Spending TIF funds to construct municipal buildings generating no new tax revenue is contrary to the purpose and intent of the TIF law.
In 1999, the Illinois legislature enacted an amendment to the TIF law to end this abusive practice.
Section 11‑74.4‑3 (q)(4) of the TIF law says that:
... on and after November 1, 1999, redevelopment project costs shall not include the cost of constructing a new municipal public building principally used to provide offices, storage space, or conference facilities or vehicle storage, maintenance, or repair for administrative, public safety, or public works personnel....
There are some limited exceptions which would permit a municipal building to be built with TIF funds, such as when it is part of a redevelopment plan adopted before 1999, or when it is replacing a municipal building that must be demolished as part of the redevelopment plan.
The exceptions do not seem to apply with the City's current plans.
Full text of the TIF law
Transcript of debate on the 1999 Amendment to the TIF law in the Illinois House of Representatives.
The discussion on TIF starts at page 239, including definitions for "blight."
Discussion about spending TIF money for municipal buildings starts at page 249. Read as the sponsoring legislators call this practice an "abuse" of TIF.
Morris Daily Herald Article published September 5, 2007
55 comments:
John Swezy doesn't know what he is talking about.
I am trying to understand what part of the tif agreement the mayor and aldermen are hanging their hat on. I hope Tom Jacobs, the city's tif attorney, will be there Tuesday night at the council meeting to explain the legality of the city's position. The taxpayers should be outraged over the irresponsible actions of this administration. If citizens do not voice their opposition to this misuse of TIF monies this will pass Tues. night. I urge everyone to contact their alderman and tell them to vote against this misuse of public funds.
Did anyone here about a furious resident attending the city sewer meeting on Thursday? I heard the resident lives on Lisbon rd and the last name is Bojovic. He filled out a foia form and attended the meeting and some fireworks erupted. I'll give you more info later.
Great points, Bob. John Swezy's Voice of the People attacking me deserves the type of response you give here. He calls my rhetoric "inflammatory" ... he's the same person who called me a "political terrorist" (he has since apologized.)
Everybody thinks the solution is for people to attend city council meetings...they won't because they're scared.
East side residents have lived with the blighted papermill property in their backyard for decades.
TIF can and should be used to remove this blight and re-develop this property with a project that will contribute to the tax base and ease that tax burden for everyone.
Many on the east side are very angry about what is happening in city hall.
Brian Feeney was the east-side alderman for several terms and did nothing about the blighted areas in his ward.
There will be no TIF money left for the papermill after construction of the new city hall. East side residents better get used to the paper mill. It's going to be there for a long time.
I know the blogger keeps track of who posts on this site, via ip's. Sooo tell me how many police brutality suits have been filed against the city? I know......
I respond to Swezy's column on my blog: votemerc08.blogspot.com.
There is a residents group that has retained an attorney who will be present at the meeting to set the record straight if Tom Jacobs fails to do so. This will set the stage for an injunction to stop construction if they refuse to listen to the residents. We can then get Dickie and Scooter in the court room.
what is the date and time of the meeting?
Why isn't the District 54 board speaking up? They will receive no increased tax revenue from the new city hall. The school district is really getting the shaft.
Kopczick, Belt, Brian Feeney, and John Swezy have squandered the city's opportunity to use TIF to redevelop the blighted papermill property.
While the TIF's, City, County, and Hospital continue to gobble property in District #54 thus reducing school revenue. All the development and growth occurs in Saratoga. We need consolidation to balance the impact. The only areas open to development in District 54 are south of the river. But without access to sewer and water it will not happen.
If attorney general looks into things a bit, hospital may lose tax exempt status and improve taxpayers' burden and District 54's situation.
Does the mayor plan to get approval from the joint review board?
How much money is the city spending on the TIF lawyer? Is Scooter getting a cut of that too?
Mr. Swezy, read through the transcript. The legislature did not intend for TIF to be used to build city halls.
11:50 - No, the TIF joint review committee has not voted on the new city hall.
In response to a question from former aldermen Elleson at the September 4 city council meeting, the mayor admitted that he did not take the new city hall for a vote before the joint review committee.
The 1999 amendment to the TIF law requires that redevelopment projects be taken before a Joint Review Committee consisting of representatives from the taxing districts within the TIF area.
The mayor admittted at the meeting that he has not complied with this provision in the TIF law.
I heard the city attorney just sat there stone-faced through that meeting. In my opinion, his reputation is suffering from his creative legal interpretations to justify the missteps in city hall.
It's very frustrating to hear so many accusations, when it's obvious that people don't talk to the fellow citizens they are bashing. If they only knew how much time and energy has been spent over the years attempting to get rid of the eye sore on the east side of Morris.
The city has every tool at its disposal to deal with the paper mill. They have eminent domain powers to take the property and they have TIF money to pay for it.
Instead, our city fathers have opted not to use the tools at their disposal. Rather than using the TIF funds to eliminate this blight on our community, they have elected to build an extravagant monument to their egos.
Talk is cheap; I have been hearing my different alderman for years telling how they are going to clean up the old mill. I have had a belly full of them all. I live buy this rat and cat infested building. I bet if this was next to Scott Belts house it would have been demolished yesterday.
Looks like the cities position on tif monies being used for a new municipal building holds water. What is up with Elleson, does he has a clue on how tif works.
I guess I'm confused...if the redevolpment plan to use the TIF monies has been in existence since 1986, why has it taken 21 years to put into play??? Alot changes in 21 years, so to have a plan in the works for that long is ridiculous!!
Dick and Scooter are grasping at straws to try to justify their actions. In 1986, city hall had only recently moved into the newly remodeled building that it currenty occupies. This was also long before there was talk of selling and tearing down Center School. Some of the things these guys say are so outlandish, I don't know how they keep a straight face.
They should use the old "Firehouse" building...it's down the street from the courthouse...it makes sense. Plus, it used to be a bar, so they'll all feel right at home.
Speaking of raiding funds, we were at the Phil Vaser concert last night at the Sandwich Fair, and turns out the Prezident of the Morris Credit Union was there as a sponsor of the show. She got flowers and everything. WOW! A Little Morris bank. The word from the folks in front of us was that she was throwing a hissy fit with cops called in and all, because someone sat in her 30 reserved seats in the vip section. nice PR! But, why is the creidt union sponsoring a famous country singer in Dekalb county? Do they support the local community? Do the shareholders know of this and the 30 seats? anoyone know anything about this?
At the last city council meeting, the mayor said that the city hall was part of a redevelopment plan approved in 1986.
The mayor's statement will be proven to be false.
Does the amazing Kreskin have any in put on the mayor needing to get approval from the joint review committee on using tif monies to finance his castle?
Dick and Scott should do a little research on Morris tif history.
The TIF law requires that redevelopment projects be approved by the Joint Review Committee, consisting of representatives from the taxing districts within the TIF district. At the last city council meeting, the mayor said that the proposed new city hall had been presented to the Joint Review Committee, but afterward admitted that the proposal was never brought up for a vote. It now appears questionable whether a Joint Review Committee was ever formed or convened. The more that the TIF is examined, the more irregularities emerge.
Belt has egg on his face. Again.
The TIF law requires the Joint Review Board to meet annually to review the progress of the TIF. Has this been done?
To Mr. K - I am uncertain which comment you are referring to. Comments are not rejected because I disagree with them. I welcome debate. A few recent comments were rejected because they were personal attacks completely unrelated to the the topic, such as the comment about somone's sexual preferences. Another recently rejected comment concerned alleged conduct by a person affiliated with a local financial institution. Again, completely unrelated to this topic of the blog, or any other topic that might be of interest to the public. Such potentially libelous comments have to be rejected, and will continue to be rejected in the future.
Sledge, I think Mike Farrell is getting way to emotional over this city building. Did he really say people WILL DIE if the new municipal building is not constructed? How can somebody in his position say something so irresponsible like that?
Belt works 9.75 hours a day and gets paid $257,000? For this kind of money, you would think that he would be able to figure out how to follow the TIF law.
The TIF district has stolen money from our schools for almost 20 years. To use it to build a City Hall is despicable! Be aware that everyone that pays taxes to Morris 54, Morris 101, Saratoga as well as the Fire Dept and Library are paying higher taxes to make up the shortfall from the TIF district so the city can build a new building. In the past two years we have lost the potential sales tax dollars from Lowes, Kohls, Super Target, Applebys, and Browns Chicken. That could have paid for a new city hall.
