-->

Wednesday, July 25, 2018

Spirit of Charity District

This public input process for redeveloping Charity is curious. Tonight's public forum hasn't been publicized very well. Also, it's not really even about the building itself.  We don't know what the proposals are for that yet
A meeting being organized by the Greater New Orleans Foundation, which is leading the public engagement effort for the "Spirit of Charity Innovation District," will hold a community workshop to help residents envision what the district will look like. Design Jones LLC is assisting GNOF with a strategic plan for the district, and is helping gather public input for what it will look like.

But there will be a big piece missing from Wednesday's meeting, which will be held at the Delgado Charity School of Nursing's seventh-floor gymnasium starting at 6 p.m. at 450 S. Claiborne Ave. Although planning for the district surrounding the 1.2 million-square-foot hospital has largely been kept in public view, the plans for the building are still under development and are being overseen by the LSU Foundation (the school owns the building, a legacy of the hospital's status as a teaching institution).

The three developers -- HRI Properties, Matthews Southwest and a partnership between El Ad US Holdings and CCNO Development -- were supposed to turn in proposals five days after Wednesday's meeting, but LSU officials said on Tuesday that the date had been pushed back to Aug. 20.
A month or so ago, when we noticed the finalists had been selected, we tried to guess a little bit about what they might be up to by looking at what was on the table  during a previous round of bids that ended up being scuttled. Note that HRI was a finalist then as now. Also Matthews Southwest is in the mix. They're also a partner in the Berger/Jaeger Convention Center hotel project.  BGR put out a report this week criticizing the use of public subsidies in that endeavor. It is worth paying attention to how they are used at Charity as well.

As the T-P article linked above says, the meeting tonight is really about this "Spirit of Charity Innovation District" thingy. Here's more about that from earlier this month.
With the Spirit of Charity district, Kopplin said that city officials will be able to use a key incentive to ensure the eventual developer complies with goals set for disadvantaged business enterprise participation, as well as pursuing a mix of training and job opportunities. The tool is known as tax-increment financing, or TIFs, which is typically used for building infrastructure, using the projected future tax growth from the investments.

"There's no reason a TIF couldn't support all of those things including potentially spur economic activity around biomedical research," Kopplin said. It will require coordination between officials at the state and city levels to create a path to governance within the TIF district.

"The state and city partnership is vitally important," Kopplin said. "The city administration and the state administration seem to share a view of creating a district around (Charity Hospital) as critically important."
That is some extremely vague language explaining what the TIF would be used for but it is "critically important" that the money be put into a pile for some purpose. Partially because that's what the team of "experts" who spent five days in New Orleans  back in November said. One of them also said New Orleans is a state capital, though, so maybe not the most reliable information there.  It's also what this consultant the Landrieu people hired told them to do more of so, it must be worth something.  Look here they're trying to make one happen to help Barry Kern pay for turning the Times Picayune building into some kind of indoor golf playground. That seems legit. Anyway, TIF first and ask questions later is the order of the day.

So even though tonight's meeting won't give us any information about the plans for Charity, we can assume there are opportunities to ask them what they want to do with this TIF. Attendees could ask what exactly does it fund? They can't just say "infrastructure improvements" or "incentives" without saying specifically who benefits from them. Who gets the money? Who manages it? Who pays the taxes that fund it? What would that revenue would otherwise fund?

Most importantly, what's in it for us, if anything? Spirit? Innovation? The kids these days seem to be interested in affordable housing. Maybe someone should explain how this is supposed to help with that.

No comments: