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Aldermen challenge change in plans for Motor Inn

DEANA STROISCH (deana.stroisch@sj-r.com)

The State Journal-Register
 
Sep 11, 2012
 
Plans to convert the Motor Inn into retail space came under fire Tuesday night, with one Springfield alderman threatening to pull the plug on city funding. Aldermen questioned why plans to rehabilitate the 1920s-vintage garage at Fourth and Monroe streets didn’t come back to the city council for approval after the developer scrapped plans to build affordable housing.
  
Aldermen said the council approved spending tax increment funding money on a residential project, not a commercial one. “I strongly reject this way of doing business,” said Ward 7 Ald. Joe McMenamin. “I think we should say no to TIF money for Motor Inn.”

About $2 million from the downtown TIF district was approved a year and a half ago for work on the Motor Inn, along with seven other commercial properties from 308 to 322 E. Monroe St.

Developer Bob Barker recently told The State Journal-Register that a cost analysis showed that the best use of the buildings would be retail space. The city’s deal with Barker includes $210,000 for property acquisition and $650,000 for environmental cleanup and rehabilitation.

All of the properties are vacant.

Ward 8 Ald. Kris Theilen said the Motor Inn project exposed a loophole in the TIF approval process. He said aldermen should ask that any major changes in a project’s scope come back to the city council for approval.

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Read the full article at sj-r.com…