I find it laughable that we are giving kudos to: Shugart, Sereno & Matteson for voting against the City Hall building. Where were these three pillars of humanity during the last six months?
Another thing: Why is Mercandunce getting press all over the place for articles and letters that have nothing to do with the office he is running for? I'm thinking it's about time to slam some Kool-Aid and visit that comet in the sky...
hey 10:58, Matteson just joined the council in june. maybe you need to quit looking at the stars.
JJ -
Guess that also excuses the "for" votes by Shugart & Sereno then...
Talk about folks with their head in the stars...
On September 5, Mike Farrell wrote:
"Mayor Richard Kopczick said when the TIF district was formed in 1986, it included a list of possible projects. A new city hall was at the top of the list."
Actually, at the top of the list is "Downtown Parking Lots." The list does not mention a new city hall. Is the mayor misinformed? Is he lying? Why does Farrell blindly accept anything told to him by the mayor?
The credibility of both Kopczick and Farrell is rapidly eroding.
Setpember 11,1:35 pm, Farrell needs to spend less time hanging around city hall. Also please stop being a police department groupie. Get out and do your homework so i can stop.
Hey Comet...sorry for speaking out on important issues. You know, free speech and all...
At the September 4 meeting, the Morris City Council debated the City's authority to use Tax Increment Financing money to construct the new municipal building. A 1999 amendment to the TIF law prohibits such uses in most instances. As reported by Mike Farrell, Mayor Kopczick stated that the 1999 amendment did not apply to the city because a new city hall was included in the TIF Redevelopment Plan adopted in 1986, well before the 1999 amendment. I have thoroughly reviewed the 1986 Redevelopment Plan. The Plan makes no mention of the construction of a new city hall.
Also at that meeting, I asked if the plans for the new municipal building had been brought before the Joint Review Board. The mayor stated that it had been. However, in a followup question, the mayor admitted that it had not been voted on or approved by the Board. The creation of a Joint Review Board consisting of all of the heads of the taxing bodies in the district is required by the 1999 amendment to the TIF law. The purpose of the Board is to provide a system of checks and balances to prevent the misuse of TIF. It is required to meet at least annually to monitor the use of TIF money and approve Redevelopment Plans.
I am not opposed to TIF. It can be a wonderful tool when used correctly by the city to transform blighted areas, such as the paper mill site, into safe, productive property that will generate new property taxes for the city and schools. Building a new city hall with TIF money accomplishes neither. Before the mayor gets around to bringing this to the Joint Review Board for a vote, I urge you to contact your aldermen and the members of the Joint Review Board to voice your opinion.
Former first ward alderman
Bob Elleson
I don't live in Morris city limits, but am hit with incredible taxes from dist 101, 54. Can someone furnish a list of JRB members, PLEASE?!!!
I don't think the mayor ever formed the Joint Review Board.
Where is the outrage from the schools? In 1993 District 101 put together written comments against such abusive TIF practices by the city. That misuse of TIF monies was not even close to what is going on now.
Its funny how former 1st Ward Alderman Elleson is no so apposed to the new city hall/police department. He was all for it when his brother-in-law was the Chief of Police.
He has never been opposed to the building of a new police department. He has always been against building the city hall that does not need built. There is plenty of space left in city hall. If the police were to move out, like to the old D&S building or to the old Firehouse Brewery, then there would be enough room for city hall for another 20 to 30 years. The only plan in existance prior to Dick Kopczick was Mayor Washburns plan to build on the city parking lot from Jackson Street to Jefferson Street. That is why those properties were purchased. Even Bob Feeney knew the plan and participated in the purchase of the last property for that purpose. Elleson just can't stand seeing good tax dollars go to waste. Especially those taken away from our financially troubled schools.
Maybe Kopczick can use the bricks he's sitting on from the Raise the Flags project for the police building.
Dick already spent $700,000 on the architect without city council approval. He is afraid that if the new muncipal building doesn't go through he will look like a schmuck. Too late.
Reading how things are unfolding here regarding this TIF money grab, Sledge, FDR's quote at the bottom of your page really rings true...
Silly Mayor, TIF are for KIDS.
I'm seeing "NO TIF FOR CITY HALL" signs popping up, particularly south of the river. Where can I get some???????
Pick up your "No TIF" sign at the Morris Bakery.
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