Members of the Crestwood Board of Aldermen are hoping the third time’s a charm as they once again are contemplating issuing a request for proposals to redevelop the southeast corner of Watson and Grant roads.

After Ward 3 Alderman Jerry Miguel raised concerns about a downtrend in sales-tax revenue at a meeting of the Board of Aldermen last week, the issue of redeveloping the southwest corner of Watson and Grant roads resurfaced as the meeting drew to a close.

Alderman voted June 22 to have city staff draft a request for proposals to redevelop the corner of Watson and Grant roads that

would seek a mixture of residential and retail development. As proposed, any retail component would be designed to primarily serve the residential aspect.

The draft request for proposals could be considered by the board when it meets at 7 p.m. Tuesday, July 13, at City Hall, 1 Detjen Drive.

The Board of Aldermen previously has issued two requests to redevelop the 18.79-acre site that is comprised of two parcels at Watson and Grant roads. The larger of the two parcels contains Value City and is owned by Joe Grasso, while the smaller parcel contains the Creston Center and is owned by the Boegeman family.

In response to the city’s first request for proposals issued in April 2002, two proposals were submitted — one from the Jones Co. and one from Mills Properties. The Jones Co. later withdrew its proposal and the Board of Aldermen voted in March 2003 to name Mills Properties as the preferred developer of the site. Mills had proposed a $37.1 million development that would include about 240 luxury apartment units and 19 luxury condominiums. The second request for proposals was issued last fall to satisfy a recent amendment to a city ordinance regarding the use of urban redevelopment corporations and Mills Properties submitted the only proposal.

At the urging of City Administrator Don Greer, the board voted in September to withdraw the request for redevelopment proposals for the southeast corner of Watson and Grant roads and to establish a moratorium on aggressive redevelopment. Since then, city officials have conducted four interactive seminars about redevelopment, engaging residents and business representatives in a dialogue about redevelopment issues. In March, aldermen voted to direct city staff to research redeveloping the southeast corner of Watson and Grant roads.

Near the end of last week’s meeting, Miguel raised his concerns about declining revenues and the funds available in the capital improvements fund to use for streets. Using an operations report to make a few projections for the capital improvements fund, Miguel noted a “serious downtrend” in sales tax revenue despite the Sam’s Club and the new Kohl’s Department Store.

“… If the downtrend continues, and I sincerely hope it does not — I hope the downtrend reverses itself this year. But should the downtrend continue, with the current expenditures, we are down to 8 percent of capital improvement funds for streets at 2009,” Miguel said. “So I would like to paint a prettier picture, but I think we need to take a serious look at where our revenues are headed before we make — and that ties back to my expectation for, my expectation that a reconstruction of the current police facility would come in at approximately half of the cost of the new building because that would allow us to half the amount of the COPs, which would release dollar for dollar to the street program. So you have to determine if this projection is realistic or not and then act accordingly.”

After being recognized by Acting Mayor Richard Breeding, Ward 2 Alderman Tim Trueblood said, “First a question, if I could, and then comment, if that would be all right with you, acting mayor. My question to Alderman Miguel is what do you want to do about this decline?”

Miguel said, “I think that’s an important subject. I don’t have any quick answers for you.”

Trueblood said, “My comments, then, please. Two, three years ago, we were aware of what you have just told us tonight. The mayor at that time, Jim Robertson, came before this board with a long-range project and study to improve the sales-tax base revenue for the city of Crestwood by rejuvenating our retail section along Watson Road, starting with the section at the furthest east of the city, which, because it was outside of the original boundaries of the city limit, in other words, the annexed area, the sales-tax revenue produced there was not brought back into the city at the same rate as it would have been if it had been one block further west inside the former city limits of Crestwood.

“That area was where Value City is and the Creston Center are located. Our proposal was starting there and working our way west, recognizing what you’ve just brought to our attention tonight that sales-tax revenues have dropped. That since the sales-tax revenues from that location realistically were nowhere near or at best … were not near what they could have been … the best bang for our buck was redevelopment and putting that into housing, which increases population, which gives the city a bigger share of their money back that we pay into the coffers of St. Louis County for our general fund,” Trueblood continued.

“Now this is the fifth — at least — time I think I’ve said this: Our revenues started to decline when that revenue sharing program came about through the county, it was passed. That’s when we had to pass the separate issues that were before us today for street improvements, stormwater, parks, capital improvements, in other words, and the Fire Department. Prior to that, the city did have the ability to meet its needs reasonably based on our sales tax. But when we took that sales tax off the top, our population now determined more what we were going to receive on the sales-tax area outside the original portion of our city, i.e. the annexed area. Most of you are aware of what happened when we attempted to redevelop that corner. Are you?” Trueblood said to Miguel.

