REVIEW
A U N I T E D V O I C E F O R M I S S O U R I M U N I C I PA L L E A G U E C O M M U N I T I E S
THE MISSOURI MUNICIPAL
January/February 2018
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REVIEW
THE MISSOURI MUNICIPAL
January/February 2018; Volume 83, No. 1
CONTENTS Features 5 City Of Cameron: Prime
Location Intersects With Good Planning by Hayli Morrison Positioned at the intersection of Route 36 and I-35 in northwest Missouri, the city of Cameron is known as the "Crossroads of the Nation."
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by Aimee Courtaway
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St. Peters On The Fastrac
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The Show Me (The Money) State?
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Teamwork Yields Dollar Tree Distribution Center In Warrensburg
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by David Sweeney and Hunter Brown
The Flow Of Money: How A Local Economy Grows And Expands
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Around The State: Economic Development Projects
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21st Century Transportation Task Force Proposes Fuel Tax Increase
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Collaboration Means Success For Perryville And Perry County
Departments 32
News From The Bench: Loop Trolley Stays On Track
33 Professional Directory
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34 MML Calendar Of Events/ Members' Notes Cover Photo: Cameron, Missouri
MISSOURI MUNICIPAL LEAGUE BOARD OF DIRECTORS President: Mayor Matthew G. Robinson, Hazelwood; Vice President: Council Member Chris Lievsay, Blue Springs; Eric Berlin, City Administrator, North Kansas City; Rob Binney, Mayor Pro Tem, Lee's Summit; Paul Campo, Attorney, Williams and Campo, PC; Sally Faith, Mayor, St. Charles; Bill Falkner, Mayor, St. Joseph; Stephen Galliher, Mayor, Sedalia; DJ Gehrt, City Administrator, Platte City; Barry Glantz, Mayor, Creve Coeur; Tim Grenke, Mayor, Centralia; Debra Hickey, Mayor, Battlefield; *Bill Kolas, Mayor, Higginsville; Donald Krank, Council Member, Black Jack; *Norman McCourt, Mayor, Black Jack; Marcella McCoy, Finance Director, Harrisonville; Susan McVey, Council Member, Poplar Bluff; Cindy Pool, Council Member, Ellisville; Randall Rhoads, Mayor, Lee's Summit; *Immediate Past President Kathy Rose, Mayor, Riverside; *Carson Ross, Mayor, Blue Springs; Scott Wagner, Council Member, Kansas City; Eileen Weir, Mayor, Independence; *Gerry Welch, Mayor, Webster Groves; Jeanie Woerner, City Clerk, Raymore *Past President AFFILIATE GROUPS Missouri City Management Association; City Clerks and Finance Officers Association; Government Finance Officers Association of Missouri; Missouri Municipal Attorneys Association; Missouri Park and Recreation Association; Missouri Chapter of the National Association of Telecommunications Officers and Advisors; Missouri Chapter of the American Public Works Association; Missouri Association of Fire Chiefs EDITORIAL Laura Holloway / Editor Lholloway@mocities.com Dan Ross, Richard Sheets, Lori Noe Contributing Editors The Review January/February 2018; Volume 83, No. 1 The Missouri Municipal Review (ISSN 00266647) is the official publication of the Missouri Municipal League state association of cities, towns and villages, and other municipal corporations of Missouri. Publication office is maintained at 1727 Southridge Drive, Jefferson City, MO 65109. Subscriptions: $30 per year. Single copies: $5 prepaid. Advertising rates on request. Published bi-monthly. Periodicals postage paid at Jefferson City, Missouri. Postmaster: Send form 3579 to 1727 Southridge Drive, Jefferson City, MO 65109. To contact the League Office call 573-635-9134, fax 573-635-9009 or email the League at info@mocities.com. Website: www.mocities.com. www.mocities.com
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GUEST Review
by Rob Dixon I Acting Director, Missouri Department of Economic Development
Preparation Is Key To Success It’s an honor to serve the people and the businesses of my native state and my home. This is an exciting time for economic development in Missouri. There are so many opportunities for growth, and we are laser-focused on helping businesses create more jobs and higher pay for Missourians. Recently we announced a major project in Sedalia – a new steel mill bringing 250 jobs and $250 million in capital investment – that represents the new model for economic development under Governor Greitens’ leadership. What made this project so special was the level of coordination and collaboration between the state and our outstanding local partners.
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Prepared communities and prepared states win in economic development. Let's work together to make sure we are prepared.
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To win this project, we had a local economic development partnership between the City of Sedalia, Pettis County, the local utility and economic developers that worked seamlessly with the state. We also had three state departments working directly with the company leaders to make the project happen. Earlier this summer, the Governor and the legislature created new tools that we needed to make Missouri more competitive. Everyone worked together to get the job done, and, as a result, we won a new steel mill for the people of Sedalia and for Missouri. Now, that’s just one example of how we’re fighting for jobs across our state, but the same is true in how we’ll approach every opportunity in every community. The way I see it, we are one team focused on getting the job done in communities like yours all across Missouri. My background in economic development has been at the local level. I know that we’re most successful in our work when everyone is at the table, and we’re guiding every new initiative with three primary values: putting citizens and businesses first; being good stewards of the resources we’re entrusted; and taking responsibility and accountability for our work — after all these are our communities too. Missouri is our home, and it’s up to us to make it a better place to live and do business. I hope that over the coming months you’ll see how these values guide our work in economic development and across the entire state government. I’ll be in touch with more on these efforts soon. I also want to thank the team at the Missouri Municipal League for the opportunity to share these thoughts with all of you. Prepared communities and prepared states win in economic development. Let’s work together to make sure we are prepared. Thank you so much for all that you’re doing to grow your communities and our state. Let us know if there’s any way we can be of service.
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FEATURE Review by Hayli Morrison
Prime Location Intersects With Good Planning In Cameron Positioned at the intersection of Route 36 and I-35 in northwest Missouri, the city of Cameron is known as the “Crossroads of the Nation.” For City leaders, however, this is more than a nickname - it’s an opportunity.
“Cameron is well-positioned to create and keep jobs, attract workers from throughout the region and grow City revenue," said Schultz. "We see the business park as an integral part of that vision,"
A Future-Focused Vision Cameron’s leaders have a history of visionary planning. For instance, an unused sewer district created two decades ago is now proving valuable for use in a 380-acre business park development. “It’s good planning,” said City Manager Mark Gaugh. The City was thinking ahead to some sort of development. “It would take a lot of time and money just to get that sewer system in the ground, but now it’s already there right across the street.” Currently in the master planning stages with Bartlett & West, the park has already attracted interest from two companies, due to the park’s large parcels and proximity to Kansas City. The park has many features attractive to businesses, and Cameron intends to better position itself as a viable option for site developers working to find locations through the Kansas City Area Development Council and the Missouri Partnership. “Cameron has good access to draw from a diverse workforce in the Kansas City region, easily within a 50- to 75mile radius,” said Darron Ammann, RLA, project manager for Bartlett & West. “This site can’t get much more perfect because it’s close to utilities, close to the interstate and offers large tracts to accommodate businesses with
Interstate Development
The city of Cameron has approximately 10,000 residents. In the future there could be moderate population growth and the City plans to be ready.
immediate need or phased, long-term growth plans.” What’s good for businesses will eventually be good for Cameron in terms of revenue to fund City infrastructure and amenities, added Steve Schultz, P.E., project manager for Bartlett & West.
