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The
Glenview Watch March 25, 2001 |
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Without a single public hearing or any effort to inform the public, all six trustees on Glenview's Village Board approved a $70 million investment at The Glen – offering $5 million to lure a department store and another $11 million in general subsidies for the retail development. In addition to a 12-screen movie theater, the mixed use retail center or MURC will include shops, restaurants, 162 townhomes and 183 apartments. Glenview will pick up the tab for roads, sewers, utilities and parking along with the costs of renovating Hangar One, where the Von Maur department store and an air and space learning center are planning to do business.
The total costs of development – more than $135 million -- will be shared by Glenview and a San Diego based developer, OliverMcMillan. Glenview will get $38.6 million – payment for the land plus a percentage of shopping center sales for 20 years. When that figure is subtracted, Mesirow Stein's Karen Butler said the net investment would be $31.2 million.
Officials argued that the investment was necessary to lure retailers and that retail was necessary to support Glenview's public schools. Superintendent Dot Weber appeared to endorse the proposal. TIF financing will keep MURC tax revenues from District 34 for at least 12 years, but after that time the MURC is projected to generate $36 million over 20 years for the schools.
Don Owen, director of redevelopment at The Glen, said this deal nearly completes land sales at The Glen – soon to total $200 million and will enable Glenview to save Hangar One.
Owen called it a "hallmark event" for the village and said the shopping mall would be "unlike anything on the North Shore." Butler used the word "terrific" three times, and developer Dean Oliver told the board, "What an amazing night tonight is! It's an amazing night for us, and it's an amazing night for the citizens of Glenview and an amazing night for you all." Oliver said he was so excited that his hands were sweating. In addition to showing color drawings of the development, Oliver shared baby pictures of his kids and talked of "family values," as he described the "truly special" shopping center he has in mind.
"This would be an amazing experience, an amazing place to be able to live where you would theoretically not even need to own an automobile. You'd be able to walk to the Metra station, walk for groceries, walk for entertainment, walk for shopping."
Editor's note: Theoretically indeed. Unlike San Diego (where nobody walks anywhere), we have rotten weather for about half the year. We don't know many people who are going to walk a mile to and from Dominick's with a load of groceries, nor are they likely to make an even longer trek to the train station in the rain or snow.
We find it incredible that the traffic impact of a new shopping center was not mentioned even once by the developer, the consultant or the trustees. The tax revenues will be grand, but there's a big trade-off involved. Dean Oliver says at least half a million people will be coming to Glenview each year to take advantage of this new development. That's a lot of cars, and a lot of visitors who will also be enjoying Gallery Park and using the children's park, paid for and maintained by the village of Glenview.
This community should have debated whether it really wanted to host a large regional shopping and entertainment complex. Residents should have been given options before their trustees sealed the deal, but our trustees and village manager are developers now, and developers are not fond of public debate.
Oliver lavished praise on the board for its leadership, assuring the trustees that they had "done the right thing" and applauded them for ignoring "some people – a vocal minority – who are going to criticize you and criticize the efforts."
A LONELY VOICE SPEAKS UP
Since the board had not bothered to inform the public about details of the deal, few people showed up to criticize, but Colonel Al McAndrew – a familiar face at board meetings, did.
"It's an amazing night," he said. "There's no doubt about it. . .an amazing night in the amazing hall with the amazing trustees. McAndrew questioned the wisdom of building movie screens at a time when cinemas are closing and technology is providing strong competition for the entertainment dollar. "Nobody goes to the theater anymore," he said.
Noting the look of amusement on Oliver's face, McAndrew added, "You can smile. You're not going to be here." He pointed out that many stores are also closing or scaling back. "We're talking millions of dollars here. This is the people's base. I can't believe that we didn't have public hearings on this, and you'll just wrap it up in one meeting. This is ridiculous!"
McAndrew also scolded the trustees for producing a press release touting approval of the deal even before a vote had been taken.
Some of the trustees seemed sympathetic to McAndrew. "There were certainly a couple of valid points just made," said Trustee Rachel Cook. "The public needs to be assured, because even if it is only $31 million, that's $31 million. . .I don't know that the public is aware that District 34, without this project, will be operating in a deficit."
Board President Nancy Firfer agreed and asked Dean Oliver to discuss some of McAndrew's objections. The developer said that if the project failed, his company would lose its property. Glenview would continue to collect property taxes from a new owner, but OliverMcMillan would be out of luck. He also noted that the lender, Bank One, would suffer losses, adding that Bank One is a sophisticated investor.
He said theaters that are closing are older facilities that lack the technology and stadium seating that make other cinemas prosperous. "There were actually more people who went to the movies last year than the year before. The climb in movie going has been strong."
