RE: Alturas

["B. J. Swanson" <bjswan@moscow.com>]

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

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