Tuesday, November 27, 2007

Republican fund raiser

The Cowley County Republican Party is holding a fund raiser Nov. 29. You may have seen the slick posters with the glamor shots of Rep. Kasha Kelley and Congressman Todd Tiahrt on them announcing the event. This reminds me of the rumors that Kasha eventually would like to replace Tiahrt. The Kelley family is pretty close to Tiahrt, with Greg Kelley having been his Cowley County campaign chairman and with Kasha's husband Scott, having worked for Tiahrt. Kasha herself has not said that getting to Washington is her goal, but neither has she ruled it out.

I think Kasha makes a good candidate and she as the fiscal and social conservative credentials to follow in Tiahrts footsteps. But it's hard to see how a person from Ark City could win a district dominated by Wichita. She would have better footing as a state senator, which sets up a showdown between Kasha and Greta Goodwin, the current state senator in this district.

But that's only if Greta runs again. She almost retired before the 2004 election, which she narrowly won in a slugfest with arch conservative Ray LaBoeuf. I think Kasha would be hard to beat, but there has been a general backlash against Republicans and religious conservatives lately. I'm certain the Democrats, and probably even some moderate Republicans, would fight hard to keep that Senate seat.

Tuesday, November 20, 2007

Enterprise Zone

I errored in my last post suggesting that the land targeted for the big box store had to be blighted to use tax increment financing. It qualifies for TIF because its in an enterprise zone, a status designated several years ago to provide incentives for businesses to locate there.

TIF apparently started many years ago to helped redevelop blighted areas, but lawmakers expanded its use to other areas designated for certain development, like enterprise zones. I'm still looking into what criteria must exist to start an enterprise zone. I wasn't aware until recently that GOFF Industrial Park had this designation.

Thanks Patrick for setting me straight on this.

Friday, November 16, 2007

Let's be clear

Spoke with Steve Archer, the city's director of adminstration today about the big box deal in the works.

He confirms that Lowes or whatever retailer(s) that buy space at the proposed shopping center would pay their full property taxes. HOWEVER, those property taxes would go to pay the costs of roads, parking, water, sewer, etc. required to bring a shopping plaza on that empty site.

For anyone to say that the retailers are not benefiting from the Tax Increment Financing District as described by Archer or anyone else is flat wrong. The developers obvious can price their retail space at a more attractive rate because they don't have to pay a bunch of infrastructure costs.

Another question that bugs me is, TIF districts were meant to redevelop blighted areas. How did a field of grass or wheat become blighted?

Thursday, November 15, 2007

Big Box, again

COMMENT: "I keep hearing things about subsidizing Lowe's, but I also hear that Lowe's will have to pay ALL of their taxes. Which is it? Is there really a shopping center or just Lowe's? I'm beginning to wonder who is pulling who's leg!"


My understanding is that the Lowe's is part of a shopping center. It would be the anchor tenant. The developer would provide space for adjacent stores of smaller size, possibly restaurants.

Lowe's itself isn't getting the tax break, as I understand it. The developer or land owners is, so they can reduce construction costs. My guess is that the tax break helps reduce rent costs for Lowe's (and other businesses) by reducing the developers yearly debt obligations.

It's all tied together.

Tuesday, November 13, 2007

School bond election

I wonder whether the decision to make the Ark City school bond election a mail in vote will help its passage?

I assume that the school board would not have done it if they didn't think so, but I always thought you wanted to keep voter turnout low on single issue elections, especially when you are asking for a tax increase. The idea being that you target the campaign to those who might support it.

Anyway, I think the mail in vote is a decent idea if it raises the turnout as superintendent Ron Ballard suggests. My guess is that the $36 million measure faces an uphill battle. The district postponed the vote for more time to educate (campaign) the public. The Traveler online poll (unscientific) found a substantial majority opposed it.

It's tough to pass a tax increase in Ark City, which is well below the state average in per capital income. I think the jail bond vote failed in Ark City while winning countywide, and I was told the vote to provide tax money to Big Brothers Big Sister and CASA failed here but won in Winfield. It lost countywide.

Friday, November 9, 2007

Big Box

Here's a comment that sparks interest.....

"I'm not sure of the "tax break" you mention. I hear that phrase bandied about quite a bit. As I understand it the "big box" will still have to pay full taxes and not receive any kind of rebate. Only the developer will get any benefit - and that only for streets and water and such that the city would have had to be a part of anyway - to create a full shopping center and draw in other retailers.