He said Von Maur would sign a 20-year operating contract for its new department store. Consultant Karen Butler added that Von Maur would be paying back the $5 million incentive if sales revenues exceed $200 per square foot. She predicted the company would owe Glenview $150,000 per year for 30 years.
"Unfortunately, we've done a bad job of including the public in this process," said Trustee Donna Pappo. "The materials in the library were misleading, and this is a huge investment which will be funded in great part by general obligation bonds, and that means every taxpayer in this village is involved."
Pappo suggested a vote be delayed until a public hearing could be held, but Firfer expressed doubts about whether the trustees would be available to meet again before the election and did not think it was necessary to consult the public about the deal. "This is something that you as trustees were elected to do," she told the board. "You can't go to the public and have them negotiating the deal. That's what you're elected to do."
Trustee Larry Carlson said he didn't think the public could understand the financial details anyway. "We've spent years working this through, and I'm sorry to say you're not going to be able to explain to the public in a three or six-hour session what's taken years to put together. . .I think we're at the point where we have to make a decision on this."
If the matter were allowed to wait until after election day, Carlson predicted it would take four months to bring new trustees up to speed. "We're going to take a chance of this whole thing falling apart like a house of cards, and personally I'm not going to leave the school district and their need for this revenue hanging out there in the wind."
Editor's note: The truth, of course, is that District 34 won't get tax revenue from this project for 12-20 years. It could be, however, that the developer and village management pushed for an immediate decision because after April 3, a new board might want to renegotiate or dump this deal entirely.
In voicing his support, Trustee John Patton said he was comforted by our partnership with the likes of a billion-dollar developer. "Are they really going to invest millions of dollars without doing a careful study?" he asked, adding that the Gap and Barnes and Noble want to come to this new shopping center too.
A reliable source tells The Watch that Barnes and Noble has actually called off plans to locate at The Glen, and we still remember a guy named Donald Trump. Once seen as a brilliant developer, Trump made some bad decisions and was forced to declare bankruptcy. He was rich enough to recover financially, and the business of development does involve risk. The question, of course, is whether Glenview should be in the business of development and whether we can afford to go bankrupt.
While Crown theaters will operate the cinema, it concerns us that OliverMcMillan was not able to find a theater company willing to build at The Glen. If they think it's too risky, maybe we should think again. We also question the need for a $5 million subsidy to Von Maur, a wealthy Iowa-based chain that has already purchased an airplane to hang from the atrium of its new store at the former Glenview Naval Air Station.
THE STORY'S END
Trustee John Crawford proposed to delay a decision on the MURC, but President Firfer insisted the board decide immediately and counted five votes in favor. Crawford argued that under Robert's Rules of Order, she could not cut off debate, but the village attorney disagreed.
Crawford tried to pursue his point, but Trustee John Patton Jr. broke in. "Madame President," he whined, "we're wasting the time of all these people in the audience."
"We have other things on the agenda," Firfer said to Crawford. "Would you care to vote or not vote on this matter? Everybody else has voted. It's your turn to vote."
Crawford paused briefly. Then, sounding utterly defeated he said, "I'll vote yes."
WHAT NOW?
Mary Bak, director of development for the village, has tentatively scheduled a workshop on the MURC deal for the publicat 7:30 p.m., March 29 in Village Hall.
Developer Dean Oliver says construction of infrastructure should start in July to meet Von Maur's target for opening in the fall of 2003.
Von Maur has not yet inked this deal, and they are the lynchpin – what developers call the anchor tenant for the new mall. Dean Oliver will still be negotiating with them next month. If the agreement does not close, the MURC's future may again be in doubt.
THE BIG LIE
The MURC was supposed to be discussed by the board on March 6, but village management pulled it off the agenda when Trustee Donna Pappo raised objections. Under the original proposal, Glenview would have paid $11 million for the theater and gotten a cut of ticket sales. Pappo thought the risk was too great and indicated she would vote against the deal. Two weeks later, a different arrangement was presented – one that required an $11 million investment in the overall project and gave the village a smaller return on overall sales.
Since then, Trustee Larry Carlson has publicly claimed that the entire board was responsible for that change. "There were other deals that were more risky, that would have had a higher rate of return to the village," he explained, "but I think I may speak for the board that we did not want to take that route. We went the most physically [SIC] conservative way we could."
LEAGUE DEBATE A SUPER SNORE
Candidates for trustee and village president had their second chance to debate last week, but the League of Women Voters forum produced no confrontations and little new information. Most of the participants gave the same speech they gave during the Chamber of Commerce forum. Jeff Lerner did add some new notes, alluding not only to the Dairy Bar and holiday parades but to riding the water slide at Flick Park's pool.
