May 31, 2008

Interesting article on David Jordan's Transportation Blog at

http://www.wpgrr.com/

The article states that:

"(1) Peoria ranks No. 22 in the nation for the value of its exports, rivaling St. Louis and exceeding considerably larger cities such as Cleveland, Indianapolis and Pittsburgh. Peoria area companies exported $9.6 billion worth of product in 2006.

(2) A primary example of items exported from this area is heavy machinery, which makes better use of surface transportation rather than air freight due to weight.

(3) Chicago area roadways are expected to reach saturation point by 2020, which would cause transit delays for trucks. The rising costs of diesel fuel may also shift more air cargo back to the local airport rather than Chicago."

_________________


We expect that the continued increases in congestion around Chicago and St. Louis create economic development opportunities for Peoria. There simply is no easy correction for the massive congestion that comes with very large urban areas. Companies and individuals will continue to "vote with their feet", and move to smaller and less congested areas like Peoria.


May 28, 2008

Market Analysis - Residential Development in Downtown Peoria

Executive Summary

The City of Peoria, Illinois commissioned Tracy Cross & Associates, Inc. to provide a market analysis regarding the potential for residential development in the city’s downtown with particular interest in the feasibility of redevelopment within its Warehouse District. Overall, our analysis demonstrates the downtown of Peoria has the capacity to absorb 194 residential units annually among higher density attached housing forms. In fact the Downtown/Warehouse District has the capacity to absorb 102 loft-style apartments converted from existing structures, 66 new construction rental apartments, 16 new garden condominiums, and 10 new construction townhomes/rowhomes.

Our conclusions of aggregate potentials assume a strategic approach to the introduction of new housing is taken with respect to both geography and the order in which the various housing forms are brought to market. This is to say, maximum absorption will most likely be achieved only with a concerted effort to introduce new housing in a way that extends the sphere of residential desirability and does so in an order that does not concurrently pit competitive housing forms against each other.

Much like other urban centers undergoing gentrification and redevelopment, the potential for Peoria’s downtown is very strong. The Warehouse District has already demonstrated its strength as a place for new housing through several successful residential programs recently introduced, while the City of Peoria has, furthermore, supported further redevelopment through the adoption of its innovative Form-Based Zoning Code and approval of its generous incentives packages. What is needed to continue Peoria’s downtown and Warehouse District revival is the application of a sensible and strategic plan of development that builds on existing strengths and maximizes the potential for future sites.

Click here to see the full study:

May 27, 2008

Click on the link below to read an interesting article by John Sharp about the redevelopment plans for the former Walgreens on Main Street near Bradley University.

http://www.pjstar.com/business/x1870877031/Former-Walgreens-property-sold

Thanks to Christopher Callen for sharing.

May 23, 2008

City Economic Development Staff are requesting that the City Council authorize the studies required to create the Hospitality Improvement Zone (HIZ) as shown on the map above. The purpose of this zone is to assist existing and potential hotels in downtown make capital improvements.

Our competitor cities have or are creating high quality new conference center hotels using incentive programs. The Embassy Suites in East Peoria, the new hotel conference center in Normal, the Conference Center Hotel in Tinley Park, and the Lincoln Museum complex in Springfield have all created strong competitors for conferences.

The City of Peoria has created a very high quality Civic Center, but our downtown hotels continue to need assistance. The HIZ would help them revitalize their properties, and would help them or other operators to expand.

The HIZ would have both a Tax Increment Financing District (TIF), and a Business Development District (BDD). The TIF captures new property tax paid by the revitalized or new development, and is used to assist those redevelopments. The BDD can use a new up to 1% hotel tax and/or an up to 1% sales tax in the BDD to assist them to revitalize. In our opinion, the HIZ will assist improvement in our downtown hotels. If we do not help our downtown hotels, we will likely see them continue to struggle. And the position that Peoria has historically enjoyed as the conference / convention center for mid-state Illinois will continue to erode.


