East Bluff Neighborhood Housing Services, Incorporated

In the Peoria City Ordinance No. 11,939 established on April 18, 1989, the Peoria City Council set forth a Special Services Area for the East Bluff of Peoria to add a special tax to the East Bluff Neighborhood Housing Services, Incorporated for the specific purpose of providing neighborhood services which "are in addition to those governmental services generally provided by the City of Peoria throughout said City." (paragraph f). Paragraph (g) goes on to state "That the Special Service District will provide the East Bluff Neighborhood Housing Services a portion of the resources required to continue their efforts to maintain the character and stability of this neighborhood." Paragraph (h) is where we now find a great disparity between what was and what is the East Bluff Neighborhood Housing Services, Inc.
(h) That the East Bluff Neighborhood Housing Services, Inc. has a proven track record in providing neighborhood services, including:
I) providing low interest loans (1/2% to 9%) through the administration of a $300,000 dollar revolving loan fund [The EBNHS, Inc. has provided no such loans to any East Bluff Residents in the last 3 years]
II) neighborhood paint-up program which provided paint for 215 homes in the East Bluff [no such program exists at this time]
III) Neighborhood landscaping efforts [no such efforts exist at this time]
IV) encouragement of home ownership through one half million dollars in low interest mortgages secured through IHDA [Again, to my knowledge, no such program is in existence, nor does the EBNHS, Inc. intend to conduct such services]
V) extended code enforcement efforts through an advocacy role with existing city code enforcement efforts [again, no such effort exists]
VI) neighborhood planning, through liaison with the city departments and committees [you guessed it, does not exist]

So if the EBNHS,Inc. is not providing any of these services, what exactly are they doing?

They are collecting tax dollars from the citizens of the East Bluff to purchase housing in the East Bluff (they own four units, including the house on Wisconsin used as their office/headquarters) for the stated purpose of "rehab for resale", but since the city has declared the East Bluff a "blighted" area, coupled with the increased crime and vandalism rate, the value of these properties has made it impossible to sell them, so the EBNHS, Inc., a Not For Profit Corporation, is now in the business of renting property.

According to their original articles of incorporation, filed March 5, 1986, the EBNHS,Inc. is to have no paid officers, members, or Directors (paragraph 4.b). Yet the proposed 2011 budget allows for a Salaries of $38,563.20 with a Fringe allowance of 12% for an additional $4,627.79, which comes to a total of $43,191.00. Seeing as there is only one Executive Director, in the person of Peggy Shadid-Joseph, I am assuming she is the recipient of that salary. Now since she also resides in the building owned by the EBNHS,Inc. on Wisconsin Avenue, I'd say the perks are going pretty good for a person who is apparently unable to fulfill her duties. The Website is not up to date, the paperwork is not filed correctly, and in some cases not at all, and her hours of operation apparently are at her discretion.

Since the City of Peoria has seen fit to designate our area as "Blighted", thus causing our property values to plummet, and since the City has also chosen to add an additional tax to our area through the designation of a TIF area, I'd say the EBNHS,Inc. is a superfluous entity that no longer needs to be in business, and certainly no longer needs to be funded by the citizens of the East Bluff. The stated purpose of the TIF is to rebuild the East Bluff through grants and low interest loans to the residents to improve their properties, and also to improve the local business and infrastructure through additional funds raised in the TIF. To continue to utilize the Special Service District to duplicate the efforts of the TIF is ludicrous.

Bits and Pieces

Okay, first of all a minor point. I noticed yesterday morning (April 6th), C. J. Summers had removed his sign from my yard. This morning I removed George Azouri's. Hint, hint to all you candidates. Beth, I notice a lot of your signs are still out there. Might want to get this taken care of.

On to bigger fish to fry. Aaron Schock and his recent flip flop on the TIGER II funding reeks of classic doublespeak. I mean, hey Aaron, pick a side and stand by your decision, regardless of the outcome. You told us we were wrong in planning to spend money we may not receive (which I agree with, by the way), then tell us how wrong it is for Congress not to give us the money. Please, bubba, get your story straight, and while you are at it, start thinking for your self instead of being led around by the LaHood regime. Introducing a bill to have all farm equipment meet particular vehicle codes when the incidence of accidents is around 200 a year? In a year when we are facing massive budget cuts and a national debt so large that most people cannot fathom it? Aaron, let's work on the real problems and leave the minor stuff for later.

EBNHS, Inc. is on hold for the moment, but not forgotten. Still waiting on some information from my sources (former board members) and the 2010 audit from the EBNHS, Inc.

