Tax Plan Draws Supporters Downtown Revitalization Proposal Gets Second City Council Hearing

A proposed taxing plan hailed as a way to revitalize downtown got a second hearing before the Spokane City Council on Tuesday.

Turnout was small, but supporters for the plan outpaced dissenters 7-2.

“This is such an opportunity,” said Bill Burke, a marketing consultant. “We have consensus here that’s completely rare.”

“This is a good investment even for the strongest of protesters,” said resident Allan LeTourneau. “We should do everything we can to save downtown.”

Similar to taxing districts used to build sewers or pave roads, the proposed Parking and Business Improvement Area would raise $675,000 by taxing downtown businesses, organizations, buildings and properties.

The money would go toward improvements designed to make downtown safer, more convenient, attractive and accessible.

Assessments within the district would be no less than $120 a year and no more than $38,000, depending on a number of factors, including business size.

The city of Spokane would give about $200,000 a year to the district, with that money coming from reinstalled parking meters. The city also would pay about $20,000 in assessments on two downtown buildings - City Hall and the library.

Skeptics say the plan proposed by the Downtown Spokane Partnership would benefit a few big businesses and drive others to the suburbs.

Spokane resident Ron McArthur expressed mixed feelings about the plan, first calling it “laudable” and seconds later describing it as “corporate welfare.”

McArthur and another resident, George McGrath, said the improvement plan was too tightly linked to a plan that proposes to expand River Park Square.

“All of us know the PBIA is not the issue,” McGrath said. “This is a just a step toward the Taj Mahal of downtown Spokane.”

Mayor Jack Geraghty jumped in, saying “While I can understand why you might think they’re the same thing, they’re separate issues. This doesn’t have anything to do with the other project.”

Karen Valvano, the improvement district’s consultant, also refuted McGrath’s claim. “It’s not is there going to be a PBIA or a River Park Square …” Valvano said. “They all contribute to the revitalization of downtown and we should look at them in that light.”

River Park Square owners Citizens Realty Inc. and Lincoln Investment Co. would develop the shopping mall. The companies are affiliates of Cowles Publishing Co., publisher of The Spokesman-Review.

The council plans to vote on the proposed improvement district Monday.

Also Tuesday, the council voted 6-1 to set aside $53,281 from the city’s capital improvement and general funds to pay for a summer youth program.

Councilman Joel Crosby cast the lone dissenting vote, saying the city’s tight budget didn’t make room for the programs.