More information at:

May 20, 2008

Renaissance Park Progress



Amazing amount of progress in Rennaisance Park over the past few years. Thanks and congratulations to all those who created all these improvements.


May 20, 2008

Completed the Medical Technology District Plan in 2005

Formed the Renaissance Park Commission

Began marketing effort

Rebranded Med Tech District as Rennaisance Park


Developed Web Site
http://www.renaissanceparkpeoria.com/


Constructed the Peoria Next Innovation Center


Incubated High Tech Business to Innovation Center


Construction of the Illinois Medical Center Clinic underway

Construction of the OSF Children’s Hospital underway

Construction of the Long Term Acute Health Care facility underway

Methodist Hospital Expansion being planned
University of Illinois College of Medicine Cancer Center planned

Comprehensive Prosthetics & Orthopedics planned

Opened One World Green Dragon Lounge & Restaurant

Approved West Main St Corridor Form District

Completed I-74 Reconstruction

Major Bradley University expansion underway


Provided two Business Development Loans

Provided four Façade Improvement Grants
Walgreens redevelopment planned

Main Street Traffic Study underway
For More Information:

Bobby Gray
Economic Development
419 Fulton Street
Peoria IL 61602
(309) 494-8640

May 16, 2008

Just outside Chicago, there’s a place called Illinois.”

Move your business and home to Peoria

“Just outside Chicago, there’s a place called Illinois.” The State of Illinois developed this catchy slogan for it’s tourism marketing program to encourage Chicago-area residents to visit the Illinois south and west of Chicago, instead of visiting Wisconsin and Michigan. The strategy aimed to keep tourism and the dollars it generates in Illinois.

The strategy need not stop at tourism, though. Communities in downstate Illinois should employ a similar strategy when attracting businesses and economic development. Outside of the Chicago metropolitan area, the cost of home ownership and renting is tremendously cheaper. The cost of doing business is also much less. Congestion, often cited as a quality-of-life issue, is virtually non-existent: “rush hour” in smaller communities is often the “rush minute”.

Demographic trends indicate that the problem is only going to get worse in Northeast Illinois. Of Illinois’ population of 12 million people, 8 million citizens live in or around Chicago. By 2030, Illinois is projected to grow over 15%, but of the 2 million more people living here, most will be living in or near metro Chicago.

While growth is encouraging, it also comes with associated costs. Both Chicago and Illinois would be better off if some of the projected growth occurred in other Illinois communities. The addition of two million more people to the Chicago area will create more traffic congestion and air pollution. This will require increased capital expenditure at the federal, state and local levels as the transportation, protective and educational infrastructures swell to accommodate this growth. The increase in taxes need to manage this growth is rarely appreciated by citizens.

Illinois communities outside of Chicagoland could accommodate and welcome this growth. Many communities are at best experiencing moderate growth, while many more are losing population. These smaller communities often have housing stock, roads, schools, and other infrastructure that have capacity sufficient to the task.

This potential is illustrated by comparing two large metropolitan areas in Illinois. The moderately-growing Peoria metropolitan area is the second largest metro area in Illinois. However, as the following table demonstrates, there are significant advantages to locating or relocating “downstate”:

Chicago / Peoria

Median Home Price[1]

$ 274,700 / $ 114,900


Average Commute Time (2000)[2]

35 minutes / 20 minutes


“Cost of Doing Business” Rank[3]

90th / 47th

Cost of Living Index Composite[4]

103.9 / 96.9

Student-Teacher Ratio[5]

16.40 / 14.40


Relocating Businesses and Employees to Peoria

More and more people are controlling their own job location. The Internet permits more people to work remotely. Telecommuting allows mobile professionals to flee large, congested metro areas and work and live in a pleasant environment. Free lance writers, advertising executives, entrepreneurs, artists, computer experts and even salespeople are typical of employees who often have control of their work location. Jack Manahan is a perfect example. Manahan left the Chicago suburbs for Peoria. As a home-based computer consultant to government, he simply drives 10 minutes to the airport when he needs to visit a client. "I saved half the cost of my auto insurance and got a much nicer home in Peoria when I left Chicago. And the rush hour is much less than in Chicago. Peoria is a pleasant place to live and work, without the hassle of a really big city. "