The Unite Glenview candidates seemed more polished this time and seemed to have added a number G3 lines to their repetoire. Mary Beth Denefe, for example, pledged to "work with all the special interest groups that seem to be so prevalent in our village." Her party's latest mailing attacks G3 candidates for serving special interest groups.
Usurping a G3 slogan, Mike Guinane told the audience, "The rights of the residents should always come first, before the developer," but he seemed clueless when asked about the developers' deal at the MURC, suggesting that he opposed a $70 million "loan."
Asked how he would solve the problem of "incivility" in local government, Guinane said there was "no place for that type of politics. I would hope that both parties would come together."
After the last debate, Guinane refused to shake hands with Donna Pappo.
Guinane also told the audience, "We're committed to living up to the village's promise. Taking 10-20 percent of the land sales from The Glen and putting them for capital improvement projects throughout all of Glenview so that the neighborhoods in Glenview will realize the benefit of development at The Glen.
Editor's note: Write that one down. It's been a mantra of the G3 trustees but has never once been supported by UG's Larry Carlson. Also, for the record, the original promise of capital improvements paid for with the proceeds of land sales at The Glen was for 20 percent.
PRESIDENTIAL CANDIDATES ALMOST CLASH
The presidential debate was even duller – the only confrontation coming over a question about the ethics ordinance. Donna Pappo said the current law still doesn't tell us enough about our public servants. Noting that UG candidate and school board member Lerner had abstained on a vote involving tax breaks for developers in District 225, she pointed out that we do not know which developers Mr. Lerner represents. She also noted that Larry Carlson had abstained on a vote before the village board because of his association with Lerner, but the public does not know why.
Larry Carlson's answer was hard to hear. He said Lerner had only appeared before the Plan Commission twice, "but you're quite right. Someone who has a practice like that and has a membership on the board should not appear before. . ."
At that point, the audience got upset. People couldn't understand what he was saying, and they urged the moderator to give Carlson her working microphone.
"No," she responded sternly. "I am the moderator here. If you can't hear, raise your hand. I don't think we need to be chippy. Mr. Carlson, we are going to restart your time, and I'm going to remind both of you that you agreed that you would not make personal attacks in this forum, and I intend to hold you both to it."
"I'm not gonna' sit up here and take cheap shots," said Carlson. "We've got a good reason [for abstaining]. I just don't think there is much of a problem in that area with the ethics ordinance as it stands today." Carlson did not think it practical for trustees and candidates to list their clients. The heating and air conditioning contractor said, "I've got probably 5,000 clients in Glenview and surrounding suburbs."
Editor's note: Lerner has reportedly asked District 225 to change the minutes of the meeting at which he abstained from voting on tax breaks for developers. He contends the record is wrong, although he did agree to abate taxes for Crate and Barrel in Northbrook and represented a developer of townhomes before the Glenview Plan Commission.
READERS WRITE:
Barb wants to rename The Glen: "Seventy million dollars from the TIF to go for a movie theater etc.? This is amazing! The total operating revenues for the entire village of Glenview for 2001 are estimated at $70.9 million! Where will this extra $70 million come from? I was under the distinct impression that some of the profits realized from The Glen, which I would like to rename The Sponge, would be put toward infrastructure for "Old Glenview." What are these people thinking? You are entirely right in questioning the correctness of the present board legislating this expenditure. When will it end? When this all began, I knew that the present taxpayers of Glenview would get saddled with the costs of all the boondoggles that would ensue. I do not have access to all the numbers and the ins and outs of the TIF, but this seems to me to be another scam perpetrated by the present administration. (I do not blame the present board entirely, but more the village management.) The 2001 Budget has close to $10 million being expended for The Glen, but no offsetting revenue. Sorry to rave, but I am exasperated every time I read about this."
And another reader proposes entertainment of a different kind: "The village should ask Dave and Busters if they are interested. We probably have enough movie theatres in the area."
Ken Denenberg, PhD writes: "I am seriously upset about what was planned for development at the Glen from the very beginning. Now they are planning a theater complex when 1) Old Orchard is building a new theater building and adding new screens, and 2) a great many theater chains and independents are closing screens because of low patronage. We, the taxpayers, may be getting socked with expenses to build a set of white elephants. Besides, will the tickets be priced so that average middle-class Glenview resident will be able to afford to go there? Or will this be another upscale venture?"
Marge Richter is also mad about the MURC deal. She writes: "I couldn't agree more. It's a disgrace that the Board will spend taxpayers' monies for commercial development in the Glen."
Katie Siegel asks voters to support District 34: "I have just had the opportunity to help out with a District 34 Operetta. These Glen Grove 6th graders brought commitment, leadership, humility, pride and a great deal of talent with them to this endeavor. These are skills learned at home, taught again and constantly reinforced at school. Along with their wonderful performing, all of these skills shined through.
