RE: Alturas

["bill london" <bill_london@hotmail.com>]

BJ-
Indeed, we do have differing opinions about Alturas.  And please believe me 
when I say that I respect not only your opinion, but your years of work in 
community development here.
However, I do not think this is the time for me to line up quietly in 
support of Alturas.  In fact, I think it is more reasonable (and ultimately 
better for both Alturas and similar publicly-funded projects here) that we 
continue this public airing of differences.
These issues have been ignored too long.  There was neither appropriate 
council oversight, nor public involvement, in the escalating economic 
problems at Alturas.
When the Alturas park and its funding vehicle was first announced four or 
five years ago, I participated in the series of three public meetings 
sponsored by Vision 2020 and the EDC held at the UI Incubator.  My questions 
and concerns were met with assurances that all would be well.  We were told 
that there were plenty of businesses bursting out of the Incubator who were 
thrilled with the opportunity to move to Alturas.   All the bonds would be 
paid off in 7 years, etc. etc.etc.
Sorry, but my skepticism was born of those assurances.   I think it's time 
for some open public process here....
BL


>From: "B. J. Swanson" <bjswan@moscow.com>
>Reply-To: <bjswan@moscow.com>
>To: "bill london" <bill_london@hotmail.com>
>CC: <vision2020@moscow.com>
>Subject: RE: Alturas
>Date: Sat, 8 Apr 2000 07:04:38 -0700
>
>Bill,
>
>It appears we have differing views on Alturas.  You are certainly entitled
>to your opinion of how the area would have developed without Alturas.  Here
>is my opinion.
>
>I believe Alturas had a great deal to do with resurrecting the Moscow Mall
>and the whole eastern side of Moscow.  The Moscow Mall had been in trouble
>from the mid 1980's on, foreclosed several times, for sale for years and
>certainly in a state of decline and disrepair when the Bennett family
>finally bought it in the mid 1990's.  It was not like Bennett's bought a
>golden egg; more like a white elephant that required a great deal of risk,
>work and investment to succeed.  Without some kind of economic stimulation,
>I strongly believe the east side of town along Highway 8 would be either a
>slum or the Motor Business zoning would have attracted more fast food,
>c-stores, car repair places, etc.  These Motor Businesses would be paying
>taxes but probably not nearly as much or provide as many living wage jobs
>like Alturas is doing now.
>
>The Economic Development Council tried for years to entice private
>landowners or developers to do an Alturas.  It was not our first choice to
>use Urban Renewal or Tax Increment Financing to create an Alturas.  The EDC
>would have preferred a private investor step forth to do an Alturas.  But
>after months of negotiating with private landowners, it was obvious that a
>private development would never occur because of the time needed to realize
>a return on investment.  The private investor would not receive any of the
>long term tax benefits that a public project would.  And while this
>negotiating was going on, Moscow lost Advanced Hardware Architectures and
>50+ jobs to Pullman who offered over $250,000 in incentives to relocate and
>low cost rent in a taxpayer subsidized Port District.  The only thing we
>could offer in defense to Pullman and Washington's lucrative incentives 
>were
>Urban Renewal and Tax Increment Financing.  Complicated; Yes.  Illegal; No.
>Taxpayer subsidized; Not if you look at the broader picture and realize the
>economic advantage of living wage jobs now and a high return on investment
>to the public later when the infrastructure loans are paid.  Shady and
>under-handed; No.  Four years ago there were a great number of open public
>meetings, hearings and planning sessions to create the Urban Renewal 
>Agency,
>Urban Renewal District and implement Tax Increment Financing.  If you chose
>not to attend, give input or become informed, it is unfair to call it shady
>and under-handed now.
>
>It is true that the taxes on Wingers and KFC are going to payoff the 
>Alturas
>bonds.  However, I can verify that Wingers and KFC would not be at Eastside
>without the economic activity going on in the Urban Renewal District, ie
>Alturas.  The Urban Renewal District boundaries were drawn to allow
>sufficient tax payments to payoff the loans in a reasonable time frame so
>that the increased taxes will go to the proper taxing districts as soon as
>possible.  The URA district was drawn after much discussion and compromise
>about payback times, related economic growth expected, etc.
>
>Neither of us can know for sure how many of those 47 jobs would have stayed
>in Moscow.  You must think they all would have stayed.  I don't think so.
>Not with the incentives neighboring Washington can freely offer.  John
>Walker would still be in Moscow but not in Downtown Moscow.  He was not
>RECRUITED into Alturas.  He was looking for a place to build a new office
>with room to expand and with adequate parking, ie, outside of downtown.
>There were lots available in Alturas and the zoning allowed his type of
>business.  The reason the zone is called Research, Technology, OFFICE is
>that in all reality, research and technology based business also need
>support type businesses, ie, attorneys, accountants, financial, etc.  
>Please