A decade ago, the City invested $600,000 into better lighting at the heavily traveled intersection of Route 36 and I-35, foreseeing the commercial growth that is now manifesting. “Nobody pulls over in a dark town unless you have to, so it’s more inviting and you can see it from seven miles away,” Gaugh said. Most recently, two travel plazas invested heavily in their facilities, expanding truck parking to five times the previous space. Future plans include phased construction of a new truckers’ lounge, convenience store and drivethrough/dine-in restaurant service. A new restaurant is under construction on the north side of Route 36, and several hotels and restaurants have shown significant interest in the area’s remaining commercial tracts. Infrastructure improvements are on the horizon to ease traffic congestion, partially funded by a community development district partnership with the Missouri Department of Transportation. To manage traffic www.mocities.com
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Residential neighborhoods throughout town offer further proof of Cameron’s commitment to improving quality of life. A few years ago, the streets were lined with dilapidated and abandoned houses, but an innovative City program works to replace those with new construction.
Two Cameron travel plazas invested heavily in their facilities, expanding truck parking to five times the previous space.
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l ong - t e r m , t h e C it y e nv i s i ons future interchange and intersection improvements, offramp redesigns and at-grade intersection improvements.
Quality Of Life Today, Cameron has approximately 10,000 residents. In the future, Gaugh said, there could be moderate population growth and the City plans to be ready. “When you start talking about bringing in large industrial and commercial businesses, it translates into developing new single-family homes,” said Tim Wymes, community development director. “A lot of people want to get out of city life and move somewhere quiet with affordable living. I think Cameron is the perfect location.” City leaders have become more attentive to recreational parks and trails, including upgrades to comply with the
Americans with Disabilities Act. In one case, an inclusive playground resulted from a public-private partnership between the City and its residents. Residential neighborhoods throughout town offer further proof of Cameron’s commitment to improving quality of life. A few years ago, the streets were lined with dilapidated and abandoned houses, but an innovative city program works to replace those with new construction. The City receives ownership of the lots or offers a 50-percent split on demolition costs to property owners, when applicable. Either way, lots are ultimately sold to developers who oversee new residential construction, improving the curb appeal of the entire neighborhood. “It’s made a big difference in the appearance of town,” Gaugh said. “We’ve seen many people near those houses fixing up their own property more than before, because they feel encouraged now.
Gaugh continues, “Before, we were losing revenue because the house is just sitting there, useless. When that lot is built upon, what happens? The property tax is back in effect, it’s back in service with city utilities, and it means people have a place to live who move here to work and pay taxes. It’s an economic development benefit and it’s got a short payback time. It’s a win-win all around.” Though Cameron’s leaders certainly plan to keep the town small, they see big opportunity with commuting workers and passing motorists. With an innovative and visionary plan, they will leverage their prime location into a more prosperous future for the City and its residents. Hayli Morrison is a marketing manager for Bartlett & West, an employee-owned engineering and technology solutions firm with 17 offices in 10 states. She can be reached by calling (785) 228-3191 or email hayli. morrison@bartwest.com.
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FEATURE Review by Aimee Courtaway
Teamwork Yields Dollar Tree Distribution Center For Warrensburg
In April 2017, Dollar Tree, Inc., announced it had selected Warrensburg, Missouri, for its newest facility and the site of the company’s 23rd distribution center in the U.S. Currently under construction, this Dollar Tree distribution center will source merchandise for 850 Dollar Tree retail stores located across the Midwest. The announcement marked the culmination of years of preparation, months of teamwork in the true spirit of cooperation and just the beginning of a long-term commitment to support Dollar Tree as they achieve their business goals in the Warrensburg area. Located on Route 13 and NE 200 Road, the distribution center will be the first to occupy Warrensburg’s new industrial park, Brady Commerce Park. Dollar Tree’s 1.2 millionsquare-foot facility will cover approximately 27 acres under roof. The proposed project will employ 375 people within three years and invest nearly $110 million in the community. The proposed site plan is designed to accommodate future
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expansions. At peak, the facility anticipates 150-200 inbound/ outbound trucks per day. Dollar Tree currently operates more than 14,300 stores across 48 states and five Canadian provinces. A project this size could not have been successful without planning and teamwork from the city of Warrensburg and other partners like Missouri Partnership, an organization designed to increase the visibility of Missouri as a globally competitive business. Clint O’Neal, Missouri Partnership’s vice president of business recruitment, recalls that Dollar Tree, then only known by a code name of “Project Domino,” had requirements before Warrensburg would even be considered for a site visit. “They had criteria they were looking to meet all in one community,” said O’Neal. “They sought a community with a large industrial site, an available workforce, a favorable business climate and leadership that could get the job done.”
Identifying, developing and marketing a large industrial site takes years of commitment from all partners involved. The vision of Brady Commerce Park as a future location to create jobs and investment began a decade ago with For matters like discussions between the property owner, Johnson County Economic Development web design, Corporation (JCEDC), the city of codification, Warrensburg, utility providers, and other state and local partners. Little by little, year or after year, small steps were taken to bring the Brady Commerce Park vision to reality. jet ski lessons: One of these pivotal events took place just months prior to the first Project Domino visit. At this time, all the state, regional and local economic development teams participated in a “mock prospect” visit We’ve helped municipalities across the nation for over 65 led by Missouri Partnership, KCP&L and years and we have innovated every step of the way. Ady Advantage. From that moment, there Whether you trust us with your code or with building your next government website – it’s always smooth sailing. was high confidence in Brady Commerce Park and the ability for Warrensburg to come together to make a significant project happen, all in a short window of time. “Most successful local economic development teams include resource representatives from around the state and local region who are brought together in advance and have plenty of opportunities to practice as a group for a future project visit,” said Tracy Brantner, CEcD, executive director for Johnson County Economic Development Corporation (JCEDC). With only one opportunity to practice during the mock prospect visit, the Warrensburg team lacked practice time but made up for that in the high level of trust and expertise. This proved to be especially important because the site selection timeframe for this project was extremely truncated. What would have normally been at least a 12-month site selection timeframe was successfully completed in less than half the time and over the Christmas holiday season.” (l-r) Tim Paulson, Emery Sapp and Sons, Inc.; Tracy Brantner, Johnson County During the cold months of winter and into Economic Development Corporation; Richard Lloyd, Johnson County Economic spring, sometimes on short notice and over a Development Corporation; Jaime Flores, Dollar Tree, Inc.; Weldon Brady, Brady Commerce Park; Adam Besly, Dollar Tree, Inc. major holiday, the city of Warrensburg would be informed they were going to be visited by the company. For each visit, a large team in Warrensburg was coordinated to spring into action and “The Dollar Tree project puts Warrensburg on the map answer the call. This often included the city utilities, school as being a community that’s been validated by a top Fortune superintendents, area employers and local leaders who company,” said O’Neal. Dollar Tree is currently ranked 136 on were ready and willing to learn what the company needed the Fortune list, a ranking that positions Dollar Tree higher and explain what Warrensburg was able to provide. Clint than other recognizable companies like Southwest Airlines O’Neal also recognized the impact of the strong teamwork and Marriott International. and leadership that made this project possible.
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After multiple visits, it was clear the team in Warrensburg had the type of cooperation that would work for the future home of a Dollar Tree distribution center. “Dollar Tree is a large and growing organization,” said Dollar Tree Chief Executive Officer Bob Sasser. “We have been very impressed with the business-friendly approach that the state of Missouri, Johnson County and the city of Warrensburg have provided. This project demonstrates our commitment to western Missouri by creating hundreds of jobs in the region. We are proud to become a bigger part of the local community.” The new facility has potential to spur more growth. “After all these years of planning and expense, Dollar Tree’s distribution center will be the catalyst for the development of the new park that will significantly change Warrensburg’s economic future,” stated Brantner. City Manager Harold Stewart agrees and sees much potential in Warrensburg following the Dollar Tree announcement. “The immediate benefit is having 375 new jobs over the next few years,” said Stewart. “This is a great opportunity to have good wages, good benefits, and work for a company that takes good care of its employees. For the future, it puts a lot of infrastructure in place in the City’s newest industrial park: roads, water, sewer and electricity; all those types of things for future development.” Stewart knows this project isn’t a one and done kind of deal. “Yes, we can do these types of projects; yes, we can compete,” he said. “We aren’t done, we’re continuing to work hard to ensure that Warrensburg has a bright future. Brady Commerce Park is a large component of that effort.”
