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| City Council Approves Kohl's Deal, With Some Opposition |
Every member of the Galesburg City Council said they were pleased major department store retailer Kohl's is coming to town, but at least some don't like the alleged sweetheart deal they were given in order to sign on the dotted line.
The Galesburg City Council voted 5-3 Monday night in favor of a package of economic incentives to get Kohl's to locate in town -- specifically, one-point-two million dollars in sales tax breaks.
That didn't sit well with Third Ward Alderman Russell Fleming.
"I just hope the city doesn't use this as a model to entice other retailers," Fleming said.
Residents Mike Kroll and David Roknich also spoke to alderman about the incentives -- Rocknich calling it a "corporate giveaway;" and Kroll calling it a "bribe."
Kroll says nothing against Kohl's, he just doesn't like those types of deals.
"By and large, I think [those deals] are a squandering of resources," Kroll said. "In the case of retail, I think it's absolute madness to do incentives for retailers. The vast majority of retailers -- and I have no doubt it includes Kohl's -- don't locate in a community unless they have done their own research, and met their own criteria for a store to be successful at that location."
"What the city has, what the citizens of Galesburg have before them, is a one-sided corporate argument," Roknich said. "There's been no argument made for the citizens of Galesburg. And, what the citizens of this town need, for economic development is not a corporate giveaway."
A Kohl's official told aldermen, though, that due to the current economic recession, they won't build new stores unless incentives are provided, and Mayor Sal Garza claims the incentives given were on the low end of what the city was willing to offer.
Groundbreaking on the new Kohl's is expected in the spring, with the store opening at Seminary Square in the fall. |
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| 07 06 11 by Newsroom |
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