Blagojevich vetoes Hoffman Estates TIF district extension

Gov. Rod Blagojevich vetoed Monday a bill that would have extended a Hoffman Estates development district.

Hoffman Estates officials wanted the TIF district at Barrington and Higgins roads extended another 12 years in hopes it would generate money for a $100 million full-service hotel next to the Stonegate Conference Centre.

Officials say the hotel would have created 200 jobs.

"We're going to try to override the governor's veto and get the bill passed again," Hoffman Estates Mayor William McLeod said.

The TIF was established in 1986 and expires next year. McLeod said he wasn't told why Blagojevich vetoed the bill. The governor's office wasn't available immediately for comment.

"He's going to do what he thinks he needs to do," McLeod said.

The village was approached by a developer earlier this year who proposed building a Wyndham Grand Hotel.

Local taxing bodies, including Palatine-Schaumburg High School District 211 and Schaumburg Township Elementary District 54, supported the extension. Officials from the school districts said they would not suffer adverse financial effects from an extension.

The village also wanted more time to repay the $5.3 million TIF note to the developer, who paid for improvements within the district including the elimination of flooding and other issues.

McLeod said the village isn't obligated to pay that full amount back. Payment is determined on how successful a TIF district is, measured by how much tax money it generates. Since development has been slow within the district, full payment isn't required, McLeod said.

The bill was one of nine awaiting Blagojevich's signature since his arrest.