres that would be given to us, he
said.
Orr said that communities are watched by Illinois Rural Affairs.
It is considered favorable to act on economic opportunities.
He and Plotner recognized that a Super Wal-Mart would have an
effect on some local businesses, particularly the grocery business.
However, according to state figures there is currently only 82
percent grocery sales tax returning, which indicates that people are
leaving Lincoln and Logan County to buy their groceries in
Springfield or Bloomington. There is room to capture more of that
business, and then the sales tax that is going to Sangamon and
McLean counties would stay here, he said.
Plotner confirmed this analysis, saying that those figures were
used to consider the benefit of bringing a Goody's to town. Apparel
sales tax jumped from 23 percent to 66 percent, with $1.9 million in
apparel sales following Goody's coming in.
He added that Wal-Mart came in here 30 years ago. They aren't
moving to another part of town and creating more competition with
those businesses, and their location will bring some Interstate 55
traffic in that other businesses will benefit from.
In the agreement Wal-Mart offered to pay for their own roads and
sewers.
- Typically the city is asked to provide roads, sewers and
incentives.
- The new roads would open up the area for other new
businesses at little expense to them and comparatively little or
no expense to the city.
- It would also make the 27 acres that would have been given
to Lincoln developable and highly valuable.
Alderman Benny Huskins said that he had a problem offering tax
incentives to one of the biggest companies in the U.S. and was
concerned that local businesses would be forced to cut work force
due to loss of sales. "I think we should take care of people right
here in our city," he said.
Last week a Wal-Mart representative said that the average Super
Wal-Mart employs 350 people and most come from the community. He was
unsure of the exact number, but the one we have now employs 100-150
people.
Buzz Busby said, "I believe in free enterprise. Let the best man
win."
Wal-Mart asked for a $600,000 rebate that would be paid gradually
through the excess sales tax. The rebate would have helped to offset
some of the infrastructure that they are providing. The streets they
would be building would cost more than $600,000, as would the sewers
that they would build for the area.
The excess 27 acres that the city would have been given would
have been valued at higher than $600,000.
Wal-Mart would also be running waterlines, which would benefit
the area, and would build their own detention ponds.
Mayor Davis urged the council members to approve the agreement
for all the economic benefits and to keep the community from
becoming stagnant. "Other developers see the kinds of stores coming
in and take interest," she said.
[to top of second column in this article] |
So what caused the agreement to fail in a 5-4 vote?
When the floor was opened to questions and comments by the
aldermen it quickly became apparent that most had received phone
calls over the last weekend opposing Wal-Mart. Alderman Horn said
she had about 25 callers, and they were concerned for local
businesses.
One statement seemed to sum up the deepest concern expressed by
all those that were opposed. "A lot of people are concerned that all
that will be left in Lincoln is a Wal-Mart," Horn said.
Horn said that she felt that the agreement was just too rushed.
Daron Whittaker said he received about 12 calls. He thought to
ask eight of them where they buy their groceries. They all answered
that they buy from the Super Wal-Mart in Springfield and that they
would buy them here if that was possible.
Two residents addressed the council when the floor was opened to
the public. Doug Muck said that he has appreciated working with the
Wal-Mart engineer, Allen Oertel of Crawford, Murphy and Tilly, and
their lawyer for the site, Troy Pudik.
He said that he has adjoining property, and the infrastructure
that Wal-Mart would do would have a positive effect for the whole
subdivision and for Lincoln.
Gene Rohlfs said that he was appreciative of the responses he got
when he called council members this weekend. He questioned if they
serve to guide or represent the people. If they want to be
representatives, then they need to seek out what the people want.
This might have been done with a public hearing or town hall
meeting, he said.
Some of his concerns were over issues in the development
agreement that have been changed and were no longer valid. His
remaining major concern was for the impact on local businesses.
Aldermen Alderman Martha "Marty" Neitzel of the 5th Ward was out
of town, making it a nine-member count for the 5-4 vote.
Voting against the agreement:
- Benny Huskins, 1st Ward
- Pat Madigan, 1st Ward
- Kathleen Horn, 2nd Ward
- Jonette "Jonie" Tibbs, 3rd Ward
- Wanda Lee Rohlfs, 4th Ward
Voting for the agreement:
- Derrick Crane, 5th Ward
- Verl Prather, 2nd Ward
- Daron Whittaker, 3rd Ward
- Orville "Buzz" Busby, 4th Ward
Mayor Davis said she had just one thing to say: "All of you are
10 aldermen. The next time we get started, before we spend all this
money on engineers and attorneys' fees and everything, if you have
any kind of concept, speak up. That's what we have our workshop
meetings for. Don't wait till the last minute."
She added, "Please don't do it again. You are doing a disservice
to the council as well as the community."
Wal-Mart's interest was made public back in February. City
attorney Bill Bates has had their development agreement and been
keeping the council up to date on the progression since May.
Mayor Davis said today that she has not heard back from Wal-Mart.
She does not know how they would like to proceed of if they are even
still interested.
She said that she had one call this afternoon from a resident
questioning why the council did not vote yes. She said that
residents should call their alderman if they did not agree with the
way they voted.
You can find out who your alderman is by checking what ward you
are in on your voters card, and you can call any or all the aldermen
to voice your opinion. [Lincoln
City Council]
[Jan
Youngquist] |
