The most glaring misrepresentation is the infamous pie chart. First of all the earliest any development could be on the tax rolls would be 1995-96. Secondly, their proposed 24 percent for education is only a surcharge for one year (1991-92), is in fact replacement funds and does not add to the ADA allowance. As you can see, the schools would not get any “additional” money from this project. Thirdly, the low and medium income housing money is 20 percent of the city’s redevelopment portion NOT of the whole $90,000.
After extensive research and conferring with the County, the following real pie chart emerges. For the proposed $9,000,000 development approximately $90,000 tax increment dollars would be generated. The schools have waived all their share in the project which leaves only two portions - the County at 42.8 percent and the Redevelopment Agency with 57.2 percent or $51,480. The Agency’s 57.2 percent is divided two ways, 20 percent or $10,296 goes to Low and Medium Income Housing and 80 percent or $41,184 goes to Krikorian. This runs for the 30 year life of the plan. That’s the way it works: that’s the way it is. With 2 percent annual compounding over 30 years Krikorian will get about $1,600,000.
As for the value of the land, when the city’s own appraisal of $870,000 for the current parking lot is added to the 1.3 million of the old courthouse, we have 2.1 million for the land and 1.6 million for property tax rebate making a total of 3.7 million dollars given to Mr. Krikorian for his One Dollar. And this does not even talk about the value of the north half of 2nd Street which is also being added to Mr. Krikorian’s land.
One area that is not being addressed is whose land and buildings the Redevelopment Agency is going to condemn to get enough land for the additional parking structures that will be needed just to fill out the parking requirements of the movie house, much less create parking spaces for all the new businesses this project is supposed to generate. And how is the city going to pay for this? More new taxes? No one in good conscience can really believe 355 parking spaces will take care of 2,500 movie seats, much less anything else.
It must be remembered that the downtown properties in Amendment 4 are now protected against eminent domain, but no property, homes or business, is protected against condemnation for parking structures when there is a demonstrated need By creating a parking shortage with the movie house they will essentially put eminent domain back in Amendment 4 and then nobody’s home or business property downtown is safe.