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“We have known for some time that Warrensburg’s Brady Commerce Park has great potential for future economic development,” said Bill Gabel, presiding commissioner of Johnson County. “I don’t think there was anyone who wasn’t on board with this project. With the joint efforts of all involved, Warrensburg was able to remain at the top of the list.” Warrensburg won’t be the only one to benefit from the new distribution center. Gabel says; “I think it is not only good for Johnson County and Warrensburg area, it’s good for the entire region.” “The city of Warrensburg is wellpositioned to continue the positive momentum currently taking place in the community,” Warrensburg Mayor Bryan Jacobs said. “Businesses are choosing Warrensburg, more jobs are being created that will ultimately lead to increased revenue for the City. While we have long known the great assets Warrensburg holds, we are excited that Dollar Tree saw the great opportunities as well.” Richard Lloyd, president of Johnson County Economic Development Corporation, also notes the positive domino effect this project will have in the area; “We are excited that it has brought local employees onto the job (construction) site and the multiplier effect is going to continue even after the distribution center opens.” Some of the great local assets include top notch local contractors who, after fierce national competition, have been selected to work on different aspects of the Dollar Tree project. Some of these local companies include: ALL PRO Electrical, Capital Materials, Emery Sapp & Sons and Fischer Concrete. These companies are a big reminder of the larger impact this project will have on Warrensburg and the region. By investing in the area, Dollar Tree is investing in the local companies and people as well. Equally, the city of Warrensburg and its economic development stakeholders are committed to a long and successful partnership with Dollar Tree as the company achieves its business goals. “The Dollar Tree distribution center is the largest single private project in history for this region and the fifth largest investment for the state of Missouri in 2017,” said Stewart. “Our commitment to Dollar Tree does not end with this announcement; it is only beginning." Aimee Courtaway is the communications coordinator for Johnson County Economic Development Corporation.
FEATURE Review
St. Peters On The Fastrac .
When St. Peters Mayor Len Pagano’s phone rang in September 2017, it was Money magazine calling to let Mayor Pagano know that St. Peters had been ranked No. 15 in its Top 100 Best Places to Live in America for 2017. It’s the fourth time the City has been placed on this list, and this year marks the highest ranking for the City. Money magazine said “St. Peters is an ideal place to start a family in the St. Louis area,” and Mayor Pagano couldn’t agree more. “This was fantastic news!” said Pagano. “Money Magazine noted our great schools, our Cultural Arts Centre, free concerts and festivals, our beautiful park system and our St. Peters Rec-Plex.” St. Peters is entering the new year with tremendous momentum as more and more businesses choose to open or expand businesses in the area. More than 2 million square feet of office, retail
and light industrial space has opened in the last year, with more planned in 2018. Most of that space (approximately 1.3 million square feet) includes four, large projects at Premier 370 Business Park. Another retail project, The Shoppes of Mid Rivers, a 250,000-square-foot development, opened for the 2017 holiday shopping season. All of these projects have brought hundreds of new jobs to the area, with further growth expected. St. Peters has built a national reputation as a great place to do business, ranked by Wallethub among the top 30 small cities to start a business. Analysts for Wallethub compared 1,261 cities with populations between 25,000100,000, looking at each city’s business environment, access to resources and business costs. After crunching
the numbers, St. Peters ranked as the nation’s 28th best city. What is the St. Peters secret? It is the way the City works with businesses and companies that are looking for sites; they are placed on the FasTrac: The FasTrac: • Pulls together experts for a project; • Expedites projects with a “one stop” permitting process; and • Stays in touch with businesses through the process and after the ribbon cutting. FasTrac works by assigning each project to a planner, engineer and inspector who work together to facilitate a project and track it through the approval process. This FasTrac team brings projects to the land use process early in the timeline for discussion with
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staff from all aspects of the project: engineering, planning, streets, utilities, solid waste and the elected officials from that ward. Concerns and zoning requirements can be addressed before moving to the engineering/design phase, eliminating costly surprises and potential delays. A recent project highlights how a growing business in St. Peters truly is on the FasTrac. RB, formerly Reckitt Benckiser, a major consumer goods
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company, had a significant operation in St. Peters in the Arrowhead Industrial Park with nearly 600 workers. The company sought a new location to add a warehouse, custom manufacturing and repackaging operations, with another 350+ workers. A site was chosen in the new Premier 370 development for a new 715,000-square-foot distribution center. The permitting and approval process moved quickly for the facility, the biggest building in the city of
St. Peters. Plans were submitted in December 2015 and a building permit was issued in April 2016. “Business is booming in St. Peters!” said Mayor Pagano. “People who start businesses in St. Peters find out that they get the benefit of experts from our City team who can help them cut through red tape.” Pagano explained that it is all part of the welcoming, “family” attitude in St. Peters. No matter the size of the business, the FasTrac goal is to be hospitable to new or expanding companies, just like neighbors greet new residents in a St. Peters neighborhood. As part of the booming business climate in St. Peters, businesses and their employees get benefits like reduced rates at the St. Peters Rec-Plex, whether or not they are residents. Branding messages reinforce this goal: “Join the St. Peters Family – Be a Part of the Boom.” One of the companies that expanded to St. Peters in the fall of 2017 went even further. Saia LTL Freight recently completed a new 51,260-square-foot, cross-dock logistics facility at the Premier 70 Business Park. Brett Rabe, senior real estate manager for Saia, explained that nationally, the company had 11 facility openings or relocations in 2017 and St. Peters, by far, really stepped up to the plate. “We’re used to a 12- to 16-month permit process.
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Realistically, we were moving dirt about three months after closing and that’s unheard of.” Two more projects were completed in Premier 370 in 2017: Best Buy built a 252,000-square-foot warehouse/ distribution center and Duke Realty built a 300,000-square-foot spec warehouse building to draw more tenants to the business park. Citywide, other commercial projects including manufacturing, health care, retail, restaurants and hospitality were completed, with more in process for 2018. It is a diverse economic development portfolio facilitated by the City’s FasTrac philosophy. “We have staff here who help you during the opening process all the way beyond the ribbon cutting,” said Russ Batzel, St. Peters city administrator. “It’s important to us that our businesses get the attention they need and have the best chance for success.” Batzel also noted that city staff have been repeatedly recognized by national professional organizations for their outstanding service to the residents and businesses in St. Peters. Along with the FasTrac philosophy, the city of St. Peters has low fees; abundant, low-cost water resources; and one of the few municipal recycling
and solid waste programs in the region. The City is proud of its professional, cost-effective track record for city services. As Money magazinedetailed, quality of life is a big reason for St. Peters ranking high on their “Best Places to Live” list. That focus by city leaders is motivating new residents in their choice to move to St. Peters and for existing residents to stay. After more than 30 years of residential expansion, major single-family land neighborhood development is not the primary focus as the final developable properties are built. Still, according to the St. Louis Business Journal, St. Peters is leading the St. Louis region in single-home sales, with 1,317 sold in 2016 at the fourth-fastest rate (43 median days on the market). Amateur athletes, especially high school swimmers and divers from across Missouri, travel to the St. Peters Rec-Plex every year for the annual Missouri State High School Activities Association (MSHSAA) state championships. It is one of numerous tournaments, games and events held at the 236,000-square-foot recreational complex each year. More than a million people visit the complex for water sports, swimming, ice skating, hockey, fitness classes, weights and cardio
equipment. In addition, more than 2,000 active older adults have chosen the St. Peters Rec-Plex as their fitness home for the SilverSneakers program. St. Peters is the only city in St. Charles County with a municipal golf course. Outdoor amenities also include 25 parks totaling 1,300 acres and more than 20 miles of paved trails. The City’s largest park, 370 Lakeside Park, has a 140-acre lake, dog park, archery range and RV campgrounds, with nearly 17,000 site reservations in 2017. The park has hosted visitors from all 50 states and several Canadian provinces. Great schools and area universities, affordable housing, wonderful services and amenities, a world-class work force and Midwestern charm truly make St. Peters a great place to live, work, play and visit. It all adds up to national recognition in Money magazine and a bright future for St. Peters in 2018.
