That Explains It!

In both of the local rags this past week, we got to read about Mayor Howard's views on the Napleton deal, which the Mayor's tie-breaking vote assured would give his campaign contributor, Napleton, as much as $2.4 million over the next 15 years.

The Wednesday rag ran Mayor Backs Incentive Vote, while the Thursday rag had a special "Guest Essay" under the Mayor's own name.

Members of the PRU Crew have had the dubious privilege of reading things the Mayor has actually written, and while it cannot be proved at this time, it is universally believed among the Crew that the Mayor's pen never met paper, nor did any of his fingers touch a keyboard during the production of that essay. And if you've ever heard the Mayor speak, then you are already aware that the Mayor's having dictated his thoughts is not even close to a possible reality in this lifetime - nor the next.

However, since the Mayor put his name on the "Guest Essay", we will move forward as if he really did author the thing, and we will explain to you all the things the Mayor didn't tell you in either of those pieces.

We read in the first piece that Mayor Howard said of his vote on the Napleton deal, "I'm not ashamed of my vote at all." Translation = "I'd do it again." Believe it people; he sure will.

The first article also quoted Frimark as saying, "43% of our sales tax comes from automotive: car dealers and gas stations" What the Mayor didn't tell you is that the roughly $5.9 million dollars in total sales tax revenues collected accounts for only 11% of the City's total revenue income of almost $53 million.

Property taxes ($15 million) account for about 30% of all revenue collected. All other revenue is split among 5 other sources of income. The City earns more from the sale of water ($6.5 million), and almost as much from the utility taxes it collects ($5 million) as it does in sales taxes.

Further, that 43% includes ALL automotive categories not just gas stations and car dealerships, but also car rentals and repair shops.

One of the City's greatest revenue streams comes from a category of income called "other"; about $12 million. The revenue sources for "other" include income from various fees, such as ambulance, gasoline, food and beverage taxes, etc.

It seems to us that the $200,000 in sales taxes generated by Napleton may be a 6% contribution to the City's total sales tax revenues, but it is less than .5% of the City's total income. So the PRU Crew isn't exactly sure what would be so tragic about losing the Napleton dealership to some other municipal suckers willing to bribe a car dealership to locate in their town; and that's if you are willing to believe that Napleton would high-tail it out of Park Ridge for "greener" incentive pastures.

Here's what we think: Napleton isn't going anywhere for the foreseeable future. They have already invested in their new site at Busse and Greenwood. And more significantly, Napleton has more clout in Park Ridge because of that 6% addition to the City's sales tax bottom line than they would have in any of the larger, more sales tax rich surrounding towns like Niles or Des Plaines. And Napleton is probably well aware that when it comes to generating sales tax revenues, what they are talking about generating in Park Ridge would be nothing more than a pimple on a flea’s sales tax ass in Niles or Des Plaines. Napleton knows this. Des Plaines' Mayor Arredia and Nile's Mayor Blase know this. And so do Mayor Frimark and his council bobble heads, even if they don't want to share that knowledge with you.

The Wednesday rag goes on to report that Mayor Howard said Park Ridge taxpayers, "...hear you're giving (Napleton) $400,000," he said, but he explained the town would eventually get that money back after the town homes are built and property tax starts coming in at a higher rate."

There you have it folks. You'll get the money back, as long as you are willing to tolerate more town houses being built into an already saturated and slumping housing market, not to mention the greater residential density and traffic the project will bring to Uptown and the surrounding neighborhood.

Of course, the taxpayer's of Park Ridge know that they wouldn't have to "get that money back" if it hadn't been given away. And most Park Ridge taxpayer's also seem to have a healthy respect for the idea that government should keep its nose out of private business transactions between two privately held businesses.

In the Mayor's essay, he elaborates on what he said about the use of Tax Increment Financing (TIF) funds in the news piece; that, "The agreed-to contribution of up to $400,000 will be generated by the project itself and is consistent with the intended use of TIF revenues. None of this revenue comes from the taxpayers of the city of Park Ridge."

That is such a remarkably stupid statement, we aren't sure where to begin to unravel the idiocy.

TIF funds are, in fact, revenue from the taxpayer's of the City of Park Ridge. Period. Whether the taxes are generated within the TIF district or not, ALL OF IT is taxpayer money. Those residents and businesses located within the TIF district are as much Park Ridge taxpayers as are the folks at Boardwalk, Park Ridge Point, Edison Park Homes and every other property owning and property tax paying person or business in Park Ridge.

Because TIF funds are held separately from the general City fund used to pay for services for Park Ridge residents, that DOES NOT MEAN IT ISN'T MONEY COMING FROM PARK RIDGE TAXPAYERS! And every dollar of TIF revenue given to a private interest is a dollar less that the City has to spend on infrastructure within the TIF district; or to retire the TIF debt sooner so that our local School District and Park District can realize the full benefit of Uptown redevelopment along with the rest of Park Ridge's taxpayers.

Furthermore, the longer the TIF fund takes to break even, the longer taxpayers outside the TIF district will have to cover increasing expenses for City services, including those demands for services within the TIF district. And the City's general fund is forced to advance money to the TIF district for anything not covered by the generation of enough TIF funds.

The Mayor's essay also says, "Napleton will be investing $2 million in improvements into his dealership. This will be used to help remodel the facilities at their new location on Busse and Greenwood."

What the Mayor fails to tell you is that the remodeling of Napleton's new location is required by their franchise agreement. Perhaps Napleton Cadillac would remodel their new facility anyway, without the franchise agreement. But they have to, and now the taxpayers of Park Ridge will be paying for yet another deal between private businesses: Napleton and the manufacturers for whom it serves as a dealer.

Mayor Howard's concluding remark in the Wednesday article is, "The agreement benefits both of us"

Yeah...both Mayor Howard and his campaign contributor, Napleton Cadillac.