Long gone is the requirement for manufacturers, agencies, sales forces and consulting companies to be located in a large metropolitan area. In fact, the cost of doing so might well outweigh the benefits. The same connectivity that permits telecommuting allows business leaders the flexibility to move their entire company to smaller, more attractive communities where both the quality of life and the cost of doing business are better. The marketplace is no longer local – it is global and requires little more than a strong technology and transportation infrastructure. This trend is accelerating and will likely continue to be popular, especially as congestion increases.

Attracting a Retiree Migration South

Moving to a downstate community can also be an excellent retirement strategy. Retirees can achieve substantial savings from the sale of their homes. With Chicago’s real estate market rocketing skyward, retirees can often turn the sale of one home into the purchase of two: A home in a moderately-sized downstate community that offers proximity to family and friends and offers all the amenities of city life, and possibly a second home for the winter months in the Sun Belt. This move is especially appealing to those individuals who grew up downstate but moved to larger metropolitan areas for work reasons.

One budding strategy in attracting retirees is to build housing communities in conjunction with universities and colleges. The housing can be privately developed, with alumni and faculty targeted as purchasers. The partnership is a win-win situation: Alumni bring a love of the institution and serve as natural source of volunteers, donors, event boosters and even students in continuing education. The city gets more homeowners and consumers in the local economy, but does not need to concern itself with these new citizens taking high-paying jobs or additionally taxing the local public school system.


Craig Harlan Hullinger AICP is the Economic Development Director for the City of Peoria. Craig has a BA Degree in Public Administration, a Master s Degree in Environmental Planning. Contact him at (309) 494-8639 or chullinger@ci.peoria.il.us.

Christopher Setti is an Economic Development Specialist with the Economic Development Department of the City of Peoria. Chris has a BA in Political Science and a Master’s Degree in Public Administration. Contact him at (309) 494-8618 or csetti@ci.peoria.il.us.

[1] National Association of Realtors: http://money.cnn.com/pf/features/lists/nar_3q05/price.html#table
[2] Arbitron “Average Travel Time to Work Comparison.” www.arbitron.com/outdoor_companies/travel_result.asp
[3] Forbes Magazine, “Best Places for Business and Careers.” May 5, 2005.
[4] ACCRA Cost of Living Index, 2nd Quarter 2005
[5] www.money.cnn.com. “Best Places to Live 2005.”

May 15, 2008

Peoria Journal Star article on Peoria home price increase - second highest percentage growth in the nation.

http://www.pjstar.com/php/index.php?/news/peoria_area_housing_market_one_of_tops_in_the_nation/
CNN Money article on median priced homes. Peoria up 10.4%, the nation down 7.7%. Click on the link below for the story.

http://money.cnn.com/2008/05/12/real_estate/Q12008_home_prices/?postversion=2008051415

May 14, 2008

More good news for Peoria

The median home price rose 10.4% in Peoria in the 1st Quarter of 2008, compared to the first quarter of 2007, according to USA Today on May 14, 2008. Peoria metro had the second highest growth rate in the country, according to the article, which used data collected by the National Association of Realtors.

Nationally, the median home price fell 7.7% over the same period.

Thanks to all who helped make our economy so vibrant. Keep investing. Keep spending.

Now, if we could just get more mixed use development underway in the Heart of Peoria in the Warehouse District, Renaissance Park, and the Rivefront.

A great opportunity out there to start up the Heart of Peoria Development Corporation. Raise capital to make strategic investments in the City. Take advantage of the great Enterprise Zone, TIF, and historic tax credit incentives. Do well while doing good.

