Oak Ridge Today

Anderson mayor used lawsuit agreement to settle scores, sheriff says

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Anderson County Detention Facility Expansion

The salary dispute between the Anderson County mayor and sheriff focused on the spending to hire up to 36 new jailers to staff a 212-bed expansion that is still under construction at the Anderson County Detention Facility in Clinton.

CLINTON—He had reserved comment until a judge signed an order resolving a staffing dispute, but then Anderson County Sheriff Paul White accused Mayor Terry Frank of using a lawsuit agreement to try to settle perceived political scores—and he came to the defense of the two county officials that Frank attacked Friday.

“Sheriff White regrets that Mayor Frank has used the settlement of the salary suit, which (she) could have used as an event to set a more civil tone in Anderson County politics, as an opportunity to attempt to settle perceived political scores with Law Director Jay Yeager and Anderson County Commissioner Myron Iwanski,” the sheriff said in a Monday afternoon press release, after the lawsuit order had been signed by Knox County Circuit Court Judge Dale Workman. “Sheriff White cannot express how much he believes that Director Yeager and Commissioner Iwanski are decent and selfless public servants and that the people of Anderson County are lucky to have such competent and dedicated individuals working for the efficient operation of their government. [Read more…]

Mayor, sheriff reach agreement on salary suit, but war of words follows

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Anderson County Detention Facility Expansion

The salary dispute between the Anderson County mayor and sheriff focused on the spending to hire up to 36 new jailers to staff a 212-bed expansion that is still under construction at the Anderson County Detention Facility in Clinton.

CLINTON—The Anderson County mayor and sheriff reached an agreement Friday that could end their five-month-old legal dispute over an annual salary agreement, possibly closing one expensive and contentious chapter in local government even as it opened a new war of words between top officials.

Knox County Circuit Court Judge Dale C. Workman could sign the agreement Monday morning.

Anderson County Mayor Terry Frank and Sheriff Paul White said the agreement allows the sheriff to hire 15 full-time permanent deputies and additional temporary deputies when the sheriff deems appropriate as he prepares to open a 212-bed jail expansion. But the hiring must stay within the spending limit approved by the Anderson County Commission this year, and the temporary employees cannot work more than six months.

Terry Frank

Terry Frank

Frank and White announced the agreement in a one-page press release distributed Friday. The case had been scheduled to be heard in Knox County Circuit Court on Monday morning. [Read more…]

Anderson Commission unanimously approves Oak Ridge Mall TIF, project goes to state

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Oak Ridge Mall Concept Plan Featured

The Anderson County Commission on Monday unanimously approved a $13 million tax financing agreement that could be used to help the $85 million redevelopment of the mostly empty Oak Ridge Mall.

CLINTON—The Anderson County Commission on Monday unanimously approved a $13 million tax financing agreement that could be used to help the $85 million redevelopment of the mostly empty Oak Ridge Mall.

The vote was 15-0. Anderson County Commissioner Mark Alderson was absent.

“I am extremely optimistic about this,” said Anderson County Commission Vice Chair Robin Biloski, an Oak Ridge resident.

It’s the fifth unanimous or near-unanimous vote on the project in less than a month. The tax increment financing, or TIF, had also been approved with no opposition, but with one abstention, by the Oak Ridge City Council, and it had also been endorsed with no opposition by the Oak Ridge Industrial Development Board and Anderson County budget and operations committees. [Read more…]

Letter: Mall nullification proposal would make TIF loan impossible to finance

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Oak Ridge Mall TIF Public Hearing

James Murphy, center, is a Nashville attorney representing Oak Ridge Mall redeveloper Crosland Southeast. Also pictured during a recent public hearing are Ray Evans, right, Oak Ridge economic development consultant; and Tim Sittema, a Crosland Southeast partner.

Note: This Nov. 14 e-mail from an attorney representing mall redeveloper Crosland Southeast was written in response to a nullification proposal submitted by Oak Ridge City Council member Trina Baughn to Anderson County officials.

I represent Crosland in connection with the proposed Economic Impact Plan for the Redevelopment of the Oak Ridge Mall Economic Development Area (the “Economic Impact Plan”). The Economic Impact Plan has been approved by the Industrial Development Board of the City of Oak Ridge (the “IDB”) and the City Council for the City of Oak Ridge, and it is on the agenda for the Nov. 18 meeting of the Board of Commissioners of Anderson County. I would like to respond to Ms. Baughn’s suggestion that the tax increment financing (“TIF”) funding for the redevelopment of the Oak Ridge Mall be nullified if at least 65 percent of the planned new retail square footage is not completed by December 2018.