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FEATURE Review
by David Sweeney and Hunter Brown
Missouri: The Show Me (The Money) State? New St. Louis City Ordinance Restricting Campaign Contributions May Signify Larger Uncertainty Effective April 16, 2017, a new ordinance in the city of St. Louis limits the amount individual donors or groups can give to any one municipal candidate per election cycle. The St. Louis Board of Aldermen’s stated goal in passing the bill is to counteract public perception that limitless campaign finances allow the interest of larger contributors to overshadow the general public’s interests. The changes are further intended to encourage broader involvement by city residents in supporting and funding campaigns. But, the implementation and outcome is anything but certain. None of the historically high-dollar St. Louis municipal elections have been held since the new ordinance’s enactment. It is difficult to predict what these legal shifts signify on a broader level or whether candidates have to adjust to reach different donors to make up for the loss of large single donors.
The Influence Of Citizens United On Campaign Finance Reform Nationally And Locally Campaign finance in Missouri and elsewhere has been in the news for years. On the national, state and municipal levels, politicians and voters are talking about spending, donations and the implications of significant donations from a select few. The thrust of most proposed laws in this arena aim to limit campaign donations from wealthy individuals or other corporate/labor groups to candidates who ideologically agree with them. Laws looking to limit campaign contributions and create donor transparency are constantly being debated,
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proposed and challenged. But the future of these laws and their implications on elections, are not certain. Perhaps t he c ur rent resurgence of thinking that the law should limit spending in elections all started after the Supreme Court’s ruling in Citizens United v. FEC.1 Or, rather, it crystalized many longstanding concerns and thoughts about the influence of campaign financing in our political system. While not directly about campaignspecific contributions, this case put the issue of money in politics in front of the public eye. Citizens United was about corporate and union spending, but not through donations directly to a candidate or campaign. The idea that spending is protected free speech is harder for some to accept when it appears that those with deeper pockets might have a bigger opportunity for political speech. This thought drives the first point behind most of the contribution-limiting bills: protecting the political speech of the poorer groups, and this is particularly felt at the local level. The second development since Citizens United that is showing up now in state and local election law, is the push for transparency in knowing who supports what and how many dollars are going to that effort from the same source. As money passes between political action committees and various other single-purpose committees, it can become impossible to trace to any single source. Recent interpretations of Citizens United have found that contribution limits are unconstitutional when placed on independent groups that spend money without direction of any campaign or single politician, i.e., political action committes (PAC)s.2 Those in favor of
limiting campaign donations generally also want the money to be traced, so that people or interest groups cannot work around the limitation amount by using these various non-reporting shelter organizations. The courts have said independent organizations that accept money for certain campaign goals, not for specific candidates, do not have to disclose donors in many situations, and may spend at will.
The Local Ordinance Follows A 2016 Partially-Failed Attempt At State-Wide Campaign Finance Reform In 2016, 70 percent of Missouri voted to pass Constitutional Amendment 2, setting many campaign finance regulations on statewide elections including, implementing a donor contribution limit.3 Notably this vote happened during the most recent high-dollar presidential campaign where the ultimate winner was outspent by about 2-to-1 by his opponent. As written, Amendment 2 capped contributions in statewide elections per donor to a candidate or political party, PAC’s could not transfer money between one another (seen as a measure to hide a money trail), unions and corporations could not donate to committees and PACs, and candidates could not donate to PACs.4 Then, in May of 2017, a federal court in Free and Fair Election Fund v. MEC, found several parts of Amendment 2 unconstitutiona: restrictions on corporate/ union contributions to campaign committees; a ban on state PACs receiving money from businesses; and the PAC to PAC contributions. Following this federal court’s ruling, Missouri-based PACs were once again able to transfer money between one another, and unions and corporations (even out-of-state entities) could donate to state PACs and various committees. In many ways, the court arguably allowed the biggest contributors back into the state election game. But the federal court did not strike Amendment 2 in its entirety. It upheld provisions setting the individual donor limits to state candidates; corporate/ labor groups remain unable to donate to state candidates; and local and county-level candidates remain exempt from the donation limits. And now, a new group called The Clean Missouri Initiative, has written many of these stricken regulations into a petition for the Nov. 1, 2018, ballot hoping to limit “big money” in politics and promote government transparency.5 Specifically, Clean Missouri wants to establish campaign contribution limits for the general assembly (with provisions against circumvention in the future), and to count any contribution from an organization or committee toward the limit for the specific donors behind the committee, in
hopes of cutting out the large institutional donations. Although Amendment 2 does not apply to any municipal elections, the debate, constitutional analysis, and judicial involvement shed light on numerous issues affecting all campaigns at any level of government. These issues include concerns that wealthy groups do not care about the same things as typical citizens; the importance of transparency; whether everyone gets an equal say; why anyone else needs to know about someone’s spending; and how people or groups with fewer resources can make an impact. These same issues have trickled down to municipal and local elections in Missouri. To be certain, locally elected officials and the elections themselves are no less valuable to our democracy just because the dollar figures do not approach the same astronomical levels as higher-level federal positions.
New Ordinances Limit Campaign Contributions For Municipal Elections In September 2016, Board Bill 53CSAA was unanimously passed by the St. Louis Board of Aldermen, capping campaign contributions to any one candidate or campaign to $10,000 per donor, per election cycle.6 The bill became Ordinance 70357. Its stated purpose is to promote openness in the political process for the public interest, and to attempt to remedy the general public’s perception that large contributors have different interests than they do. This is the second such bill in the state: a Kansas City, Missouri, law passed in 2014 that regulates in the same manner.7 Neither bill has been challenged. Ordinance 70357 has two main parts. First, it sets specific (currently $10,000) contribution limits during
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an election cycles for individuals, even accounting for change of office. And second, the ordinance creates a fiveperson, Municipal Office and Officers Ethics Commission that is made up of persons not holding other public office. This commission will appoint an ethics compliance officer to audit the campaign finance disclosures, investigate complaints, provide training, and make recommendations to the commission. Once established, the commission will have the power to make prosecutorial recommendations to the city counselor or the circuit attorney. Any violations will subject a person to a fine of up to $500 per violation or 90 days imprisonment, or both. These municipal ordinances might be models for other parts of the state, and at least in Kansas City and St. Louis are the newest laws that persons seeking election must navigate. They make up one more piece to the ever-changing campaign finance puzzle at every level of government. David Sweeney is a partner at Lewis Rice and focuses his practice on lobbying, government affairs, real estate, and administrative law. Before joining Lewis Rice, David was the chief legal counsel for the St. Louis Board of Aldermen. He can be reached at dsweeney@lewisrice.com. Hunter Brown is a litigation associate at Lewis Rice, specializing in commercial litigation and intellectual property matters. Hunter can be reached at hbrown@lewisrice.com.
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1. Citizens United v. Federal Election Commission, 558 U.S. 310 (2010). 2. E.g., SpeechNow.org v. Federal Election Commission, 599 F.3d 686 (2010). 3. Missouri Amendment 2—Limit Campaign Contributions—Results: Approved, The New York Times, 1 August 2017, www.nytimes. com/elections/results/missouri-ballot-measure-2-limit-campaigncontributions. 4. Free and Fair Election Fund, et al. v. Missouri Ethics Commission, et al. & Missouri Electric Cooperatives, et al. v. State of Missouri, et al., Consolidated Case No. 16-04332-CV-C-ODS (Western District of Missouri, Central Division, 5 May 2017). 5. The Clean Missouri Initiative, www.cleanmissouri.org/solution/; see also Kurt Erickson, Effort to change how Missouri elects local lawmakers faces challenges, experts say, St. Louis Post-Dispatch, 24 Nov. 2017. 6. St. Louis City Board Bill No. 53CSAA, 20 September 2016; Ord. No. 70357 (6 April 2017). 7. Kansas City Ord. No. 140339, § 1, 6-12-14.