Seems my work with the Transparency in Government project being sponsored by Bill Lopotko and the Peoria 9/12 group is going to take up a bit of my time, along with my role as speech writer and media representative for Matthew Woodmancy for Congress 2012. By the way, if you haven't seen his Facebook page, you might want to take a look. With the redistricting in the state of Illinois, the Democrats are going to have a real shot at getting a candidate in to replace either Aaron Schock or Representative Schilling, depending on how the change is made. Since the Democrats are in charge of making the changes, and the incumbents will be forced to run against each other for the nominations in the primaries, a sold Democrat could make a real run at it.

Just got my copy of the agenda for next Tuesday's Council meeting, so I haven't had the opportunity to go over it in detail, but something must be up if the City Council is going to consider passing an ordinance to shut down Club 307. I'm not aware of any other "swing" clubs in the area, but if they are the only one, it seems like a lot of smoke and mirrors to cover up another move. Wonder what I will find when I go through it.

I'll be down at the Solidarity Rally at the courthouse at 5 pm today to support the fine men and women who represent our local unions. I'll be the guy in the leather "Highlander" jacket, so if you are there and see me, say Hi.

More to follow.....

Some tidbits of note

First of all, a bit of news about something near and dear, mainly my job. As of the close of business today, Neil Norton Cadillac (where something GOOD is going to happen to You!) is no more. We will operate at the Neil Norton site until April 1st, when the lot will be closed by the Uftring group for renovations. Cadillacs will be added to the line at the Jim McComb facility, until the renovations are completed. Then the lot will reopen as Uftring Cadillac Chevrolet. Some familiar faces will remain, others will not, but the level of Cadillac service and sales will not be impaired. As a matter of fact, this should be a good move for all.

C. J. has been hard at work at the Peoria Chronicle, providing some maps on growth in Peoria over the last 10 years. His article shows the necessity of preserving and reclaiming our older, urban neighborhoods. We simply cannot continue to expand in all directions [mostly North] and allow people to build their own communities in the suburbs. We need to restore our bluffs and make them safe for our children. We need a tax base that will support our schools, and we certainly need to restore our infrastructure. Basic services is the campaign issue at hand, folks, and we need to elect people who will support and develop our vision of the future in that direction.

Incidentally, I have been working with Matt Woodmancy, who is going to try to get the Democratic nomination to run against Aaron Schock in the next Congressional election. He is a careful thinker, a native Central Illinoian and merits your consideration. There is a [scheduled] rally in Liberty Park on April 15th in the afternoon [6 to 8 pm] to raise awareness to the issues and introduce himself to the local citizens. You might want to look into it.

Also, can't emphasize enough how important this Transparency in Government program will be to helping candidates like C.J., Beth, and Chuck the information from an informed constituency. Lakeview Museum, April 21st, 6 pm. My previous blog gives all the details.

And last, but certainly not least, wasn't today a lovely day?!

Quick note of Congratulations and notification of Transparency in Government meeting.

Well, how about that? The Peoria Journal Star did their research and concluded what others and I have been telling you for a couple of weeks now. C. J. Summers, Beth Akeson, and Chuck Weaver have all gotten endorsements from the Journal Star, while Spain and Turner are the people to remove. Rather than repeat their already informative and well-researched articles, which are available in today's paper as well as at pjstar.com, I'll just add my recommendations for all three candidates as people who have exceptional skills and a real desire to return to a constituent based vision for Peoria. We need council members who will consider the desires of the citizens first, not empire builders with some esoteric vision of what the future could be. We need to get our crime problems solved, rebuild our infrastructure, and get our school district back on track before we worry about other problems. We also need to listen to the citizens who want the council to respond accordingly when an overwhelming number of citizens say NO to sweetheart deals, back room politics, and outright cronyism. We need fresh blood and fresh ideas to help Councilman Sandberg on the council.




Transparency in Government

Now that the rant is out of my system, another announcement for you all. Brian Costin of the Illinois Policy Institute will be the guest speaker at the monthly Peoria 9/12 Project on Thursday, April 21st at 6 p.m.. Doors will open at 5:30 and the meeting will begin at 6 p.m. The subject of the talk centers around making local government transparent to the voters and citizens.

A short biography of Brian Costin

bcostin@illinoispolicy.org

Brian Costin joined the Illinois Policy Institute in January of 2010.  Previously, he worked for the Heartland Institute as assistant director of government relations. Brian has been active in the Institute’s Liberty Leaders project, which he now leads, and founded the Schaumburg Freedom Coalition, where he won the 2010 Government Watchdog Award from the Sam Adams Alliance for his work exposing government waste & fraud in his hometown of Schaumburg.

Brian graduated with distinction from North Park University where he received a Master in Management of Nonprofit Administration. While attending North Park University, Brian worked for UPS in operations management and business development. As an undergraduate at Illinois State University, Brian completed a Bachelors of Science degree, double majoring in Economics and Politics & Governance. 

