NEWS

St. Paul Retailers Forced to Pay for Light Rail

Tom Steward •   October 15, 2014

ST. PAUL, Minn. — Just as St. Paul retailers began recovering from an average  30 percent loss in sales during the new $1 billion light rail line’s construction, dozens of businesses received a bill from the city’s Office of Financial Services for street improvements tied to the construction of the 11-mile-long line.

“I think it [stinks], but you have to pay for it, you know?” said Evangelos Hatzistamoulos, who received a $1,585.82 tax notice for the curbside work outside the Best Steak House.

Hundreds of St. Paul property owners were assessed about $2.3 million for their share of more than $16 million in upgraded street lighting, curbs and sidewalks. No wonder they call it the “Green Line.”

“I didn’t even open it. I handed it to my wife and said, ’You know what? Don’t pay it. Let them put it on the taxes for 20 years,’” said Skip Brist, owner since 1976 of American Radiator and AC, the last radiator shop in St. Paul, whose bill totaled $3,428.80.

The timing trips up small business owners still trying to claw back from the downturn in revenue during construction along the University Avenue corridor.

The 137-page list of assessments reveals even nonprofits and churches took a substantial financial hit. Examples include Deeper Life Bible Church ($16,587), Goodwill Industries ($14,743), St. John’s Hospital ($11,615), Lao Family Community of Minnesota ($10,715) and St. Paul YMCA ($8,400).

Various government entities were assessed a total of about $155,000 for the improvements. These included Independent School District 625 ($31,116), the Metropolitan Mosquito Control District ($23,787), Port Authority of St. Paul ($9,700), Metropolitan Council ($6,938) and the St. Paul Library ($5,700).

Companies with major properties got the biggest bills, including Menard’s ($35,230), Dayton Hudson ($19,758), Kline Volvo ($17,015), McDonald’s ($14,700) and Holiday Station Stores ($8,572).

One of the most expensive assessments of all went to the League of Minnesota Cities, a local government advocacy and lobbying group billed for $32,573.

Read more at Watchdog.org

 

 

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Tom Steward | Contributor
Tom Steward is a reporter for Watchdog.org, a national network of investigative reporters covering waste, fraud and abuse in government. Watchdog.org is a project of the nonprofit Franklin Center for Government & Public Integrity.

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