Missouri Municipal Review

The Official Publication of The Missouri Municipal League

TheMissouri Municipal

January 2013

ReviewEconomic Development 2013

2 / January 2013 The Missouri Municipal Review www.mocities.com

This information does not represent an offer to sell or a solicitation of an offer to buy or sell any fundor other security. Investors should consider the investment objectives, risks, charges and expensesbefore investing in any of the Missouri Securities Investment Program’s portfolios. This and otherinformation about the Program’s portfolios is available in the Program’s current InformationStatement, which should be read carefully before investing. A copy of the Information Statementmay be obtained by calling 1-877-MY-MOSIP or is available on the Program’s website atwww.mosip.org. While the MOSIP Money Market Series seeks to maintain a stable net asset valueof $1.00 per share and the MOSIP Term portfolio seeks to achieve a net asset value of $1.00 pershare at the stated maturity, it is possible to lose money investing in the Program. An investment inthe Program is not insured or guaranteed by the Federal Deposit Insurance Corporation or any othergovernment agency. Shares of the Program’s portfolios are distributed by PFM Fund Distributors,Inc., member Financial Industry Regulatory Authority (FINRA) (www.finra.org). PFM FundDistributors, Inc. is a wholly owned subsidiary of PFM Asset Management LLC. Member SIPC.Standard & Poor's fund ratings are based on analysis of credit quality, market price exposure, andmanagement. According to Standard & Poor's rating criteria, the AAAm rating signifies excellentsafety of invested principal and a superior capacity to maintain a $1.00 per share net asset value.However, it should be understood that the rating is not a "market" rating nor a recommendation tobuy, hold or sell the securities.

TheMissouriSecurities InvestmentProgram (“MOSIP”) is acomprehensive cashmanagement program for schooldistricts, municipalities, and otherpolitical subdivisions. MOSIP wascreated in 1991 by the MissouriSchool Boards Association.

MOSIP offers its participants aprofessionally managed portfoliowith competitive money marketrates. MOSIP stresses “safety ofprincipal” as the number oneobjective and is rated AAAm byStandard and Poor’s.

Sponsored by:Missouri School Boards Association • Missouri Association of School Business Officials

Missouri Association of School Administrators

Missouri Securities Investment Program

A Cash Management Program for School Districts, Municipalities

and Other Political Subdivisions

William T. Sullivan, Jr.Managing Director

1-800-891-7910 [email protected]

Maria AltomareManaging Director


P.O. Box 11760 • Harrisburg, PA 17108-17601-877-MY-MOSIP

77 West Port Plaza Drive • Suite 220 • St. Louis, MO 631461-800-891-7910

Registered Representatives

Administered by: PFM Asset Management LLC

CONTENTS

DEPARTMENTS

PresidentMayor Pro Tem Susan McVey

Poplar Bluff

Vice PresidentCouncilmember Jan Marcason

Kansas City

Immediate Past PresidentMayor Norman McCourt

Black Jacke

MISSOURI MUNICIPAL LEAGUE BOARD OF DIRECTORS

David Bower, Mayor, Raytown; Conrad Bowers, Mayor, Bridgeton; Denise Chisum, City Clerk, Lee’s Summit; Roger Haynes, Deputy City Manager, Mexico; Bill Johnson, Director of Administration, Fulton; David Kater, Mayor, Desloge; Bill Kolas, Mayor, Higginsville; *Ron Monnig, Councilmember, Slater; Raeanne Presley, Mayor, Branson; John “Rocky” Reitmeyer, Alderman, St. Peters; Lisa Robertson, City Attorney, St. Joseph; Frank Roland, Mayor, Hillsboro; Kathy Rose, Mayor, Riverside; *Carson Ross, Mayor, Blue Springs; Stanley Salva, Mayor, Sugar Creek; Arthur Sharpe, Jr., Councilmember, University City; Tom Short, City Administrator, Carthage; Paul Ward, Councilmember, Kirkwood; *Gerry Welch, Mayor, Webster Groves; *Kevin Wood, Mayor, Harrisonville.*Past President e

AFFILIATE GROUPS: Missouri City Man-agement Association; City Clerks and Finance Officers Association; Government Finance Of-ficers Association of Missouri; Missouri Mu-nicipal Attorneys Association; Missouri Park and Recreation Association; Missouri Chapter of the National Association of Telecommunications Officers and Advisors; Missouri Chapter of the American Public Works Association; Missouri Association of Fire Chiefs.

Laura Holloway, EditorContributing Editors: Dan Ross and Richard Sheets

Missouri Municipal Review (ISSN 0026-6647) is the official publication of the Missouri Municipal League state association of cities, towns and villages, and other municipal corporations of Missouri. Publication office is maintained at 1727 Southridge Drive, Jefferson City, MO 65109. Sub-scriptions: $30 per year. Single copies: $5 prepaid. Advertising rates on request. Published bi-monthly. Periodicals postage paid at Jefferson City, Missouri. Postmaster: Send form 3579 to 1727 Southridge Drive, Jeffer-son City, MO 65109.To contact the League Office call 573-635-9134, fax 573-635-9009 or email the League at [email protected]. The League’s Website address is: www.mocities.com.

www.mocities.com The Missouri Municipal Review January 2013 / 3

Review VOLUME 78, NO.1

Missouri MunicipalThe

January 2013

The Official Publication of The Missouri Municipal League

4 / President's Report

6 / City Of Eureka: Proud Past, Promising Future by Julie Wood

10 / The Distinctive City by Edward T. McMahon

12 / City Of Perryville: City Leaders Share Strategies of Success

14 / A 1980s Formula For Economic Development Still Successful by Gayla Roten, Jeanine Rann and Joe Lauber

18 / Public-Private Partnerships by Charles Renner

20 / Evaluating Risk: A City's Guide To Analyzing A Request For Economic Development Incentives by Mark Spykerman

22 / Grandview Celebrates Its Centennial, Builds For Next 100 Years by Ana Nixon and Dennis Randolph

25 / Cashing In: Missouri Communities Support Local Business by Laura Holloway

26 / Building More Effective Delivery Of Economic Development Projects by Daniel Bliss

30 / Missouri Department Of Economic Development Programs

31 / Communicating With Legislators

32 / MML's 43rd Annual Legislative Conference

37 / News From The Bench

38 / Calendar Of Events / Member Accomplishments

This information does not represent an offer to sell or a solicitation of an offer to buy or sell any fundor other security. Investors should consider the investment objectives, risks, charges and expensesbefore investing in any of the Missouri Securities Investment Program’s portfolios. This and otherinformation about the Program’s portfolios is available in the Program’s current InformationStatement, which should be read carefully before investing. A copy of the Information Statementmay be obtained by calling 1-877-MY-MOSIP or is available on the Program’s website atwww.mosip.org. While the MOSIP Money Market Series seeks to maintain a stable net asset valueof $1.00 per share and the MOSIP Term portfolio seeks to achieve a net asset value of $1.00 pershare at the stated maturity, it is possible to lose money investing in the Program. An investment inthe Program is not insured or guaranteed by the Federal Deposit Insurance Corporation or any othergovernment agency. Shares of the Program’s portfolios are distributed by PFM Fund Distributors,Inc., member Financial Industry Regulatory Authority (FINRA) (www.finra.org). PFM FundDistributors, Inc. is a wholly owned subsidiary of PFM Asset Management LLC. Member SIPC.Standard & Poor's fund ratings are based on analysis of credit quality, market price exposure, andmanagement. According to Standard & Poor's rating criteria, the AAAm rating signifies excellentsafety of invested principal and a superior capacity to maintain a $1.00 per share net asset value.However, it should be understood that the rating is not a "market" rating nor a recommendation tobuy, hold or sell the securities.

TheMissouriSecurities InvestmentProgram (“MOSIP”) is acomprehensive cashmanagement program for schooldistricts, municipalities, and otherpolitical subdivisions. MOSIP wascreated in 1991 by the MissouriSchool Boards Association.

MOSIP offers its participants aprofessionally managed portfoliowith competitive money marketrates. MOSIP stresses “safety ofprincipal” as the number oneobjective and is rated AAAm byStandard and Poor’s.

Sponsored by:Missouri School Boards Association • Missouri Association of School Business Officials

Missouri Association of School Administrators

Missouri Securities Investment Program

A Cash Management Program for School Districts, Municipalities

and Other Political Subdivisions

William T. Sullivan, Jr.Managing Director


Maria AltomareManaging Director


P.O. Box 11760 • Harrisburg, PA 17108-17601-877-MY-MOSIP

77 West Port Plaza Drive • Suite 220 • St. Louis, MO 631461-800-891-7910

Registered Representatives

Administered by: PFM Asset Management LLC


President’s Report. . .

MML PresidentMayor Pro Tem Susan McVey

Poplar Bluff

Ma n y c i t y o f f i c i a l s will take time this January to refocus on goals, whether in

progress or new initiatives. Those goals can undoubtedly mean challenges, but the reward for those of us in local government is that our challenges lead us to a stronger and more prosperous community. While we sometimes have

• CurrentJobOpportunities

• MemberCityWebsites

• DailyLocalNews

• MMLConferences

• LatestLegislativeAction

• Publications

• SampleOrdinances

www.mocities.com

Why Should You Visit MML's Website?

the struggle of pulling all resources together, we have the perspective to see the broader picture of how working together at the local level moves us forward to a brighter future for our families and friends.

The new year will bring debates and many questions regarding our communities’ future for 2013 and years to come. Your city is likely to struggle with budgets, tax issues and keeping up a high standard of service. But don’t lose sight of how valuable your work is to bring about a strong community. Your work now sets the stage for future generations.

While you’re planning ahead for the new year, it’s important to keep your community’s economic develop-ment goals in mind and maintain a clear strategy for how you want to move for-ward. This issue of The Review can help. The following articles show you how to plan for the challenges development can bring and head off some important questions in the planning process. Look for ways to boost your main street and review the services offered by state gov-ernment – there may be an important resource you and your team have not yet utilized.

Of course, don’t forget your MML staff as a valuable resource for all of your goals. Take advantage of the de-

cades of experience League staff offers. If they can’t help, they are the first place to know who can.

As you dive into this first issue of 2013 and learn about some of the eco-nomic successes, challenges and goals of your fellow communities, be sure to take a moment and review pages 32-33 for all the details of the upcoming MML Legislative Conference. This will be a perfect time to take advantage of all that MML has to offer – from network-ing and education to the opportunity to be a part of local government’s unified voice in the Missouri legislature.

Best wishes to all of you in 2013!


A 360° perspective.Successful Economic Development involves direct communication and comprehensive planning among the public and private sectors with a focus on balancing the demands of governance with the demands of the marketplace. Christine T. Bushyhead of MKL is uniquely qualified to assist her clients in this community building process with over 26 years of public sector experience in diverse roles, including city attorney, community leader, elected city councilmember and developer’s counsel. An advantageous 360° perspective.

Photo Credit: Tressie Gilmore

Attorneys & Advisors

www.mkllaw.com [email protected] • 816.994.3509


Ne s t l e d a m o n g t h e rolling hills and rivers of southwest St. Louis County is beautiful

Eureka, Mo. Eureka is unique compared to other municipalities in St. Louis County for its retention of a small town atmosphere while still providing access to St. Louis. Beautiful local and state parks and surrounding terrain, quality schools, affordable housing and low crime are just a few of the amenities that make Eureka a great place to live, work and visit.

History

The Eureka area’s first known inhab-itants were Shawnee Indians on the banks of the Meramec. Today, artifacts can be found as evidence of their past occupancy of the area.

The Missouri Pacific Railroad opened to Franklin (now Pacific) on July 19, 1853. It is said that as the builders of the railroad track came around the bend on the east side of the present site of Eu-reka and looked westward at the level land with no rocks and very little dirt to move they cried out, “Eureka!," which translated from Greek means “I’ve found it!” This is how Eureka received its name.

Eureka was laid out as a village in 1858 by Strodt and Shands of St. Louis. By 1890, Eureka was a prosperous village of approximately 100 homes surrounded

by fine fruit and agricultural land. The country roads to Crescent, Big River, Antire, Bald Hill, Glencoe, Allenton and Clifty Creek all centered here. Eureka had at that time a Catholic Chapel, a Methodist Church, a post office, a Freemasons’ Hall, three stores, a district school, two black-smiths, a wagon maker, a saloon and a fresh air camp for poor and orphaned city children. In 1900, the Children’s Industrial Farm began operating and later became Camp Wyman. Camp Wyman, now known as Wyman Center, is still operat-ing camp programs for underprivileged children.

Eureka’s first high school class was held in 1909. Eureka’s schools over the years have provided education to children from many areas including Fenton, Creve Coeur, Manchester, House Springs, Cedar Hill, Allenton, Eureka, Glencoe and oth-ers. Today, the city of Eureka is served by the award-winning Rockwood School

District.A number

of disasters have hit Eureka includ-ing floods, torna-does and major fires. Such di-sasters led to the formation of the Eureka Volunteer Fire Department in 1945, when they constructed a firehouse and acquired equip-ment. In 1970, the Eureka Fire Pro-tection District was formed and

now serves a 79-square-mile area. In 1972, the first ambulance was acquired by the District to serve the area made possible by citizen and community organizational efforts.

In 1954, the city of Eureka was in-corporated as a 4th Class city with land covering approximately 2.7 square miles. Over the years, the City has had a number of successful annexations and today is ap-proximately 9.35 square miles. The city of Eureka’s annual budget has grown from approximately $3,400 in 1954 to more than $4 million today.

recreation

six Flags st. louis

Eureka is best known for being the home of Six Flags-St. Louis; 2 to 3 million persons visit annually. Six Flags, which opened June 5, 1971, was the third park to open in the chain. Fifteen other sites were considered before the organization settled on Eureka. When the park opened, it had eight rides including a Mule Go’Round. Today, the park features 36 rides in the theme park, nine of which are roller coast-ers, and nine rides and attractions in the water park (added in 1999). The park em-ploys more than 3,000 persons each year.

Six Flags-St. Louis is currently home to more roller coasters than any other theme park in Missouri. In 2013, the park will add a new coaster, the Boomerang. The new coaster brings a completely new intense and ferocious experience to the park; standing at 125-feet tall, this gravity defying, nerve racking, stomach crunching steel roller coaster will rocket you through a combination of thrill sensa-tions unlike any other coaster experience at the park.

Winding Brook estate

Eureka is home to Winding Brook Estate, Missouri’s only commercial lav-ender farm featuring 5,000 organically grown lavender plants and a pastoral setting that is an oasis for the soul. In high season, mid-June through July, the lavender puts on its biggest show, sooth-ing visitors’ senses with the stirring sight of endless purple blossoms, the drone of

CITY OF EUREKA: PROUD PAST, PROMISING FUTURE

by Julie Wood

City Profile

Eureka was laid out as a village in 1858 by Strodt and Shands of St. Louis. By 1890, Eureka was a prosperous village of approximately 100 homes surrounded by fine fruit and agricultural land.


bees and a fresh, woodsy fragrance. The blooming period slows for a while, and then, weather permitting, the plants give a repeat performance, stopping only after a hard freeze.

