The Statutory Committee for the University North Park Tax Increment Financing District No. 2 voted unanimously at its Tuesday meeting in favor of spending $7.75 million of TIF funds as the City's portion of a proposed $13.6 million Rock Creek overpass over Interstate 35.

The $7.75 million had been committed for purchase of a conference center being built in conjunction with the Embassy Suites Hotel by John Q. Hammons.

Hammons wrote to Mayor Cindy Rosenthal in a Feb. 25 letter, suggesting the City not use its option to purchase the conference center for $15 million and a $1.5 million contingency and build the Rock Creek overpass.

That would leave $8.75 million that could be spent for project costs in the TIF No. 2 district. What the committee wants to do with those funds still remains to be seen.

City councilmembers had forwarded to the statutory committee a proposed amendment to take $4.375 million of that amount out of the TIF District, reducing it to about $50.3 million.

But there was a large difference of opinion among committee members about the lack of specificity of what the $8.75 million could be spent on, with committee members wanting that language improved and voting to postpone the matter to a future meeting, yet to be scheduled.

Committee members objected to language of one of the objectives of the amendments to the project plan, "To construct or otherwise support public infrastructure that is not otherwise provided for herein and is not considered a normal and customary obligation of the developer, and that will benefit not only the project area but also the health, safety and welfare of the City as a whole."

Composition of the statutory review committee is dictated by state law.

It includes Theresa Dickson, Pioneer Library System; Dr. Joe Siano, Norman Public Schools; Peggy Stockwell, Cleveland County Health Department; John Hunter, Moore Norman Technology Center; Denise Heavner, Cleveland County assessor; and Ed Adwon, Norman Planning Commission.

Siano said he had concerns about reducing the amount of the TIF because of increases in construction costs and the projects only having a 10 percent contingency included. He expressed concerns because of increases he's seen in costs for construction in the NPS system.

"Why is this decision important at this stage this early in the project?" said Hunter. "My only concern is that it's a lot easier to leave it in now, than to put it in later."

Larry Edmison spoke on behalf of the Citizens for Financial Responsibility. He said he supported building the Rock Creek overpass.

Edmison reminded the committee that the way the TIF was originally conceived was only to fund traffic improvements.

He said if the whole $8.75 million in leftover funds were taken out of the TIF, it would reduce the payout by four years, from an estimated 16 years to 12 years.

Edmison said taking the entire amount off would help build trust with the public.

"I think the message you send to the citizens is a very important message," he said.

Former councilmember Richard Stawicki called the line item allowing funds to be spent on "the health, safety and welfare of the City as a whole," a "nebulous line item."

"A storm drainage system will not affect the success of the TIF," Stawicki said. "When you still play this game, you lose the public trust."

Dickson said she does have some concerns about the non-specific language.

"I don't have the same distrust, but I do have some concerns," she said.

"If we say yes to this and if we say no to this, does it make any difference?" Hunter asked.

City Attorney Jeff Bryant said the state statute gives some latitude to the statutory committee.

The Planning Commission will consider if the amendment is compatible with the Norman 2025 Land Use and Transportation Plan at its Thursday meeting.

If the statutory review committee votes to change the TIF amendment forwarded to them from council, the council has the option of approving it by a simple majority vote, Bryant said. If councilmembers want to change the amendment from what the statutory committee sends back to them, it would take a supermajority of a 6-3 vote.

Carol Cole-Frowe 366-3538 ccole@normantranscript.com