The Joplin Globe, Joplin, MO

Top Stories

October 30, 2012

Loans sought to fund initial land purchases

Several Joplin area banks are being asked to participate in a consortium to lend the Joplin Redevelopment 353 Corp. money to start buying land for projects that will be part of the city’s tornado recovery.

David Wallace, chief executive officer of the Wallace Bajjali Development Partners, told the 353 board on Tuesday that he is seeking $8 million in loans to start purchasing land for some of the $794 million in projects proposed for Joplin’s redevelopment.

The 353 organization is to be the land bank for the projects and a means to generate money for future projects through land sales. The plan is to fund those purchases with $30 million. Of that, $8 million will come from the city’s federal Community Development block grant funds. The city has been awarded a $45 million grant for tornado recovery. Wallace also is negotiating a commitment from the Missouri Development Finance Board to obtain $22 million in bonds for land purchases.

Access to money would allow pending land deals to close within two to three months, Wallace told the board. Wallace has asked Doug Doll, president of Arvest Bank, to seek commitments from five to nine banks to pitch in on the $8 million loan pool. Wallace is asking that the banks forgo requiring a down payment.

“The banks would usually require 20 percent equity, but they have agreed to make 100 percent loans with only the loan and the land on the balance sheet,” he said.

Wallace said a similar loan consortium for $6 million was done on an Amarillo, Texas, project his firm handled.

The bonds sought from the state would be repaid from taxes generated in a proposed tax increment finance district the master developer proposes. The TIF district would encompass the tornado zone and the downtown district.

Wallace said it does not impose any new taxes on property owners. It would channel the taxes created by the new development for bond payoffs and reinvestment in the development projects. Wallace told the 353 board he believes the projects in the TIF district would generate $60 million in capital.

“Generally, a TIF is created for the benefit of the developer” to repay costs incurred in providing infrastructure and streets within the development that government would normally be obligated to provide. “This TIF is being funded for the benefit of the community,” Wallace said.

The board asked if members could be held liable if any legal issues arose. City Attorney Brian Head said liability insurance is being purchased for the board.

A closed session was held by the board after the discussions on the loans and TIF. The board cited an exemption in the open records law allowing closed discussions on real estate transactions as the reason.

Public meeting

A PUBLIC MEETING on the TIF proposal is scheduled for 5 p.m. Thursday, Nov. 8, at City Hall to inform residents about the details of the proposal.

1
Text Only
Top Stories
  • r041814capbus4.jpg Funding shortfall could hinder public transportation in Southeast Kansas

    For the past two years, Pittsburg State University sophomore Travis Cook has been using public transportation to get to and from his classes. He began using the bus his freshman year, when he didn’t have a vehicle to drive even to the grocery store — which is said to be the case for many who use the service.

    April 18, 2014 2 Photos

  • Bruner denied change of venue for murder trial

    Circuit Judge Gayle Crane has denied a change of venue for a defendant charged with fatally shooting an assistant football coach at Missouri Southern State University. The attorney for Jeffrey Bruner claimed pretrial publicity as the reason for seeking a change of venue in Jasper County Circuit Court.

    April 18, 2014

  • Russell family sues city, Joplin police

    Family members of a teenage girl whose suicide a year ago brought them into conflict with police officers and emergency medical technicians are suing the city and the Joplin Police Department. Kevin and Julissa Russell and their son, Brant Russell, are the plaintiffs in a lawsuit filed in Jasper County Circuit Court. The action filed on the Russells’ behalf by Kansas City attorney Andrew Protzman names the city, the Police Department and Officers Austin Wolf and Tyler Christensen as defendants.

    April 18, 2014

  • Kansas Regents stick with social media policy

    After directing a committee to study a controversial social media policy and make recommended changes, the Kansas Board of Regents appears to not be changing the policy at all. It’s left some in academia baffled by why it appointed the work group in the first place.

    April 18, 2014

  • Britain Easter Pilgri_Cast.jpg SLIDESHOW: Good Friday observances around the world Around the world, Christians are coming together in observance of Good Friday, which they believe was the day Jesus was crucified. Here are some photos from Good Friday commemorations around the world.

    April 18, 2014

  • Missouri House votes to expand sales tax exemptions

    Pizza parlors, doughnut shops and even convenience stores all could be in line for a tax break on the food that they make and sell as a result of a measure moving through the Missouri Legislature.

    April 18, 2014

  • 041714 School safe rooms4_72.jpg Joplin school district readies community safe rooms for storm season

    Thousands of Joplin residents will soon be able to stay safe during storms in some of the region’s newest shelters. Community safe rooms at Cecil Floyd, Stapleton, McKinley and Eastmorland elementary schools, which double as gymnasiums, and Junge Field, which will double as a field house, are expected to be open within the next few weeks, according to Mike Johnson, the school district’s director of construction.

    April 17, 2014 2 Photos

  • 041714 Treble Makers.jpg Carl Junction ‘Treble Makers’ to sing at Springfield Cardinals’ stadium

    Next month, 75 Carl Junction sixth-grade students will sing “The Star-Spangled Banner” at Hammons Field before a Springfield Cardinals game. And with more than 600 parents, family members and other residents planning to attend, the May 3 event has been dubbed “Carl Junction Day.”

    April 17, 2014 1 Photo

  • Public hearing set on posed TIF district

    Financial details of a proposed new tax increment financing district for the Silver Creek Galleria area will be discussed in detail at an April 28 public hearing, members of the city’s TIF Commission were told Thursday. Chris Williams, a TIF attorney representing the city of Joplin, told the panel the Thursday meeting was intended to walk commissioners through the public hearing steps.

    April 17, 2014

  • Volunteer projects spark two bills in Jefferson City

    Bills moving through the Missouri House and Senate were inspired by a volunteer project in Carl Junction last year that stalled over a question of whether those volunteers had to be paid prevailing wage under Missouri law. “This bill is very simple. All it says is if someone is a volunteer, they won’t be forced to be paid prevailing wage,” state Rep. Charlie Davis, R-Webb City, told lawmakers during a hearing on his bill last week.

    April 17, 2014