Six times each spring and fall, Wind-ing Brook Estate offers tea luncheons in the barn. The luncheons feature lavender in a variety of forms, with dishes such as baked apples with cinnamon and lavender caramel sauce, lavender poached pears and gorgonzola and strawberries dipped in lavender-flavored chocolate.

To find out more about the lavender farm or to plan a visit, go to: http://lav-ender.windingbrookestate.com/.

Eureka also is home to many other attractive recreation destinations: Hart Horse Farm and Jellystone Park Resort and Twin Rivers Canoe Rental, Brookdale Farm, Camp Wyman and Hidden Valley Ski Resort. Hidden Valley is wrapping up a $2 million expansion, making it the larg-est investment in its nearly 30-year history. After the expansion, the skiing terrain will increase by 30 percent, including the addi-tion of a nearly 2,000-foot ski run.

city Parks

Eureka is an outdoor lover’s dream. The parks and recreation department has grown rapidly over the past few years, ac-complishing many things with many more projects ahead. The department oversees and maintains more than 164 acres of park and public land that includes nine parks that feature trails, playgrounds, tennis, basketball, sand volleyball and handball courts, baseball, football and soccer fields, a stocked lake, disc golf course and a com-munity center.

An extremely unique feature at Kircher Park, located on the eastern edge of the City, is the presence of St. Louis Live Steamers (SLLS); an organization interested in the construction of model railroads. The City negotiated with SLLS to erect a track that runs small scale steam trains. The first phase of construction, in what is eventually to be a more elaborate layout, consists of a 1,000-foot main line, a reverse loop, passing sidings, a service area for locomotives and two storage/workshop structures. Volunteers host public-run days in May through October where the community can enjoy free train rides and learn about steam railroad his-tory and technology.

The City has just commenced con-struction on a state-of-the-art recreation center. The 29,000-square-foot facility will consist of fitness and aerobics facilities, multi-level outdoor pool, several meet-

ing room spaces, full kitchen and concession stand, gymnasium, baby-sitting rooms and house the Eureka Parks and Recre-ation Department. The new recreation center is certain to be a large draw for the community – completion is an-ticipated by late 2013.

R o u t e 6 6 State Park, Rock-wood Reserva -tion and St. Louis County’s Greensfelder Park are located just outside of Eureka and provide many acres of trails and park land for the com-munity and visitors to enjoy.

The parks and recreation depart-ment also provides various recreational and cultural programming throughout the year. Some of the more popular events and programs are Summer Concerts and Movies, the annual Eureka Days Festival, Mardi Growl Dog Parade, summer camps, monthly senior luncheons and children’s playgroups.

aWard-Winning scHool district

The city of Eureka is home to the award-winning Rockwood School District. The Rockwood School District has been awarded the “Distinction in Performance” award by the Missouri Department of

Elementary and Secondary Education, and a “Gold Medal” rating from Expan-sion Management magazine. The District is comprised of 19 elementary schools, six middle schools, and four high schools (one in Eureka; Eureka High School). The District has separate campuses for gifted, early childhood and alternative high school education. Rockwood employs more than 3,379 staff and has a graduation rate of close to 95 percent, with a drop-out rate just above 1 percent. Geggie Elemen-tary and Blevins Elementary, both in Eureka, have been recognized as Missouri Schools of Character with Geggie also receiving the honor as National School of Character. In addition, the district has received a perfect score on the state’s “An-nual Performance” report.

Rockwood School District is St. Louis County’s largest public school sys-

The new recreation center for Eureka is anticipated to be complete by late 2013.


tem, serving more than 22,000 students. In 2012, the District celebrated the

100th anniversary of the first graduating class of Eureka High School. During the inaugural Alumni Hall of Fame Gala, the District honored the tradition of excellence that began with Eureka High School a cen-tury ago. Today, five elementary schools and two middle schools feed into Eureka High School, bringing its enrollment to more than 1,900 students. To learn more about the Rockwood School District, visit www.rockwood.k12.mo.us.

economic develoPment

The city of Eureka has made a considerable investment in economic development. The City has hired a full-time economic development director and partnered with the Eureka Chamber of Commerce to run one of four Missouri Welcome Center Affiliates in the state. The goal is to not only be a resource to travelers, but to recommend local attrac-tions, restaurants, stores and convenience stations for them to visit before they con-tinue on their journey.

The City also has worked to update its image, adopting a new logo in 2010 and launching a more user-friendly website in 2011. The new website caters to residents and visitors alike. One unique feature is a search engine for find local businesses. This allows residents to search for goods and services easily, providing the re-sources to shop local at their fingertips.

Eureka is making a considerable ef-fort to maintain its lines of communication with the community. The mayor hosts multiple Town Hall meetings annually and issues a quarterly, full-color newslet-ter mailed to the entire Eureka zip code, highlighting community projects, public interest stories and various business up-dates/stories around Eureka. In addition to the quarterly newsletter, the City pro-duces a monthly newsletter mailed with residents’ utility bills to inform citizens of board of aldermen actions, news around the City and community events. The City recently partnered with the Chamber of Commerce and fire department to put together an events line where people can call in and hear a list of events by month via telephone. Eureka also has a Twitter and Facebook page used to update fol-lowers on business specials, festivals and events around town: www.twitter.com/EnjoyEureka and www.facebook.com/EnjoyEureka.

The City works hard to attract new businesses, adding 25 new businesses, including small business start-ups and national chains since January. Old Town

Eureka that was once home to many an-tique stores and specialty shops has seen a resurgence. O’Dell’s Irish Pub has opened a new business; Red Door Liquor is being erected at the location of an older build-ing that was torn down, a new art gallery and boutique is undergoing renovation, and the Eureka Wine House is expanding.

Eureka’s largest employers are Rockwood School District, Six Flags and Rotometrics. In 2010, Cenveo, a com-mercial printing enterprise, consolidated three facilities into one and opened a new facility in Eureka’s Industrial Park. They are enjoying their new space and expect to expand in the near future.

city Projects

Water soFtening

The city of Eureka manages its own water and sewer services for residents. The board of aldermen and mayor are pur-suing a citywide water-softening project. This project has been a huge undertaking involving considerable engineering and a lengthy regulatory agency approval pro-cess. Eureka has five different well sites, and water-softening equipment must be installed at each site.

By managing its own water and sew-age operations, Eureka has been able to maintain very low and competitive rates. As a result of its softening efforts, costs will rise slightly, but remain well below those of neighboring cities.

WaterWastewaterStormwaterHighwaysStreetsBridgesStructuralStructuralHealth CareMechanicalElectricalPlumbingFire ProtectionGIS/MappingConstructionConstruction Engineering

Engineering Design Solutions Since 1933

groWing on PurPose

While many cities in St. Louis County are shrinking, Eureka has grown from 7,676 residents to 10,189 since the 2000 census. As we slowly emerge from the national economic situation, we expect steady growth to continue, particularly in the area of multi-family; primarily condos, town homes and senior living. The City has a condo project nearing completion and senior independent living develop-ment (repurposing a closed hotel) under construction. The goal will always be to ensure that new projects are beneficial to Eureka’s community with the least amount of impact to neighbors, while still maintaining reasonable growth objectives and sound property uses.

The city of Eureka is committed to continuing to improve the quality of life for its residents. Investments in trails, a new recreation center and a citywide water-softening program are evidence in making Eureka the best “small town” in St. Louis County. Julie Wood is a graduate of Lindenwood Uni-versity, where she earned a BA in Corporate Communication. She worked for the YMCA of Greater St. Louis in membership development for 10 years before taking on the role of director of economic development for the city of Eureka in 2010. Julie and her husband, Dr. Tracy Wood, live in Eureka with their five children. If you would like more information about the city of Eureka, please contact Julie at [email protected].


HELPING MISSOURI CITIES DEVELOP ECONOMICALLY FOR MORE THAN 30 YEARS

ST. LOUIS, MISSOURI

Ballwin, Bellefontaine Neighbors, Bellerive, Bel-Nor, Bel-Ridge, Brentwood, Charlack, Clayton, Cool Valley, Country Club Hills, Creve Coeur, Des Peres, Edmundson, Ferguson, Frontenac, Hazelwood, Hermann, Jonesburg,

Ladue, Lebanon, Maplewood, Marceline, Mountain View, New Melle, Normandy, Northwoods, O'Fallon, Poplar Bluff, Richmond Heights, Riverview, St. Ann, Saint John, Sullivan, Sunset Hills, Town & Country, Twin Oaks,

University City, Velda City, Velda Village Hills, Warrensburg, West Plains, Woodson Terrace

314-725-8788

CURTIS, HEINZ, GARRETT & O’KEEFE, PC

KEVIN O’KEEFE • STEPHANIE KARR • BOB JONES • STEVE GARRETT • CARL LUMLEY • KEN HEINZMIKE KERN • LEE CURTIS • KEITH CHEUNG • MITCH MARGO • PAT CHASSAING •ANASTASIA BRUBAKER

EXPRESS SCRIPTS CAMPUS CENTENE CAMPUS MILLS MALL WEST COUNTY MALL ST. LOUIS GALLERIA

WE WELCOME OUR NEWEST CLIENTS, OWENSVILLE AND BLANDAND THANKS TO...

ALEXA HART LORENZ • BRIAN MALONE • ED SLUYS • KATHY GMELICH • ADAM LORENZ


Around the world, cities are seeking the recipe for economic success in a rapidly changing

global marketplace. Indispensable assets in a post–industrial economy include: well–educated people, the ability to generate new ideas and to turn those ideas into commercial realities, connectivity to global markets, and mul t i -modal t ranspor ta t ion infrastructure. Another critical, but often forgotten, asset is community distinctiveness.

If I have learned anything from my career in urban planning, it is this: a community’s appeal drives economic prosperity. I also have learned that, while change is inevitable, the destruc-tion of a community’s unique character and identity is not. Progress does not demand degraded surroundings. Com-munities can grow without destroying the things that people love.

In 2010, the Knight Foundation teamed up with Gallup pollsters to sur-vey 43,000 persons in 26 cities (where Knight-Ridder had newspapers). The so-called Soul of the Community Survey was designed to answer questions such as: What makes residents love where they live? What attracts people to a place and keeps them there?

The study found that the most important factors that create emotional bonds between people and their com-munity were not jobs and the economy, but rather “physical beauty, opportuni-ties for socializing and a city’s openness to all people.” The Knight Foundation also found that communities with the highest levels of attachment also had

the highest rates of gross domestic product growth and the strongest economies.

Place is more than just a location on a map. A sense of place is a unique collection of qualities and characteris-tics – visual, cultural, social and envi-ronmental – that provide meaning to a location. Sense of place is what makes one city or town different from another, but sense of place also is what makes our physical surroundings worth car-ing about.

Author Wallace Stegner once said, “If you don’t know where you are, you don’t know who you are.” We all need points of reference and orientation. A community’s unique identity provides that orientation, while also adding eco-nomic and social value. To foster dis-tinctiveness, cities must plan for built environments and settlement patterns that are both uplifting and memorable and that foster a sense of belonging and stewardship by residents.

Planners spend most of their time focusing on numbers – the number of units per acre, the number of cars per hour, the number of floors per building. In the future, they will need to spend more time thinking about the values, customs, characteristics and quirks that make a place worth caring about. Unfortunately, many communities are suffering the social and economic conse-quences of losing their distinctiveness.

When it comes to 21st century economic development, a key concept is community differentiation. If you can’t differentiate your community from any other, you have no competi-tive advantage.

Capital is footloose in a global economy. Natural resources, highway access, locations along a river or rail line have all become less important. Education, technology, connectivity and distinctiveness have all become more important. Joseph Cortright, a leading economic development author-ity and president and chief economist of Impresa, a consulting firm specializing in regional economic analysis, says that “the unique characteristics of place may be the only truly defensible source of competitive advantage for communi-ties.” Likewise, Richard Florida, author of The Rise of the Creative Class says, “How people think of a place is less tangible, but more important than just about anything else.”

Unfortunately, the subtle differ-ences between places are disappearing. Today, if you were suddenly dropped along a road outside of most American cities or towns, you wouldn’t have the slightest idea where you were because it all looks the same, including the building materials, the architectural styles, the chain stores and the outdoor advertising. Technology and the global economy make it easy for building plans drawn up at a corporate office in New Jersey to be applied over and over again in Portland, Phoenix, Philadelphia or a thousand other communities. Over the past 50 years, many of the world’s cityscapes and townscapes have gone from the unique to the uniform, from the stylized to the standardized.

In recent months, there have been several surveys published, such as Zipcar’s “Future Metropolis Index” and Fast Company’s “Most Innovative

THE DISTINCTIVE CITYby Edward T. McMahon


Cities” list, ranking cities based on sus-tainability, innovation and efficiency. Some of the factors that were evaluated included the number of green buildings, the percentage of hybrid cars and the number of patents issued. These are all important, but sustainability is about more than new technologies. At its most basic, “sustainable” means enduring. A sustainable community is a place of en-during value. Doug Kelbaugh, the dean of the University of Michigan School of Architecture, put it this way, “If a build-ing, a landscape or a city is not beauti-ful, it will not be loved; if it is not loved, it won’t be maintained and improved. In short, it won’t be sustained.”

D i s t i n c t i v e n e s s i n v o l v e s streetscapes, architecture and historic preservation but as Cortright points out, it also involves cultural events and facilities, restaurants and food, parks and open space and many other factors. “Keep Austin Weird” is more than a slogan; it is a recipe for economic success. A distinctive city is a city that the young and well-educated want to live in, that boomers want to retire to, and most certainly a city that people want to visit.

According to The World Bank and the World Travel and Tourism Council, tourism is the largest industry in the world. Tourism is about visiting places that are different, unusual and unique. The more one city comes to look and feel just like every other city, the less reason there is to visit. On the other hand, the more a city does to enhance its uniqueness, whether that is cultural, natural or architectural, the more peo-ple will want to visit. It is no accident that Paris – a city that looks and feels different - gets 27 million visitors per year, more than any city on the planet, according to Lonely Planet.

Arthur Frommer, one of the world’s leading travel experts and founder of the well-known travel guide company, says that among cities and towns with no recreational appeal, those that preserve their past continue to enjoy tourism. Those that haven’t, receive almost no tourism at all. From-mer has been quoted as saying, “Tour-ists simply won’t go to a city that has lost its soul.”

