Local: Merle lays down the smack on Riverplex
Blogger and Peoria County Board member Merle Widmer is notorious for keeping clips about how the government conducts its public business. He’s been keeping an eye on the Peoria Park District and the Riverplex project.
This week, he brough it all together with a five part recap, the first of which is this one. Here’s a paragraph that sums it up:
Most of the projections made by the PPD did not pan out. The major one was that the RiverPlex would be self supporting and later very profitable. It has operated at substantial losses since opening day. These are facts, generally denied by PPD officials. However, the saying goes, “To ignore or deny facts, does not change the facts.”
Well, Merle does have the facts on his side. But when this thing was built, there weren’t many people who held office, nor anyone in the media, who was standing up and saying this sort of thing was a bad idea.
My two cents: So why rehash old news? Here’s one reason: Just as the RiverPlex was a bad idea because it was and is taxpayer-funded way to compete with private businesses and already existing non-profit organizations, it is also a bad idea to give special property tax breaks to the proposed expansion and renovations of the Pere Marquette Hotel in downtown Peoria.
There are differences, of course. The RiverPlex is totally owned by local governments and financed by taxpayers. The Pere is and would be owned by private developers. But the whole sale of the hotel to local people depends on the success of the yet-unrevealed and unapproved Tax Increment Financing district agreement.
And this isn’t just a helping hand the city would be offering, I’ve heard that the developers want something close to if not more than half of the cost of the whole thing to come from TIF sources.
And what does the city get? Well, maybe the thing will succeed and start paying taxes. Although, we’ve yet to see that happen with any TIF. While we’re waiting, school districts and other taxing bodies will see tax rates frozen. The people who run the Peoria Civic Center think this will help draw customers. One theory has it all these tourists and convention goers are going to spend big cash at bars and restaurants, But the others think the whole idea about the walkway is for the Civic Center to capture every single red cent of discretionary spending these fine folks spend during their stay in the river city.
And what do the other hotels in the Peoria area get? They get to compete against a business that’s being funded by taxpayers.
Just like Peoria area health clubs have to compete against the taxpayer funded RiverPlex.
Myself, I hope they do renovate the hotel, even if they add that walkway. But I don’t think taxpayers should fund ANY of it, let alone half of it, through a TIF or anything else.
Tags: pere marquette, riverplex, taxes, TIFs
[...] stuff The local blogger Peoria Pundit has a libertarian point of view; here he discusses the idea of having taxpayers partially fund things that other private businesses p…: Blogger and Peoria County Board member Merle Widmer is notorious for keeping clips about how the [...]
“Just like Peoria area health clubs have to compete against the taxpayer funded RiverPlex.”
What makes me crazy about the RiverPlex is, as nice as it is, it costs more than virtually every other health club in town! And it’s tax subsidized! I’m not sure how “competitive” it is with other health clubs, since if I’m paying for it through taxes AND I still have to pay more to go there than anywhere else …
We like RiverPlex and considered joining, but it simply cost too much. We ended up going elsewhere.
No matter what “blueollie” says, the RiverPlex is too expensive for the middle income family plain and simple. Yes they offer special rates to the poor but you have to be dirt poor. A family making a decent middle income wage of say anywhere between $30K and 50K a year can not afford the membership dues nor do they qualify for any assistance. (For my family of 3 = $1200 a year) (That figure is 4 years old) That is $100 a month and some families simply can not part with a $100 a month. Some of those so called “free” scholarship memberships have little restrictions on them, like only certain hours may you attend. (Keeps the riff raft out from the connected folks huh?)
As for the hospitals using RiverPlex for rehab of it’s patients, yes, they do but that isn’t free either. The only ones that get a cut are Park District Employees, OSF, CAT, and probably a few others but the taxpayer that supports this dump, gets nothing.
Dump you may ask? Yes, the place was built as cheap as possible with the cheapest equipment used. Right now, the plumbing for the pools and the climate control systems are failing and are band aided together to keep them working. Within a few years, the PPD will have to pony up millions to refurbish all the equipment it takes to filter the pool(s) and keep the place heated and cooled.
Widmer is right on this. The place is a black hole for taxpayer money and should have never been built at “our” expense.
Dennis is right also about this new hotel. The developers will be lining up with their hands out (like always in this city).
The RiverPlex was not designed to be a health club. It was designed to be a revenue generator for politically connected local developers and contractors.
Which is why you see so much resilience on the part of the “Build the Block” crowd. (Emphasis on “Build,” not so much on “Block.”) All they have to do is stick it out and stay the course. The hole’s already dug, just need to weasel their way into getting a foundation poured and they’re home free. Easy money, who cares where it comes from?!
I have to chuckle about the whining about the expense.
Consider the cost of, say, smoking.
I see plenty of not-so-well-off people smoking; if they gave that up they’d have enough for a Riverplex membership!
But I suppose it is where one puts one’s priorities, isn’t it?
As far as the time restrictions: my guess it is more to relax crowding; the place is considerably less crowded when more folks are at work.
Yeah Ollie, I like a good smoke after working out. Nothing like running the track with a Marlboro in your mouth. (until they banned smoking inside). Yes I guess one could quit smoking, put the money in a jar, then haul it down to the RiverPlex every month.
Yes it is expensive as I pay property taxes in Peoria to support it and I can’t afford it but every other swinging dick that has an “IN” at CAT, or OSF, or the PPD gets a discount and or free membership. The place sucks tax dollars and will never make a dime and I can afford Landmark, a private owned health club easier than the tax shelter I am paying for.
It’s not a matter of priorities, it is a matter of principles.
Oh and the restrictions on some “free” or subsidized memberships? Yeah, people are more relaxed when there aren’t so many of those po folks around.