The pursuit of extraction and removal in Meacham Park and Ferguson
1992 – Annexation of Meacham Park by Kirkwood by 3-1 vote within the cities. Implicit was the notion of
“re-development.” Resulted in paving of 36 acres for a shopping mall, including Wal-Mart.
Promised 85 new houses, delivered 6.; no community center; residents suddenly had condemnation notices on buildings they thought were under negotiation. “What kind of plantation do they think they have out here?” Several means of access to Meacham Park were reduced to two.
Cookie Thornton was led to believe he would get some construction projects out the the deal. (Black Capitalism)
Project 2000 – Cookie’s mentoring of young children
2001 – Councilman Ken Yost approached Thornton, who threw straw at him. Yost called police and Thornton convicted of assault.
Fines for parking his vehicles; improper signage for jobs; improper posting of work permits, adding up to $20,000.
February 7, 2008 – Murder of Bill Briggs by Cookie Thornton; 3 members of City Council, including Ken Yost.
“New Federalism” :Block grants were delivered by federal government with all the decisions of spending done locally. “Community Development” block grants intended for low to moderate income residents. 50% spent for business owners or gentrification. As much money in the city’s wealthiest four wards as the poorest twelve.
1980’s – lots of consolidation, with big companies buying out smaller ones. Defense contractors laying off employees in St. Louis.
In 1990’s selling off of Ralston-Purina, Anheuser-Busch, Monsanto (2018).
Chaper 353 Urban Redevelopment Act – tax abatements for those who developed “blighted”areas of the city.
- Laclede’s Landing – downtown entertainment district
- Union Station
- Washington U. Medical Complex
- TWA Dome–> Edward A. Jones Dome—>America’s Center
- Sports dome for the LA Rams, which the city did not keep up to Kroenke’s satsifaction
Tax Abatement to corporations reduced a progressive tax, i.e. property tax
- removed Black homes in Mill Creek Valley
- Maline Creek (Kinloch), North Webster Groves, and Elmwood Park
- Land Reutilization Authority seizes 12,000 properties in North St.Louis for lack of paying property tax
- while commercial property is tax exempt
- Between 1997 and 2008 Chapter 99, 100, and 353 allowed the “blighting,” and re-developing 900 parcels of property around town.
- Express Scripts received $63 million in tax abatements to build its complex in Normandy
- Normandy Schools are strapped for cash because of this
Tax increment financing – cities sell bonds on behalf of developers. The covered district has its property taxes frozen.
Sales taxes were regressive and fell on the poor.
Tax increment financing – cities sell bonds on behalf of developers, paying for feasibility studies and all other costs of development. Revenue earned by development pays the bond back. “but for”the intervention of developers . . . .
2107 study by the “Show-me Institute” estimated 80% of the $700 million in TIF spending in the last fifteen years had been spent south of Delmar Avenue.
2018 – Paul McKee promised to rehabilitate 154 buildings in a 2009 application for TIF’s and only two had been built. City terminates deal with Northside Regeneration and condemns buildings.
Tens of thousands of houses “unfit for human habitation” owned by speculators looking to improve their investment, but not by improving the property.
Dominance of Payday Loan companies on northside. Companies charge 500% interest per annum and keep borrower on the string with weekly interest payments. 2002 law caps interest at 75%. Twice as many payday loan companies in Missouri as McDonald’s and Starbucks combined. A St. Louis resident made a $100 loan in 2006. By 2009 she owed $912.50. Finally she reached a settlement of 25% on her lifetime earnings.
The Subprime loan business entrapped many Black families in Ferguson and suburbs beyond. In 2008 the load crisis destroyed one-half the Black wealth in the United States.
August 5, 2014 Emerson Electric announces third quarter sales of $6.3 billion. 1/4 mile to the northeast, Darren Wilson shot Michael Brown four days later.
Other TIF industries in Ferguson: Home Depot, Walmart, and Sam’s Club.
Regressive taxes – 60% of taxation; Property taxes – 12 % – indenture of municipal govt to corporate development. City operated on municipal fines and funds from the Parks budget to dissolve deficits.