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ECONOMIC DEVELOPMENT Review by William H. Fruth
The Flow Of Money How A Local Economy Grows And Expands
A local economy is simply a geographic area where a vast majority of the people live and work. Within this area, that can be as small as a single county or include multiple counties, where people earn their money and spend their money. In essence, the area is a “contained” economy. For the most part, the geographic boundary of a local economy is determined by the commuting patterns of the people in the area. The location and number of “jobs” within an area determines how big geographically the economy will be. But how do local economies grow or decline? Imagine all of the wealth your local economy is contained in a bucket. It swirls around and around, like being churned with a mixer. It goes from person to person, business to business, person to business, and is constantly moving. One person buys a house and a bank makes a loan. The realtor buys a car. The auto sales person buys a stereo. The storeowner makes a life insurance payment. The insurance agent pays school property taxes. The money moves on and on and on. Money is like a hive of bees following the path of a threedimensional spider web, moving from one point to another as it circulates throughout the economy.
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However, there is a hole in the bucket causing the wealth of the community to leak out. Every time you purchase an automobile, a good share of the purchase price returns to Detroit, Nashville or Tokyo, or wherever the car was made. Every time you purchase a shirt, buy a pair of shoes, make your utility payment, go on vacation, pay your income taxes, money leaves the community and goes to the area the product was made or the service performed. Money is continuously leaving the community through the hole in the bucket. The outward flow is constant, pervasiveand ongoing. Nothing can be done to stop it, no matter how small the hole. So what should be done? A community needs to add money to its economic bucket, replenishing its supply. A faucet at the top of the bucket needs to be turned on, filling it with fresh, rejuvenating wealth, that enables the churning process to continue. Money is imported to an area principally by the business activity of the “primary” or contributory industries located within the economy. A business that is a primary sells its goods or services
The churning process of the wealth in the bucket generates most of the jobs for the residents within a community as goods and services are consumed. For the most part, a business either contributes or consumes. If the business is not dependent upon the local marketplace for its revenues, it is “primary” in nature, a wealth contributor. A vast majority of all businesses in an area are consumptive. This means they are dependent upon and use the money flowing into the area. They include most retail stores, service companies, restaurants, banks, doctors and lawyers. Local government is a consumptive enterprise as it depends upon local money. If you check what companies advertise in the local newspaper, you will quickly get a list of consumptive, dependent businesses. Typically, about 25 percent of an area’s workforce is employed by primary businesses with the balance working for consumptive enterprises. For the most part, only about 5 percent of the businesses in an area are primary, the rest consumptive. A local economy, along with the consumptive businesses, will grow or decline in direct proportion to the amount of money being imported to the area by the primary businesses. To improve a local economy, an area needs to increase the number of primary businesses, that will pay a wage higher than the area average. To do this, the economic development organization should focus on companies that can utilize the area’s geographic economic assets and have the greatest impact. Geographic economic issues are those that influence the costs to a company that are driven locally such as transportation, taxes, utilities, insurance, facilities, housing, wage rates and many others. However, there are two important issues. The first is
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outside the area, importing money to the local area. When a manufacturer ships and sells its products, money flows into the home community. When a farmer sells grain, money flows into the home community. When an engineer designs a bridge in another state, money flows into the home community. When a research firm secures a federal grant, money flows into the local area. When the primary business is paid for its goods or services, its workers are paid and the wealth enters the local economy. It is then mixed and churned; it ripples and multiplies, until it is eventually consumed, drained through the hole in the bucket.
The choice of a lawyer is an important decision and should not be based solely on advertisements.
the availability of trained or trainable labor. If a suitable workforce is not available for a company, it will not locate to or expand in an area. Communities that are able to provide customized worker training have a competitive edge over those that do not. The second is the availability of improved, approved industrial real estate. This is the most important issue relative to economic growth. Economic development is ultimately a real estate transaction. Without a facility, a company cannot makes its product or perform its service. But there is one more issue that will determine if an area grows or declines. It is “local community attitude.” In order to do all the things necessary to build an economy, the support of the people and all local governments is necessary. Local laws need to encourage economic growth, not stifle it. It is a characteristic of the strongest economies to have the full support of the people and local government to cause and drive it to happen. William H. Fruth is president of POLICOM Corporation. Read the full version of this article by visiting www. policom.com and clicking "Downloads."
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Brentwood West Community Credit Union
Cape Girardeau Jet Setting in Cape
A Brentwood West Community Credit Union
West Community Credit Union received approval to construct a new commercial office building at its current site. The credit union will utilize 4,990 of the 9,965 square feet of office space and a drive-through facility. The new building will include up to three tenant bays occupying the remaining 4,975 square feet. The project proposes 50 parking spaces and extensive landscaping.
Towne Place Suites by Marriott The seven-story hotel and multi-level, covered parking garage will sit on 1.42 acres. An older industrial building currently on the site will be demolished. The extended-stay hotel includes 128 units and a total floor area of 76,796 square feet. Hotel amenities include an indoor pool and outdoor patio with barbecue facilities.
Monkey Business Frozen Treats The city of Brentwood approved construction of a new commercial building consisting of 909 square feet to be used for a frozen custard shop. The property at the southwest corner of S. Brentwood Boulevard and White Avenue is presently an undeveloped parcel. The project proposes nine parking spaces, a drive-through lane and walk-up window to take orders, plus outdoor seating and landscaping.
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Cape Girardeau welcomed new hotels, jobs, attractions and new jet service in 2017. The Cape Girardeau SportsPlex, a 121,000-square-foot premiere indoor facility, opened its doors and has already started attracting new events anticipated to have an impact on hotel, restaurant and retail revenue – especially in winter. Hotel tax revenue financed the project following an extensive public input process to vet multiple projects. A request for proposals yielded a private investment of land donation and a transportation development district was created near the new SportsPlex to fund street and stormwater mitigation, future development and extension of an outer road. Another public-private partnership, Drury Plaza Hotel and Conference Center also opened in 2017. It will be funded inpart by hotel tax revenue generated from the development. Also in its city limits, the Greater Cape Girardeau Business Park welcomed a new manufacturer, sports nutrition company SI03. In the city’s downtown, a new Marriot will open this year following a historic structure renovation made possible in part by the tax increment financing (TIF) tool that reinvests increased tax revenue into the project. Residents and businesses were thrilled to welcome jet service in and out of Cape Girardeau connecting passengers to Chicago O’Hare via SkyWest/United.
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Fulton Fulton State Hospital
Perhaps no other facility in Fulton has been more economically impactful during the City’s history than the Fulton State Hospital. Thanks to a major commitment by the state of Missouri, the hospital will continue to play an important role in the community for many more decades to follow.
In 2014, Missouri Governor Jay Nixon announced a $211 million rebuilding of the complex in Fulton. Mental health has dramatically changed since the hospital opened in 1851 and many of the buildings had become ill-equipped to handle modern patient treatment and provide for improved employee safety. The new state-of-the-art facility, when completed in 2018, will feature 300 beds located in six separate units. Keeping the hospital in Fulton is extremely important to the economic growth of the area. With more than 1,200 employees, it’s by far the largest single employer in not only the city of Fulton, but Callaway County. While all of the employees may not live in Fulton, they are still purchasing such basic items as food and fuel, that pumps money into the local economy. The Fulton State Hospital is the only maximum-security state-operated mental health facility in the state.