In the future, planners will have to help communities adapt to change while maintaining or enhancing the

things that they value most. Lyman Orton, the principal of the Orton Family Foundation, a philanthropic organization that supports community development, calls this “heart and soul planning.” It is both a process and a phi-losophy. The process seeks to engage as many people as possible in community decision making. The philosophy recog-nizes that special places, characteristics and customs have value. Given all this, I believe that one of the big questions for cities in the future will be: Do you want the character of your city to shape the new development, or do you want the new development to shape the character of the city?

Edward t. McMahon holds the Charles E. Fraser Chair on Sustainable Development at the Urban Land Institute in Washington, D.C. This article is a reprint from unbanland.uli.org, Is-sue April 2012.


Representing Missouri Local Governments in Collective Bargaining

Identifed by U.S. News & World Reports as The Best Labor & Employment Law Firm - 2013

For more information contact attorneys Ivan L. Schraeder and John P. Hasman

222 S. Central Ave., Suite 901 • St. Louis, Missouri • 314.863.0092

The choice of a lawyer is an important decision and should not be based solely on advertisements.

www.lowenbaumlaw.com

Q: WHat is tHe city’s PHilosoPHy WHen it comes to develoPment in Perryville?Gahan: I think we’re very proactive in our approach to both expansions and retaining our established industries, as well as in recruitment of new businesses. It is our hope that we can entice some ancillary industries that can supply and support our existing ones.Sattler: The City uses all the economic development tools available to a city including establishing tax increment financing districts in both the downtown and future development areas. It also has used chapter 100 bonds to help companies expand.Buerck: We have been blessed with an incredibly strong manufacturing base. We are trying to shift our focus to more technical jobs that would allow our children to return home after college, and seeing success with this. For example, Bank of Missouri recently located their statewide datacenter here and Citizens Electric Cooperative is in the process of building a new headquarters in the city of Perryville.

Q: WHat are tHe main Factors tHat led to tHe estaBlisHment oF tHe Perryville develoPment corPoration (Pdc) and HoW does tHe corPoration Function?Buerck: In 1954, some local business people were concerned that our entire local economy essentially hinged on a single industry. The PDC was created as an offshoot of the Chamber of Commerce with the goal of attracting new businesses. It is thought to have been one of the first such organizations in the country. It was originally a for-profit corporation, having sold 20,000 shares of stock at $10. This would

help fund the purchase and development of industrial property. Some years later, the PDC saw the wisdom in converting to a not-for-profit organization, convinced community success was more important than individual investor profit. A successful partnership with Gilster-Mary Lee would ensure the PDC’s economic viability for years to come. Shareholders annually elect the PDC’s Board of Directors who, in turn, oversees the operations of the corporation. There is no paid staff, although the Chamber receives a small stipend for staff support.

Q: WHat do you Feel are tHe main strengtHs in your community?Gahan: I think our community has a very strong work ethic, in part due to our heritage that goes a long way to defining our workforce. We try to identify the needs of our businesses and support them with career and higher education programs. We have a wonderful collaborative relationship

W hen it comes to development, the city of Perryville has taken a proactive approach. The community’s population is home to more than 8,000 persons. Although it is a smaller municipality, it has been

recognized at the state and national level for its ability to attract successful development and industry to the area, offer training to sustain a qualified work force and secure stable community jobs.

Major employers include Gilster-Mary Lee, TG Missouri and Saberliner, while a number of local businesses are multi-generational.

One of the community’s success stories is the establishment of the Perryville Development Corporation, an organization credited with a strong role in bringing new industry to the community during a low period of employment. Recent development strengths are further highlighted in a recent Forbes magazine article, featured on the City’s homepage at www.cityofperryville.com.

Below, city leaders share how Perryville has weathered the economic recession and maintain continued growth and development. Mayor Debbie Gahan, City Administrator Brent Buerck, and Economic Develop-ment Authority Executive Director Scott Sattler all offer insight.


with our local schools and our Career Center, Perryville Area Higher Education Center, county officials, our Economic Development Agency, the Southeast Missouri Regional Planning Commission and the Perryville Development Corporation. Our lines of communication are always open to each other, and we are receptive to new ideas and concepts. We have a wonderful working relationship with all levels of government.Sattler: I feel that the long-standing public/private partnerships, the Perryville Development Corporation efforts and the local government’s willingness to invest in the infrastructure, foundation and marketing helped Perryville be prepared when the opportunities arose. The great base of employees skilled with mechanical and craft skills are essentials to manufacturing competency. In addition, the ethic to work productively has made our community conducive to manufacturing success.

Q: WHat otHer economic develoPment initiatives Would you like to see in Perryville?Buerck: Some major goals are increased housing and more of the “next-level” jobs, allowing our college students to return to Perryville after school.

Q: WHat Would you recommend to a community looking For neW Ways to attract Businesses?Sattler: Establishing public/private partnerships that look at where your community is today and where you want to be in the future. Then develop a plan to invest in the infrastructure to work towards those goals.Gahan: Attention to detail, no matter how small, in everything. Whether it is collaboration, communication, relationships, new ideas, technology, appearance, a positive approach is always the right direction. We will always go the extra mile to see how something might work, rather than say out of hand that it won’t. I know that sounds basic, but it is the foundation on which we have been built.

tHe Perryville develoPment corPoration is a 501(c) 3 corPoration tHat is a suBcommittee oF tHe Perryville cHamBer oF commerce. you must oWn sHares to Be a voting memBer oF tHe corPoration.

• In the 1950s, a group of local citizens donated their own money and formed the PDC to promote indus-trial growth. They purchased land for an industrial park and paid for the cost of attracting industry to the community that has kept the area’s unemploy-ment well below average.

• The owners of the PDC later gave up any right to personal gain by converting the organization to a not-for-profit corporation, leaving the gains real-ized from wise investments of the money in the new organization.

• The PDC pledged $400,000 to help convert the St. Mary’s Seminary building to a higher education center providing the types of classes necessary to train and develop the local workforce needed to help industry grow.

• The City and the County have pledged additional funds to help with this project in order to raise the level of opportunity for everyone in Perry County. Visit www.cityofperryville.com to read the

City's feature in Forbes magazine.


On m o r e than one occasion, you may

h ave fou nd you r s e l f v i s i t i ng or eve n ju st travelling through a small town or urban enclave that impressed you as an idyllic scene of true Americana right here in the heartland. Perhaps you live or work in one of these communities, and if so, good for you! We hope that you continue to cherish and protect it for future generations to enjoy.

U n f o r t u n a t e l y , these Rockwellian scenes are becoming scarcer in our landscape. After the 2010 Census reports were published, one report pessimistically stated that “rural America now accounts for just 16 percent of the nat ion’s population, the lowest ever. The latest 2010 census numbers hint at an emerging America where, by midcentury, city boundaries become indistinct and rural areas grow ever less relevant. Many communities could shrink to virtual ghost towns as they shutter businesses and close down schools, demographers say.”1

Despite gloomy prognostications such as this, in true Midwestern spirit, many communities have found a way to create beautiful places that retain young and old alike while attracting interesting businesses. But how are they doing this? Entrepreneurs are often “lone wolves” pouring all of their energy into their personal projects, which can lead to fractured or disorganized commercial areas when viewed as a whole. Like the wolf, it is important to remember that the pack provides strength, and the whole can be greater than the sum of its parts. One tool that has shown decades of success in organizing our local merchants into a cohesive group focused on preservation of our great places and creating vibrant business districts is the National Trust for Historic Preservation’s Main Street® program.

WHat is main street®?T h e p u r p o s e o f l o c a l a n d

statewide Main Street® programs is to ensure the long-term success of downtowns by supporting, educating, training and empowering revitalization organizations that are comprehensive, professional and volunteer-based. Since 1980, the Main Street® method has undergone a few tweaks. Flexibility exists for each community practicing the Main Street Approach® to annually adjust its development plans to meet current chal lenges in the market. However, the foundation remains the same: Working the plan with volunteers who operate on fou r per m a nent committees – organization, promotion, design and economic restructuring – all based on preservation of historic structures, adaptive re-use, and the preser vat ion of loca l com mu n it y culture. The Main Street® program in Missouri is coordinated by the Missouri Main Street Connection (MMSC).

missouri’s main street success stories

Although Main Street® is a national program, we have some rather impressive success stories right here in Missouri. Efforts undertaken in Lee’s Summit,

W a s h i n g t o n a n d Cape Girardeau are indicative of the success that can be enjoyed by utilizing this program.

Lee’s Summit has enjoyed more than $40 million of private and public investment in just the past 10 years a nd b oa st s on ly a five percent vacancy rate in the downtown district, which is a stark contrast to the double-digit vacancy rates that persisted 20 years ago when the community adop t e d t he M a i n Street Approach®.

Washington has successfully taken on such projects as saving

their historic post office building and postal services – a key anchor in their downtown. Since Washington began using Main Street® as a preservation and economic development method in 1989, its downtown has seen $48,203,000 in private investment, $28,370,000 in public investment, 41 historic buildings rehabilitated, eight new buildings constructed, 22 new housing units created in re-purposed historic buildings, 56 net new businesses and 383 net new jobs.

And, as if those statistics are not impressive enough, Washington and Lee’s Summit have both won recognition by the National Trust Main Street Center, earning the Great American Main Street Award® for excellence in implementing t he comprehe n sive, i nc reme nt a l methodology to revitalize their historic business districts.

On a smaller scale, Cape Girardeau recently collected data on a Historic Preservation Tax Credit project, one of many ongoing in that community. The rehabilitation project for the 15 N. Main Street building incurred over $230,000 in expenses for the private owners. Of that amount, $212,000 was eligible for the 25 percent state HP tax credits (translating to $53,000 in credits). The economic impact of this project is evidence of the Main

A 1980s FORMULA FOR ECONOMIC DEVELOPMENT STILL SUCCESSFUL TODAY

MAIN STREET® REVITALIZATION PLANNING + PRESERVATION + VOLUNTEERS = JOBS

by Gayla Roten , Jeanine Rann and Joe Lauber

Washington, Mo., Main Street


big-city ExpEriEncE. small-town valuEs. 816-525-7881

[email protected]


Street® success in Cape Girardeau:• Increase in employment from five

persons to 30 in 5,000 square feet of rehabilitated commercial space.

• Went from paying $2,000 per month in sales tax to $8,000 - $10,000 per month in sales tax. Generating approximately $3,600 more per month in local sales tax; and approximately $4,400 more per month in state sales tax.

• Property tax revenue to county will increase. (Value of the building went from $225,000 to $370,000 immediately after rehabilitation.)

• Increased property values for neighboring properties.

• State income tax will be generated on 30 jobs instead of five.

• Once considered an eyesore, this building has been transformed into a marketable and attractive source of inspiration for other building owners in the area to address their own needs.W h i l e d i f f e r i n g i n s i z e ,

demographics and local culture, each of the communities we offer as examples have one thing in common – a large base of volunteers. What makes them sparkle?

Why are they willing to spend so much energy, time and other personal resources on revitalization work? Their homes, families, livelihood and their hearts are all engaged in the community. They have already “bought into” the local history, culture and traditions that make their town unique, and they have a stake in keeping it that way.

HoW (and WHy) does main street Work?

Historic commercial districts in small towns as well as urban districts are worth preserving for the inherent value they hold in the hearts and minds of people who live there and nearby.

Because these historic downtowns often do not have all the features that make for success in newer, planned shopping developments – immediate major highway access, proximity to affluent suburban households and unified management – they have failed to compete and are in decline. There are however, ways for traditional downtowns to be competitive and to regain some of their economic vitality. A comprehensive strategy for revitalizing is behind the philosophy of the Main Street Four-Point Approach®.

Using this approach, MMSC, in partnership with the Missouri Department of Economic Development and the National Trust Main Street Center, offers

Economic Impact Since Missouri Main Street Connection Began Gathering Data From The Nine Accredited Missouri Main

Street Communities in 2003:Private dollars invested in

downtown buildings$948,670,280

Public dollars invested in downtown infrastructure

$104,886,276

Net new businesses 395Net new jobs 1,921


training in workshops and conferences, plus mentoring directly to Missouri communities. The movement in Missouri has gained significant momentum in recent years since the program began in 1989 with six pilot communities, expanding to 29 designated Main Street® participants this year. Another 118 communities have attended Missouri Main Street® workshops and conferences in recent years.

Main Street® advocates a return to communit y sel f-rel iance, loca l empowerment, and the rebuilding of traditional commercial districts based on their unique assets – distinctive architecture, a pedestrian-friendly environment, personal service, local ownership and a sense of community. It is a comprehensive strategy tailored to meet local needs and opportunities. The Main Street Approach is succeeding in communities of all sizes. Nearly 2,000 communities in the United States, both urban and rural in 43 states, are implementing the Main Street Four-Point Approach®.

The Mai n St reet ® method i s incremental; it is not designed to produce immediate change. Because they often fail to address the underlying causes of commercial district decline, expensive improvements, such as pedestrian malls or sports arenas, do not always generate the desired economic results. To succeed, a long-term revitalization effort requires careful attention to every aspect of downtown, a process that takes time, skilled leadership and local capacity building.

C i n dy M i l l e r, p r e s ide nt o f Downtown Alive! Blue Springs, recently

commented on the training provided to their community as an Affiliate Grant recipient. “Thanks to the training and assistance the Missouri Main Street Program has given to our Downtown Alive group, we are implementing a comprehensive approach to downtown revitalization following the Four-Point Plan,” said Miller. "MMSC helped us host a downtown meeting to get citizen and business feedback, and helped Downtown Alive gauge community support. From there, we have formed our four groups, developed our work plans, enlisted volunteers and we are raising funds. We have been successful thanks to MMSC’s ground-up approach to revitalization.”

are tHere Funds availaBle For undertaking tHis Program?

Missouri Main Street Connection is not a direct source of funds. However, MMSC prov ide s “b est prac t ices” i n e d u c a t i n g a n d e n g a g i n g community leaders who are learning to establish successful r e v i t a l i z a t i o n p r o g r a m s a n d preserving Missouri communities. All M M S C s e r v i c e s are customized to fit the needs and resources of the com mu n it y, a nd are designed to help local revitalization participants learn

and implement relevant tools and techniques to address all aspects of commercial district revitalization. MMSC provides in-kind services for communities who are able to provide a certain level of matching funds for the program.

While funding for these programs occasionally was provided or subsidized by local governments, these tight economic times have created a need for sustainable funding for downtown organizations all over the country. Here in Missouri, cities and their downtown organizations are increasingly looking to the establishment of community improvement districts to provide a source of funds for this purpose.

These special purpose districts are authorized in Sections 67.1401 to 67.1571, RSMo. Community improvement districts (CIDs), are empowered to provide funding for a wide variety of public improvements that are perfect for the needs of a downtown organization, including streetscape, ornamental lighting and benches. Additionally, CIDs can fund services like the promotion of tourism, recreational and cultural act ivit ies in the district; CIDs are authorized to promote business activity and economic development, including the recruitment and retention of developers and businesses; and can contract for economic, planning or marketing studies. CIDs are formed as political subdivisions or not-for-profit businesses. Political subdivision CIDs are authorized to impose sales taxes (up to one percent) or property taxes, in addition to special assessments and user fees.

