Taxpayers are providing $23,200,000.00 of State, County, and Local tax dollars to build a plethora of expensive building updates to what USED to be Mason City’s downtown. Most refer to it today as “Old Town,” because back in the 80s Federal Avenue was closed and the Southbridge Mall ran most of the “retail’ business’s out of the downtown area.
THERE IS AN ADDITONAL $1,5OO,OOO.OO in Mason City real estate that is not included in the Globe Gazette’s article. This brings the taxpayers amount they are giving away to $24,700,000.00. Pretty sneaky isn’t it.
All the pieces of this project got their inception by jumping through all the hoops necessary to QUALIFY for Iowa tax dollars from the State of Iowa through the Iowa Re-Investment Act. That is why we see so many different projects wrapped up into one massive tax giveaway. With so many moving parts we find many opportunities for failure. Not to mention the long-term exposure of the taxpayers to pay the additional expenses we will occur to operate and maintain the Ice Arena/Multi-Purpose Center, Performing Arts Pavilion, Conference Center, and Skywalk!
HOTEL HAS NO REAL RISK INVOLVED!
TAXPAYERS GIVING ONE MILLION FIVE HUNDRED THOUSAND DOLLARS TO HOTEL DEVELOPER
“We the people” are GIVING AWAY $1,500,000.00 of our real estate that is part of the mall’s parking lot just south of Younkers. This is the collateral that the Hotel Developer is using to secure his financing to build his hotel. It will make no difference to the hotel developer whether the project is successful or not, as he will put about 10% of his project costs in the bank just doing his deal. They won’t tell us that and will disagree with this explanation but that is the way these projects work.
The Ice Arena/Multi-Purpose Center is also fraught with pitfalls. After the taxpayers spend $12,500,000.00 building it, the taxpayers are going to sign a 20-year lease with the Mall Owner for $20,000.00 PER MONTH to lease the space in the current mall we used to know as the Penny’s Store. There are options in the lease so make it 40 years. In today’s world we can’t count on tomorrow let alone 20 to 40 years out.
With the lack of population base and the 100s of current events around Mason City and North Iowa the Multi-Purpose Center will put a negative strain on all of those events. These other events, or the Multi-Purpose Center, are going to suffer!
We come to the Conference Center. A 600-seat addition to Music Man Square that is another area of risk to the taxpayers. We are building that and turning it over to the Hotel so they can create and sell events so they can fill up their 130 or so Hotel rooms. Should that not be a successful venture, once again the taxpayers are on the hook for long term maintenance.
I have covered only the parts of this project that should give us all pause to realize just how much RISK we are putting ourselves in, should we vote this project in. There are many if not dozens of hidden items that we will be responsible for once this is passes. All will raise our property taxes once we commit to this hair brained scheme.
The entire scheme is the result of the Chamber and Political Elitists trying to take advantage of our tax dollars using the Iowa Re-Investment Act. In so doing they are willing to risk anything and everything at the taxpayers’ expense to further what I consider un-attainable results!
Use your head folks not your emotions when going to vote on this monster project.
This WILL RAISE YOUR PROPETY TAXES!
Letter from Mason City citizen
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21 thoughts on “Opinion: RENAISSANCE PROJECT PUT IN PERSPECTIVE”
Heard the ice arena will be tied into the mall so technically the mall owner will assume ownership over the ice arena also that taxpayers paid for, sounds like another fantasy scheme of the rich.
OH yea I forgot ! Worth county supervisors want another – what 24 million in TIF to pay for a gas pipeline – For guess who ? by Alliant – If I did not know better I would say crooked is as crooked does for $$$$.
Worth County is democrap controlled and owned by corporate interests. Want to see a site visit downtown Manly – the only buildings really used are the public servant ones – oh forgot the legion club and the soup kitchen. All are money is north – TIF =sterling acres -the chemical plant and the ethanol storage/windmill storage – anyone from Manly work there – I don’t know of any?
Folks, I wrote this article and my wife and I have voted no already. I know there are folks that want Mason City to grow and so do I. The fact of the matter is I have been involved in Mason Cities inner working for decades and I know that until you CHANGE the leadership you will NEVER grow.
This project has NOTHING to do with GROWING Mason City and the insiders know that. They sell these projects so about 150 locals can make a ton of money.
The biggest problem for the entire mess is the LOCATION!!! I have sat with planning and zoning experts and they will tell you that due to area restrictions and lack of population the downtown is NOT the proper place to put this. The insiders know this but they don’t give two cents about the outcome.
Mason City needs to employ people not create “projects” to grow the city.
I pray this fails and those of us that can make Mason City a better place with more economic opportunity will be more than happy to step forward and show you how to do and MAKE IT HAPPEN, if you can the negative so called big shots to back off. That my friends is big wall that has to come down first.
Should this pass, remember these words. In 10 to 15 years we will look back and Mason City will STILL be nothing but a small town with no opportunity for the working class. Mark my words!! Like I said it will only change when you get those who are holding Mason City down out of the way.
No, I have not made any of the current comments. I don’t know who they are and don’t care.
I know you’re lieing. Any urban development expert worth their salt will tell you entertainment venues belong in the city core, not in a sea of parking like the old Sears Building. It’s the very same reason grocers put milk in the back of the store. The demand for both milk and milk and entertainment is nearly inelastic.
All these comments appear to be the same person arguing and disagreeing with themselves. Either way, vote NO, its a bad idea. One way or another, homeowners will get stuck lugging the bill, with nothing but empty and run down buildings to show for it.
Mason City has plenty of empty and run down buildings now. We really should do something about that. Maybe build some things that would make it easier to attract and retain that youthful workforce growth industries require. Something like a multi purpose arena.
Or we can try this the Max Weaver way and invest in nothing and hope and pray Toyota maybe builds a factory here (they won’t, BTW because we don’t have the workforce they require).
This dumb ass again? I hate to burst your bubble, but you need the jobs first, then people will move here, then build things for all the new people to do. Nobody is going to move here, in hopes of ice skating on the weekend, when the only employment offerings are some food service, a couple retail, and a third shift mattress maker. The real question is…are you trying to fool others, or have you already been fooled yourself?
If you see the word T. I. F. and its for a corporate (non-public) project — VOTE NO and RUN ! People in Worth County have been taken to the cleaners by our county supervisors and their T I F corporate friends.
I would evaluate each and every proposal on its own merits. There are plenty of TIF projects which have been immensely successful. Jordan Creek Mall in West Des Moines for example.
Worth County has among the lowest property tax levies in the state at $25/1000. It also probably has the least amount of commercial/industrial property in the state. Seems like they should be using TIF and other development incentives a whole heck of a lot more to try to spur some growth.
Finally, a opinion that makes good sense.
It sure doesn’t make sense to people that actually understand a thing or two about finance. The author doesn’t consider that risk can have positive consequences, they only consider negative consequences of risk. Additionally, the author substantially overstates the negative risk.
Bull Shit!
BS?!?! That’s all you can come up with? Wow. Great counter point. You must be very intelligent.
It’s all someone like you can understand.
There really isn’t a lot of risk to the Mason City Taxpayers in this project. The State of Iowa won’t default on their obligations. The hotel is private investment, so the risk is all the investors, not the taxpayers. And there is absolutely a 0% chance that the events center will require $20K per month from taxpayers.
And you are trying to spin the fact that the city is turning a $1.5M piece of parking lot that pays exactly zero dollars per year in taxes into this large commercial development that will contribute hundreds of thousands of dollars in taxes as a negative?!?!?!? Are you kidding me! This is fantastic!
Here we have someone commenting that is selling the community pure BS. Instead of fixing all the bad roads and run down neighborhoods, this selfish blogger wants your tax dollars for himself. He is lying through his teeth! I am voting no for sure.
I want to see this city grow again. This project is a step towards accomplishing growth. And we should do something about derelict property in this town. Any reason we can’t accomplish both the Renaissance project and addressing decrepit property?
Bull Shit!
Thank you for these insightful words, they helped me make up my mind and vote YES