As has been explained by Ray Evans in the meetings of the Anderson County Operations Committee and the Budget Committee, the proposed redevelopment of the Oak Ridge Mall requires a public-private partnership. After carefully reviewing the project’s pro forma, the city officials who have been involved in negotiating the incentives with Crosland were convinced that there was a funding gap of $13 million that could be bridged by the use of the TIF funding. Without that $13 million in TIF funding, the project would not go forward. [Read more…]

Guest column: A successful Oak Ridge Mall project

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Trina Baughn

Trina Baughn

Note: This is a copy of a Nov. 14 e-mail from Oak Ridge City Council member Trina Baughn to Anderson County Commissioners and Mayor Terry Frank.

Honorable Mayor Frank and County Commissioners:

Like you and all of our citizens, I recognize the need for the successful redevelopment of the Oak Ridge Mall property. My research, to include discussions with various city officials and partners from their past projects, has me convinced that if anyone can help us finally turn the mall around, it is Crosland Southeast.

The generation of added sales tax revenue from new retail is our highest priority in this venture. Not only do we desire more shopping options, but the financial health of our community is highly dependent upon new sources of revenue.

No one can guarantee that the anticipated sales tax will materialize nor is it realistic to expect such an assurance. However, there is one guarantee contained within this plan. Once demolition has begun, the terms of the tax increment financing (TIF) will be permanently secured, regardless of whether or not anything is built. The end result will lock in a 20-year freeze on the property tax collected by the city and the county. [Read more…]

Guest column: County looks ‘dysfunctional’ on jail dispute, needs solutions

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Myron Iwanski

Myron Iwanski

Anderson County Mayor Terry Frank’s op-ed column submitted to the media last week questioned County Commission’s decision to expand the jail. It has some incorrect statements about the history of this decision that need to be corrected.

In 10 years, the peak daily population of the jail nearly tripled. In 2000, there were 120 inmates, and in 2010 there were 340. The jail had a capacity of 226 when the decision to expand the jail was made in 2011. The peak daily population this year has increased to 396.

Mayor Frank’s claim that the jail is not overcrowded in very misleading.

This overcrowding is causing major problems in being able to properly classify inmates based on risks and other factors. This was the major reason the state was about to decertify the jail in 2011. It also does not take into account that we have approximately 3,000 outstanding arrest warrants, some of which prosecutors and deputies will tell you are for criminals that need to be in the jail. These criminals are not being actively pursued because of a lack of jail space. [Read more…]

Guest column: AC Commission needs to stay involved with mall project

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Declining DOE Residency Hurts Anderson County

In 2003, the Anderson County Commission approved a county subsidy for a revitalization project at the Oak Ridge Mall.

Had that project succeeded, it would have generated a substantial increase in county revenue, allowing tax rates to be lowered. A successful mall project would have also helped stabilize the U.S. Department of Energy payroll gap with Knox County. Stabilizing this gap would have generated nearly $100 million more in DOE payroll for the Anderson County economy—in this year alone.

Obviously, the potential economic benefit from a successful mall project is huge.

To give the project the best chance for success, the Commission needs to couple the requested mall subsidy to four key Commission actions: [Read more…]

Letter: Chamber asks city, county officials to endorse mall TIF

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Note: This is a copy of a Nov. 6 letter sent by the Oak Ridge Chamber of Commerce to the Oak Ridge City Council and Anderson County Commission. The Oak Ridge City Council approved the tax increment financing for the Oak Ridge Mall redevelopment in a 6-0 vote on Monday.

Dear members of Council and Commission:

Today, in a full retreat attended by the board of directors of the Oak Ridge Chamber of Commerce and numerous Chamber Millennium Partners, our board unanimously adopted a position urging Oak Ridge City Council and Anderson County Commission to unanimously approve tax increment financing (TIF) for redevelopment of the Oak Ridge Mall property.

This is the most critical near-term economic development project in Oak Ridge and Anderson County. It will undoubtedly impact our economy, our ability to attract additional retail/commercial projects, and our community pride.