Calling all developers and would be developers. Please give me a call if you are interested in developing. Craig Hullinger AICP, Peoria Economic Development, 309 494 8639 hullingerc@gmail.com

Link to Market research report showing the demand for in city:

http://www.ci.peoria.il.us/economic-development-department

May 13, 2008

Hospitality Improvement Zone Update

The City Council directed staff to meet with local governments, business owners, and civic groups to discuss the possibility of a Hospitality Improvement Zone. Staff have conducted numerous presentations and meetings, as shown below:

City Council
Downtown Hotel Owners
Downtown Property Owners
Sanitary District
Peoria County
Peoria Township
Detweiller Trust
Planning Commission
Heart of Peoria Commission
PACVB
PCC
Airport Authority
Library
Mass Transit District
Various citizens and developers
EDC Staff
City staff
________________________________________
Requested Meeting - Scheduled Date

Economic Development Stakeholders - May 28, 2008
Chamber of Commerce - June 5, 2008
ICC - They have not scheduled, requested twice
District 150 - They will schedule after we reach agreement on Warehouse and Eagle View TIFs
Park District - No presentation desired by Park District, letter was enough.

Most agencies took no formal position for or against the proposed HIZ TIF. The Airport Authority did formally support the TIF with a letter in support.

More Info on Blog http://www.peoriaed.blogspot.com/, under Hospitality Improvement Zone (HIZ) TIF

The Peoria Civic Center has completed a major expansion. The Center now contains over 110,000 square feet of exhibit space, 27,000 square feet of meeting space, and 18,000 square feet of pre-function space.

In 2002, the Civic Center Authority hired Johnson Consulting to analyze the Center’s master plan. In the consultant’s experience and opinion, hotels physically attached to Convention Centers in northern climates are much more successful than hotels that are not attached. According to the study, downtown Peoria needs more hotel rooms, a view shared by the Peoria Area Convention and Visitors Bureau. The Peoria Civic Center Authority indicates that a number of potential conventions have not selected Peoria because of the lack of an adequate number of rooms.

Improved downtown hotels are desirable to support the Civic Center, and to match the quality of hotels provided by our competitors. Improved civic, entertainment, restaurant, and retail services are needed.

In 2006 the Civic Center and the City retained HVS, a quality hospitality industry consultant. The study documented the need for more and better hotels to support the Civic Center. It also documented the fact that the downtown hotels continue to struggle, with relatively low occupancy. In 2007 a study by a Six Sigma Black Belt further examined the need for more hotel rooms to increase economic activity in the City Center.

Downtown Peoria faces serious competition from other conference and convention centers. The addition of the Lincoln Museum has greatly enhanced Springfield’s attractiveness for conferences. Normal is completing a major new conference center and hotel with substantial governmental assistance. The Embassy Suites is complete in East Peoria, and received substantial TIF assistance. Tinley Park built their center with substantial governmental assistance, and is preparing a major expansion. Four new hotels are underway or planned near Grand Prairie. These hotels are a welcome economic addition to the City, but will also further challenge downtown business.

The City of Peoria can search for ways to assist our downtown business compete with these new challenges. Possible ways to assist downtown business include the formation of a Hospitality Improvement Zone (HIZ), with these possible programs:

Enterprise Zone (sales tax on materials & 5 year property tax abatement, already in place)

Historic Tax Credits for buildings older than 1936

Tax Increment Financing (TIF) (23 year property tax incentive)

Business District Development and Redevelopment (BDD) (new sales or hotel tax)

Special HRA Tax to be used for capital improvements

Special Service Assessment for capital and infrastructure improvements

City or Civic Center supported capital expenditures

Façade Improvement Program

These programs were formally discussed with business groups. In general, the groups noted that the area is struggling now, and additional taxes would only worsen the situation. The Enterprise Zone and historic tax credits are already in place. There was support among business groups for the TIF and BDD.

STAFF RECOMMENDATION: Authorize staff to retain a consultant to prepare a redevelopment plan and TIF and BDD eligibility studies. The process requires several public meetings and notices, and takes approximately 120 days.

