Branson, the 800 pound TIF gorilla?

The June 30 edition of this newspaper reported that on June 28, “The Branson Board of Aldermen overruled a tax increment finance (TIF) commission’s findings and gave initial approval” to a “979,000 square-foot retail facility in Branson Hills.” Although things could change as the city and the developer negotiate the Redevelopment Agreement, as it currently stands, it appears that the developer will be reimbursed for the majority of the development costs except the cost of the actual buildings themselves through the use of taxpayer dollars.

“Now wait a minute Seagull, are you saying that if the developer spends money on land acquisition, landscaping, parking lots etc. that the TIF will reimburse them for it with government tax money?” That’s exactly right. “Wow, how can I get a piece of that action?” Well, for starters you would have to be redeveloping a “blighted” area.” “What is a ‘blighted area’?” It’s whatever the Branson Board of Aldermen want it to be.

“Come on Seagull, is it that flexible?” Will Rogers said, “I never met a man I didn’t like.” If recent history is any guide it appears that the Branson Board of Aldermen can say, “We never met a TIF we didn’t like.”

In the opinion of an Ole Seagull, their “blight determination creativity” could serve as the “poster child” for TIF reform. Such creativity, at one time or another, over recent years, has “blighted” most of the commercial property in Branson, the entire downtown area including the Lake Taneycomo Lakefront, and now, in Branson Hills, undeveloped land. Now that’s pretty “flexible.”

“OK Seagull, but still, aren’t TIFs a good thing because they bring development and opportunities into our area that might not otherwise have come?” That’s the assumption but is it a good assumption?

“Lowes” is what most developers consider a “big box” store. Was a TIF used to get Lowes to Hollister? If not why did they come? Is there just the possibility that they came to this area and built a store because they thought that it was a good business investment?

“Hey, wait a minute Seagull, isn’t that the way Branson was developed until recent years, people invested and risked their own money in their enterprise because they believed it was a good investment?” Sure was! What kind of TIF help did the Herschends, Gerards, Glenn Robinson, the Halls, Meyers, Jim Thomas, the Tabuchis, and countless others get as they risked millions in Branson to make it what it is today?

How much TIF help did the Tanger Factory Outlet Center or the Factory Merchants Branson get when they were built? Could it be said that it was “Knot” a “Berry” good idea to rely on some of the assumptions that were made when a TIF was used for the Factory Shoppes atBranson Meadows? On average, of the three, from the first day of their operation, which has contributed the least amount of total net revenues to the City, County, and related taxing districts?

An Ole Seagull has a big problem believing that the way the City of Branson uses TIFs is fair to Branson’s existing businesses. Those who had buy and develop their own land, without TIF reimbursement, and whose efforts, over the years, have created the very traffic that the new developers will need to intercept to make their developments profitable.

Just as onerous, to an Ole Seagull, is that the public record established in connection with the Branson Hills TIF, is replete with verbiage saying essentially, “If we don’t do this then Hollister will get the ‘big box’ store, and we don’t want to lose that revenue to them.” Is that the type of thing that TIFs were intended to do, enable a “big box store” to pit two adjoining communities, with sites not five minutes apart, against each other to see which will give it more to locate within their corporate limits?” Evidently so in the crazed greedy mind of an overly creative 800 pound TIF gorilla named “Branson.”

Gary Groman, a.k.a. “The Ole Seagull,” is an independent columnist and the editor of the Branson Courier. He may be reached by clicking here or by calling 417-339-4000.