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Thursday, January 07, 2010

After businesses object, St. Paul City Council OKs two-week del...

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Anonymous Pioneer Press said...

City council OKs two-week delay of assessment
By Dave Orrick
dorrick@pioneerpress.com
Updated: 01/06/2010 11:59:11 PM CST


The St. Paul City Council on Wednesday squared off with the most vexing issue surrounding the construction of the proposed Central Corridor light-rail line: protecting businesses.

At issue is nearly $2.9 million in proposed assessments on property owners downtown and along University Avenue to pay for part of a $22.3 million city-led streetscaping plan to plant trees, improve drainage and upgrade lighting along St. Paul's portion of the $1 billion, 11-mile line linking St. Paul and Minneapolis.

More than 25 store operators, property owners and business leaders spoke against the council's plan, citing the confluence of the sagging economy, the possibility of several years of bad business while construction is under way, lost parking after it's done and a fresh new assessment that could hit years before 2014, when trains are projected to start rolling.

"We are scared already with this economy," said Trinh Nguyen, whose family owns Trung Nam French Bakery at 731 University Ave. "We can't afford another tax."

After more than 1 1/2 hours of internal debate and public testimony, council members agreed to postpone the plan for two weeks.

"You are heard loud and clear," council member Russ Stark, whose ward includes a stretch of University, told the audience.

Exactly what will be accomplished in the next two weeks remains unclear, but a number of council members said they hope to find a way to lessen the impact.

Stark, along with council member Melvin Carter III, supports a plan endorsed by the St. Paul Area Chamber of Commerce and Midway Chamber of Commerce to postpone the assessment until trains are rolling.

Council member Pat Harris supports that idea and also said he wanted city staff to look at other sources of funding that could lower the total amount being assessed to business owners.

Council member Dave Thune asked the city attorney's office to see if it were possible to assess more property owners downtown than just those whose land abuts the train tracks, which will run from the state Capitol down Cedar and Fourth streets en route to the Union Depot in Lowertown.

But council members Dan Bostrom and Lee Helgen warned that they would be leery of supporting plans that essentially would raid city dollars normally en route to Helgen's North End neighborhood or Bostrom's East Side communities.

City council president Kathy Lantry summarized the situation.

1:27 PM  
Anonymous story continued said...

"I hope we're going to have some alternatives (in two weeks), but you know what? Not everyone's going to agree," she said.

The financing plan to pay for the streetscaping work originally was proposed by Mayor Chris Coleman.

All council members, as well as Coleman, have pushed the Metropolitan Council, which is building the Central Corridor, to pay for more of the work, but Met Council officials have maintained that federal funding formulas won't allow the streetscaping improvements to be part of the official budget.

Thus, the city is opting to pay for them, and none of the council members appears to be backing away from that basic plan.

"We've deferred these improvements to University for so long that it's fallen into disrepair, under the promise that we would fix it when light rail came along," said Carter, whose ward includes a stretch of the thoroughfare.

But not now, not like this, business owners said.

Michael Glasgow, whose grandfather started Glasgow Automotive at 740 University Ave. in 1946, said he's seen boom and bust along the street.

"I remember the hookers, the pimps and all that," he said. "It's gotten better ... but now, the tables are turned. The city is the pimp asking us for money, and we're the prostitutes."

One business owner warned he'd have to let "half my people go" if he had to pay the assessment. Another complained that trees might actually hurt his business, shielding his furniture sale signs from passers-by.

Susan Kimberly, interim president and CEO of the St. Paul Area Chamber, noted her organization and its members strongly support the Central Corridor, "but this economy has taken a toll," she emphasized. "At least, let the construction get finished, let the trains get rolling for a couple of years before we have to pay for it," Kimberly said.

Under the proposal, the assessments would be levied on properties the autumn after completion of the streetscaping in front of each property.

The cost would be $54.39 per foot of frontage along University. The fee could be paid at once or financed over 20 years with interest. In addition, the plan for twin lantern-style streetlights will mean businesses will pay an additional annual maintenance fee of $1.70 per frontage foot. Downtown, it would be $42.26 per foot of frontage, plus an additional $1.05 for streetlight maintenance.

The nearly $2.9 million in assessments is part of the up to $22.3 million city plan — the only city funds headed toward the project. It includes money to build a new station at Victoria Street, Hamline Avenue or Western Avenue. The largest source of the funds is cash reserves from special taxing districts along University.

1:27 PM  
Anonymous Anonymous said...

Just lip service is all this is. They'll tax them out of business to make way for their choo choo, quaint little shops and coffee troffs for the elites.

11:10 PM  
Anonymous Anonymous said...

Gang Banger Express right up University and straight down to the Welfare office. It'll be convenient because they'll be able to catch it not to far from the Amtrack station when they get off from Chicogo.

1:11 PM  
Anonymous Conspiracy to Assess said...

Its happening to everyone Great Site
http://www.conspiracyplanet.com/channel.cfm?channelid=54&contentid=103&page=2

2:55 PM  
Anonymous Anonymous said...

"We can't afford another tax."

Boy is that poor schnook in the wrong city. Someone is going to have to pay him a visit and let him know that everyone in St. Paul is Happy to Pay.

2:40 PM  
Anonymous henry said...

Everyone ought to know that this city council does what it pleases whether it makes sense, is legal, or is fair.

6:53 PM  
Blogger Bob said...

Property values have decreased with the recession and yet property tax's have risen. I urge citizens to have their property values assessed at current market rates. You will save a bundle of cash.

5:54 AM  

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