Use the TIF, Enterprise Zone, Historic Tax Credits, and BDD to encourage and incent reinvestment in downtown Peoria hotels to reestablish Peoria as the premier midstate Illinois Conference and Convention City.

Request For Proposals

Tax Increment Financing (TIF) and
Business Development District (BDD)
Consulting Services
Introduction

The City of Peoria, Illinois seeks the services of a consultant to establish a Tax Increment Financing District (TIF) and Business Development District (BDD) for the proposed Hospitality Improvement Zone (HIZ) as shown on the map above.

Background

Peoria has a population of 118,000; it is the second largest metropolitan area in Illinois, and boasts the second most densely developed downtown. The proposed HIZ is adjacent to the Central Business District, and near the Illinois River, O’Brien Baseball Stadium, Caterpillar’s Corporate Headquarters, two major hospitals, the proposed Riverfront Museum and Caterpillar Visitors’ Center. The Peoria Civic Center is located within the proposed HIZ, hosting 574 event days with 765,000 patrons in fiscal year 2007.

Scope Of Work

The TIF Consultant will develop all required studies and reportS to establish the designation for the HIZ area as TIF and a BDD in accordance with Illinois State Statutes.

The scope should include but is not limited to:

Conduct Required Field Surveys

· Condition and use of each building
· Number, location and occupancy status of any residential units within the Study Area;
· Location of vacant sites and vacant buildings; and
· Evaluation of site conditions including roadways, lighting, parking facilities, landscaping, fences walls and general property maintenance.

Conduct Tax and Assessment Research

· Evaluate the equalized assessed value (EAV) of the Study Area

Examine City Records and Development Standards

· Evaluate existing land use, current zoning ordinances and current zoning map

TIF and BDD Designation

· Prepare the TIF and BDD redevelopment plans; and
· Assist City staff with notices, meetings and required approvals.

City Staff Will Provide Substantial Assistance

· Detailed GIS maps of the Study Area are on line at www.peoriagis.com;
· Six years of EAV for all properties in electronic format;
· Assistance in developing the Plan and Eligibility Study
· Transport consultant to study area;
· Help develop/conduct existing land use and property condition survey;
· Manage public meeting notices i.e. public hearings and Joint Review Board meetings; and
· Manage public hearings
· City staff will handle all required mailings to property owners and taxing bodies.

Statement of Qualifications and Experience
All statements of Qualifications and Experience must include, but not be limited to, the following information and documentation (Brevity is appreciated):
· A transmittal letter which states the respondent’s desire to perform the required services;

· Estimated costs should be a fixed price with expenses;

· Name, size and brief description of the firm, and their background, size, projects, scope and nature of service; including the same information for any proposed sub-consultants. If sub-consultants are anticipated, describe the role proposed for each firm or consultant involved in the project, and the approximate percentage of work assigned to each;

· A brief summary of any specialized experience, qualifications or unique capabilities applicable to this project that you feel is important to the success of the project.

· Number of TIF and BDD districts that your firm has established over the past 3 years.

· Estimated time schedule for the project, broken down into major milestones and capacity to proceed immediately and without delay. The estimated timeframe for the development of the TIF/BDD studies is June – October 2008;

· Representation that the candidate firm and consulting team will conform to and comply with the City of Peoria’s Equal Employment Opportunity requirements (Exhibit A).

Submission Requirements

Please submit by email; all submissions, declinations and questions should be directed to:

Craig Hullinger, AICP
Department of Economic Development
Peoria City Hall
419 Fulton Street, Suite 402
Peoria, IL 61602
(309) 494-8640
(309) 494-8650 fax
Email: hullingerc@gmail.com

Proposals Due: Monday May 19, 2008 by 9:00 am. Any costs incurred by candidate firms or consulting teams in preparing submitted Statement of Qualifications are the sole responsibility of the respondent. PDF copies of Statement of Qualifications can be emailed but must be followed up with hard copies. A City staff review committee will evaluate all proposals. The committee may consist of members of the following Departments: Public Works, Economic Development, Planning and Growth Management. Final recommendations will be made to the City Council. Final authorization to enter into a contract can only be made by City Council; and until that occurs, there are no commitments by the City.



