Downtown revitalization and lake cleanup are expensive projects that need a funding mechanism.

Wednesday, October 17, 2001

Downtown revitalization and lake cleanup are expensive projects that need a funding mechanism. Destination Albert Lea thinks it has the answer.

The group, formed earlier this year to promote Albert Lea’s historic downtown, decided Tuesday to approach the city council with a local option sales-tax proposal. If the council is willing to pass a resolution, the sales tax idea will go to the legislature in January for permission to put the measure on the November 2002 ballot.

But ultimately, the voters of Albert Lea must approve the tax for it to take effect in 2003.

The 1 percent sales tax over a twenty-year period could generate more than $2 million per year for lake projects and downtown renewal, said Destination Albert Lea member Randy Erdman.

&uot;I think it boils down to this: Albert Lea has tremendous growth potential, but if you want a first-class city, you’ve got to pay for it,&uot; Erdman said.

The organization has listed a series of general projects that the sales tax would fund.

Downtown revitalization:

Preserve and utilize historic buildings

Enhance cultural opportunities

Attract new businesses

Improve downtown’s appearance

Draw more out-of-town visitors

Lake projects:

Improve water quality

Enhance recreational opportunities

Reduce shoreline erosion

Stabilize water levels

Other actions to improve the condition of the lakes

The group is suggesting the revenue from a local option sales tax be split 65-35 between the lake projects and downtown projects respectively. Erdman said revenue from the tax would be supplemented with local contributions and state and federal grants.

&uot;That’s one role our organization can play. In addition to promoting the tax over the next year, we can continue to look for other sources of funding,&uot; he said.

According to Destination Albert Lea Secretary Mary Ellen Johnson, the group has researched how other Minnesota communities instituted a local sales tax. Mankato, Rochester, Duluth, New Ulm, Winona, Wilmar and many Twin Cities communities have used the taxes for a variety of specific projects from flood control to new libraries and other civic improvements.

&uot;We’re not going to try and reinvent the wheel with this,&uot; Johnson said. &uot;We are learning what has worked well and what hasn’t.&uot;

Karen Trow, one of the organization’s founders, said the sales tax idea will be &uot;a shot in the arm for Destination Albert Lea and the entire city.&uot; But to keep moving forward, the proposal must get legislative approval in the next session to appear on the November 2002 ballot. Waiting any longer would delay the entire the proposal until 2004.

&uot;We want to keep the momentum,&uot; Trow said. &uot;We can’t wait that long. It’s just too important.&uot;

Trow said Destination Albert Lea does not intend to divert any attention from the school district’s request for an excess levy referendum which appears on this November’s ballot. She said the two measures are not competing, and actually complement each other.

&uot;We’re all supporters of the (school) referendum. The schools are just as important to the future of Albert Lea as our lakes and our downtown,&uot; she said.

Trow said the group took a vote at the conclusion of the meeting which showed unanimous support for the referendum.

&uot;We feel like we have a better chance of retaining our young people if we can start to improve the lakes and downtown. We all want our kids to stay or return to the area with their families,&uot; she said.