Needed: A Long Term Solution

Nuclear Fuel Storage Casks staged for loading - Zion, December 2012 Author's Photo

 Today, I have been reviewing the press coverage of  Congressman Dold's bill, "The Stranded Nuclear Waste Act", HR-5632-press-release, and while I applaud the fact that this problem is finally getting some serious attention from our federal representative, I am skeptical that the bill will actually be passed during this session.  Beyond that, I don't feel that the proposal goes far enough to address the long term impact of the storage site on the City of Zion and the surrounding community.

The biggest fault is the fact that there is a seven year limit on the compensation. The reason given, is to prevent the community becoming reliant on federal dollars, and supposedly to prompt Congress to take action on the storage problem. Now, the projected $15 million a year compensation is not inconsiderable, but when measured against the projected lifespan for the nuclear storage casks of 50 years or more it's not that much. As for getting Congress to move on a problem because it might cost a few hundred million over a few years ignores history and reality. Even with a best case scenario, in which Yucca mountain opened tomorrow, I have learned that it might take up to 30 years to move all the stored fuel to another site. The fact is the fuel isn't going anywhere for quite some time.

The second problem I have is with the statement from Mayor Al Hill, that his hope is that these funds will allow the city to lower taxes, which will hopefully draw economic development, and kick-start a cycle of development that will improve the economy and ease the tax burden.  As a theory, I think that is a worthy goal.

I would like to propose a better idea, rather than hoping to lower taxes for businesses, let's actually lower the taxes for businesses!

In fact, I already proposed this idea over a year and half ago during my campaign for Commissioner. From my blog post: "Candidate Questionnaire Sneak Peek", Fischer for Zion - February 2015 

Q. Briefly explain how would you address the high taxes in Zion? 

Q. Briefly explain how would you address economic development in Zion?

A. I propose that the city apply for Enterprise Zone Status under the Illinois Enterprise Zone Act, to give us access to special tax and regulatory incentives for businesses.  I also propose that the Act be amended to include the Nuclear Fuel Storage Facility in the same criteria as an abandoned coal mine, or brownfield site, and the Enterprise Zone status should not expire until the spent fuel is removed from our Lakefront. These proposals provide practical means towards growing our local economy while helping reduce homeowner taxes, and obtaining some compensation for the detrimental impact of the nuclear storage site on our community.

 Since I made that proposal, there have been more cases where a business considering locating in Zion has instead gone to Wisconsin or elsewhere because Zion couldn't offer the kind of tax incentives to be competitive. No matter what the outcome of the proposed bill, we still need the leverage of an Enterprise Zone to compete with cross border competition.

Another issue that was mentioned in the press conference, is the increasing rate of poverty in Zion, reflected in the unbalanced proportion of rental property to homeowner occupied which is now 60% to 40%, and the highest number of Section 8 housing in Lake County.

To address the housing problem, and the long-term economic impact on the city, I would propose the creation of a special Homestead exemption for tax assessments that would be tied to the Nuclear Storage Site, similar to what I have proposed for the Enterprise Zone. Just like the existing special exemptions for Veterans and Seniors, this would be an additional exemption for residents living in Zion, Winthrop Harbor, and Beach Park, in order to compensate for the economic impact of the Storage Site. Added to that, there should be an additional incentive exemption for first-time home-buyers that would be available for the first two years in order to encourage conversion from rental properties to ownership.  After that, as long as they qualify for the standard Homestead exemption, they would receive the additional Nuclear Homestead exemption.

As I stated above, seven years of cash payments isn't bad, but before everyone gets caught up in what can be done with that money (which we don't have yet), let's not lose sight of the long term needs and how we can address them.