Gurnee village board trustee candidates address financial incentives for business, property tax

Financial incentives as a tool to attract business and the practice of not levying a local property tax are among the issues addressed by Gurnee village board candidates.

Voters will sift through five candidates running for three, 4-year village board trustee seats in the April 7 election. Three trustees - Greg Garner, Cheryl Ross and Steve Park - will be on the ballot with newcomer Eric Sindermann and Terry Waddell-Moenter, who fell short in the 2013 village board race.

All five candidates made a joint appearance at a recent Daily Herald editorial board interview to answer questions on village issues.

None of the candidates favor Gurnee seeking more revenue by returning to an annual property tax levy. Gurnee has not levied a property tax since 2000, when the village created a local sales tax.

Some differences among the candidates emerged on the topic of offering financial incentives to lure businesses to Gurnee.

Elected officials this week unanimously approved a maximum of $1.5 million in sales tax rebates over five years to bring technology first AKHAN Semiconductor Inc. to town. The opening of Macy's at Gurnee Mills in 2013 was achieved through the village borrowing $10 million to help with mall upgrades that were used to attract the retailer.

Ross, who's been on the village board since 2007, said the tax incentives should be done on a case-by-case basis. She said she prefers a performance-based package, such as what was used to attract AKHAN, because the village will only rebate sales tax to the company if it performs.

"It depends on the business, if it fits into the type of things that we're looking for and if there is no detriment to the village," Ross said.

Sindermann said he does not favor offering inducements to lure or retain companies in the immediate future because governments across the board appear to have shaky financial conditions.

"Never on the back of the taxpayers," Sindermann said of economic development incentives.

Waddell-Moenter said she'd be "cautious and leery" about using financial incentives to bring companies into Gurnee. She said she stands by the position she took two years ago about not wanting to set a precedent with the Macy's deal.

"We have to be really careful and not open Pandora's box," Waddell-Moenter said.

Park, a Gurnee trustee since 2011, said economic development incentives should be used in Gurnee if they are properly created, defined and analyzed. He said the financial packages should be treated as an investment by the village in companies.

"We cannot rest on our laurels," Park said. "Too many people, even at good locations, have tried that and have not succeeded. And recessions or not, businesses will leave and/or won't come."

Garner, who was appointed to the village board by Mayor Kristina Kovarik in 2005 and failed to unseat her four years later, said he supports business incentives with conditions.

"It must be structured properly," Garner said. "And it has to be in the form that provides guarantees on returns on investment for the village or the taxpayers' dollar."