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Lee's Summit
Moberly
Missouri Innovation Campus
Iron Triangle
The Missouri Innovation Campus (MIC), located in Lee’s Summit, is a premier education model made possible by key collaborations between the private sector, the community’s education ecosystem and local government. MIC leverages Lee’s Summit’s award-winning public schools and Summit Technology Academy with its higher education partners to create real-life professional opportunities for students. Teens who attend MIC enroll in dual-credit classes and earn a bachelor’s degree in as little as two years, all with little to no college debt. The joint program between Summit Technology Academy, Metropolitan Community College and the University of Central Missouri grants high school students a pathway to internships and jobs with potential employers, while offering businesses access to a particularly skilled, career-ready workforce. Located at 1101 Innovation Parkway in Lee’s Summit’s booming Summit Tech Corridor, the two-story, $40 million Missouri Innovation Campus opened its doors in the fall of 2017, in time for the 2017-18 academic year. More than 500 students from 14 area school districts attend classes at the 135,000-square foot facility, along with approximately 3,000 university students. The facility represents a significant milestone for the development of more than 150 acres of surrounding ground. The Missouri Innovation Campus represents what is possible when a community casts a common vision and then rallies all its resources to put words into action.
Most are familiar with the concept of the “Iron Triangle,” a widely accepted idea that there are three generally desired attributes of any product or service, “good, fast and cheap.” The thought is that everybody wants all three, but generally can only have two. Moberly, Missouri, not only expects, but demands, all three from its economic development office. Moberly prides itself on having a top performing economic development group that consistently draws attention from national economic development professionals. They are constantly recognized for being responsive and persistent. However, their quality is never compromised and they regularly outperform peers. All the while, providing excellent value to the City by leveraging limited dollars with partner organizations and communities to provide broader services. For every dollar Moberly invests in economic development they receive 4 dollars in benefit. “I ask a lot of our economic development group and they always deliver,” City Manager Brian Crane said. “Where others see challenges, our group sees opportunity — the activity level in my community far exceeds average communities of our size.” Looking into 2018, several ground breakings are already scheduled and economic development will continue to deliver on its promise of being affordable, effective and efficient.
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Be a part of the May issue of the MML Review! Submit a public works project in your community for the Around The State feature of the annual public works issue! Contact Laura Holloway, MML communications specialist at Lholloway@mocities.com or (573) 635-9134.
Nixa
Nixa Now Home To Largest Solar Farm in Missouri
When flipping on a light switch in Nixa, some of the energy is now coming from the state’s largest solar farm, just west of town. Gardner Capital and MC Power held a dedication ceremony to celebrate the completion of the Nixa Solar Farm on Nov. 14, 2017. The city of Nixa has an agreement to purchase 100 percent of the power generated from this 72-acre facility that includes 33,288 solar panels. The solar farm is capable of generating up to 7.92 megawatts of AC power that will provide more
2018
than 15 million kilowatt hours per year, (roughly 9 percent of Nixa’s annual energy consumption). The project reduces the City’s carbon footprint (Co2 emissions) by 10,542 metric tons per year, equivalent to burning more than 11 million pounds of coal or nearly 1.2 million gallons of gasoline. The city is purchasing energy from this solar farm at a lower price than what it is currently paying for power from City Utilities of Springfield and the Southwestern Power Administration. The savings amount to approximately $2.5 million over the 25-year contract. These savings mean we can continue to keep rates low for Nixa Utility customers while we continue to improve our electric infrastructure and connect new homes and businesses in our growing community. The facility is owned by Gardner Capital. MC Power of Lee’s Summit is the contractor and operator of the facility. Financing and Tax Credit Equity Investment was provided by Central Bank of the Ozarks.
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When redevelopment is complete, the new One North will be home to DRIV Golf + Brew, five restaurants, a medical office building, two hotels and a conference center, retail shops and 200 luxury apartments, in addition to Meierotto Jewelers. The area also features a two-way, off-street bicycle path, the first of its kind in the Kansas City metro area.
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North Kansas City After many years of planning, North Kansas City celebrated with ribbon cuttings for the first new streets and first tenant in its Armour Road Redevelopment Area, now branded as One North. The first tenant in One North is Meierotto Jewelers, one of the largest family-owned jewelry stores in the Midwest that relocated into a 34,000-square-foot headquarters, the crown jewel of One North. The redevelopment area represents a significant investment by the City, both financially and in sustained effort, to diversify the City’s primarily industrial economy to include additional commercial and residential uses. The land under redevelopment was previously home to two grain mills and other industrial uses; a portion of the area was a Superfund clean-up site. The City acquired the property more than 17 years and entered into an agreement with a master developer in 2015.
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As the city of O’Fallon rapidly grew to become the seventh largest city in the state of Missouri, O’Fallon’s retail, residential and corporate growth exploded. Despite the rapid expansion, the prominent Highway 64 and Highway DD corner remained mostly vacant, except for a decade-old movie theater. After years of unsuccessful proposals for the site, a new development idea by Missouri Rush, a local youth soccer club, for a public/private partnership is bringing new life to the property and surrounding areas. Built in front of the existing theater, Missouri Rush constructed a 30-acre, all-weather complex featuring four soccer fields and four tournament-level sand volleyball courts. In addition to some joint activities with the City’s parks and recreation department, the complex is becoming a destination site for tournaments and traveling teams, bringing tourism dollars to the site and helping to revitalize the neighboring theater. Additional amenities currently under construction include a new clubhouse with a fullservice restaurant and rooftop bar and the Missouri Rush headquarters. A boutique hotel, a convenience store and gas station, a fast food restaurant and a small retail center are also expected to be built on the site. The estimated $25 million development is expected to bring more than 250,000 visitors to the complex in its first year, and already is spurring development ideas on neighboring properties.
Osage Beach
The city of Osage Beach is centrally located on beautiful Lake of the Ozarks. Efforts in economic development are diverse and involve an active partnership with the regional economic development council, investments in infrastructure, and enhancements to quality of life through investments to our parks, public safety, marketing and tourism. Efforts also include promoting private investment through incentives, specifically tax increment financing (TIF) and community improvement district (CID) standards created to city specifications. Both recently approved pay-as-you-go TIF projects, accompanied with CIDs, are underway. To protect city resources, the use agreements were designed with
nuances not only to promote developer success but to add accountability. The City’s standards include a TIF cap of 15 percent of the total project cost; TIF performance standards related to the developer’s revenue projections that include consequential reduction of payment upon failure to perform; and a requirement for city control of the CID Board. • Arrowhead Center is a $385 million, 226-acre, eightphase development, including a 120,000-square-foot assisted living and skilled nursing facilities, retail, entertainment and residential components. Phase 1 and 2 are in progress. • Osage Beach Commons is a $30 million, 13-acre retail development. Demolition of the existing structures is currently taking place with construction of public improvements to begin in 2018 and stores opening in 2019-20. Osage Beach, population 4,351, is the heart of Lake of the Ozarks and continues to be the retail hub of the area. The Lake of the Ozarks was awarded the Best Recreational Lake by USA Today readers, and Osage Beach is part of the ever-growing and popular Lake community, supporting a vital tourist economy along with growing diversity in its economic base.
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Raymore Blending Art And Commerce
With the assistance of the Raymore Arts Commission, developers dedicated land and funded one of Raymore’s newest works of public art. The Commission was given full freedom to create a truly unique piece of public artwork. Today, the sculpture and Raymore Marketplace have raised the bar of expectations by our residents and serves as a bold welcome to everyone who visits Raymore.
St. Charles Workforce Recruitment In Illinois
At the corner of 58 Highway and Dean Avenue in Raymore stands a 30-foot tall kinetic sculpture welcoming everyone to the community. The sculpture, titled The Seed, was created through a unique partnership among the developer, City and local artist Chet Redmon that turned a $10 million restaurant/retail development into a true gateway. For decades, the Dean family farm served as an unofficial landmark as visitors entered the City. Eventually, commercial development surrounded the home as the community continued to grow around the farmhouse. When the family sold its property in 2016, developers were left with a challenging infill redevelopment located on one of the busiest intersections in the region. Still, both the City and developers recognized the opportunity to create a new landmark at the busy intersection.
