Never too late for incentives in Franklin?

Last night the Franklin Common Council voted 4-1 to approve a $9,000 "grant" for a Class B reserve liquor license for Staybridge Suites Hotel (Alderman Olson voted no).

In other words, Staybridge will not have to pay $9,000 of the $10,000 fee.

The FranklinNOW online story states: Alderman Timothy Solomon said the hotel would bring much needed new revenue to the city.

"Would bring...". Not "will." So, Staybridge Suites is convinced to break ground now that this incentive is in place, right?

No - - Staybridge Suites is scheduled to open next month - - anyone driving past the corner of Ryan and 27th Street can see the structure pretty much ready to go.

Wha...?

Call me crazy, but perhaps a $9k "grant" could be better spent incentivizing a commercial opportunity in Franklin that is not days from opening!

As promised, I've submitted the issue for discussion as an agenda item for the next Economic Development Commission meeting (January 26).

In the meantime, Mark Hansen
 Director of Sales and Marketing
 Staybridge Suites has posted a comment on Greg Kowalski's Franklin Today blog which raises more questions than it answers.

Here is the text of my agenda item (with downloadable PDF as well); Download Staybridge EDC agenda item

As the issue has immediate and far-ranging impact on economic development policy and procedure in Franklin, I would like to submit as an agenda discussion item the following:

STAYBRIDGE SUITES:
$9000 LIQUOR LICENSE “GRANT” ANALYSIS AND DISCUSSION

It’s my goal to examine this specific instance in proper detail in order to improve policy and communications regarding economic development measures under consideration now and in the future.

Suggested non-commission participants:
    Mayor Tom Taylor
   
Our discussion should include, but not limit itself to, the following:

1) Define the parameters of the “grant”

2) Create a detailed timeline showing
•    Where and how this proposal was generated
•    Who made the primary approach (did this originate from STAYBRIDGE or the City of Franklin?)
•    At what point was this issue discussed by/brought before the EDC, if at all? What, if any, was the EDC’s recommendation?
   
3) Communication issues
•    Why is a comment on a blog the first place people read/hear about the specific details of this grant (see attachment: “Franklin Today” blog comment: Mark Hansen
 Director of Sales and Marketing
 Staybridge Suites Franklin)
•    Is Hansen’s description accurate?

4) Precedent issues: pro and con
•    Strategy: Does this “grant” bind the City of Franklin in discussions with other developers?
•    Legal: Does this “grant” bind the City of Franklin in discussions with other developers?
•    Fairness: Can this “grant,” or one like it, be offered as an incentive to a locally-owned business?
•    Example: Coffee/snack shop in front of Franklin library on Drexel/Loomis corner to spur community/commercial development in a focused area of public space.

5) Benefits
•    How does the $9000 “grant” create a better economic development situation for Franklin?

6) Deficits
•    How could the $9000 “grant” adversely affect Franklin?

7) Straw poll
•    EDC membership votes “for” or “against” the Staybridge “grant” in nonbinding open vote

Submitted 1/7/09.

Comments

[Fred Keller]

MAVERICK!