I could be wrong, but somebody should find out for sure."

If the developer/land owner gets to keep part of the property taxes that normally would be assessed, isn't that a tax break?

As far as the city having to build and/or finance streets and water for a shopping center, that simply is not true. That's the whole argument — how far does the city go in aiding this project. I don't remember the city paying for the turn lanes, the traffic signal and the parking lot of the Wal-Mart in either Winfield or Ark City. (Correct me if I'm wrong)

Big Box development

Fascinated to see that the developers/retailers for the proposed Big Box development and shopping center north of town would accept a 1 cent sales tax increase — just for stores on that site.

This would help fund the capital improvements needed to build the center, and perhaps lessen the tax break the city would need to get the deal done.

Still not sure what the final amounts and details of the deal will be, but the fact that the developers/retailers would accept a tax increase seems to make it more saleable politically.

I certainly don't blame our hardware and lumber stores for being wary of this, especially since it comes with a tax break that will lead to the development of a big box home improvement store (likely a Lowes).

But, overall, it will provide more shopping and dining opportunities for residents, and increase the tax base. It could also bring more people to town and spur housing development, which is desparately needed. The devils are always in the details. So we'll wait and see.

Tuesday, November 6, 2007

Politics of development

Word is that one or two commissioners oppose the tax increment finance district that would bring a Lowes and adjoining strip center with it north of Ark City. We know that Mel Kuhn ran ads against the proposal during his campaign.

As I see it, there is an underlying tug of war here with a pro-development attitude on one side and a traditionalists, or taxpayer watchdog, attitude on the other.

The deal would essentially give tax revenue generated on the project back to the developers to finance improvements like roads and parking. While this seems like the progressive thing to do to provide more shopping options and increase sales tax revenues, there is a fear that it prioritizes suburban development and could canibalize existing stores such as Bryants and Westlake hardware stores.

Plus, there is a feel of corporate welfare to the whole thing. Who wants to subsize a big box store like Lowes?

I think, depending on the specifics of the deal, it's hard to say "NO" when this kind of opportunity comes knocking. In total, it appears a net benefit for the city, but there are costs to aiding and abetting retail development on the edge of town that competes with existing businesses.

I think the winners, politically, will be the commissioners who support the deal, especially after its up and running and people go shopping at Lowes (or whatever home supply store opens up there)

Monday, November 5, 2007

Learning English

Here's an interesting comment

"...... 400 years ago, when the Mayflower landed at Provincetown Harbor, they were greeted by Tisquantum (Squanto), who greeted them in English. He also spoke Spanish."


Then I guess we natives should learn Spanish to welcome the current wave of immigrants?

Learning English

I'm posting the following letter to the editor that ran in the Wichita Eagle last week as food for thought. I agree that immigrants benefit from learning English, but sometimes I think we judge too harshly ....

"I read people constantly commenting on Mexicans who live in this country and how they should learn to speak English. This aggravates me. When we first came to this country, we forced American Indians to learn to speak English. When we brought Africans over, we forced them to learn to speak English. We have never respected the rights of other nationalities to communicate the way they feel comfortable; we have only tried to force them to conform to what makes us feel comfortable. If I moved to another country, I don't know how long it would take me to learn the langauge and the thought of being looked down on until I did is unfair.

When you hear someone speaking Spanish, you have no idea how long he has been here or how long he may have been trying to learn to speak English. The next tine you hear someone speaking Spanish, give him the beneift of the doubt and consider that learning another language is not something you do overnight. You might also consider that if he is not talking to you, it is none of your business what language he speaks."

David Grebenik,
Wichita

Thursday, November 1, 2007

Good schools part deux

Can whoever posted this comment point me in the right direction for this info. I purused the Web site but couldn't come up with the comparisons?
Thanks

"Standard and Poors keeps a webpage which ranks all schools in the US at www.schoolmatters.com . In the past year, USD471 has used a reference to Standard and Poors as a basis for announcing awards for economic efficiency as well as other awards, but they seem to not include the whole picture.

According to www.schoolmatters.com, there are 47 Kansas high schools of a similar size to Ark City High School (500 to 999 students).

Ark City High ranks 10th from the bottom in Kansas in reading (tied with Pittsburg) and 5th from the bottom in Kansas in math (also tied with Pittsburg).

Maybe some focus could be directed to improving the high school reading and math performance."