BettPlex

All Bettendorf City Council input into sports complex tax rebate deal done behind closed doors

The City of Bettendorf recently negotiated a complicated agreement with sports complex developers over a six-month period, but did so without even a single email or written document shared with city council members.

So how did the city reach a deal with developers Doug Kratz, Kevin Koellner and Ryan Hintze without sharing any written communication with city council members or any public meetings to discuss what should be in the contract?

According to City Attorney Chris Curran, the council was kept abreast of staff negotiations through "informational meetings" held behind closed doors.

Sports complex development agreement released; public hearing set for Feb. 15 council meeting

Scott County opposed to use of new tax incentives for hotel, retail and commercial service businesses in proposed urban renewal area

The agreement providing millions of dollars in tax rebates for expansion of the sports complex at Forest Grove and Middle Roads was released Friday afternoon (2/11), less than three days before the Bettendorf City Council holds a public hearing and votes on it.

The council has discussed the agreement in so-called "3-on-3 meetings" outside the public view for months, but has yet to talk publicly about the multi-million-dollar Tax Increment Finance (TIF) deal with developers Doug Kratz, Kevin Koellner and Ryan Hintze.

It is possible the city council could approve the deal without any members even expressing their views on the agreement.

The agenda for the council's committee-of-the-whole meeting at 5 p.m. Monday (2/14) includes a presentation by the city's Director of Economic Development Jeff Reiter. No public comments are allowed at those sessions.

The council is then expected to hold a public hearing and approve the development agreement at its 7 p.m. Feb. 15 meeting.

CLICK HERE to download the proposed development agreement.

Over 56 percent of tax rebates to sports complex developers would come from PV school taxpayers

Of the $14 million in tax rebates earmarked for developers of the bettplex sports complex expansion, more than 56 percent – nearly $8 million – are expected to come from the pocket of Pleasant Valley School District taxpayers.

That's because the Tax Increment Financing (TIF) planned by the City of Bettendorf for the northeast corner of Forest Grove and Middle Roads would allocated 75 percent of the "incremental" taxes from the development back to the developers Doug Kratz and Kevin Koellner over a 20-year period up to a maximum of $14 million.

When the city employs a TIF, all "incremental" property taxes (except those levied for debt service) are rebated back to the developers.

Those aren't just property taxes levied by the city, but by all taxing bodies within the TIF area, including those for the school district and county.

City officials plan more taxpayer subsidies for Bettendorf's hottest commercial corridor

Despite being the hottest commercial corridor in Bettendorf, city officials are planning to dole out nearly $20 million in taxpayer subsidies to developers looking to expand the "bettplex" sports complex at Forest Grove and Middle Roads.

In addition to tax rebates totaling $14 million, the city would give developers $5.8 million in outright grants and agree to pick up the tab for all infrastructure improvements in the area at an estimated cost of $25 million.

In just the next two years, the agreement calls for the city to complete $5.3 million in public improvements including $1.5 million for a pedestrian bridge across Middle Road, $2 million for an extension of Forest Grove Road and a roundabout, $1 million for internal roads and trails in the development and $800,000 for storm water and sanitary sewer work.

And, unlike the first development agreement, the new deal would not require that developers share sales tax rebates with the city nor pay a $5 per night fee on hotel rooms planned as part of the expanded sport complex/urban renewal area on the northeast corner of Forest Grove and Middle Roads. (In the agreement released publicly 2/11, a clause to share sales tax rebates, if granted by the state, is included. The city would get a 45 percent cut of those rebates. And, a provision has been added to require hotels in the TIF area to charge a $5 per night room fee to be paid the city.)

Bettendorf would add three traffic roundabouts under Forest Grove Drive and Middle Road intersection plan going before city council

Forest Grove Dr. and Middle Rd. corridor improvements projected at $11.46 million; city share estimated at $5.5 million

CLICK HERE to view web site created by project's engineering firm.

Bettendorf was one of the first communities in Iowa to install a traffic roundabout back in 2002.

Now nearly 20 years later, the city is planning to quadruple the number of roundabouts under a traffic plan being proposed for the congested Forest Grove Drive and Middle Road corridor.

Bettplex developer states he's 'offended' by city 'worrying about less than $600,000 of cost overruns'

Bettplex developer Doug Kratz – signing emails "frustrated" and demanding city legal staff rather than his attorneys draft revisions for an amended development agreement – stands to get an additional $1 million subsidy from city taxpayers for his sports complex.

The amended development agreement – scheduled for consideration by the city council Tuesday (March 5) – increases the city's cap to pay for streets, sewers, sidewalks and storm water infrastructure at the sports complex from $3.78 million to $4.65 million.

Bettendorf sports complex developer wants to split future sales tax rebates rather than pay $556,000 due under development agreement with city

The developer of the Bettendorf sports complex wants the city to accept a portion of state sales tax rebates over a 10-year period, rather than pay $556,000 now owed under terms of the 2017 agreement.

The agreement with developer Doug Kratz set a cap of $3.87 million on city paid infrastructure for the so-called Bettplex at Middle Road and I-80. However, the cost of the streets, sewers, storm water detention and walkways exceeded that by $844,000.

Bettendorf sports complex infrastructure costs reach $4.6 million; city has yet to seek any reimbursement for $760,000 overrun of development agreement

Eight months after the Bettendorf sports complex opened for business, the city has yet to determine how much developers will contribute to the $760,000 cost overrun for streets, sewers and storm water detention for the facility.

The city has paid $4.63 million for the project's entry roads, interior walkways, sewer and storm water facilities to date. That's $760,000 more than the city agreed to pay under its development agreement with BettPlex developers Doug Kratz and Kevin Koellner.

Cost of BettPlex sports complex roads, sewers and stormwater detention to exceed $4.6 million; development agreement cap set at $3.87 million

The sreets, sewers, stormwater detention and walkways being built as part of the new I-80 and Middle Road sports complex are now expected to cost over $4.6 million, $760,000 more than the city's initial commitment outlined in the development agreement with BettPlex LLC, owner of the TBK Bank Sports Complex.

Most of the cost overruns beyond the $3.87 million cap are likely to be picked up by taxpayers, according to a cost summary provided by the city to bettendorf.com.

Sports complex owner wants extra large sign to make sure motorists will see from interstate

The sports complex being built at Forest Grove and Middle Roads is asking the Bettendorf Board of Adjustment to approve an extra large sign so motorists won't miss it as they whiz by on Interstate 80.

The sports facility – initially known as the Bettplex and recently renamed TBK Bank Sports Complex – wants a sign nearly four times larger than the permitted 300 square feet.

The city's board of adjustment will consider the request for a variance to permit the 1,146 square foot sign at its Thursday (2/8) meeting.

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