This morning the Evansville Redevelopment Commission voted 4 – 0 to approve the proposal to hand an out of town developer a $37.5 Million gift to build a Doubletree Hotel in downtown Evansville where the Executive Inn once stood. The total cost of the project will be $74 Million and include a hotel, supporting infrastructure, restaurant and retail space, a parking garage, and an apartment building. The ERC’s vote came only 72 hours after the Mayor announced his support for the project at a news conference in the empty lot next to the Ford Center.
Next up in the approval cycle is the Evansville City Council that will hear the first reading next Monday night. The second and third readings along with the vote on funding were set by the Mayor for September 9th. This gives the City Council 3 weeks to complete whatever vetting they deem as necessary before voting on whether or not to borrow $37.5 Million to donate to the developer.
It is also expected according to Mayor Winnecke that the County Commissioners will be refinancing the bonds for The Centre to contribute to the cause as well. No amount has been assigned for the County to contribute at this time but it has been stated that the funds will have to come from refinancing The Centre.
This is the fourth time a development agreement has been announced as approved by the ERC and comes over 5 years after former mayor Weinzapfel triumphantly announced that he had secured the commitment of Browning Investments to complete a 4-Star hotel without public support for $42 Million on the word that a downtown arena would be built? That deal and two later deals all fell apart for reasons from financing difficulties to inexperience in the lodging industry.
This ERC vote comes during a week when it was revealed that the Mesker Amphitheatre is dilapidating rapidly from lack of maintenance, the public pools were closed early to save $72,000, and a 76% sewer rate increase is being drafted for a September vote. The final vote on the sewer rate increase is being considered for a time after the vote on funding for the hotel is completed.
Mayor Nero started his fiddling on Monday and the ERC lit the match to start the burning of Rome this morning. It will be interesting to see if the City Council even protests or if they roll over for Nero too. I did not see the Reverend John Friend at this mornings meeting to raise any financial questions with the ERC. The yes twins Mosby and Weaver showed up in support of Winnecke’s hotel though.
they will roll over too.
The ERC “assumed the position” and accommodated the Mayor today. The City Council probably can’t wait for the opportunity to assume the same position. Evansville is devoid of strong opposition in this department. Enjoy your reaming council folk.
The Council will approve the Hotel funding by a 7-2 margin, with Friend and Lindsay casting ‘NO’ votes. You heard it here first from an old man.
John Friend is like my ole pal Jack’s coon dog “SPUD”. SPUD would bark a lot, but never tree’d a coon. Jack used to say SPUD was BOOGER BARKING. Hmmmmmm
With the current financial situation of the City, voting for the 37.5 million dollar give-a-way, is totally irresponsible. If it’s such a needed and great hotel, let the developer take all the risk. We have been getting by so far without it…what’s the rush to use tax payer dollars.
Seems a bit odd that a few weeks ago the County was complaining that they were short a couple of million $$ and now they can refinance, get a million $$ or so and then donate it to the City to throw away.
Seems if they refinance, that money should go into the County general fund to cover the shortfall.
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