After the Thysse campus plan received what village administrator Mike Gracz characterized as rave reviews from the Plan Commission, he wanted to “show it off a little bit” at the Village Board meeting April 8.
The Thysse facility, which the village has agreed to borrow $1 million to finance will become “one of the signature buildings in the village,” Gracz told the Board before the campus plan and development agreement came to a vote.
The board signed off on the campus plan, but Trustee Jeff Boudreau objected to taking on the debt at a time when the village is committing less to the library than he would like and has major projects coming down the pike, including a senior center and village hall.
He voted against the measure, which passed 6-1, after commending Thysse’s role in the village from a business and philanthropic standpoint.
The borrowing is expected to be paid back from the tax-increment financing district it’s in as the project creates value and pays taxes to the district. CEO Jason Thysse has offered both a personal guarantee and a business guarantee that the money will be paid back, and the firm will pay the difference for the first few years, when the project isn’t anticipated to generate enough value to recoup costs.
The village has no lien on the project, but it has another layer of protection, as village attorney Matt Dregne put it.
The village’s money will go in alongside infusions from the project’s financer, Oregon Community Bank. That will help ensure the money is spent on creating a physical building, and the agreement calls for the bank to always have five times as much money invested in the project as the village.
The development agreement will have to come back before the board to fill in details about the exact size of the parcel of land Thysse is planning to buy and the exact value of the project. It also includes language about using a state trust fund loan, which is for 20 years at 4.5 percent interest, but the board decided to open that up to competition from other banks.
The 90,000-square-foot campus plan features a backlit sign, an outdoor plaza area and orange accents.