Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: MONDAY, February 17, 1992 TAG: 9202170185
SECTION: VIRGINIA PAGE: A-1 EDITION: METRO
SOURCE: DAVID M. POOLE STAFF WRITER
DATELINE: LENGTH: Medium
BOWERS, MUSSER AGREE ON WORKING FOR GROWTH
Two candidates want to become the next mayor of Roanoke. This is the first of a series of stories contrasting where they stand on various issues.
Both City Council members vying for the Democratic mayoral nomination favor continuation of the city's direct investment in fostering economic growth in downtown Roanoke.
David Bowers and Howard Musser say they support the aggressive policy that in recent years has led the city to:
Build a $10 million parking garage at the Dominion Tower.
Commit to $4 million in revenue bonds for a proposed conference center at the Hotel Roanoke.
Discuss building a $25 million trade and convention center near the Hotel Roanoke.
With no developers knocking on Roanoke's door, the city government has provided seed money to attract private investment downtown.
Bowers and Musser both say the city should continue to act as a partner in development plans, provided it does not lead to property tax increases.
Bond issues generated half of the $10 million for the Dominion Tower parking garage and would account for the city's $4 million share of the hotel conference center. The bonds for the conference center, for instance, would be repaid with revenue generated by the facility.
If revenues fall short of estimates, City Council has agreed to make up the difference. That means taxpayers would get stuck with the tab.
Both candidates are enthusiastic proponents of bond initiatives:
"If I'm elected mayor, you're going to see as much or more progress as you've seen" in recent years, Bowers said.
Musser said there was no limit to the number of development projects in which the city could participate. "It's new money, in effect," he said. "We can do that all along, provided our estimates are correct."
The Dominion Tower, built by Charlotte, N.C., developer Henry Faison, is the most visible example of the city's effort to foster development.
The city effectively gave Faison land for the building at Jefferson Street and Salem Avenue. Faison paid $1 million for the property, but the city provided site preparation work of roughly equal value, including the demolition of the Jefferson Street leg of the Hunter Viaduct.
In addition, the city paid $10.3 million to build a 727-space parking garage, part of which makes up the first six floors of the Dominion Tower. The city paid for the garage with $5 million in cash and $5.3 million in 20-year bonds.
The annual $525,000 debt service will be repaid with $400,000 in new taxes generated by the Dominion Tower and $125,000 in parking fees.
Brian Wishneff, the city's director of economic development, said the parking fees are running ahead of estimates. The city needs monthly rentals for 180 spaces to break even. There will be 270 spaces rented beginning March 1, Wishneff said.
Bowers and Musser say they both support the Dominion Tower, but they disagree sharply over how the project came about.
Bowers called the agreement with Faison a "back-room" deal that left city residents little voice in the decision. He called it a "sweetheart" deal for Faison and Dominion Bank.
"I think the people are somewhat ambivalent over the Dominion Tower," Bowers said. "I think they are pleased to have a new skyscraper downtown. I think there's still some resentment that it was a `done deal' that was made prior to the public being told."
Musser said there was nothing unusual or nefarious about city officials settling the details of a real estate deal in closed meetings. "Anytime someone wants to come in and do something for the city, it's got to be done in the back room," Musser said.
Musser accused Bowers of playing politics with the Dominion Tower project by supporting many preliminary votes on the deal and then voting "no" at the end.
Keywords:
POLITICS