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The city of St. Charles Economic Development Department hosted two cutting-edge Illinois workforce recruitment events in 2017. The first was held in March in Effingham and the second in October in Bloomington-Normal. “We decided to set a new standard for workforce recruitment to address concerns voiced by our employers,” said Mayor Sally Faith. “The lack of available workforce is something we are trying to help our industries grapple with.” Southern Illinois University – Carbondale reported in 2016 nearly 50 percent of Generation X and millennials want to leave Illinois because of its excessively high tax structure and the extreme state governmental dysfunction. This offered a great opportunity to encourage these people to discover St. Charles. Major employers participated in the event representing manufacturing, aerospace, entertainment, hospitality, logistics, health care and engineering. The City’s police and fire departments also participated. The EDC Business and Community Partners, St. Charles County Workforce D e v e l o p m e nt O f f i c e , St . C h a r l e s Community College and the St. Charles County Association of Realtors partnered with the City to promote the assets of the region. Charter Spectrum assisted by utilizing an internet-based platform to market these events to prospects.
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Webb City Centennial Park
With the purchase of more than 300 acres of reclaimed land in the northwest corner of the City; the bold $3.8-million transportation development improvement project at the intersection of Hwy 171 and East Road; along with the creation of a transportation development district along East Road, innovative ideas and increased economic development, Centennial Park was born. The final months of 2017 were spent working closely with private investors to make Centennial Park a reality. Thanks
to the proactive attitude of Webb City’s decision makers, this area will once again be a hub of activity and commerce. Centennial Park will be home to a 100,000-square-foot Atwood’s expansion store; a retail strip center; Redemption Motorsports facility located right on Historic Route 66; and a hotel. Webb City, Missouri, is experiencing a boom that is steering positive development in many areas of the City, including: many improvements throughout the parks system; housing developments are at an all-time high; the Historic Downtown District is home to many new businesses and residents; increased school district enrollment; and many street and wastewater improvements. Growth is not just evident in the northeast corner of the community, it is visible in nearly every area within the City’s borders.
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STATE GOV ReviewHow Does Missouri
COMPARE?
How Missouri Compares to the Nation and its Neighboring States
21st Century Transportation Task Force Proposes Fuel Tax Increase Missouri ranks 46th nationally in revenue per mile, primarily because the state’s large system – the nation’s seventh largest with 33,856 miles of highways – is funded with one of the lowest fuel taxes in the country: 17 cents per gallon. Missouri also ranks sixth nationally in the number of bridges with 10,403. This does not include the city and county system of roads and bridges, which includes an additional 97,000 miles of county roads and city streets, and nearly 14,000 bridges.
The much-anticipated MissouriLags Lags Behind Missouri Behind report of the "21st Century Missouri has a lower fuel tax rate than almost any of its neighbors. Missouri Transportation Yet it has a larger state-maintained highway system than any of them. System Task Force" was released on Jan. 2, 2017, Bridges Rev/Mile Nebraska Nebraska 3,523 during a press conference at Kansas 5,112 Kansas Miles 8,880 Oklahoma 6,757 Oklahoma Gasoline 31 the Missouri State Capitol. Miles 9,941 Iowa 4,141 Iowa Diesel 32.5 Gasoline* 26.1 Missouri 10,403 Missouri Sales Tax 6 Additional funding for state Diesel* 26.1 Arkansas Arkansas 7,330 Sales Tax 5.5 Illinois 7,828 Illinois roads and bridges would Miles 15,967 Kentucky 9,018 Kentucky Gasoline 19 come from increased user Tennessee 8,292 Tennessee Diesel 21.5 Sales Tax 6.25 fees. If the gas tax were raised Miles 10,292 by $0.10 and the diesel tax by Gasoline 24 Miles 33,856 Diesel 26 Gasoline 17 Miles 27,636 $0.12, the state would take in Sales Tax 6.5 Diesel 17 Gasoline* 24.6 Sales Tax 4.225 Diesel* 21.6 an additional $430 million Sales Tax 6 annually. These increases must be approved by the Miles 13,878 Gasoline 20 Miles 12,257 voters, so lawmakers are being Diesel 17 Gasoline 17 Miles 16,423 Sales Tax 7 Diesel 14 Gasoline 21.5 asked to pass a resolution that Sales Tax 4.5 Diesel 22.5 Sales Tax 6.5 places this proposal on the *Rates are variable. *Rates are variable. ballot. Source: Prepared by MoDOT based on Highway Statistics 2015 by the Federal Source: Prepared by MoDOT based on Highway State sales tax rates In addition, the task force HighwayAdministration. Statistics 2015 by the Federal based on the Federal Tax Administration data. Highway Administration. State sales tax rates has recommended that the based on the Federal Tax Administration data. 10 andCitizen’s Gasoline diesel fuelGuide tax rates are shown in cents per gallon. to Transportation Funding in Missouri Miles Gasoline are shownand in center of theare state maintained highway system. dieselline fuelmiles tax rates shown in Cents Per Gallon. registration fees for hybrid Miles are shown in center line miles of the state-maintained highway system. and electric vehicles be doubled. They also included ideas about changing the current system by tying registration fees graduated driver’s license training to fuel mileage or imposing a tax that requirements; and eliminate or reduce would be charged at electric recharging the two percent timely filing discount stations. These ideas are in line with the for retailers paying the state sales tax. concept of keeping fees tied to actual Find the full report at: http://house. vehicle use on the roadways. mo.gov/billtracking/bills181/commit/ Other recommendations include: the rpt1723/Transportation.pdf. use of express managed lanes in metro areas to increase highway capacity, reduce congestion and improve travel reliability; encouraging the legislature to evaluate greater flexibility in enabling state P3 (public-private-partnerships) legislation for transportation projects; advance safety measures including legislation requiring primary seatbelt use and enforcement, enhanced distracted driving legislation (prohibition on texting while driving for all drivers),
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$44,239 $72,588 $190,526 $139,574 $48,859 $72,668 $285,597 $60,465 $108,355
How LAGERS Benefits Help Missouri Communities
$263 Million
Reinvested in Missouri’s Communities! www.molagers.org 1.800.447.4334
REGISTER TODAY FOR MML WEBINARS!
