Bloomington Approves Ashley Furniture Tax Incentive
By: WMBD/WYZZ TV Newsroom
Updated: June 12, 2012
BLOOMINGTON-A Bloomington business says the city is
giving a competitor an unfair advantage.
Aldermen tonight approved a sales tax incentive for
a new Ashley Furniture store in Colonial Plaza.
The store will get up to one hundred fifty-thousand
dollars in tax rebates over five years.
But first it will have to generate that money in new
sales.
If it doesn't or the store goes under there would be
less incentive and Bloomington could get money back.
Still the owners of Rooms Direct say the deal creates
an unlevel playing field.
They say they asked for financial help in 2006 but were denied.
Rooms
Direct Manager, Chuck Montgomerie said "They're not going to expand the market.
They're just going to give rebates to a new retailer and lose tax dollars from
an existing retailer. It's robbing Peter
to pay Paul."
The
city says the incentive is needed to help revive colonial plaza and fill a gap
in the furniture market. Ashley expects to create nineteen jobs upfront.
