By Mary Goetsch,
Aurora, Ill.
I am dismayed over the Aurora City Council’s vote to subsidize the Hollywood Casino move. I was there in spirit with the Aurora Grassroots Alliance, hoping that in addition to others opposed to the $50-to-$58 million bond issue through the Tax Increment Finance District (TIF), the Council might have surveyed Aurora voters and listened to our opinions. (The Voice, October 27, 2022)
There was no referendum over the City’s issuing bonds to help Penn Entertainment. In my Aurora Third Ward monthly open meeting October 24, I sensed, in the large attendance, the frustration in being sidelined to other topics, rather than talk about the white elephant in the tense room. I realized then, that the deal with Penn, to help pay for the move to the area neighboring Simon Premium Outlets mall was all ready decided.
I skipped the rain the evening of Tuesday, Oct. 25 when the Council voted unanimously in favor of the casino-incentive deal. Perhaps my standing in the rain and holding a sign would have made a difference. I doubt it. I still do believe the power should be from the voters, at the polls. I can’t figure out how the City can issue bonds without referendum. My guess is the deal was in the works a few years ago when the City purchased the three parcels on North Farnsworth Avenue to demolish and retain control for a future transfer. It should not be this way in our local democracy. I would like this deal to be the last time such a large plan is made without the vote. Never mind what Gaslight Manor and the C-Club might do, or, even wish they could do to fight their parcels becoming part of this land grab.
Back to my issue: How can bonds be issued without referendum?
The school districts, the Library, and anyone else has gone through voters for their tax-levy requests. The rub may be in that TIF is the opaque loophole that allows cover-up the true financial cost of a bond project. It is not accurate to claim the TIF will not cost taxpayers money. Opportunity cost is just those words: If the deal did not exist, those property taxes otherwise would be tax revenue. The Casino is the only marginally-producing tax revenue, but, something is better than nothing. Penn Entertainment can afford to build this casino outright. The City Council is just foolish enough to give Penn Entertainment money and land.
If the rub in this deal is the City is home-rule, it can do as it pleases, then someone in legal ought to do research on home-rule modifies existing statues covering bond issues and real estate.
It is beyond my understanding how general principles of taxation apply to new deals which did not originate with the voters.