HomeMy WebLinkAbout05/31/1994 EDC MinutesMINUTES
ECONOMIC DEVELOPMENT COMMISSION
Trustees Room, Village Hall
Tuesday, May 31, 1994
6:00 P.M.
CALL TO ORDER
The meeting was called. to order at 6:15 p.m. by Chairman James Ebbinghaus. Members present
were: Ben Trapani, John Riordan, Patrick O 'Donnell, Dale Jessie and Chairman James Ebbinghaus.
Also present was Brian McCarthy, Sales and Marketing Manager representing Randhurst Shopping
Center; Mayor Skip Farley; Trustees George Clowes, Tim Corcoran, Paul Hoefert, Irvana Wilks,
Richard Hendricks, and 1M iichaele Skowron; Larry Smith, Daily Herald Representative; John Conick,
Journal & Topics Representative; Village Manager Michael Janonis; William Cooney, Director of
Planning; Dave Jepson, Finance Director; and Kenneth Fritz, Economic Development Coordinator.
APPROVAL OF MINUTES
Minutes of the March 2nd and May 4th meetings of 1994 were not presented for consideration.
Therefore, the minutes of these meetings will be considered at the next regular meeting of the
Economic Development Commission.
OLD BUSINESS
Economic Development Commission (EDC)
Chairman Ebbinghaus summarized the discussion from the last joint meeting on May 4 and outlined
the objectives of the May 31 meeting agenda with the Village Board. He stated he wanted to review:
1. EDC's Agenda for work in 1994
2. Arrive at tentative consensus on new and existing development incentives
3. Identify EDC's latitude and economic development issues
4. Identify some visions for the future economic development for Mount Prospect
Economic Development Commission Agenda for 1994
One of the major objectives of the EDC work program for 1994 is to target specific
industrial/commercial business types that need to be added that are not now represented in Mount
Prospect. Another element of the work program for 1994 is to seek to retain and enhance current
businesses in Mount Prospect.
The EDC and staff have explored some possible ways in which to encourage retention and enhance
current businesses in Mount Prospect through closer communication and the identification of
potential expansion needs of existing businesses through the Economic Development Coordinator's
contacts and the Business Visitation Program.
Special Projects
The EDC has identified some special current projects that, together with staff, need attention and
present opportunities for contact with the members of the EDC. They are as follows:
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1. Menards/Courtesy Property
2. Lake Center Corporate Park area
3. Kensington Center
4. Annexation (potential areas for annexation to be studied by staff and EDC)
There may also be an opportunity to review the potential for redevelopment or renewal of properties
in various locations along major corridors in Mount Prospect in addition to the downtown area. It
was proposed that these areas be studied by staff and the EDC.
Economic Assistance Programs
The EDC asked to discuss several suggested assistance programs in more detail with the Mayor and
Village Board. Mr. Ebbinghaus then proceeded to outline the major programs recommended by the
EDC for further consideration. They are as follows:
1. Streamline the permit process
2. Use of staff ombudsman
3. Tax Increment Finance assistance program
4. Potential annexation to increase tax base
5. Cook County Tax Abatement (6B Program.)
6. Sales tax credit/lRB
7. Permit fee abatement
Discussion
There were different points of view from the Trustees regarding the expanded use of Tax Increment
Financing as a means of redeveloping other selected locations in Mount Prospect. Trustee Clowes
and Hendricks were basically against establishing additional TIF Districts, while Trustees Corcoran,
Skowron, Hoefert gave a qualified yes if presented on a case by case basis. If however, viable
businesses were put out of business as a result of the redevelopment without an opportunity to be
made part of the new development, Trustee Wilks, for instance, would have serious reservations of
the use of the TIF District. Mayor Farley generally supported the use of TIF Districts in other areas
provided there was justification for the use of the TIF Districts together with the inability by private
sectors to assemble land.
IRB's, Permit Fee Abatement, Cook County Tax Abatements (613 Program) were discussed as well.
The subject of annexation as a economic assistance program was discussed with the understanding
that a cost benefit analysis would need to be done.
The Cook County Tax Abatement Program (6B) permits companies engaged in manufacturing
operations the opportunity to abate taxes at a reduced rate for the first 8 years on an existing or new
building provided the Village endorses the company's to the Cook County Assessor's Office. The
Village routinely looks at the economic stability of the company, including the recent growth of the
company and job creation as a result of the new location or expanded company activity. If all of these
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elements are favorable, the Village has in the past adopted resolutions favoring tax abatement for
those companies seeking this designation.
Sales Tax Credit
Commissioner Dale Jessie stated that as a community matures, land becomes more scarce and the
opportunity to increase the tax base significantly diminishes. He suggested that large commercial
users who produce significant levels of sales tax receipts and have extraordinary or unusual costs of
development should be given consideration for some level of sale tax abatement. The EDC had
considered recommending rebating a 1/4 % of sales tax that comes to the Village as new sales are
generated by the large commercial user. He indicated that in addition to the increase in assessed value
and receipts from sales tax, the Village also attracts people from other communities since the market
area for such uses extends to other adjacent communities.
Concerns were expressed by some Trustees stating that existing large retail businesses nearby in the
community could conceivably suffer some economic down -turn in their receipts as a result of a
competitor locating within the same market area.
Property Maintenance Code
There was some discussion regarding the step -up of enforcement of the Property Maintenance Code
as it related to coiiu nerciai properties in certain areas. Irvana Wilks suggested that the Property
Maintenance Ordinance be evaluated by the Board for potential changes.
Facade Program
There was general discussion regarding the potential of expanding the Facade Program (incentive
program) to other areas of the community. At present, the Facade Program is only applicable to the
downtown core area and Northwest Highway. There appeared to be general support from the Village
Board and an interest by the Economic Development Commission to consider expanding the
program.
ADJOURNMENT
The meeting was adjourned at 8:20 p.m.