Butler Twp. rips request for tax plan
BUTLER TWP — Butler Township officials said Monday they believe a tax increment financing plan being proposed by Center Township is premature and being handled improperly, and they question the motives behind the idea.
Butler Township manager Ed Kirkwood said he was “insulted” by Center Township’s handling of the proposal process thus far.
He accused Center Township engineer Ron Olsen of proposing a closed meeting between Butler Township commissioners and the developer that would benefit from the TIF. Kirkwood said such a meeting would violate the state’s Sunshine Law.
Kirkwood said that proposal happened about six weeks ago when Olsen visited his office and that he rejected the idea.
“I informed Mr. Olsen that to proceed, a letter and a concept plan would be required and that Butler Township would only hold discussions at a duly advertised public meeting,” Kirkwood said in a prepared statement he read at Monday’s commissioners meeting.
Kirkwood said he doesn’t believe the TIF proposal floated by Center Township officials is what they claim it to be, and said its only guarantee is that the project’s developer would benefit from the TIF plan.
TIF is a property tax plan that redirects some portion of the tax to pay for infrastructure upgrades at development sites.
“Moving forward at this time does not insure (sic) any development would occur and once the TIF is in place, only the developer would reap benefits,” Kirkwood’s statement reads.
Last week Center Township officials proposed the TIF district be created to include the 46 acres where the VA Butler Healthcare Center would be built and the adjoining 100 acres for other development.
The new VA facility is being developed by Cambridge Healthcare Solutions. Cambridge also has first rights to buy any of the remaining 100 acres, making the company most likely the primary developer on the adjoining land.
Center Township supervisors last week said the 20-year TIF would not fund work at the VA site, but instead be used to support more development surrounding the center.
Butler Township officials say they also mistrust that assertion, and believe the TIF is meant to improve road and sewer infrastructure for the VA project.
“If the VA screwed up and Cambridge put together their proposal at too low of a cost, that’s their problem,” Kirkwood said.
Commissioner Chairman Joe Hasychak said he had “no doubt” that the TIF proposal and the VA project were connected. And Commissioner Dave Zarnick characterized the proposals as an unfair end-around.
“That’s not fair. Don’t come in here after the fact and say ‘I want a TIF,’” Zarnick said.
Kirkwood said he’s not opposed to development, but believes Center Township officials are ahead of themselves with the TIF proposal and handling the process improperly.
He said Cambridge should be leading the TIF proposal process, and questioned why Butler Township wasn’t asked to participate in discussions before news broke publicly about the matter.
“I don’t think they have a plan,” Kirkwood said. “Let’s not build the field and hope they come; let’s line up the teams and then build the field.”
Butler Township commissioners on Monday gave Kirkwood approval to act as the township’s representative in any TIF discussions with Center Township — discussions Kirkwood said he wasn’t sure would ever take place.
“I’m not sure they want to deal with me,” he said.