Price

Submit a proposal with prices for”

TIF Alone BDD Alone Both Projects together

RFQ Timetable
(Dates of Finalist selection and Finalist meetings are approximate)

RFQs Advertised: May 11 & 15, 2008
Proposals are due: May 19, 2008
Consultant selected: May 20, 2008
Request City Council Approval May 27, 2008

Exhibit A

EEO CONTRACT COMPLIANCE CLAUSE

It is hereby declared to be the public policy of the City of Peoria, that it will not execute a contract for goods and/or services with any individual, business enterprise, supplier/vendor; maintain a financial relationship with any financial institution; or use the services of any labor organization or member thereof found to be in violation of the provisions of the City Code for the City of Peoria, Chapter 17, Article III, Division 4, Section 17-118.

This clause covers contractors, vendors, suppliers, borrowers and/or recipients of city resources, purchasers and/or developers of city owned property, and any other individuals or entities providing goods and/or services to the City of Peoria; and are hereinafter referred to as “Contractor”.

If any Contractor conducting business with the City of Peoria fails to comply with the fair employment and affirmative action provisions of Chapter 17, Article III, Division 4 of the City Code (hereinafter Chapter 17), the city, at its option, may do any or all of the following:

(1) Cancel, terminate, or suspend the contract in whole or in part;

(2) Declare the contractor ineligible for further contracts for one calendar year;

(3) The Fair Employment and Housing Commission (hereinafter FEHC), in accordance with its rules and regulations, shall have the power to impose a penalty upon any Contractor failing to comply with Chapter 17 in an amount not less than $50.00; nor more than as provided in Chapter 1, Section 1-5 of the municipal code, for each day that the Contractor fails to comply, upon a specific finding of such violation. The FEHC may order a Contractor found guilty of failure to comply with the provisions of Chapter 17 to pay all or a portion of the legal costs incurred by the city as a result of prosecution of such violations. Penalties assessed under this clause may be recovered from the Contractor by setoff against unpaid portion of the contract price; and

(4) Such other sanctions as may be imposed by the FEHC pursuant to the provisions of Chapter 17 and other applicable ordinance provisions of the City Code.

During the performance of this contract, the Contractor agrees:

(a) That it will not discriminate against any employee or applicant for employment because of race, color, religion, sex, sexual harassment, ancestry, national origin, place of birth, age, or a physical and/or mental disability which would not interfere with the efficient performance of the job in question. The contractor/vendor will take affirmative action to comply with the provisions of Peoria City Code, Chapter 17 and will require any subcontractor to submit to the City of Peoria a written commitment to comply with this division. The Contractor will distribute copies of this commitment to all persons who participate in recruitment, screening, referral, and selection of job applicants, prospective job applicants, members, or prospective contractors.

“The Contractor agrees that the provision of Chapter 17, of the City Code of the City of Peoria is hereby incorporated by reference, as if set out verbatim.”

(b) That it will examine each one of its workforce job classifications to determine if minorities and/or females are underutilized; and it will take appropriate affirmative action steps to rectify such identified underutilization.

(c) That if it hires additional employees in order to perform this contract or any portion thereof, it will determine the availability of minority and females in the area(s) from which it may reasonably recruit; and every good faith effort will be made in its selection process to minimize or eliminate identified areas of minority and/or female underutilization for each job classification for which there are employment opportunities.

(d) That during the performance of this contract, the Contractor will maintain its “eligibility” status to conduct business with the City of Peoria under the provisions of the EEO certification registration program.

