Special Privilege for the Privileged Few

By Ron West

 

            In the current election rhetoric the incumbents have said that I – and thereby the challengers to the incumbents were opposed to a new library and new recreation center.  This is partially correct in that I have stated opposition to the methods used to finance these items without voter approval.  It is my understanding that the challengers are supportive of the initiatives already under way such as the new library and recreation center.  The spokesman for the incumbents recently suggested that I should identify any positions where the challengers differed from my own stated positions and this is just one of the areas of difference.

 

            I have been a resident of NRH since 1982 and have only become active in local politics in the last few years as the local government took more and more steps that I found personally offensive.  Their current position of providing special privileges for the special few is an example of what I call offensive.

 

            The incumbents on the council were party to the creation of a new Tax Increment Financing District #2 to “encourage development” of one of the last remaining large tracts of developable land in our city.  It was not blighted nor in need of economic stimulus.  The proposition was done with only the wisdom of the council and the developer who is now bragging about 51 consecutive concessions from this council.   It was not submitted to the voters despite the obvious impact on them.

 

            Tax Increment Financing Districts (TIF’s) – under state law – are supposed to be no more than 10% residential – but our TIF#2 is already 25% residential and growing to be over 75% residential.  I am certain that our City Attorney would quickly point out that there is no language in law to dissolve TIFs that change to become in violation of the state law nor is there anyone with enough money to challenge the actions of the council.  The development – Hometown NRH – has been called “visionary” by the developers because of its design as a closed neighborhood designed to be “walking distance” to parks and work areas.  By design, the streets are narrow with on street parking encouraged to “calm” (i.e., restrict) traffic flow.  The current design has two primary entrances to this neighborhood.  (Other entrances may be added later I hope.)  In a nutshell this is a nice, high quality neighborhood designed to keep outsiders (like the rest of the citizens of NRH) out.

 

            Prior to creation of TIF#2, the land and existing development in the area set aside for TIF#2, was valued at approximately $40 Million dollars.  This yields approximately $228,000 total tax dollars through property taxes to the city each year.  By creation of the TIF#2 – the $228,000 is all the money available annually, to the city for street maintenance, utility maintenance, fire protection, police protection and all administrative services for the next 27  years from the Hometown area.  All new taxes from all the new construction is moved to the TIF and the closed administration of a board elected by our City Council.  Under the TIF, this board can borrow money using the new taxes – or taxes paid by the rest of the citizens – to pay it back.  Bottom line is that the virtually the entire tax burden for all city services to Hometown NRH is paid for by all the other citizens of the city.  This is not the fault of the new residents there, rather an administrative decision by our elected officials without our input.  The total amount of money moved off budget by this TIF is projected to be over $85 Million dollars over the life of the TIF!  To put it another way, the rest of us have to pay $85 Million in additional taxes to cover what is being moved to the pet projects of TIF#2.

 

            So where does the money they have moved out of the “general fund” go?  One of the announced intentions is for a new $10 Million plus library to replace our current library that is ranked #3 in the state.  This has been publicly justified by the expansion of Loop 820 which – when completed about 10 years from now – will take a small portion of the parking away from our existing library.  Only 500 or so parking spaces would be left after the 820 expansion.  These 500 remaining parking spaces were not enough to retain the library in its present location so the new - $10 Million Library – will have a total of 168 parking spaces.  The new location is – as promised to the developer – to be in Hometown NRH near its eastern edge.  This means that it is far closer to Hurst than to most of NRH!

 

The new library will be designed to be convenient to the privileged few in Hometown NRH while the rest of the city has to access it through an area designed to exclude them.  The location of the library, by encouraging traffic in a sub-division designed to exclude such traffic is at best contradictory.  I guess since it will be in “walking distance” to the privileged few in Hometown, and since the area is designed to discourage outside traffic, the city can safely project less use of the library thereby eliminating the need for parking?

 

            A second stated use in the amount of $27 Million is a new recreation center and all the comments about the library apply to it also.  Location is convenient for Hometown NRH residents but by design, inconvenient for all the rest of NRH.  It too, will be closer to Hurst than to most of NRH.

 

            So what do we have?  We have a plan to allow our council to spend $85 Million without input or approval of the people who have to pay for it.   We have a plan to appease a sub-division at the expense of all other taxpayers in the city.  We have a TIF that was formed knowingly wrongfully according to state law. 

 

            So who benefits?  The Hometown NRH residents must be identified as the primary obvious beneficiaries.  They are getting the library and recreation center that has served the city so well for a number of years.  The private buyer of the prime land the library sets on will probably get a pretty good deal on the land – if that deal is not already made in secret.  The council members will get their ego’s stroked by having their name on plaques in the library, recreation center and probably some other “buildings” such as a new city hall at a future date.  The developer of Hometown NRH is another obvious beneficiary.

 

            Who will be the losers if any?  All the other citizens of the city who have to pay for all city services to Hometown NRH for the next 27 years.   All of us who will not have convenient access to either the library or recreation center when they are relocated.  If the taxes skimmed from Hometown NRH don’t meet projections, then all the rest of the citizens have to pony up for the difference for debt incurred by the closed board of the TIF.

 

            This is not a treatise against a new library or a new recreation center, rather an outside look at how our local government is operating.  If there is to really be a new library, then why not submit it to the voters in the city for approval.  If there is to be a new recreation center, then submit it to the voters.  I am opposed to the method and actions of the current council in running over the citizens of the city to benefit themselves and their privileged few constituents.  I don’t have a clue as to whether the challengers can or would be interested in changing any of planned projects of the current incumbents but I feel certain they would at least let us know what they were doing and honestly tell us why.

 

            As it currently stands, the privileged few are benefiting at the expense of all of the rest of the citizens of NRH!  If the current incumbents are re-elected, we can surely expect them to continue to reward the closed club of developers and special interests that has been running our city for the past 12 years.