Some specifics are: [Read more…]

Oak Ridge City Council approves $13 million tax financing for mall redevelopment

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Oak Ridge Mall

The Oak Ridge City Council voted 6-0 on Monday to approve a $13 million proposal to use new property tax revenues to help redevelop the Oak Ridge Mall. The L-shaped mall is pictured at center above. The white-roofed building at center left is Walmart and the one at center top is the Cinemark Tinseltown theater.

The Oak Ridge City Council voted 6-0 on Monday to approve a $13 million proposal to use new property tax revenues to help redevelop the Oak Ridge Mall.

There was one abstention. The near-unanimous approval by Council continues a string of successes for the proposed redevelopment.

Known as tax increment financing, or a TIF, the proposal approved by Council on Monday had already been unanimously endorsed by the Oak Ridge Industrial Development Board and the Anderson County operations and budgets committees. It will next be considered by the Anderson County Commission on Monday, Nov. 18. [Read more…]

Guest column: Legal battle between county mayor, sheriff must be resolved immediately

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Myron Iwanski

Myron Iwanski

Note: This is a copy of an Oct. 9 e-mail that Anderson County Commissioner Myron Iwanski sent to the other commissioners and county officials. The sheriff’s salary lawsuit against the county mayor was not discussed during the Oct. 21 County Commission meeting, as Iwanski had hoped, but it is scheduled to be considered during a special meeting this evening.

I am very concerned that the legal battle between the mayor and sheriff has not been resolved. This battle will have huge impacts on our budget this year and in future years. I have asked that this item be placed on the agenda for the Operations Committee meeting, and I would like to see it discussed by the full County Commission at its next meeting.

Costs continue to mount in this legal battle. If the large attorney fees are included with the cost for staff time to prepare all the documents and evidence being demanded, I believe this case could end up costing the county hundreds of thousands of dollars.

More importantly, no matter which side prevails in this case, I fully expect we will be told by Tennessee Corrections Institute and/or the federal courts that we must fund the jail. As we wait for this legal case to be resolved, nothing is being done toward bringing in the federal inmates we need to help provide the funds we need to operate the jail in future. This will likely mean that we will be forced into a tax increase next year. This could have been avoided had this case been worked out and we instead focused on getting the revenue we need to operate the jail. [Read more…]

Anderson committee recommends tax package for Oak Ridge Mall

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Anderson County Operations Committee

The Anderson County Operations Committee on Monday unanimously recommends a tax financing agreement that could help with the $85 million redevelopment of the Oak Ridge Mall. Pictured above from left are Anderson County commissioners Robert McKamey, Zach Bates (partially obscured), Tracy Wandell, Whitey Hitchcock, Steve Emert, Rick Meredith, and John Shuey.

CLINTON—An Anderson County committee has unanimously recommended a $13 million tax financing agreement that could be used to help redevelop the Oak Ridge Mall.

In a 7-0 voice vote, the Anderson County Operations Committee recommended the tax increment financing, or TIF, to the full Anderson County Commission during a Monday evening meeting.

The TIF could last 20 years, and it would allow new property tax revenues generated at the site to be used to help pay for development costs. It’s already been unanimously endorsed by the Oak Ridge Industrial Development Board. [Read more…]

Mall TIF could be worth $13 million, last 20 years

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Oak Ridge Mall Concept Plan Featured

The proposed tax financing agreement to help redevelop the Oak Ridge Mall could be worth up to $13 million and last 20 years, and when complete, the 60-acre site in the center of the city could include a mix of mostly retail and some office space, a hotel, and up to 50 multi-family residential units.

The proposed tax financing agreement to help redevelop the Oak Ridge Mall could be worth $13 million and last 20 years, and when complete, the 60-acre project in the center of the city could include a mix of mostly retail and some office space, a hotel, and up to 50 multi-family residential units.

The developer, C4 Investments LLC of North Carolina, could spend more than $85 million converting what is now a mostly empty enclosed mall into an open-air, retail-driven, mixed-use property.

The redevelopment plan calls for about 400,000 square feet of retail space and roughly 60,000 to 100,000 square feet of office space, according to an economic impact plan to be discussed at a public hearing at 5 p.m. today (Thursday) and considered during a special meeting of the Oak Ridge Industrial Development Board. [Read more…]