(e) That in all solicitations or advertisements for employees placed by it or on its behalf, it will state that all applicants will be afforded equal opportunity without discrimination because of race, color, sex, religion, national origin, age, or physical and/or mental disability.

(f) That it will send to each labor organization or representative of workers with which it has or is bound by a collective bargaining agreement or understanding, a notice advising such labor organization or representative of the Contractor’s obligations under Chapter 17. If any such labor organization or representative fails or refuses to cooperate with the Contractor in its efforts to comply with Chapter 17, the Contractor will promptly so notify the Equal Opportunity Office (hereinafter EOO) and/or the FEHC for the City of Peoria.

(g) That it will submit reports as required and furnish all relevant information as may from time to time be requested by the EOO and/or the FEHC.

(h) That it will permit access to all relevant books, records, accounts and work sites by EOO staff members for purposes of investigation to ascertain compliance with Chapter 17.

(i) That it will include verbatim or by reference the provisions of Section 17-120 of Chapter 17 so that such provisions will be binding in the same manner as with other provisions of this contract. The Contractor will be liable for compliance with applicable provisions of this clause by all its subcontractors; and further, it will promptly notify the EOO and/or FEHC in the event any subcontractor fails or refuses to comply therewith. In addition, no Contractor will utilize any subcontractor declared by the EOO and/or FEHC to be non-responsive and therefore, ineligible for contracts or subcontracts with the City of Peoria.

(j) That during the performance of this contract, the Contractor agrees: that it will have written sexual harassment policies that shall include, at a minimum, the following information: (i) the illegality of sexual harassment; (ii) the definition of sexual harassment under state law; (iii) a description of sexual harassment utilizing examples; (iv) the contractor’s internal complaint process including penalties; (v) the legal recourse, investigative and complaint process available through the Illinois Department of Human Rights and the Human Rights Commission; (vi) directions on how to contact the Department of Human Rights and the Commission; and (vii) protection against retaliation as provided by Section 6-101 of the Act (Public Act 87-1257). A copy of the policies shall be provided to the Illinois Department of Human Rights or the City of Peoria upon request.

(k) That during the performance of this contract, the Contractor agrees that it does not and will not maintain or provide for their employees, any segregated facilities at any of their establishments, or permit employees to perform their services at any location under its control where segregated facilities are maintained.

As used in this document, the term “segregated facilities” means any waiting rooms, work areas, rest rooms and wash rooms, and other storage or dressing areas, parking lots, drinking fountains, recreation or entertainment areas, transportation, housing facilities provided for employees which are segregated by explicit directive or are in fact segregated on the basis of race, religion, color, national origin, because of habit, local custom, or otherwise.

More info on our blog at www.peoriaed.blogspot.com

May 2, 2008

Southtown Tax Increment Financing District

New Medical Clinic in Southtown TIF


The Southtown Tax Increment Financing District (TIF) is one of the oldest TIF's in the State of Illinois. It was part of massive urban renewal effort the area just south of downtown. The redevelopment was controversial, and took many years, but it did result in substantial new development for Peoria, creating tax base and jobs.

The percentages below illustrate the growth in fair market value, comparing School District 150, the City of Peoria, and the Southtown TIF from 1978 when the TIF was created until 2006, the latest assessment dates.


School District 150--__- 87%

City of Peoria ________146%

Southtown TIF _______477%

In addition, there are two recent developments underway in Southtown - the new Long Term Acute Health Care Center, and the Main Street Medical Clinic. These two large developments will add more value and jobs to the TIF.

The TIF will end in 2013. From that date forward, taxes paid on the new development will go local taxing bodies. The TIF certainly increased the value of the TIF area.


Growth in District 150 is lower than the City because substantial amounts of new development that are part of the City are north of the District 150 boundary. This points out the need for District 150 to support redevelopment of older neighborhoods - and the most effective method to incent redevelopment in older neighborhoods is with TIF.

This TIF did create some housing with children. The City used TIF funds to help acquire land and to provide $2,500,000 for the Valeska Hinton School.