Miguel said, “Yes I am.”

Trueblood said, “Are you aware that we have not redeveloped it two years later and it still stands there and the population has gone down there since or the population of the city has continued to decrease and we’re still not addressing anything that three years ago we knew needed, needed to be done. What I would suggest would be our — this board revisit the redevelopment plans that were brought to us three years ago when we were first made aware of this. That’s where I would start because we knew it.

“I find it very difficult, very difficult for me to react to this as if it’s new information. Is it new to anyone in this room? I hope it’s not, but what may not be new to anybody in this room is the fact that the organization that stopped this, the Crestwood Smart Growth Alliance, is a business owned by Mr. (Kelley) Isherwood and its membership of which we were promised to have the names and numbers — twice — has never been provided to us. That Mr. Isherwood told us he was doing it for nothing and later reported to the newspapers he was being paid for it. And then Mr. Isherwood has meetings of the Crestwood Smart Growth Alliance in the Creston Center, which is owned by the Boegemans, who were opposed adamantly to our attempt to redevelop that.

“And at those meetings were Mr. Miguel, before he was elected and after; Roy Robinson, running for mayor; Mr. Boegeman; Roger Anderson; and the son of former (Rep.) Jim Murphy, Jimmy Murphy. I find it very difficult for you to sit there and tell us that we should be worried about this when you were in the very meetings of an organization that I believe stopped our growth on Watson Road. Thank you,” Trueblood concluded to a round of applause.

Ward 3 Alderman Don Maddox said, “My personal opinion is that that project is a project that was going no place and would not have been developed today, yesterday or tomorrow. That particular project the developer had made no effort to obtain the property, contact the owners of the property to eliminate the outstanding lease on Value City. I frankly think that what Mr. Miguel has provided for us is a clearer picture and a warning, you know, something that we need to be aware of. One of the problems that this board has had in the past is simply not being aware of details that are very important to our considerations of what we’re spending and where we’re spending it and when we’re spending it. So that I frankly consider those comments that were just made to be pretty much irrelevant to our present situation. They’re not relevant to the present situation. We’ve got to move forward with what we’ve got and that’s where I stand on that particular thing.”

Ward 4 Alderman Tom Fagan said, “… I guess I would respectfully disagree with my colleague Alderman Maddox … about the redevelopment proposal by Bruce Mills. I don’t know that what he said, it wouldn’t be here because he hadn’t done certain things, I can’t agree with that and I’d be interested to see if he or anybody else is interested in redeveloping that corner and other parts of the city. It seems to me that we have to make some changes — that Crestwood mall along with all the other malls or a lot of the other malls in the St. Louis area and in the country aren’t performing as well as they used to. So if that’s going to be the case and the trend’s going to continue, we need take pro-active approaches to get other revenue sources in …”

Miguel later said, “I started attending board meetings here a little over a year ago when the Mills’ proposal hit the papers and I saw that the proposal was for 240 apartments, plus 19 condominiums. In my opinion, those condominiums would have become additional apartments. I did not feel that was the appropriate development for that area and I still hold that opinion. I came to the board meetings and I protested that development. Shortly thereafter, or just about the same time, the financial situation about the merchant license revenue hit the paper. I asked this board a number of questions and I got no answers …”

Miguel later said, “I am not — I will repeat, well, I am not against redevelopment of that property. I am against a large apartment complex. If an office complex or a medical center or a senior center had been proposed, I would be for it. If an apartment complex is proposed again, I will be against it in the future. I am not a member of CSGA, have never been, have no intentions of joining. I do agree that development is critical for the city of Crestwood and I will do everything that I can in that regard.”

Fagan later said, “… We have to come up with something and what is there now is not in my personal opinion, does not benefit the city and redevelopment of that corner even with apartments — high-end apartments — will be a plus for everybody — the point of sale issue, you take away commercial, you add new residents to the city of Crestwood. I think it’s a win-win-win, even a win situation for the current property owners because they’re going to walk away with a premium for their price no matter what their posturing is in these public meetings. I’d like to see us move forward with some redevelopment or issue — correct me if I’m wrong, (City Attorney) Rob (Golterman), we’d have to go through and issue another RFP for that particular property and I think it’s wise that the board either does that or considers seriously moving forward in that step because something needs to be done and I think it just sends the wrong message to be, frankly to be buffaloed by a vocal minority of people.”

Breeding asked, “Is that a motion?”

Fagan said, “So moved.”

Several alderman seconded the motion, which then was approved.