>ask the other businesses in Alturas and most will tell you how much they
>appreciate John Walker's presence and his help in recruiting other
>businesses, contracts, tenant agreements, etc.  This is an excellent 
>example
>of how RTO zoning is supposed to work with businesses supporting each 
>other.
>
>Anatek was bursting at the seems in their previous location near Columbia
>Tractor.  They needed room to grow.  They have another lab in Spokane and
>strongly considered moving the Moscow operation there.  Without Alturas,
>they would be in Spokane now with their 10+ jobs and plans for further
>expansion.  You may ideally think that businesses like Anatek and Pacific
>Simulation could relocate in the downtown area.  However, both will tell 
>you
>they needed room to expand, parking, sophisticated wiring for computer
>systems, etc.  Please tell me there is some well-kept secret in downtown
>Moscow that can offer this, complete with a cooperative landlord.  Perhaps
>the URA should look at the downtown area next.
>
>I am dismayed that there seems to be continual misinformation and 
>negativism
>spread about Alturas.  If you are concerned about tax collections, then be
>positive and promote Alturas so that more research-technology businesses
>will relocate there, payoff the bonds faster and tax revenues will flow 
>into
>the coffers quicker.  Those $45,000 a year jobs DO contribute to the
>community now and support other jobs.  Businesses do not want to relocate
>into controversy.  As a community, do we want to move forward, be
>progressive and self-sustaining or keep bickering, stagnate and turn into a
>slum with no activity and high unemployment?
>
>Can we give this a rest now?  We've aired both sides of Alturas over and
>over.  Alturas is there.  Let's not kill it or continue the bickering and
>discourage other businesses from relocating there; giving our community a
>bad name.  Please become involved up front in the next URA project or any
>other community project so that your input and ideas can be relevant and
>helpful instead of negative after the fact.
>
>B. J. Swanson
>
>--------------------------------------------------
>
>
>
>
>-----Original Message-----
>From: bill london [mailto:bill_london@hotmail.com]
>Sent: Friday, April 07, 2000 4:25 PM
>To: bjswan@moscow.com; escape@alt-escape.com; vision2020@moscow.com
>Subject: RE: Alturas
>
>
>BJ-
>Sorry, but I think you are offering a pair of false dichotomies here.
>
>1. No, I do not prefer the old 18% occupied Moscow Mall.  But I do honestly
>believe that the development of Alturas has virtually nothing to do with 
>the
>resurrection of the mall.
>The only impact I see is that the new businesses at the mall (Wingers, KFC,
>etc) are not currently paying their full tax load to the city but are
>helping pay off the Alturas bonds.
>
>2. No, I am glad that the 47 jobs are here in Moscow.  Without Alturas, how
>many of those 47 jobs would be in Moscow?  The attorney's office would have
>stayed downtown.  Perhaps Anatek would have stayed at their place on Main
>Street or at some other location in Moscow.  Perhaps PacSim would have 
>moved
>to some other town--or maybe like First Step, it would have gone downtown,
>too.  We won't know.  But I do think it is not correct to assume that those
>famous 47 jobs would not be in Moscow without Alturas.
>
>BL
>---------------
>
> >From: "B. J. Swanson" <bjswan@moscow.com>
> >Reply-To: <bjswan@moscow.com>
> >To: "Bob Hoffmann" <escape@alt-escape.com>, <vision2020@moscow.com>
> >Subject: RE: Alturas
> >Date: Fri, 7 Apr 2000 16:11:18 -0700
> >
> >Bob & Bill,
> >
> >Would you prefer that we still have the old foreclosed Moscow Mall that 
>was
> >less than 18% occupied?  It would probably be a real slum area by now. 
>And
> >would you prefer that the community be without the 47 jobs in Alturas 
>that
> >pump $2 million annually into our economy?
> >
> >B. J. Swanson
> >
> >---------------------
> >
> >-----Original Message-----
> >From: Bob Hoffmann [mailto:escape@alt-escape.com]
> >Sent: Friday, April 07, 2000 3:39 PM
> >To: vision2020@moscow.com
> >Subject: Alturas
> >
> >
> >[do not forward]
> >
> >Bill,
> >
> >One juicy detail that I forgot to mention:
> >
> >Shelley Bennett (formerly of the LEDC) spoke.  She said that when looking
> >for a location, and the issue of the Troy Highway area came up, she was
> >quite enthusiastic, because her family had just bought the mall across 
>the
> >street, and what a great selling point that would be for filling the mall
> >vacancies.
> >
> >I was astounded that she was speaking in public about how her influence
> >over a decision involving public funds could result in substantial
> >financial gain for her family.  She must have felt really comfortable 
>with
> >her audience.
> >
> >According to the agenda, the man in charge of questions and answers was
> >Rich Levengood, Latah Economic Development Council, Alturas Outsider
> >Extraordinaire.  Question & Answer period did spill over about an extra 
>15
> >minutes, although Ken Medlin took up most of that.  Aside from Ken's
> >questions/comments, there was only one other written question that was
> >submitted.
> >
> >Bob Hoffmann
> >229 East C St., Suite B
> >Moscow, ID  83843  USA
> >Phone: (208) 883-0642
> >Fax: 1-800-683-3799
> >http://www.alt-escape.com
> >
> >
>
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