As an example of how these economic development tools can be used, the city of Branson and Downtown Branson Main Street Association worked

Downtown Lee's Summit, Mo.

Cape Girardeau, Mo.


together to establish a CID to provide funding for a trolley program to shuttle shoppers between the City’s historic shopping district and the Branson Landing shopping and convention area. CIDs are currently being considered in Excelsior Springs, Cape Girardeau and Lee’s Summit, just to name a few.

tHe Final Word

Like many other Main Street communities in Missouri, Cape Girardeau, Lee’s Summit and Washington have developed a successful revitalization program, in some cases over a period of 25 years, and they know that downtown revitalization happens again and again. It’s a steady progression, not a project. It’s a task that is never finished. That’s the nature of preservation-based economic development. It’s a relay race that goes on and on, with dedicated volunteers.

To be sure, the enthusiast ic cooperation of city government is essential for the day-to-day revitalization work to continue and sustain success. Both public and private sectors have a vital interest in downtown. Each has a role and must understand the other’s strengths and limitations. Working together, the public and private sectors can marshal

complementary resources to create successful economic strategies. Whether from a public or private background, from elected officials and city staff to shopkeepers up and down Main Street, the Main Street Approach® to revitalization is based on volunteer leadership, and recognizes that revitalization is masterminded by ordinary people who accomplish extraordinary results.

(Endnotes)1 Rural US Disappearing? Population

Share Hits Low, by Hope Yen, Associated Press, July 28, 2011.

For more information about the Missouri Main Street Connection and the local Main Street programs it mentors, contact Gayla Roten, 417-334-3014, [email protected], or visit http://www.momainstreet.org/.

Gayla Roten, state director for Missouri Main Street Connection. Gayla has 20 years of exper-tise in downtown revitalization and the Main Street 4 Point Approach®. Gayla’s expertise includes organizational development, board and commit-tee development, strategic planning, business development, fundraising strategies, marketing, grant writing and establishment of taxing districts. She has administered and raised funds from state, federal and foundation grant programs. Contact Gayla at [email protected].

For 100+ years, HR Green has focused on business accountability through every step of the journey: design, construction, ownership and operation.

Est. 1913 Join the Centennial Celebration at HRGreen.com

16020 Swingley Ridge Road, Suite 205, St. Louis, MO 63017 | Phone 636.519.0990 | Toll Free 800.728.7805

Jeanine Rann, community development co-ordinator for Missouri Main Street Connection. She has been working to revitalize downtowns for 20 years as executive director for Down-town Lee’s Summit Main Street, Inc., War-rensburg Main Street and the DDA for Grand Haven, MI. Jeanine earned her degree in Pub-lic Relations and is certified as Main Street Manager. Contact [email protected]. Joe Lauber has dedicated his entire career to the practice of municipal law on behalf of public entities. In 2010, he established Lauber Munici-pal Law, LLC, after years of practice represent-ing public entities at larger firms in the Kansas City area. Joe has experience representing mu-nicipalities statewide regarding a wide variety of economic development tools and is a regular speaker, author, and contributor for MML. He can be reached at 816-525-7881 or [email protected].


Ad d r e s s i n g a g i n g public infrastructure, encouraging private d e v e l o p m e n t , a n d

responding to the needs created by population growth are priorities for many communities across Missouri. In each case, the challenges of tackling these objectives are too burdensome for any one funding source to undertake. And, in the current economic environment, community needs are growing as the resources to address them become more dif f icul t to f ind. However , Missouri’s municipalities can clear this hurdle by participating in public-private partnership developments. The formation of integrated public-private partnerships can become the catalyst for achieving multiple objectives that leverage the contributions of each partner in a way that magnifies the results and sheds some of the limits imposed by constrained resources.

Additionally, as the private sector looks for ways to reverse the impact of the most significant economic downturn since the Great Depression, the devel-opment community may find itself con-sidering opportunities that cannot be seized through conventional debt and equity financing. Private developers are seeking new ways to leverage the costs and risks of raising real property to its highest and best use, but find-ing options is difficult. The lending community also seeks to find ways to change the title of distressed property from “bank owned” to “development under way.”

In short, municipalities, develop-ers and lenders all face different specific hurdles and, left to their own means, these hurdles can be too burdensome to clear. However, despite the challenges, municipalities and the private sector are concluding that the alternatives to taking action would be detrimental to long-term outcomes. It is in this circum-stance that public-private partnerships, coupled with a productive combination of Missouri’s economic development tools, can serve as the preferred mecha-nism to get things done.

Generally, a public-private part-nership can comprise a real estate development-related undertaking that includes a contractual arrangement between a governmental entity (federal, state or local) and a private sector devel-oper that leverages their joint resources in order to accomplish an identified public benefit. On a small scale, public-private partnerships have been present in the economic development world for quite some time. Whether it is the formation of a transportation develop-ment district to increase signalization near a new retail project, or the imple-mentation of a detailed maintenance agreement for a suburban residential development in order to enhance pub-lically-owned amenities, the inclusion of a public-private partnership tends to magnify positive results. When the objectives become larger, leveraging a public-private partnership becomes all the more significant.

One recent demonstration of the benefits of a public-private partnership occurred in Grain Valley, Missouri. Located just off of Interstate 70, ap-proximately 25 miles east of Kansas City, Grain Valley is a city with rapid population growth and an anticipated demand for improved public infrastruc-ture. The 2010 census figures revealed Grain Valley to have just under 13,000 residents, which is 149 percent of the 2000 census population. While modest in number, that rate of growth indicates the growing pressure on, among other things, the transportation infrastructure servicing the community. During the same time period that Grain Valley’s population was growing, the state of Missouri concluded that the Interstate 70 Interchange into Grain Valley, the City’s main access route, was in need of a significant upgrade. This conclu-sion led to an initial agreement between Missouri and Grain Valley, whereby the state would participate in the funding and construction of the interchange upgrade and related road improve-ments, as long as the City participated as well. The total cost of this project was estimated to be about $18.2 million,

with the state contributing a little under $10.7 million towards that cost. Grain Valley was left to fund the remaining $7.5 million within a defined period of time. With a tax base of less than 13,000 persons, $7.5 million represents 61 percent of the City’s annual budget. In other words, a significant opportunity also had brought with it a significant challenge.

At the same time, the City con-nected with a developer with an interest in undertaking a retail project on one of the four corners of land along the interchange. The possibilities generated by a new commercial development, including a top-tier movie theater and 60,000 square feet of new retail space, in this small community were apparent and exciting. What was less apparent, however, was how to bridge a nearly $9 million project cost gap in order to see this proposed development take place. Taken as individual challenges, it is possible to imagine a scenario where the developer would seek approval of eco-nomic development tool financing from the City, while the City was separately seeking to extract $7.5 million from its own budget for the interchange project.

Recognizing these separate prob-lems and a joint opportunity, Grain Valley’s leadership initiated a detailed public-private partnership with a de-veloper that used several economic development tools and leveraged joint resources to significantly reduce the gaps facing both projects. This particu-lar partnership included the use of a community improvement district (CID); a neighborhood improvement district (NID); an area-wide tax increment fi-nancing plan (TIF); and more traditional resources from both the City and the developer. The results provided the City with an anticipated revenue stream for $6.1 million of its $7.5 million obli-gation, including a significant upfront amount paid by the developer through special assessments on his property. And, the developer, whose project costs were increased by this program, saw the financing/equity gap closed by the use of economic development incentives

PUBLIC-PRIVATE PARTNERSHIPS: TEAMWORK DIVIDES THE TASKS AND MULTIPLIES THE SUCCESSES

by Charles Renner


approved by the City.On the development side, the first

economic development tool engaged was tax increment financing. The TIF plan that captured 50 percent of all new sales tax revenue generated by the development, Economic Activity Taxes (EATS), along with incremental proper-ty tax revenue, came close to filling the private finance/equity gap necessary to support the commercial development, but didn’t quite make ends meet. The sales tax revenue that the development project would generate for the City was seen as a partial funding source for the interchange cost. However, in order to further shrink the City’s funding gap, a more sophisticated public-private partnership structure was designed.

The developer agreed to the is-suance of bonds through the use of an NID. The NID funded some public improvement costs on the development site. More significantly, the NID also funded $1.5 million of the City’s obliga-tions under the interchange project con-tribution requirements. Bonds issued under Missouri’s NID statute are paid for by an annual special assessment lev-ied against real property identified in a petition forming the NID. In this case, the only property subject to the NID special assessment was the developer’s property. In other words, the developer agreed to make annual payments to be converted into funds for the City’s por-tion of the interchange project.

Next, the developer and the City agreed to form a CID over the develop-ment site and included authorization for a site-specific sales tax in the peti-tion to form the CID. This served two added purposes. First, half of the new CID sales tax revenue was used by the CID to fund public improvements within the development area. Second, the remaining half of the CID sales tax revenue was captured as EATS under the TIF plan. The use of a CID sales tax within a TIF plan increases the available TIF revenue and reduces the burden on other local sales taxes affected by that same TIF plan (city and county sales taxes, for example). A CID also distrib-utes representation between the City and the developer that further cements the public-private partnership nature of these combined undertakings.

Finally, while the TIF plan on the development site brought with it a significant contribution toward both the developer’s costs and the City’s road program, a comparatively mod-est gap for the City still remained (The

Development Site is area 2 Figure 1). A total $1.4 million of the original $7.5 million had not yet been addressed (see summary on Figure 2). The commercial project and interchange program would likely combine to stimulate further development within the other three corners of the area (see depiction be-low). Accordingly, the City expanded the TIF area to include all four corners of land surrounding the interchange location with the expectation that, as those remaining areas develop, they would have done so partly due to the current public-private partnership and the City would then be able to receive further economic participation from future development connected to the current work.

These efforts in Grain Valley, and in numerous other municipalities elsewhere throughout Missouri, dem-onstrate the creativity and resource leveraging that is possible with the formation of public-private partner-ships. Missouri provides a number of economic development tools that, when used proactively, can serve to facilitate development and assist municipalities as they work to answer the demands of demographic changes and aging public infrastructure. The collaboration of at-torneys, versed in the use of these tools, along with financial and development professionals, can assist in creating op-portunities to resolve today’s growth challenges. As many communities fur-ther their plans on how best to emerge from the economic conditions of the last several years, the municipalities that make the most of opportunities with private developers and economic development experts will likely be the jurisdictions that attract more private development. And, with the innovation derived from public-private partner-ships, leveraged resources can demon-strate the versatility of the current menu of economic development tools found within Missouri.

Charles Renner is a partner in Husch Black-well’s Real Estate Department. He represents developers, business clients and numerous com-mercial and retail proprietors in the use of public financing tools.

3 2

1 4

Figure 1

Figure 2


Wh e n c o n s i d e r i n g the use of economic d e v e l o p m e n t i n c e n t i v e s ,

developers general ly prefer that municipalities take Mr. Carnegie’s advice to heart. Developers will often promise job creation, new development and additional tax revenue to those municipalities willing to offer economic development incentives. Municipalities, however, are best served by following Mr. Buffet’s advice. Limiting risk is directly correlated to knowing what you are doing. When dealing with economic development incentives, evaluating and limiting risk requires municipalities to do their due diligence on (1) the capabilities of the developer, (2) the expected financial performance of the project, and (3) how the requested economic development incentives will work. Only then will they have a thorough understanding of the risks and prospective benefits of providing any requested economic development incentives.

The types of risks that municipali-ties face are somewhat different than the risks faced by developers. While both developers and municipalities face financial risks, municipalities also face heightened political risks. More-over, elected officials risk losing bids for re-election (or even facing recall movements) if the use of an economic development incentive proves unsuc-cessful or unpopular.

Financial risks

Municipalities face financial risks related to economic development in-centives regardless of whether or not a project proves successful. If a project

is unsuccessful, any resources applied to such project will be wasted. These resources can include direct monetary contributions to a project, funding cer-tain infrastructure improvements that would only be needed if the proposed project is successful or promises to pay project-related debt if other revenues are insufficient. Additionally, if tax abatement or tax increment financing were offered to incentivize an ultimate-ly unsuccessful project, tax revenues that would otherwise be used to sup-port public services are instead abated or redirected for the developer’s benefit without the municipality receiving a significant return on its investment. Even if a project is successful, the municipality is still taking a risk that the economic development incentives offered were not necessary for the proj-ect to succeed. Evaluating these risks before approval of economic develop-ment incentives is a challenge, but not an impossibility.

First, a municipality should re-search a prospective developer. Two key considerations are whether or not a developer (1) has the financial capa-bility to complete the proposed project and (2) has experience successfully de-veloping and operating similar projects. Clearly, a municipality does not want to commit resources to a project that might never get completed. Nor should a pru-dent municipality risk its resources on a developer that does not have a track record of executing successful projects.

Second, a municipality should have an accurate understanding of the expected financial performance of the project. Key considerations for this topic include reviewing revenue projections to determine if they are

based on reasonable assumptions and if the requested economic develop-ment incentive is actually necessary to make the project financially feasible. Projections based on unreasonable as-sumptions (such as projections of retail sales that are above what can be reason-ably expected) will lead to unfulfilled expectations and, depending on the structure of the economic development incentives, could lead a municipality to unknowingly commit to provide addi-tional support to a struggling project. Accordingly, municipal officials should understand why such assumptions were made and what data supports the assumptions. A municipality also may want to have an experienced consultant review the assumptions on their behalf. Municipalities also should require suf-ficient information from the developer to determine if the proposed project is feasible with or without the requested incentives.1 Such information can then be used to determine if the requested incentive is necessary for the project to be profitable to the developer.

Finally, municipalities need to ensure they have a full understanding of how the requested economic devel-opment incentives work. Municipal officials need to understand the legal requirements to implement a specific incentive, the sources that will fund the incentive and the restrictions on the use of such incentive. Legal prereq-uisites for the use of specific economic development incentives can vary sig-nificantly. The implementation of some incentives, such as certain forms of tax abatement2 or tax increment financing3, may require a blight finding. The use of tax increment financing requires a municipality to form a tax increment

EVALUATING RISK: A CITY’S GUIDE TO ANALYZING A REQUEST FOR ECONOMIC DEVELOPMENT INCENTIVES

by Mark Spykerman

“The man who goes the farthest is generally the one who is willing to do and dare."

– Dale Carnegie

“Risk comes from not knowing what you’re doing."

