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TAXING YOU TO LURE AND SUBSIDIZE YOUR COMPETITORS, IN SECRET

August 31, 2007

A retired Moline judge is unhappy with the shenanigans of the Davenport City Council in assembling in secret a package of economic development bribes to lure a company across the river from Rock Island. From Quad-Cities Online:

Davenport Mayor Ed Winborn, after an elaborate "internal investigation," reprimanded Ald. Keith Meyer for making available to the Dispatch/Argus the details of the proposed financial assistance package. But assuming that Ald. Meyer is guilty as charged, what exactly did he do wrong? And what exactly did the Dispatch/Argus do wrong in printing the preceding facts which I will take as true for purposes of this article?

Are the people of Davenport and Rock Island entitled to know that the IDED board will offer eServ 1 million in incentives to relocate on 53rd Avenue in Davenport? Are the people of Davenport and Rock Island entitled to know that City of Davenport will rebate 80% of the real estate taxes paid by eServ for the next 15 years?

It's too bad that the proper answer (yes) isn't obvious to everyone. Sadly, this sort of "incentive package" is common - witness the subsidies for insurer Aviva to move from downtown Des Moines to the suburbs.

Anyway, the Quad-Cities Online piece is good; read the whole thing.

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