By Yael T. Abouhalkah, Kansas City Star Editorial Page columnist
Even as Kansas City's budget shrinks, developers are still seeking more public funds to subsidize grocery and retail stores. The easy call is to tell the developers to take a hike.
But not so fast. The deal on the table Wednesday morning at City Hall was to pump $20.5 million into the proposed Citadel Plaza project at 63rd Street and Prospect Ave.
Yes, that's the one on the city's East Side, in a poor part of town, with high minority population.
City Council member Terry Riley made a pitch for the project Wednesday, saying he wasn't doing this to provide a shopping center for black people but for all Kansas Citians.
But a consultant hired by the Tax Increment Financing Commission has said the center is "high-risk" one, partly because it's in a poor neighborhood.
Ultimately, the council's Finance Committee held the issue, at the request of Beth Gottstein.
It was the right call, because it was apparent the majority of council members weren't comfortable yet putting up more city cash for the deal, without assurances the city would be paid back.
Treasurer Randy Landes made the point that he thinks the city can make the deal work, ultimately, without pinching taxpayers.
Finance Director Jeffrey Yates essentially agreed, while pointing out there's always some risk in entering the credit markets.
Chairwoman Deb Hermann was angry that the city staff wanted to put up city funds at this point, then issue bonds later. That wasn't in the original deal, she said.
True, but that's the deal before the council.
Now, the council will wait another week, meet with development lawyers and the city staff, and try to get something worked out.
It should be a doozy of a finance meeting next Wednesday.









Delicious
Digg
Screwing the AA's
Screwing the AA's Again..
This is so predictable with this bunch of libs running KC.... Give the money to their buddies, but not to the poor. What a bunch of two-faced weasels(really something else, but I might get REPORTED). Why do AA's keep voting for these doughheads??????
These libs truly are the scourge of the earth!!
Hey no sweat alphabet, just
Hey no sweat alphabet, just call the "Hyphen" she will solve that budget mess in a heartbeat. Heck, you nimrods pushed her so hard for Congress you just know she has all the answers!