"Even if you don't have a child in school at District 34, these are the kids that are on your block. They go to your churches, play on Glenview sport teams, fill your parks and pools. I hope that we can show them that we support learning in our community, and we value education. Invest in the future of our town.
"If you have a problem with the schools or administration, bring it to the table. We all try to teach that even if we do not always agree, it is better to be part of an effort and work to affect change through positive involvement. Vote Yes To the District 34 Referendum, for all of us."
AH is in search of a past issue: "Help! I forgot to print a copy of the bios concerning the library board candidates and want to be sure to vote for those whose comments I agreed with. Can you rerun that page? Thank you!"
The Watch replies: You can always find and print back issues from our website: www.glenviewwatch.com.
PR writes about letters that appeared in the March 15 Announcements: "Hope you read the letter from Henry L. Hill. It's excellent! Also of interest on page 19, a letter from Ty Laurie entitled ‘Unite Glenview slate will represent all.' That headline should tip off readers to the apparent state of delusion from which this poor man suffers. His letter is riddled with paranoia and slanted thinking. He mentions Donna Pappo as leader of a conspiratorial ‘special interest group.' Yes, I agree she has a special interest – better government and quality of life for the residents of Glenview! I wonder why Ty would feel fearful and threatened by that?
"He also mentions Sandy Hausman and her Prairie Preservation group who ‘want us to spend a disproportionately large part of our tax dollars on saving birds and grasslands at the expense of our children.'
"I can't speak regarding the validity of the disproportionate tax part, but the saving of birds and grasslands is for the benefit of our children, so they and their children may know and appreciate the beauty of nature right outside their doors instead of having to go to a zoo or nature reserve, or some future Orwellian-type nature display.
"Another of his wobbly deductions: ‘Grant Ireland, and his CAP organization, who wants to unreasonably restrict home sizes thereby reducing our property values and therefore the revenues going to our schools.'
"Restrictions are unreasonable or reasonable in the eye of the beholder. Would Ty find it reasonable to be sandwiched between two monster homes or dwarfed by a whole block of large houses?
"Considering home values on the North Shore appreciate on the average of 5 to 8 percent every year due to the excellent schools, and just because it's the North Shore, I sincerely doubt restricting size will send us down the tubes!"
The Watch replies: In fact, advocates of larger replacement homes often say they will be purchased by families with children. A case can be made that the influx of more children puts additional strain on District 34's budget. As for prairie preservation, no tax dollars are involved, and the loss of land sale revenue is minuscule compared to the $200 million already collected or due from the sale of land for residential and commercial development at The Glen.
HM writes about plans to build a fire department dispatch center in Glenview and abandon a long-standing partnership with our neighbors in the Regional Emergency Dispatch or RED Center: "Your remarks about the lies associated with this plan must have hit a nerve. I am getting reports from different parties in municipal government that trustees are asking other fire chiefs, village officials and even our own firefighters their opinion on leaving RED Center. The response, I'm told, is 100% negative! Firemen and paramedics are telling the trustees that someone will die as a result of this, and other village officials have told Glenview that there's no way we'll save money.
"They're also talking about the fact that the Northeastern Illinois Public Safety Training Academy site includes space for a new fire station and communications center. The village idiots are going to pay for a new dispatch center at Station Six on Glenview Road and then move it to the Base in the next three to five years! Had they promised that space in the first place, RED Center would not be moving to Northbrook!"
"Meanwhile, Deerfield has agreed to join RED Center, Lincolnwood is one step behind, and Wilmette is trying to decide whether to join the RED Center or Glenview. I'm sure our fire chief will give them a low-ball bid to try and save face, but I'll bet they choose RED Center."
Kathy Schulte votes to build an elaborate learning center at The Air Station prairie: "The Nature Center you mentioned in the Watch sounds great. I say go for it. Make it something that other towns don't have -- a place that will really ignite our children's imaginations and desire to learn. Kids go to the Grove for programs offered in the nature center. Then they go out exploring the outdoors. We never know what will really grab a kid's attention. Let's give them more attention grabbers, not less."
Mary Lou thinks coverage by the Glenview Announcements is less biased of late: "I noticed it first a few weeks ago on their report of the Village's lack of tree ordinance enforcement."
The Watch replies: We do think that the Announcements is trying to be fair, but the paper cannot be expected to provide Glenview with critical or investigative reporting. By definition, its first mission is to make money, and advertisers are the key. Real estate companies, banks and other advertisers want the paper to portray this community as one with few problems and plenty of happy people. To report otherwise might shake public confidence and is bad for business.