Brian’s work has earned coverage from national and state media outlets, such as the Wall Street Journal, Chicago Tribune, Daily Herald, and Chicago Tonight.  He is a regular guest on the nationally syndicated television show First Business and the Mornings with Ray Hanania radio show. 

Click here to view policy reports, articles, and other work by Brian Costin. 

Bill Lopotko and I will be on hand to accept volunteer applications for learning more about how you can be involved in helping to create a more easily accessible government here in Peoria.

East Bluff Neighborhood Housing Services, Inc. - A Not For Profit Agency?

About ten years ago, my wife looked into a low-interest loan from the EBNHS, Inc. We applied and received a loan for $20,000.00 at 2% in order to do upgrades to our home, a new roof, new siding, replacement windows, and the rebuilding of the garage.
At the February meeting of the EBNHS, Inc. I asked the board members how many loans they had made in the last two years. Their answer? None.

So I started to dig around a bit. Seems the EBNHS, Inc. has changed their focus from their original intent. In the Articles of Incorporation dated March 5, 1986, the purpose of the EBNHS, Inc. was "To combat community deterioration and to secure decent, safe, and sanitary housing, community facilities and other related facilities, services, and conditions economic, social or otherwise, conducive to the progress and general welfare of the community by facilitating the rehabilitation of and the improvement to the East Bluff Areas of the City of Peoria:

(1) By the dissemination of information to the neighborhood concerning housing and community projects;

(2) By encouraging the participation of residents and businesses of the neighborhood in the formulation and implementation of improvement plans;

(3) By promoting the cooperation and coordination of such residents and businesses with public agencies, private agencies, private industries and such other entities as are available to aid in the purposes of the organization; and

(4) By assisting in the implementation of the improvement plans."

According to the By Laws of the Current EBNHS, Inc. approved on September 24, 2009, the purpose of the organization is now:

"to renew pride, restore confidence, promote reinvestment, and revitalize the EBNHS neighborhoods through the efforts of local residents acting in concert with financial institutions, corporate enterprise and the business community, foundations, and local government. These services may be extended to areas beyond the EBNHS' service area at the Board's discretion."

Now wait a minute! The funds that the EBNHS receives from the City of Peoria are collected from the East Bluff through a special services tax. So who are they to decide to send the money out of the area? After all, then intent of that money is, according to the original purposes, to serve the East Bluff. In fact, in the city ordinance that created the Special Service Area (Ordinance No. 11,939 dated April 18th, 1989 and signed by then Mayor James Maloof), the clear intention of these funds is to continue the work of the EBNHS, as follows:

I) providing low interest loans (1/2% to 9%) through the administration of a $300,000 dollar revolving loan fund

II) neighborhood paint-up program which provided paint for 215 homes in the East Bluff

III) neighborhood landscaping efforts

IV) encouragement of home ownership through one half million dollars in low interest mortgages secured through IHDA

V) extended code enforcement efforts through an advocacy role with the existing city code enforcement efforts

VI) neighborhood planning, through liaison with city departments and committees.

Seems the EBNHS has gone far afield of the concept held by the original framers. According to their 2011 Budget proposal, they will spend a total of $88,195.00, of which $43,191.00 will be spent on salaries and a 12% fringe benefits package. This means that 48% of their budget will be spent on salaries.

Is this upsetting? The original Articles of Incorporation show how far afield this organization has gone. They state:

"The Corporation [EBNHS] is irrevocably dedicated to and operated exclusively for non-profit purposes; and no part of the income or assets of the Corporation shall be distributed to nor inure to the benefit of its Members, Directors, Officers, or any other individual, except that the Corporation shall be authorized and empowered to pay reasonable compensation for services rendered to make payments and distributions in furtherance of the purposes set forth in this article; such purposes shall include the making of distributions to organizations that qualify as exempt organizations under Section 501 (c) (3) of the Internal Revenue Code of 1954 (or the corresponding provision of any future United States Internal Revenue Law).

Now I understand that by laws can be changed due to circumstance, like having 13 directors and only half of them required to be residents of the East Bluff. I can even understand having a part time director and secretary, and a loan officer, and paying them some reasonable compensation for their time, as long as they are not in the categories listed above. But what I fail to understand is how this board has decided that becoming landlords for rental properties or paying out 48% of their annual budget falls within the realm of their powers or the intentions of the original framers of this organization.

Since this Special Service Area tax is for the purposes already contained in the EVGC TIF proposal, why should we continue to fund an organization with taxpayer money when additional funds will be collected by the TIF to do the exact same work? Especially an organization that for the last two years, and possibly more, has not accomplished its stated goals.