– Warren Buffet


financing commission to review the proposed incentive prior to its approval by the municipality’s governing body.4 Community improvement districts5 and transportation development districts6

require the creation of a new political subdivision that the municipality may or may not have control over. The fund-ing sources for economic development incentives also varies. Economic devel-opment incentives are funded by three basic sources: (1) abating taxes that would otherwise be due, (2) redirect-ing revenues from existing taxes to pay project-related expenses and (3) levying new taxes and using those revenues to pay project-related expenses. Each of these sources present different risks. Evaluation of a proposed economic development incentive also requires an understanding of what project-related expenses the incentive will fund. Almost all economic development incentives limit what type of expenses that can be paid from the incentive. Moreover, the Missouri Constitution has restrictions against lending public credit or using public money for private purposes.7 Seeking legal advice may be necessary.

Political risks

Almost all projects seeking eco-nomic development incentives have a physical impact on the municipality. For local residents, very few things are more of a stark reminder of an unsuc-cessful use of economic development incentives than driving by the half-complete or vacant shell of a building that was once touted as a glorious ex-ample of a public-private partnership. Such physical reminders often come with unwelcome media coverage and can cost the municipality credibility when it tries to sell another project to the public (conversely, successful

projects can remind residents that their elected officials are doing a great job). Evaluation of political risks, just like financial risks, requires the municipal-ity to understand (1) the capabilities of the developer, (2) the expected financial performance of the project and (3) how the requested economic development incentives will work.

Making sure a quality developer is involved is very important. Reputation and experience can be easily gauged from reviewing the developer’s past projects and talking to officials in other municipalities where the developer may have recently completed a project. A developer with a good reputation, relevant experience and the financial capability is more likely to see a proj-ect through to success. However, a municipality is likely to share in the blame for an unprepared developer’s failure. Municipalities also need a good understanding of the project finances and how the proposed incentives work so that they can avoid bad projects and negotiate the efficient use of incentives on worthwhile projects. Municipalities also need to be able to explain why a project warrants incentives and how those incentives work to the public, other affected taxing districts and the media; otherwise, they risk losing cred-ibility and strained relationships with other taxing districts.

Throughout Missouri there are countless examples of projects that suc-ceeded because of the use of economic development incentives. One benefit from this history of successful projects is that municipalities can learn how best to identify projects that present less risks that are likely to succeed. Com-mon sense and good judgment are two attributes that cannot be understated, but municipalities also may want to seek advice from attorneys or other con-

sultants early in the process to ensure nothing is overlooked when evaluating potential risks. Mark Spykerman is an attorney with Gilmore & Bell, P.C. Mr. Spykerman’s practice focuses on representing municipal clients in the consider-ation and implementation of economic develop-ment incentives. He can be reached at 314-436-1000 or [email protected].

(Endnotes)1 Section 99.810 of the Revised

Statutes of Missouri requires, as part of the tax increment financing approval process, that a municipality make a finding that the redevelopment area would not reasonably be anticipated to be developed without the use of tax increment financing. While such a finding is not legally required for the implementation of other types of economic development incentives, prudent municipalities should still consider whether a project could suc-ceed without the requested economic development incentive.

2 For example, real property tax abatement under Chapter 353 of the Revised Statutes of Missouri requires the municipality’s governing body to find that the proposed redevelopment area is a “Blighted area” as defined in the statute.

3 See Section 99.810 of the Re-vised Statutes of Missouri.

4 See Section 99.820 of the Re-vised Statutes of Missouri.

5 See Sections 67.1401 to 67.1571 of the Revised Statutes of Missouri.

6 See Sections 238.200 to 238.280 of the Revised Statutes of Missouri.

7 Article 6, Section 23 of the Mis-souri Constitution.

Hardplace. View Project Profiles at www.alliancewater.com

Rock.

As water and wastewater problems grow, our local communities are getting squeezed: capital improvement projects technicalchallenges shortages of licensed personnel governmentregulations revenue shortfalls. Missouri’s own Alliance WaterResources is a national leader in solving exactly these problems. If you can check any of these boxes, call (573) 874-8080 or visitwww.alliancewater.com


Gr a n d v i e w b e g a n a s a m o d e s t f a r m i n g c o m m u n i t y c a l l e d A n d e r s o n

D i s t r i c t , i n h o n o r o f J o h n Anderson, the owner of the only general store in the area. In the late 1800s, farmers and other residents were unhappy with having to pick up mail at the post office in a neighboring town, a full day’s trip away. They wanted their blossoming area to have its own post office. Before they could ask for one, they needed to choose a name for the town.

T h e r e w e r e s e v e r a l suggestions, but none seemed to fit. One day, John Anderson called a couple of friends (one of them was President Truman’s maternal grandfather) out onto the steps of his general store. Pointing out over the landscape, he declared to his friends, “Isn’t that a grand view?” One of the men replied, “That’s it!

That’s the name. Let’s name the town Grandview.” And so the town finally got its name, and a post office was

conveniently placed in John Anderson’s store on Fifth and Main Street.

In February 1912, Grandview was o f f i c ia l ly incorporated in to

Jackson County. Also, it became a railroad division point and terminal f o r t h e K a n s a s C i t y S o u t h e r n Railroad. This new t r a n s p o r t a t i o n resource brought a n i n f l u x o f p e o p l e i n t o t h e town, and by 1929 G r a n d v i e w h a d grown into a city of 700 residents. A l a n d m a r k o f G r a n d v i e w ’ s history, the original depot, remains in

town located right next to Grandview City Hall bordering Freedom Park.

By this time, Grandview’s Main Street was bustling with a hotel, res taurant , grocery and dry goods store, a hardware store, drugstore and a blacksmith shop. The first grade school was located alongside Main Street, as was the first church. It also was on Main Street that the first community Labor Day celebration took place. Labor Day celebrat ions a lso attracted people from neighboring towns as well. All would gathered on Main Street to watch turtle races and take part in potato races.

For most of the first half of the 20th century, this small,

rural village remained surrounded by gentle, rolling farmland. One of the more prominent farms in

the area was that of Solomon Young. Young’s grandson, Harry S Truman, the future 33rd President of the United States, spent much of his early adult life managing and working on the family farm in Grandview. Truman was active in the community, forming a Masonic Lodge, serving on the school board, as Grandview’s Postmaster and a Jackson County road overseer. The Truman farm home still stands on Blue Ridge and is owned and operated by the United States Parks Service. Grandview experienced much of its growth in the period following World War II. This growth was due in part to development of the original suburbs in the Kansas City metropolitan area and in part to the establishment of the Richards-Gebaur Air Force Base just to the south of Grandview. Richards-Gebaur was one of Grandview’s

GRANDVIEW CELEBRATES ITS CENTENNIAL, BUILDS FOR NEXT 100 YEARS

by Ana Nixon and Dennis Randolph

People make communities. But communities also are made of the buildings and infrastructure people use to live. As time passes and people come and go, the buildings and infrastructure, both public and private, act as the medium through which a community and its shape are passed on.

Even the best infrastructure wears out and needs replacement. New people with new ideas and needs come to a community and want to place their mark in the present and the future. Often the transition from old to new is difficult for a community. The city of Grandview has survived this transition. As it celebrates its 100th anniversary as a city, it is entering its next century remembering and revitalizing the important features of the past. Just as important, Grandview is shaping itself with new ideas for future generations of citizens.

Historical Grandview Labor Day Celebration

Grandview's original depot remains in town next to City Hall and bordering Freedom Park.


MIRMAMMiissssoouurrii IInntteerrggoovveerrnnmmeennttaall RRiisskkMMaannaaggeemmeenntt AAssssoocciiaattiioonnPPhhoonnee:: 557733..881177..22555544WWeebb:: wwwwww..mmiirrmmaa..oorrggMMiissssoouurrii’’ss FFiirrsstt MMuunniicciippaall SSeellff IInnssuurraannccee PPooooll

BBEENNEEFFIITTSS::OOnnee ccoommpprreehheennssiivvee ppaacckkaaggee!!PPrrooaaccttiivvee lloossss pprreevveennttiioonn ttrraaiinniinnggOOnn--ssiittee ssaaffeettyy ttrraaiinniinnggAAnnnnuuaall ppoolliiccee ffiirreeaarrmmss ttrraaiinniinnggRRiisskk MMaannaaggeemmeenntt GGrraanntt PPrrooggrraammAAqquuaattiicc aauuddiitt rreeiimmbbuurrsseemmeennttPPoolliiccee aaccccrreeddiittaattiioonn rreeiimmbbuurrsseemmeennttSSeemmiinnaarrss && wwoorrkksshhooppssVViiddeeoo lliibbrraarryy

CCOOVVEERRAAGGEE::WWoorrkkeerrss’’ CCoommppeennssaattiioonnPPrrooppeerrttyyGGeenneerraall LLiiaabbiilliittyyPPuubblliicc OOffffiicciiaallss LLiiaabbiilliittyyEEmmppllooyymmeenntt PPrraaccttiicceess LLiiaabbiilliittyyLLaaww EEnnffoorrcceemmeenntt LLiiaabbiilliittyyAAuuttoommoobbiilleeBBooiilleerr && MMaacchhiinneerryyAAiirrppoorrtt

largest employers until its closure in the mid-1980s.

Because of the closure, many military families transferred, leaving behind hundreds of empty homes and causing property values to decline. In the 80s, the frontage roads along 71 Highway were converted into one-way roads. Because of the resulting access limitations, several stores lost revenue and eventually shut down. Like other first-tier suburbs, Grandview started struggling with unexpected and often unrecognized problems, such as concentrations of elderly and immigrant populations, as well as outmoded housing and commercial buildings1.

For the next three decades , Grandview had its share of adversities and the population stagnated until around 2010 . However , pos i t ive changes to strengthen the Grandview community started during the recent economic downturn, and these changes are now gaining momentum.

Grandview is now a city of roughly 15-square miles with a population of more than 25,000 persons. The City has more than 11,000 total residential housing units, and boasts having around 600 local businesses employing more than 10,000 employees. New housing and retail developments, as well as infrastructure projects, are happening all around the City – sense a pride among the community is building again.

G r a n d v i e w h a s b e e n g o i n g through a positive transformation over the last several years. Waves of younger people moving into the City have brought a strong sense of civic engagement and anchor solid families with disposable income. In addition, new infrastructure projects and new businesses gave city administrators, officials and community leaders the confidence and momentum needed to grow.

centennial anniversary celeBration

With a positive start to the second decade of the 21st century, it seems fitting to recognize the first, 100 years of Grandview and the optimist ic beginning of i ts second hundred. With the strong support of businesses, organizations and community leaders, a committee began to plan a yearlong celebration with four great events for the entire community.

To kick-off the celebration, the committee planned a centennial dinner in February 2012 to recognize present and past city officials, community leaders, business owners and longtime residents. The highlight of the dinner was a panel of three speakers, a Harry S Truman impersonator, a historian, and a former mayor recounting Grandview through the decades.

The second and perhaps most significant of Grandview’s centennial celebration events was the Truman Heritage Festival – a three-day free admission event in May.

For many years, the Grandview Historical Society organized and carried out Harry’s Hay Days festival. This one-day event attracted thousands of residents and v i s i t o r s t o t h e T r u m a n C o r n e r s S h o p p i n g Center parking lot, one of the l a r g e s t a n d busiest retai l centers in the reg ion . Over time the event d w i n d l e d , but st i l l held a warm place in the hearts of many residents. The Centennial

Committee decided there was an opportunity to revamp the festival and make it the biggest centennial anniversary celebration ever.

To help in the rebranding of the event, the length was changed from one-day to three and the name changed to Truman Heritage Festival. It worked. Before announcing the last musical group on stage, Mayor Dennis, looking down on Main Street and seeing the street packed with people, said “We just made history!”

The weather was great , the atmosphere was filled with positive energy, people of all ages walking, smiling and happily greeting one another. It was three days full of entertainment and joy – just like the City and community members had hoped. The reaction from the community was extremely positive. Expectations for the festival are high for next year, and the plan is to make it bigger and better.

Citizen participation also was a great success at the third centennial anniversary celebration event called the “Grandview Day at The K.” Community members got together at Kauffman Stadium to watch the KC Royals play

In September 2012, the Music on Main event attracted more than 6,000 persons to the City’s reconstructed Main Street.


against the Cardinals. The City sold 500 discounted tickets.

The las t , but not least, event was Music on Main in September that attracted more than 6,000 persons to the City’s newly-reconstructed Main Street. The event was not new to the community, but never before had such strong participation and success.

Wi th the var ious centennial ce lebrat ion events, Grandview has started off its next century celebrating with its citizens making strides to rebuild a strong community where residents have a sense of ownership, volunteer more, support the schools and shop locally.

The City also has not forgotten the importance of building for the future. Streets and revitalization have been a strong focus. It is through the continuing development and delivery of efficient and aesthetic infrastructure that we can strengthen the confidence of the community to enable them to be progressive and take action.

The Ci ty ’ s most s ign i f i cant infrastructure project in the last couple of years has been the revitalization of its Main Street. In 2010, voters renewed the City’s transportation sales tax for 10 years. The priority project approved by voters included the improvement of Main Street from the historic downtown to the intersection with the new I-49.

In December 2012, US 71 was designated I-49. The newly designated interstate will eventually connect Grandview and the metropolitan Kansas City area with southern Louisiana. For many years, US 71 has physically divided the City, but in the new century, rebuilt (and hopefully some new) connections will provide better connections for all traffic, especially pedestrian and other non-motorized traffic. This work complements the City’s adoption of a “Complete Streets” policy.

A m a j o r o b j e c t i v e o f t h e City for many years has been the redevelopment and upgrading of the aging Truman Corner’s Shopping

Center. The next several years should see the redevelopment of the shopping center. The City also is anticipating the development of major commercial tract along the newly designated I-49, including development at 150 Highway, spurred by the nearby development of the Honeywell-NNSA site.

Just as important, redevelopment of a mid-20th century shopping plaza, long known as Grandview Plaza, into a modern educational facility containing the International House of Prayer University has led the City’s redevelopment at one of i ts most important intersections.

Not to be forgotten, Truman Farm is the object of joint efforts of the National Park Service and the City to attract more attention and to incorporate it into the revitalization of the nearby Truman Corners Shopping Center.

In addit ion to bui lding and rebuilding, Grandview is planning for new communities and services in the City. An important kick-off to this planning has been the Mo150 Hwy corridor study. This is a comprehensive study of the Mo150 Highway corridor that contains much of the City’s undeveloped land. The enthusiasm

for this study has set the stage for conducting a similar study along the I-49 Corridor that will concentrate on sustainability.

Above all , the planning and construction is intended to direct the rebranding of the City and its various neighborhoods and communities. Key features of this rebranding effort include recalling the City’s past as a railroad center. This has led to development of key branding features that recal l rai lroad components, including decorative sidewalks with rail and tie motif, trusses that replicate railroad bridges, towers that recall signal and switch stations.

