Wilmington's Intermodal Study
The facts on the proposed intermodal for the city of Wilmington, IL
This website contains information regarding the negotiations for an Intermodal Facility between the City of Wilmington and Ridge Property Trust.
This site and its content have been prepared by Nicolosi & Associates in Conjunction with The Buckley Companies
To see more detailed information, please click a category to the right.
Mayor Roy Strong and Administrator Sheryl Puracchio knew just what to do when the Ridge Development team walked into the City offices with a 100 page glossy presentation requesting over $101 million dollars from the taxing bodies in Wilmington: They assembled a group of experts to review the project.
Ridge Property came to the City of Wilmington in March 2007 with a plan for a large Warehouse, Distribution and Intermodal Facility with a direct investment of $1.6 Billion. The development touted the following:
- 3,000 acre Master Planned Park
- Joint development between Ridge Property Trust and BNSF Railway
- Over 21 million square feet of industrial space
- 40 acres of commercial development
The growth figures appeared too good to be true:
- Warehouse and Distribution Related Direct Investment of $1.6 Billion
- Rail related Direct Investment of an additional $436.5 Million through BNSF
- Employment expected to reach 11,295 in 2018
- 12,040 new jobs created in Will County
- Wage impacts of $8.6 Billion in Will County
- Total New Sales Revenue of $32.6 Billion in Will County
- Average Annual Sales Tax Gain of $2.4 million in Will County
The original proposal, given to the City on March 2, 2007, represented that this development could be the City of Wilmington’s by providing only a tax abatement of 100% in year one and decreasing the abatement by 10% annually every year for 10 years. The Will County Forest Preserve District, Will County Building Commission, Island Park District and Will County would not be requested to provide an abatement.
However, a subsequent proposal given March 14, 2007 requested the following financing
- 100% Financing of Water and Sewer Bonds by the City; and
- $101 Million in Non-Recourse Tax Increment Financing Bonds for road and other related infrastructure.
Looking at the proposal, the numbers seemed very high, and many questions were not being answered, such as:
- How much additional police protection will be needed for this Industrial Park, and how will the City pay for those added costs?
- How much additional fire protection will be needed?
- What other taxing bodies might be affected by a TIF that will last 23 years?
- What would happen if the development of the industrial park slowed, or stopped altogether because of a slowdown in the economy?
- Was this really good for the City?
- Would it cost the residents to have this new industrial park?
Sheryl and the Mayor were determined to do their homework and analyze this project for the City. Through that analysis the documents contained on this website were created; these documents examine the impacts to the Taxing Bodies that would not receive property taxes from the Development for 23 years.
THE GRAPHS ABOVE CONTAIN THE CITY’S POSITION ON THE SPLIT OF THE INCREMENT, AS WELL AS RIDGE’S POSITION.
DETAILS ON THE IMPACTS ON EACH TAXING BODY CAN BE REVIEWED BY CLICKING THE LINKS TO THE RIGHT. THE FULL REPORT CREATED, AS WELL AS AN EXECUTIVE SUMMARY, IS AVAILABLE BY CLICKING THE LINK AT THE TOP OF THE PAGE.
The City is looking for honest and upfront answers and solutions for the future benefit of everyone involved. Some examples would include;
- A firm commitment from BNSF railroad that they will assist in the financing of the intermodal facility.
- A commitment from Ridge on the future road improvements for Lorenzo Road. The estimated truck traffic from the development will require constant upkeep and repair on Lorenzo.
- For the residents living in the proposed annexation area, a request that Ridge treat them fairly and respectfully as they determine their next place of residence.
Honesty and willingness to work toward a solution is what the City of Wilmington is requesting; without a commitment from Ridge to ensure equal benefit to both the City and the Developer, a deal will not be reached.