Coming Up! Feb. 8:
Creating an Authentic Servant Leadership Culture, presented by Ron Holifield, Chief Executive Officer, Strategic Government Resources
Feb. 20:
Municipal Risk and Claims Realities, presented by Patrick Bonnot, MIRMA
March 6:
Sunshine Law: What You Need to Know About Missouri’s Open Meetings and Records Laws, presented by Patricia Churchill, Director of Regulatory Affairs, AT Government Strategies, LLC
Learn more at www.mocities.com/webinars. www.mocities.com
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LOCAL Review by Scott Sattler
Collaboration Means Success For Perryville and Perry County Perry County is known as a community with a strong work ethic. It is engrained in the German heritage and is evident within the collaborative relationships found between City, County, private entities and businesses. This was demonstrated in December 2016 when the Perr yville Fire Department responded to the Atlas EPS property to combat the largest recorded fire in the department’s history. The fire consumed and destroyed a total of six buildings before being extinguished by multiple fire departments nearly 21 hours later. At l as EPS sp e ci a lizes in t he development and manufacture of innovative, high performance expanded polystyrene (EPS) insulation for construction, packaging and OEM products, many of which are highly flammable. By Feb. 1, 2017, the Atlas EPS management teams gathered on site to continue centering on the rebuilding process. Atlas EPS General Manager Robert Butkus and Plant Manager Bill Calla expressed eagerness for the reconstruction to continue. “The process actually started the day after the fire,” Butkus said. “We refurbished the building that was left standing and that was the beginning of the whole process.” T he c omp any an nou nc e d i n January 2017 the intention to rebuild in Perryville. The local work ethic, skill level of the workforce and other important factors led to this decision to rebuild on the same site. Plans and blueprints have been finalized for the new buildings. The new facility will include a total operations 30 theReview January/February 2018
and equipment upgrade in an effort to become more efficient. Each employee has played an important role in the selection of the new equipment, and has participated in the design and placement of those implements. “We know our business, and we know our business well,” Butkus said. “Now we can design our facility around a business, and there is not a lot of people who are able to do that." Though the fire destroyed all but one building, the plant has remained in production during the entire rebuilding process and is currently working at around 10 percent of normal operations. The company has been fortunate enough to be able to fill orders and shipments from sister locations across the country and has reported no loss in sales or order quantities. “We have kept all of our customers,” Calla said. “We are servicing them out of our small working portion or by shipping items directly from one of our sister locations.” “We were fortunate to be able to offer our employees a position at our other locations during this downtime,” Butkus said. “They are all back and working in some way at the Perryville location now.” Butkus said that he was impressed
at the response from the community and businesses following the disaster. The first day after the fire, several businesses offered space for office and business operations. Robinson Construction immediately designated an area at their facility to function as a base for the Atlas EPS group to plan and deal with the aftermath. “Some of our biggest hurdles during this time have been taking care of our customers, taking care of our people and keeping our lines of communication open,” Calla said. “All of which we have been able to do, mostly in thanks to the response of the community.” Butkus said they have had about 20 different businesses from the Perryville area pitch in helping with the design phase the new facility. He also shared that multiple local manufacturers offered positions for Atlas EPS employees at their locations to ensure continued paychecks until operations could resume. “The community outreach has been overwhelming,” stated Bill Calla, plant manager. Everyone on the Atlas EPS team would like to extend their deepest gratitude towards the Perryville community, from the many fire departments, who responded, to the competitors, vendors, customers and local businesses that have provided support. If there is a silver lining, it is that, most importantly, no one was harmed in the event, and from the ashes will arise what promises to be an extremely efficient EPS facility in the U.S. Scott Sattler is the executive director of the Perryville/Perry County Economic Development Authority Office. Learn more at www.perrycountyeda.com.
www.mocities.com
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NEWS From The Bench by Kenneth Heinz
Loop Trolley Stays On Track: TDD Upheld In the recent case of Glickert v. The Loop Trolley Transportation Development District, No. ED105527, the Eastern District Court of Appeals upheld the transportation development district (TDD) formed 10 years ago to fund and build what is called the Loop Trolley to run along Delmar Boulevard and DeBaliviere Avenue from the loop in University City to Forest Park in St. Louis. The TDD formation petition was approved by judgment of the lower court in 2008 that provided for a general description of the project, an approximate location and authority to construct improvements necessary and convenient for the proposed trolley car authority. The District collected more than $5,000,000 in sales tax from within the District, and obtained a grant from the Federal Transportation Administration of more than $22,000,000. Construction on the tracks along the route began in 2015 and the project is now substantially complete. Three plaintiffs filed suit for declaratory judgment and an injunction
against the continuation of the TDD. The plaintiffs claimed that the trolley extended beyond the boundaries of the TDD by 535 feet. The extension of the trolley car route was 300 feet on the eastern end to provide a connection with Forest Park and 235 feet on the western end to provide a terminus for the system. Plaintiffs claimed that money could not be spent outside the District’s boundaries. The trial court ruled for the transportation development district and the plaintiffs appealed. The court of appeals held that the plaintiffs were barred by the doctrine of laches because they waited too long to file the suit and this unreasonable delay led to the substantial completion of the trolley tracks that would have had to be redesigned at a high cost if the plaintiffs were to prevail. Furthermore, the court determined that the TDD Act did not bar the District from building and operating the project with “minor” extensions beyond
District boundaries. The court held that the TDD Act does not limit project improvements to the District boundaries or require the District funds be expended solely within the District. The court of appeals also noted that the project description that was approved by the court, when the formation petition was approved, only stated an approximate location of the improvements. This is all that the TDD Act requires. The court noted that the mail-in ballot that the trial court approved, also authorized additional costs and fees incidental to the foregoing, including improvements within or adjacent to Delmar Boulevard and DeBaliviere Avenue. The court relied heavily on the testimony of TDD Chairman Joe Edwards who pointed out examples of how the extension of the trolley line was necessary, incidental and convenient to the project. The extension was “slight.” The judgment of the trial court upholding the TDD was affirmed. The decision of the court of appeals is not final since it is subject to motions for rehearing or transfer to the Supreme Court. However, the decision does seem like a common-sense approach to handling TDD improvements under the Missouri Transportation Development District Act and as approved in the formation petition judgment entered by the trial court. While surviving the attempted derailment, at last writing, the Trolley opening had been pushed back due to inadequate funding, although several new corporate donations have been announced. Kenneth J. Heinz is a Principal with Curtis, Heinz, Garrett & O’Keefe, P.C. He serves as general counsel for several communities. Heinz has been active as special counsel to many municipalities in Missouri and Illinois on municipal issues. He has delivered seminars to many public and private groups at the local and state level on municipal issues, such as municipal contracts, zoning and sunshine law. Contact the firm at 314-725-8788 or www. chgolaw.com.
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MEMBERS' Notes MML 2018 Calendar of Events January 25 ����� MML West Gate Division Regional Meeting, Smithville, Missouri 25 ����� MCMA Winter Prof. Development Workshop, Columbia, Missouri
February 8 ����� MML Webinar: Creating an Authentic Servant Leadership Culture 13 ����� MML Board of Directors' Meeting, Jefferson City, Missouri
13-14 ����� MML Legislative Conference, Jefferson City, Missouri 20 ����� MML Webinar: Municipal Risk and Claims Realities 28-March 2 .....GFOA Winter Seminar & Training
Key To Joplin Retiring Joplin City Clerk Barbara Hogelin was honored by the City Council at a recent meeting with a resolution thanking her for 24 years of service. Hogelin was also presented with a key to the City. In 2017, Hogelin was named Missouri City Clerks and Finance Officers Association Outstanding City Clerk. Assistant City Clerk Barbara Gollhofer has been appointed to succeed Hogelin.
March 2 ����� 2018 Innovation Award Submissions Close 6 ����� MML Webinar: Sunshine Law
11-14 ����� Congressional City Conference, Washington, D.C. 26-28 ����� Main Street Now Conference, Kansas City, Missouri
April
3 ����� Municipal Election Day 8-14 ����� Missouri Local Government Week 10 ����� 4th Annual Missouri Partners In Governance Conference, Columbia, Missouri 28 ����� MML Pop-up Training for Municipal Officials, El Dorado Springs, Missouri
May 6-9 ����� National government Finance Officers Association 112th Annual Conference, St. Louis, Missouri
Independence Leads The Way In Solar Energy Production In Missouri The city of Independence, Missouri, recently purchased the Rockwood golf course and has plans to partner with MC Power Companies to install solar panels that will generate an additional 4.5 megawatts of power on the southern half of the existing golf course. This will help with the planned expansion of the solar farm, going from the current 3 megawatts output to a total of 11.5 megawatts across the city.
17 ����� MML Board of Directors Meeting, Jefferson City, Missouri Find more events and details on www.mocities.com and in the MML monthly e-newsletter.
MML's Latest Member News
@mocities www.facebook.com/mocities www.linkedin.com/company/mocities www.mocities.com (573) 635-9134
34 theReview November/December 2017
Watch for the latest member news on the MML website at www.mocities.com. The Latest News section features the latest updates and achievements from member cities. If you have something to submit, please email Lori Noe at Lnoe@mocities.com!
Kansas City Featured In Government Technology Magazine A recent "Where are they now?" article highlighted the City's progress in smart city technology since 2015. Kansas City reported on improvements in data analytics platforms. The city also worked on expanding broadband access, smart streetcars with video sensors capable of finding badly parked cars, traffic lights to keep streets moving and digital kiosks serving as city guides.
www.mocities.com
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