An important part of the rebranding e f for t has been identifying specific commercial and industrial centers of the City, in particular the west-side industrial corridor that runs the length of the City and contains a significant portion of the City’s industrial base.

Grandview has entered its second century as a City in an optimistic and aggressive fashion. The City has had a

great past, and with the work of the community and all its members, looks forward to a great future.

(Endnotes)1 Footnote Based on a 2005 study by the

Brookings Institution, a research group in Washington.

Ana Nixon is the public information officer for the city of Grandview. Dennis Randolph is the direc-tor of public works for the city of Grandview.


CASHING IN Missouri Communities Support Local Business

by Laura Holloway

I t's more than just a great excuse to head out for ice cream.Cash mobs are becoming a popular way to support local businesses in a community,

and are increasingly popping up in the Show Me State. At least 10 cities in Missouri have promoted the importance of supporting local businesses using this creative method.

In a typical cash mob, volunteer organizers promote a particular day and time, most frequently via social media, for participants to visit a local business and spend approximately $20. Business owners are notified of the event in order to prepare.

Business owners enjoy the increased business and exposure both pre- and post-mob. Shoppers have the opportunity to support a cause they believe in, support a local business and perhaps discover a new favorite spot in their own hometown.

Chris Bell helps to organize the Jefferson City (JCMO) Cash Mob, and has seen how the events become a win-win situation.

"The people who like it most are those who have never been to that business before, who literally didn't know it was there," said Bell. "The day of the mob, it helps that business. But then there are patrons who will hopefully go back more regularly."

The Kansas City Metro Area Cash Mob celebrates a one-year anniversary this month. The mob has enjoyed support via social media and local community members. Mob dates bring in about 50 people per chosen location. Mobbed businesses have also noted that patrons come in the days leading up to and after the mob, when it better fits the shopper's schedule.

For some of the events, facebook fans of the local cash mob’s page will vote on the next business to support. The discussion via social media sites earns even more exposure for local retailers.

"People feel like they're participating more," said Kathy Dobyns Ziegler, one of the KC Cash Mob organizers. "It's a great, thriving atmosphere."

Missouri Cash Mobs

St. Louis Jefferson City Harrisonville Independence Kansas City Washington Joplin Cape Girardeau Chillicothe Cottleville - Weldon Spring

Has your city been mobbed? Share your story on MML's facebook page at www.facebook.com/mocities.

Life Out Loud Images

Photo: Stephanie Bell

Photo: Stephanie BellCap

ture

KC S

port

s Ph

otog

raph

y


Economic development is a notoriously tough business. Most of all, it is expensive. Local and state

governments have faced more than $300 billion in cumulative deficits since fall 2008, and the most recent comprehensive estimate indicates that they spent almost $65 billion in economic development subsidies in 2005 alone – almost $70 billion if accelerated depreciation write-offs are included.1 That figure compares to $12.9 billion in the equivalent regional aid spent in the European Union, where regulators in Brussels have the power to limit economic development subsidies by local, state, provincial, and even the 27 national governments.

At the same time, researchers in the United States have documented many situations where heavy spending on economic development may have done little more than shift economic activity within a community, rather than generating new growth. Given the huge expense and the limited government resources to pay for it, elected and ap-pointed government officials, business leaders, and citizens need to search for alternatives that will effectively deliver economic and community development at a lower cost.

Better institutional arrangements

The question is whether more sensible rules and regulations, com-

bined with bet-ter institutional organizat ion , w o u l d a l l o w local and state government to improve their a b i l i t y t o f i -nance and mo-bilize economic d e v e l o p m e n t without putting a new burden on taxpayers. Would bet ter i n s t i t u t i o n a l arrangements – communi ty

development corporations, ongoing cooperation with neighboring munici-palities, better working relationships between local and state governments – allow jurisdictions to enhance their bargaining power with business, along with their ability to put good ideas into action? Doing so offers the possibility of reducing economic development costs and improving results.2

Both circumstantial and research-based evidence increasingly indicate that better governance can make a big difference. Disorganized policy formula-tion decouples the all-important mecha-nisms of “steering” and “rowing.” For example, if one group, department, or entity does the brainstorming and plan-ning, and another handles the financing, disagreements between them often lead to many good ideas being left by the wayside. And if those two groups cover geographical areas that overlap but are not contiguous, the risk of disagreement – and therefore failure – multiplies.

In contrast, a more coherent ar-rangement for governance can move economic development policies into action more effectively. The common themes for success include:• Having institutions or coalitions of

stakeholders that both steer policy and make it a reality.

• Using these common institutions or coalitions to build a widely shared, community-wide vision of the future.

• Thinking regionally and bringing neighboring communities together in some way.

• Gaining active support from the state to build networks among local leaders, spread information among leaders and businesses, and foster cooperation among communities to reduce wasteful competition in the form of escalating subsidies.

A 2010 survey confirms that eco-nomic development professionals sup-port this kind of leadership.3 The survey, which interviewed people working on projects financed by the U.S. Economic Development Authority, indicates the need for a combination of regional coordination, organization and leader-ship to maximize the effectiveness of policy implementation and delivery in economic development.

It is never too late for communi-ties to implement inter-local or regional agreements between communities, and no start is too small. Simple transac-tions such as service agreements tend to trigger cost savings and lead to greater things in the future. A 2007 study of every Georgia municipality with popu-lations of more than 2,500 found that formalized inter-community service agreements are significantly more likely to occur in situations where transactions among municipalities, such as coop-eration on street projects or mutual aid for emergency services, have already yielded savings.4

There is no one organizational or financial path to more successful economic development. A particularly good example, because of its politically charged nature, is annexation and con-solidation of governments. The city of Hibbing, Minnesota, annexed more than 170 square miles of township territory in 1979 to create what is by far the state’s largest municipality, by land area. This brought the airport and large areas of potential commercial land under city jurisdiction, creating a single entity for economic development. Yet many small town municipalities in northern Minne-sota that appear similar have repeatedly failed to enact far more modest annexa-tion proposals because of opposition

BUILDING MORE EFFECTIVE DELIVERY OF ECONOMIC DEVELOPMENT PROJECTS

by Daniel Bliss


from the township governments. Larger cities such as Louisville,

Kentucky, have taken a different route and merged with their county governments to achieve significant economies of scale and improvements in tax base for many government functions, including economic development. But others, such as Des Moines, Iowa, have rejected this kind of consolidation, in part because of concerns that putting suburban politicians at least partly in charge of city resources would benefit the suburbs at the city’s expense. Indeed, the Louisville reform, passed in a referendum in 2000 and fully implemented by 2003, was followed by a significant re-distribution of funding for public services away from much of the former City. This happened because suburban politicians had led an effective working majority on the new city county council, and they fa-vored more fiscally conservative spending patterns. This loss of control can be difficult for central city communities, and shared services or joint powers agreements can achieve similar savings without the repre-sentational issues caused by consolidation.

Strong leadership can cover for deficiencies in the process of making and delivering policy, at least temporarily. Mayors’ offices in large U.S. cities have long dominated other institutions and organi-zations in those municipal governments, an arrangement that has enabled big-city mayors to make great achievements – often followed by significant disruption on their retirement or death. In smaller communi-ties, where governmental plans range from weak mayor-council systems to a council-manager plan, governments often struggle to strike a balance between the continuity of a city manager and a stable bureaucracy, and the implications of direct management by the city council that means greater direct electoral accountability.

But no matter the form of govern-ment, effective leadership is a prerequisite for success in economic development policy. Even the best-organized community needs a common sense of purpose and

clarity from its leaders, and there is clear evidence that even cash-strapped mu-nicipalities can outperform much wealthier communities in the delivery of economic development projects if their leaders buy into a shared vision of their hometown.5 Outside assistance – for example, from state legislators, a member of Congress or a U.S. Senator – is also valuable, but may not be possible if there are strong inter-nal divisions within a community over a development project. These patterns of assistance also tend to follow federal fund-ing and federal support for economic and community development – both in the form of direct grants to municipalities and block grants to the states – has been cut much farther over the past 30 years than fund-ing for transportation and infrastructure. So, while the provision of infrastructure and public services often gets a boost from outside leadership that has a vested political interest in a city’s health, economic development often stands or falls on the jurisdiction’s existing leadership.

Ways oF imPlementing Policy

For these and other reasons, local governments might want to consider a process of institutional reform and reor-ganization. This requires sensitivity and creativity, and particular attention to the customized needs of a particular commu-nity. One size does not fit all when it comes to improving the process of brainstorming, developing, financing and implementing economic development projects. Several distinct forms of policy delivery emerge among the Minnesota and Illinois com-munities studied for this research; these are explained below.

Private develoPment corPorations oPerating WitH a PuBlic suBsidy The public sector subsidizes staff positions and operations, and private capital – including investments from local banks and individuals, and rents from existing projects provide the funding for

new business investment. A variation on this format is to use public-private partnerships such as a community development corporation (CDC), in which the government or governments involved in supporting operations are represented on the board and exercise significant influence over policy. Both formats enable a large proportion of negotiating and deal making to take place within the development corporation, and therefore outside of state open meetings laws, although the CDC-style format involves greater coordination between the municipality and the private-sector side than a private corporation does. This level of privacy is often a key consideration for both local and outside businesses.

regional joint PoWers agreements

In areas where municipal governance is fragmented, building the economies of scale necessary to effectively manage economic development often requires coordination of planning, policy and resources. Whether a region of 50,000 persons is covered by one municipality or 10, an economic development department or agency is unlikely to need more than three or four staff members. Therefore, fragmented governance cannot operate as efficiently as a unified organization can. Coordinating such an agency, with the statutory powers a municipality has, to engage in economic development can be a challenge, as these entities have significant powers in finance and land management. Those powers must be effectively coordi-nated with a joint powers authority if the joint powers arrangement is to be effective.

statutory autHorities

The boards of statutory authorities such as economic development asso-ciations and development councils typi-cally include both city councilmembers and private citizens, and jurisdictions use them in a number of ways. These entities might have no active role, or they


might work with staff to manage assets such as incubator buildings and revolv-ing loan funds that help businesses make down payments. Statutory authorities establish a firewall between general fund money and economic development funds, protecting taxpayers and ensur-ing economic development continuity.

city governments No matter what form the gov-

ernment takes – city council, commis-sion, mayor, administrator and/or city manager, in any combination – city governments are an important entity in economic development. Although long-standing legal precedent enables states to significantly restrict municipal activities such as borrowing and spend-ing, city governments remain leading players in the financing and provision of economic development, using their taxing, borrowing and land-use man-agement powers to make things hap-pen. The committee structure of a city government is a significant part of this process, as it often filters projects long before they are considered by the city council. A fragmented structure can block new projects and enable “venue-shopping” – the process by which the people who are best at gaming the sys-tem choose the committee, board or com-mission most receptive to their plans. Too many overlapping committees provide more venues to shop. Instead, city governments should aim to create a system that, through its simplicity and clarity, promotes the best project for the community instead of the project whose backers have the best knowledge of the government’s inner workings.

A stable governing arrangement that is sufficiently empowered to achieve city goals is a potent asset in economic development. Take the case of Sterling, Illinois, where the 2001 bankruptcy of a steel mill left 1,500 people out of jobs and hundreds of acres of disused industrial land and buildings in a prime riverfront location. Through two city managers and three mayors, the City shepherded a 10-year process of getting the newest part of the plant reopened, older buildings re-claimed and derelict structures removed as part of a brownfield project. Sterling had the organizational tools – expertise in the city manager’s office, consensus on the council, the legal authority through an industrial development commission – to handle complex land use problems. It also had continuity of leadership operating within this structure; the cur-rent city manager had been the assistant

city manager, and the two most recent mayors had both served on the council under their predecessor, who was mayor at the time of the steel mill’s bankruptcy.

regional governing arrangements

At the state level, regional govern-ing arrangements such as Portland Metro in Oregon and the Iron Range Resources and Rehabilitation Board in Minnesota provide a critical coordinating function for economic development policy in the areas under their jurisdiction. While the policies these agencies produce or promote might not be effectively cus-tomized to individual communities, they provide a forum for cooperation, reducing or eliminating wasteful and expensive competition for economic development among neighboring mu-nicipalities. Cities under such jurisdic-tions have a ready source for technical expertise, grant and loan funding, and in some cases, tax privileges, but they must form a close working relationship to ensure that these agencies remain re-sponsive to particular community needs that might differ from agency goals as a whole. Without the coordinated decision making of regional agencies, communi-ties have a strong incentive to compete with one another for the same pool of potential businesses.

enterPrise Zone legislation

Most states offer standing ben-efits that individual municipalities or groups of municipalities may take up through enterprise zone legislation. A long-standing example is the Illinois En-terprise Zones Act. Passed in 1982, this legislation enables municipalities to co-ordinate with one another – or in the case of Chicago – subdivide into enterprise zone boards that manage select parcels of land within their jurisdictions. In southern Illinois, municipalities across a four-county region have formed a single enterprise zone board. The advantage – further coordination of decision mak-ing, along with a forum for the elected

officials and other community leaders who typically form such boards to get to know each other better. These boards also provide municipalities with direct representation via local officials who are likely to be more immediately aware of their communities’ specific needs than state elected and appointed officials would be. The disadvantage – the ex-istence of these boards is time-limited, and extensions must be approved by the state legislature. In Minnesota, the Job Opportunity Building Zone (Job-Z) pro-gram adopted by the legislature in 2003 does not give communities the opportu-nity to build cooperative arrangements; rather, they must apply directly to the state to designate specific sites for Job-Z benefits – a similar array of exemptions and abatements on sales and property taxes to those found in Illinois.

outside grant Finance

The importance of outside grant finance is shown in the example of Rock Falls and Sterling, Illinois, where a series of bankruptcies and mergers in the 2001-03 recession left the areas on the banks of Rock River that runs between the two cities, blighted and derelict. Between 2005 and 2010, Rock Falls secured $4 million in outside grant funding for the recovery of a single factory site that was severely contaminated. Now completed, the project is attracting interest from developers for a variety of uses, accord-ing to the City’s mayor. Neighboring Sterling was able to use existing institu-tions, including its city manager’s office, industrial development commission and the Greater Sterling Development Corporation to mount a large-scale rapid response to its own factory closures. Rock Falls had to start almost from scratch with building an organization. The first challenge was creating a com-munity development corporation. The next step was getting the appropriate combination of local business leaders on the CDC board. An annual $100,000 city subsidy ensured both strong staff support and strong input for the City’s elected officials.

grant assistance From states and Federal agencies

No amount of institutional re-organization at the local level will really compare with the impact state and federal governments have on the projects local leaders are able to fund. Of course, specific cases vary. A 2007 research report comparing Kansas with five other Midwestern states showed

"A stable governing arrangement tha t i s sufficiently empowered to achieve city goals is a potent asset in economic development."


total economic development expendi-tures (not counting tax breaks) ranging from less than $10 per capita per year to a high of $75, in the state of Iowa.6 While subsidies for particular businesses often take place on an ad-hoc basis, with political connections and the level of public interest playing a role, there are substantial standing programs for sub-sidizing highways, utility infrastructure and brownfield reclamation. Better local organization is valuable to economic de-velopment because it provides a forum for a common vision and a consensus in the community to emerge – some-thing that granting agencies take very seriously when deciding where to place their funds. That’s because a shared vi-sion increases the chances that a policy will be implemented successfully, even in cities where a weak tax base and local economy would normally be expected to hinder new projects.7

tHe imPortance oF strategy

Even with institutions and orga-nizations in place to deliver a strategy effectively, and good leaders taking key positions in those organizations, more is needed: an effective strategy. And evidence indicates that effective, repre-sentative institutions working within a simplified, streamlined and cooperative process generally tend to help such strat-egies emerge. In this regard, even the largest metropolitan areas sometimes have much to learn, as the city of New York demonstrates. This notoriously po-litically and institutionally fragmented metropolitan area often provides un-productive and expensive economic development subsidies to the financial services industry as the City and its sub-urbs fight over where these businesses will locate their offices.8 The problem is that despite New York’s reputation for financial services, this industry can relocate easily. In contrast, New York’s media and other creative industries are captive in Manhattan because in this sec-tor, proximity to other professionals and individual businesses is a major advan-tage. The implication is that if New York wants to fund economic development, it would do better to focus its attention on areas such as media and publishing that cannot easily leave the City.

The lesson of building upon the businesses and resources your commu-nity already has is increasingly taken to heart by economic development pro-fessionals across the country, although it is sometimes neglected by political

leaders. “Build it and they will come,” is not necessarily a successful strategy, especially when officials pin their hopes heavily on recruiting large, headline-grabbing developments without keeping up the flow of smaller improvements. Whiteside County, Illinois – the home of Sterling and Rock Falls – has stayed close to the national average of unem-ployment despite massive job losses in large manufacturing employers. It has done so by pursuing a pattern of development defined by small-scale but frequent business expansions. Ogle County, Illinois, just 40 minutes away, has an unemployment rate that is three percentage points higher, despite having a major rail crossing and its associated massive warehousing and logistics in-vestments.

One final point is that, under U.S. and Canadian law, even the most talent-ed, heavily financed and well-resourced local officials depend on a favorable operating structure from the state or province. This means that keeping state governments attuned to a community’s particular needs is an ongoing challenge. State officials typically focus on the big projects rather than the small businesses that tend to provide the economic engine for communities.

Another challenge for local of-ficials is keeping their states focused on the opportunities and pitfalls of eco-nomic competition within a state, rather than across state lines. Given the temp-tation to compete with other communi-ties, state governments tend to loosen limits on local economic development subsidies, that can be expensive for local taxpayers. For example, Illinois recently passed an amendment to the state’s mu-nicipal code that enables a municipality to rebate potentially all sales taxes gener-ated from a retail development. Previous law limited the rebate to the actual value of improvements to the property. This change provides flexibility for border communities to compete across state lines, but it runs the risk of conceding a bargaining point to developers that might make more aggressive demands for subsidies.

conclusionsLaxer rules on subsidies almost al-

ways result in an expensive competition among local governments for economic development. This emphasizes the importance of participating in inter-connected networks of policymakers, including institutions that bring officials from different groups together. With no

one policy entirely under a jurisdiction’s control, the standing it has with others is a crucial asset. That, as much as any-thing, is why institution and organiza-tion building is such an important part of economic development.

Footnotes1 Estimate by Kenneth P. Thomas,

political science professor at the University of Missouri at St. Louis: see Kenneth P. Thomas, Investment Incentives and the Global Competition for Capital (New York: Palgrave Macmillan, 2010).

2 See, for example, H.V. Savitch and Paul Kantor, Cities In The International Marketplace: The Political Economy of Urban Development in North America and Western Europe (Princeton, N.J.: Princeton Univer-sity Press, 2002).

3 Brad R. Watts, George A. Erickcek, Jacob Duritsky, Kevin O’Brien, Claudette Robey, and James Robey,“What Should EDA Fund? Developing a Model for Pre-assessment of Economic Development Investments,” Economic Development Quarterly, February 2011.

4 Shrestha, Manoj and Feiock, Rich-ard, “Interlocal Cooperation in the Supply of Local Public Goods: A Transaction Cost and Social Exchange Explanation,” Work-ing Group on Interlocal Services Coopera-tion, paper 29, 2007.

5 Michael A. Pagano and Anne O’M Bowman, Cityscapes and Capital; Baltimore (The Baltimore, Maryland: Johns Hopkins University Press, 1997).

6 "John D. Wong and Matthew T. Stiles, Strategic Analysis of Economic Development Expenditures by Kansas State Government and Five Surrounding State Governments: FY 1989 – FY 2007, Condensed Edition," Hugo Wall School of Urban and Public Affairs Wichita State University, prepared for Kansas, Inc.

7 Pagano and Bowman.8 Elizabeth Currid, “New York as

a Global Creative Hub: A Competitive Analysis of Four Theories on World Cities,” Economic Development Quarterly 2006; 20.

DANIEL BLISS is an assistant professor of politi-cal science at the Illinois Institute of Technology.

This article is reprinted with per-mission from the February 2012 Govern-ment Finance Review.


Business develoPmentAction Fund LoanBUILDBusiness Facility Tax Credit ProgramChapters 100 Sales Tax Exemption,Personal PropertyEnhanced Enterprise ZoneEnterprise Zone Tax BenefitFilm Production Tax CreditIndustrial Development BondsIndustrial Infrastructure GrantManufacturing Jobs ProgramMidwestern Disaster Area Bonds (MDAB)Missouri Export Finance ProgramM i s s o u r i H o u s i n g D e v e l o p m e n t ComissionMissouri Quality Jobs ProgramMORESAMutual Fund Tax ApportionmentNew Markets Tax Credit ProgramPrivate Activity Bond Allocation "Tax Exempt" Bond CapQualified Energy Conservation BondSmall Business Incubator Tax CreditSmall Business Loan ProgramTax Credit for Contribution ProgramUrban Enterprise LoanWine and Grape Tax Credit

community develoPmentAmeriCorpsCommunity Development Block GrantCommunity FacilityDelta Regional AuthorityFamily Development Account Tax Credit ProgramNeighborhood Assistance ProgramYouth Opportunity Program

Housing develoPmentNeighborhood Preservation ActPrivate Activity Bond Allocation "Tax Exempt" Bond CapRural Affordable Housing

redeveloPmentBrownfield Redevelopment ProgramChapter 353 Tax AbatementDowntown PreservationHistoric PreservationLand Assemblage Tax Credit ProgramLocal TIFMODESAMORESAState Supplemental Tax Increment Financing

disaster relieF resourcesGrow Missouri Disaster Loan ProgramSmall Business Disaster Loan Program

inFrastructure (cdBg) and site develoPmentAction Fund LoanBusiness Facility Tax Credit ProgramCommunity FacilityIndustrial Infrastructure GrantInterim Financing LoanMicroenterpriseMissouri Certified Sites ProgramOther Public NeedsRural Affordable HousingSpeculative Industrial Building LoanWater and Wastewater

small Business and entrePreneursHiPGrow Missouri LoanMissouri Technology CenterRebuilding CommunitiesSmall Business Incubator Tax CreditSmall Business Loan ProgramUrban Enterprise Loan

WorkForce trainingCustomized Training ProgramJob Retention Training ProgramNational Career Readiness CertificateNew Jobs Training ProgramRapid Response ProgramWork Opportunity Tax Credit

T he goal of the Missouri Department of Economic Development (DED) is to partner with local communities to provide quality jobs, economic growth and infrastructure improvements. One of the ways in which the state of Missouri strives to achieve this goal is through the use of statewide workforce programs.

One such program is the Missouri Quality Jobs Program that allows new or existing employers to re-tain a portion of the income taxes otherwise paid to the state, thus encouraging the creation and retention of sustainable jobs in Missouri. Missouri also offers customized training programs that provide assistance to eligible Missouri busi-nesses to reduce the cost of training, as well as community college new jobs training programs that provide assistance in reducing the cost associated with expanding a workforce or locating a new facility to Missouri for training services.

In addition to workforce programs, the state of Missouri offers expansion programs to facilitate economic growth through the expansion of existing businesses in the state, as well as new start-up companies locating to Missouri. One such program is the Enhanced Enterprize Zone. These zones, of which there are more than 120 throughout the state, allow new companies creating as few as two jobs to receive tax credits against their corporate income tax. Missouri also offers the build incentive that serves to entice large businesses to locate to Missouri by reducing necessary infra-structure or equipment expenses when a need is demonstrated for funding. Lastly, Missouri has a Chapter 100 sales tax exemption on personal property that provides an exemption on tangible personal property purchased for non-manufac-turing purchases.

The Missouri Department of Economic Development understands that stable, growing communities are vital to the Missouri economy. Services represent an innovative and comprehensive approach to sustaining strong communities and expanding business and community growth through the use of technical assistance and financial incentive programs. Learn about each program below at www.ded.mo.gov.


Spencer Fane Britt & Browne is pleased to welcome Elizabeth Garvin to the firm. Elizabeth brings more than 20 years of public and private sector experience in land development regulations, urban planning, and economic development, including: developmental approvals and incentives, comprehensive planning, project management and land use consulting.

Elizabeth holds a Bachelor of Arts in Environmental Studies and received her Juris Doctor and Masters in Urban Planning from the University of Kansas. She has published many articles on urban planning and is a respected member of the American Planning Association. She is licensed to practice in Missouri & Kansas.

1000 Walnut Street, Suite 1400, Kansas City, MO. 64106 816.474.8100

COMMUNICATING WITH LEGISLATORS

The Missouri Municipal League is dependent on grass roots advocacy to defend local government interest in the General Assembly. We are usually opposed by powerful special interests that make campaign contributions and political endorsements but we have the “clout” of organized local government officials who can persuade and influence their legislators. However, to be effective, we must use our grassroots advocacy appropriately.

The goal of a successful grassroots program is to communicate a credible message to key legislators, staff or other decision-makers consistently and in a timely manner. The key element of grassroots communication is to get your message out to your elected officials as clearly and concisely as possible.

Most people do not take the time to contact their elected officials, so just a few connections on a specific topic can really make an impact. A message from a fellow elected official or a city staff carries significant weight. Your communication with elected officials supports the League’s work in Jefferson City. It can change the way they vote.

Writing, e-mailing, faxing, calling and face-to-face meetings are all effective ways to communicate your message to elected officials. The following communication tips will assist you in working with elected officials (local elected officials, state legislators, the Governor or Missouri’s congressional delegation).

delivering tHe message

• Get to know your legislators and their staff to determine their preferred method of communication.

• Provide feedback to the League about what you learned.

• Calling is very effective when you need to get your message across quickly.

• Meeting with elected officials is an essential part of your advocacy efforts. Like you, elected officials have busy schedules so it is important to get your message across concisely and quickly. As a general rule, they often have more time to meet when they are home in their districts or when the Legislature is not in session.

• Writing is a formal way to remind other elected officials that they are accountable for the choices they make and that their decisions have a direct impact on your shared constituents.

• Emailing and faxing are more immediate ways to contact elected officials quickly. Not all elected officials prefer to communicate through e-mail, so find out what works best for them. To be safe, you can do both.


The primary objectives of this Conference are to

*Tentative Program

12:00 noon Registration1:30 p.m. Welcome and Opening Remarks1:45 p.m. Overview of the 2013 Session: MO House of Representatives

2:15 p.m. Key Municipal Issues 2:45 p.m. Overview of the 2013 Session: MO Senate 3:00 p.m. Break 3:15 p.m. 2013 MO House of Representatives Minority Caucus Perspective

3:45 p.m. Economic Development Issues4:15 p.m. Tax Restructuring4:45 p.m. Adjourn5:30 p.m. Reception6:30 p.m. Dinner On Your Own With Legislators

8:00 a.m. The Honorable Jay Nixon, Governor, State of Missouri (Invited) 7:30 a.m. Breakfast - Capitol Plaza Hotel

TUESDAY, FEBRUARY 12, 2013

WEDNESDAY, FEBRUARY 13, 2013

Join fellow local leaders from across the state at the MML Legislative Conference to share information, learn about legislative issues, and visit with state legislators. The Conference will provide you with a unique opportunity to:

♦ Learn more about the issues pending in the Legislature;♦ Participate in discussions with legislators and peers on a wide range of municipal issues;♦ Visit informally with Senators and Representatives during the legislative reception;♦ Hear first-hand from invited state officials and learn more about their programs and how they will affect your city.

43rdAnnual Missouri Municipal LeagueLegislative ConferenceCapitol Plaza Hotel ♦ Jefferson City, MO ♦ February 12-13, 2013


43rd Annual Legislative Conference Capitol Plaza Hotel, Jefferson City, MO

February 12-13, 2013

REGISTRATION: $130 per person; includes reception and breakfast. All registrations to be made online, regardless of payment option.

For those who need to pay by check, please select the “Bill Me” option for your payment

method. When you have completed the registration process, you may print off an invoice to submit with your payment and confirmation for your registration.

Online Registration Link; visit MML Conferences at www.mocities.com. HOTEL RESERVATIONS: The conference room block is currently open and will close on January 29. Please make room reservations directly with the Capitol Plaza by calling 1-800-338-8088. (Additional rooms have been reserved at the Baymont Hotel Inn and Suites, across the street from the Capital Plaza Hotel, call 573-636-5231 for reservations.) CANCELLATIONS: Received by February 5, 2013, will receive a full refund. No refunds can be made after that date. If you have any questions please call the League’s office at 573-635-9134.

Places to Dine in Jefferson City (Please call for reservations for your delegation.) Alexandro’s 2125 Missouri Blvd. 634-7740 Applebees 2319 Missouri Blvd. 636-6368 Bingham’s 1510 Jefferson 635-5388 Bones 210 Commercial Ave. 636-8955 Chili’s 3515 Missouri Blvd. 761-4765 Colton’s Steak House and Grill 2415 Missouri Blvd. 635-5336 Das Stein Haus 1436 Southridge 634-3869 Domenico’s Italian Restaurant 3702W.Truman Blvd. 893-5454 Hunan’s 1416 Missouri Blvd. 634-5253 Longhorn Steakhouse 3545 Missouri Blvd. 636-9100 Madison’s Café 216 Madison 634-2988 Ria’s 3550W. Edgewood Dr. 636-5221 O’ Donoghue’s Steak & Seafood 900 East High St. 635-1332 Sapphire’s - Doubletree Hotel 422 Monroe St. 636-5101 Prison Brews 305 Ash Street 635-0678 Red Lobster 3519 Country Club Drive 635-6737 Yen Ching 2208 Missouri Blvd. 635-5225


SERVING MISSOURI MUNICIPALITIES FOR MORE THAN 46 YEARS.

A marketplace for products and services . . .

Public Finance andMunicipal Bond Underwriting

1010 Grand Blvd.• Kansas City, MO816.860.7244866.651.9262 Toll Freeumb.com

Underwriter • Financial AdvisorMunicipal Leasing • Bond Refundings

We specialize in the sanitary aspect of water storage:

Tank Cleaning & Inspections /Phase Inspections / Writing of Specifications / Sanitary Evaluations

Portable Hydro-Pneumatic Tanks 1,000 TO 22,000 Gallon Capacities

Tomcat Consultants The safest way to

maintain positive system

pressure while your

storage tank is off line for

repairs or renovation.

www.tomcatconsultants.com Tel: 573.764.5255/ 7255

[email protected] Fax: 573.764.6255

P.O. Box 317

Rosebud, MO 63091






pressure while your





P.O. Box 317

Rosebud, MO 63091






pressure while your





P.O. Box 317

Rosebud, MO 63091






pressure while your





P.O. Box 317

Rosebud, MO 63091






pressure while your





P.O. Box 317

Rosebud, MO 63091






pressure while your





P.O. Box 317

Rosebud, MO 63091






pressure while your





P.O. Box 317

Rosebud, MO 63091






pressure while your





P.O. Box 317

Rosebud, MO 63091






pressure while your





P.O. Box 317

Rosebud, MO 63091






pressure while your





P.O. Box 317

Rosebud, MO 63091

Enhancing People’s Lives throughSustainable Infrastructure

Kansas City, MO 816.363.2696hwlochner.com

Represents Missouri Municipalities as Bond Counsel. Dedicated Solely to the Practice of Public Finance Law. Extensive Tax and Arbitrage Rebate Compliance Practice. National Reputation in Tax-Exempt Bond Financing.

Gilmore & Bell’s Bond Counsel Rankings

Missouri Midwest Nation

Number of Issues:

1st 1st 1st

Dollar Volume: 1st 1st 19th Source: Thomson Reuters.

Kansas City (816) 221-1000 St. Louis (314) 436-1000

Visit our Website at www.gilmorebell.com www.mocities.com The Missouri Municipal Review March 2011 / 27

professional directory

For more information, contact attorney Steve Chinn at: 1201 Walnut, Suite 2900 . Kansas City, MO 64106 . Tel: 800.846.1201 . www.stinson.com

stinsonmorrisonhecker llp

The choice of a lawyer

is important and shoul

d not be based solely o

n advertisements. (Mo

. Sup Ct. Rule 4-7.2)The attorneys of our Public Law & Finance Group provide legal representation in a variety of matters including: . Planning and zoning . Annexation. Storm water management. Financing strategies

. Economic incentives. Public and private partnerships. Municipal litigation

Stinson Morrison Hecker LLP

AN EMPLOYEE OWNED COMPANY 901 VINE STREET POPLAR BLUFF, MISSOURI (573) 785-9621 www.shsmithco.com

CONSULTING ENGINEERS REMEDIATION GEOTECHNICAL DRILLING LAND SURVEYORS

Water Wastewater Streets/Roads Stormwater Site Plans Bridges

Geotechnical Drilling UST’s Airports Industrial Parks

CO. SMITH &

Missouri | Michigan | Minnesota | North Dakota | Alberta

resourceful. naturally.

888.324.3933 Barr Engineering Co. www.barr.com

www.mocities.com The Missouri Municipal Review November 2010 / 25


Jefferson City, MO • Ann Arbor, MI • Bismarck, NDMinneapolis, MN • Duluth, MN • Hibbing, MN

Barr Engineering Company

www.barr.com • 1-888-324-3933

Comprehensive

Engineering and

Environmental Solutions


stinsonmorrisonhecker llp

The choice of a lawyer

is important and shoul

d not be based solely o

n advertisements. (Mo

. Sup Ct. Rule 4-7.2)The attorneys of our Public Law & Finance Group provide legal representation in a variety of matters including: . Planning and zoning . Annexation. Storm water management. Financing strategies

. Economic incentives. Public and private partnerships. Municipal litigation


ALLGEIER, MARTIN and ASSOCIATES, INC.ALLGEIER, MARTIN and ASSOCIATES, INC.ALLGEIER, MARTIN and ASSOCIATES, INC.

Corporate Office 7231 E. 24th Street Joplin, MO 64804 417.680.7200

Rolla Office 112 West 8th Street Rolla, MO 65401 573.341.9487 www.amce.com

AM

AN EMPLOYEE OWNED COMPANY 901 VINE STREET POPLAR BLUFF, MISSOURI (573) 785-9621 www.shsmithco.com




CO. SMITH &

A marketplace for products and services . . .


AN EMPLOYEE OWNED COMPANY 901 VINE STREET

POPLAR BLUFF, MISSOURI (573) 785-9621

www.shsmithco.com




CO. SMITH &




www.mocities.com The Missouri Municipal Review March 2011 / 27



stinson

morrison

hecker llp

The

choi

ce o

f a la

wye

r is

impo

rtan

t and

sho

uld

not b

e ba

sed

sole

ly o

n ad

vert

isem

ents

. (M

o. S

up C

t. Ru

le 4

-7.2

)

The attorneys of our Public Law & Finance Group provide legal representation in a variety of matters including: . Planning and zoning . Annexation. Storm water management. Financing strategies

. Economic incentives

. Public and private partnerships

. Municipal litigation




www.shsmithco.com




CO. SMITH &




www.mocities.com The Missouri Municipal Review November 2010 / 25


Jefferson City, MO • Ann Arbor, MI • Bismarck, NDMinneapolis, MN • Duluth, MN • Hibbing, MN

Barr Engineering Company

www.barr.com • 1-888-324-3933

Comprehensive

Engineering and

Environmental Solutions


stinson

morrison

hecker llp

The

choi

ce o

f a la

wye

r is

impo

rtan

t and

sho

uld

not b

e ba

sed

sole

ly o

n ad

vert

isem

ents

. (M

o. S

up C

t. Ru

le 4

-7.2

)






ALLGEIER, MARTIN and ASSOCIATES, INC.ALLGEIER, MARTIN and ASSOCIATES, INC.ALLGEIER, MARTIN and ASSOCIATES, INC.

Corporate Office 7231 E. 24th Street Joplin, MO 64804 417.680.7200

Rolla Office 112 West 8th Street

Rolla, MO 65401 573.341.9487

www.amce.com

AM



www.shsmithco.com




CO. SMITH &

Visitvendors online by clicking on

theProducts and Services Guide

at www.mocities.com!



stinson

morrison

hecker llp

The

choi

ce o

f a la

wye

r is

impo

rtan

t and

sho

uld

not b

e ba

sed

sole

ly o

n ad

vert

isem

ents

. (M

o. S

up C

t. Ru

le 4

-7.2

)







BURBACH AQUATICSARCHITECTS & ENGINEERS

5974 State Highway 80 South P.O. Box 366

Platteville, WI 53818 www.burbachaquatics.com Dillion, CO 80435

PH(608)348-3262 [email protected] PH(815)238-5243

FAX(608)348-4970 FAX(970)513-0988

FROM CONCEPTION THROUGH OPERATION

INDOOR AND OUTDOOR FAMILY AQUATIC CENTERS

AWARD WINNING DESIGNS- ENGINEERED TO LAST!

YOUR QUALITY CHOICE SINCE 1978

A marketplace for products and services . . .professional directory

Yard Waste Management

Green Waste Recycling Complete Tree Care Land Clearing

Mulch Compost Tree Spraying Vegetation

Maintenance

Braik Brother’s Tree Care 8378 I-70 Dr. SE, Columbia, MO 65201

573-47GREEN

Municipal Environmental Services

WWW. BRAIKBROTHERS.COM

QUALITY ONLINE TRAINING BENEFITS YOUR STAFF!

Learn more about MML's Online Training opportunities today at

www.mocities.com


Ge r a l d S c h a f f e r (“Schaf fer” ) f i l ed a variance application w i t h t h e b o a r d o f

adjustment of the city of Cassville. Schaffer requested a variance to construct a carport within the five-foot setback restriction that applied to his residential property. The board of adjustment granted the variance finding that Schaffer’s property was unique and that it would be a hardship for Schaffer’s daughter and granddaughter to be exposed to the rain when they went from the car to the house. The city of Cassville filed a petition for review in the Barry County Circuit Court that issued a judgment reversing the board of adjustment. The Missouri Court of Appeals for the Southern District affirmed the circuit court, finding that the decision of the board of adjustment was arbitrary, capricious, unreasonable and unlawful, in Board of Aldermen of the City of Cassvil le v. Board of Adjustment of the City of Cassville, No. SD 31095 (Mo.App. S.D.2012).

“Both the majority of courts and the commentators recognize two types of variances: an area (non-use) variance and a use variance.” Matthew v. Smith, 707 S.W.2d 411, 413 (Mo.banc 1986). Use variances are those that allow a landowner to use property in a manner that is not permitted under applicable zoning ordinances. Id . Non-use variances allow the landowner to use the property in a manner approved by the ordinance, but allow the landowner to deviate from a restriction related to the permitted use and usually concern restrictions as to height of the structure, bulk of the structure or setback from a property line. Id. Here, the parties agree that the variance from a side-yard setback restriction is a non-use variance. Generally, the authority to grant a variance should be exercised sparingly and only when exceptional circumstances are present. Id.

H e r e , S c h a f f e r p r e s e n t e d no evidence that his property was e x c e p t i o n a l d u e t o n a r r o w n e s s , sha l lowness or the shape of h is p r o p e r t y , o r t h a t e x c e p t i o n a l topographical conditions or other

BOARD OF ADJUSTMENT ACTED ARBITRARILY IN GRANTING A VARIANCE

by W. Dudley McCarter

news from the Bench

exceptional circumstances prohibited him from using his property in the same manner as the other residents in his zoning district, as required by the City’s municipal code. The attributes of his property do not create the uniqueness, but his attempted use makes this property unique. The board of adjustment’s decision that the property is unique is unsupported by competent and substantial evidence.

An appl i cant for a non-use variance must show that following the strict letter of the applicable ordinance will cause impractical difficulties or undue hardships. Baumer v. City of Jennings, 247 S.W.3d 105, 113 (Mo.App. E.D. 2008). “In deciding if there are practical difficulties, at the very least, a person seeking a non-use variance must demonstrate that, as a practical matter, the property cannot be used for a permitted use without coming into conflict with the restrictions contained in the ordinances.” Id. The phrase “practical difficulties or undue hardships,” does not refer to conditions personal to the owner of the land in question, but rather refers to the

conditions especially affecting the lot in question, and must be different from that suffered throughout the zone or neighborhood. Id. The determination of whether practical difficulties or undue hardships exist is a factual matter that is reversible only for an abuse of discretion. Id.

Here, for Schaffer’s daughter and granddaughter to be subjected to rain or snow when going to or coming from the car is nothing more than merely an occasional inconvenience. Legislation granting relief by way of variance to zoning codes is not intended to relieve mere occasional inconvenience. Volkman v. City of Kirkwood, 624 S.W.2d 58, 61 (Mo.App. E.D. 1981).

W. Dudley McCarter is with the law firm of Behr, McCarter and Potter, P.C., St. Louis.

Preparing Missouri Public Employers for Implementation of the Federal

Patient Protection & Affordable Care Act

Identifed by U.S. News & World Reports as The Best Labor & Employment Law Firm - 2013

For more information contact attorney Ivan L. Schraeder and Jim F. McNichols

222 S. Central Ave., Suite 901 • St. Louis, Missouri • 314.863.0092

The choice of a lawyer is an important decision and should not be based solely on advertisements. www.lowenbaumlaw.com


calendar oF events

January9 Missouri General Assembly Convenes15 Last Day of Candidate Filing17 MML West Gate Meeting, Richmond, MO17 MCMA Professional Development Seminar, Univ. of Missouri, Columbia, MO22 Final Certification to Election Authority23 MML Central Meeting, Odessa, MO24 Municipal Public Information Official Meeting, Columbia, MO30 Southwest CCFOA Meeting

February1 MO GFOA Winter Seminar7 12th Annual New Partners for Smart Growth Conference12-13 MML Legislative Conference, Capitol Plaza Hotel, Jefferson City, MO13 Northeast CCFOA Meeting13 South Central CCFOA Meeting25-28 MO Park and Recreation Assn., Annual Conference, Osage Beach27 Southwest CCFOA Meeting

March10 MO CCFOA Spring Institute11 MO CCFOA Master Academy12-14 Missouri Rural Water Association Conference, Branson, MO

April28- Local Government WeekMay 4 For more events, visit the events calendar at www.mocities.com.

emergency PreParedness aWard

The city of Kansas City, Mo., Office of Emergency Management re-ceived the 2012 Kansas City Power & Light Emergency Preparedness Award for its leadership in emergency plan-ning and its activation of the Emergency Operations Center to support the 2012 All-Star Game events this past summer.

MeMber aCCoMplishMents

Pictured above are (l-r): Jefferson City Mayor Eric J. Struemph, Union Pacific Public Affairs Director Ben Jones, Central Missouri Food Bank Director Peggy Kirkpatrick, City Administrator Nathan Nickolaus and Union Pacific St. Louis Superintendent Dan Witthaus.

distinguisHed alumni aWard

Douglas Harms, city administra-tor for Des Peres, Mo., was recently honored as one of two recipients of the UMSL Public Policy Administration Distinguished Alumni Award. Harms has served as the city's administrator since 1985. He has served as a board member with MML and as president of the St. Louis Area City Management Association. In 2010, Harms received the Outstanding Local Government Achievement Award from East-West Gateway Council of Governments.

train toWn usa

Jefferson City, Mo., has been awarded a membership in Union Pacific's Train Town USA Registry as part of the railroad's yearlong 150th anniversary celebration. During the ceremony, Union Pacific also presented Central Missouri Food Bank with a $10,000 donation.

Follow us @MoCities!

Stay Connected with MML on Facebook!

www.facebook.com/mocities


K I N G H E R S H E Y

Tenacity


Meet Kimberley S. Spies

One of Missouri’s most

experienced, skilled and

diligent attorneys focusing

on municipal transactions,

including structuring and

negotiating bond issues and handling real

estate and economic development matters for

governmental entities.

Knowledge that won’t quit.

816-842-3636 • KingHershey.com 2345 Grand Blvd., #2100 • Kansas City, MO 64108

The Law Firm That Welcomes A Challenge

Date post:	01-Mar-2016
Category:	Documents
Upload:	missouri-municipal-league
View:	219 times
Download:	0 times

Missouri Municipal Review

Documents