Posted on 10/12/2004 8:09:28 PM PDT by HAL9000
LITTLE ROCK — A judge Tuesday ordered the state to grant a $3.5 million tax break to the foundation that is building Bill Clinton's presidential library.
Pulaski County Circuit Judge Willard Proctor Jr. ruled that the state Department of Economic Development improperly denied the nonprofit foundation's 2002 application under the Arkansas Enterprise Zone Act, which the judge concluded made no distinction at the time between for-profit or nonprofit businesses.
Skip Rutherford, president of the library foundation, welcomed the judge's decision just over a month before the library's Nov. 18 opening.
"We're pleased and we're grateful," Rutherford said. "Our finance people will work with the appropriate people at ADED to make sure the implementation is done."
The attorney general's office, which defended the economic development office against the Clinton foundation's legal challenge, said an appeal to the state Supreme Court was possible.
"That's our client's decision. If they want to discuss it with us, we'll gladly do so," said Matt DeCample, spokesman for Attorney General Mike Beebe.
ADED spokesman Mitch Chandler said agency officials would study the judge's ruling and decide whether to appeal.
"Foremost, we want to recognize the tremendous economic and cultural impact of the Clinton Library," Chandler said. "This dispute was based on the interpretation of a tax-incentive law, not the economic benefits the library will bring to Arkansas. We celebrate the opening of this historic institution and the positive effect it brings to downtown Little Rock and the entire state."
The William J. Clinton Presidential Foundation sued the state in 2002 after state officials denied a foundation request for $3.5 million in reimbursements for building materials.
The foundation and the state filed final written arguments Monday, in the form of proposed orders that repeated arguments made last month during a hearing in Proctor's court.
The state argued that the Clinton Library foundation did not qualify for incentives that the economic development office contended were reserved for for-profit business enterprises.
In September, foundation lawyers argued that the Clinton Library had promoted economic development and deserves tax credits offered under the state's Advantage Arkansas program.
A number of companies have built new facilities, including the new Heifer Project International construction, or remodeled existing operations in the area surrounding the Clinton Library complex since the former president chose the site in the late 1990s.
In his ruling Tuesday, Proctor adopted the foundation's argument, noting that the law's 2003 amended version carries a new definition of businesses eligible to receive the incentives as non-retail businesses engaged in commerce "for profit."
The "for profit" addition, foundation lawyers had suggested, was evidence that the qualification did not exist in the previous version of the Arkansas Enterprise Zone Act, under which the foundation applied for tax breaks in 2002.
The Arkansas Legislature created the Advantage Arkansas program to attract manufacturing jobs and it was later expanded to attract a range of businesses, including corporate headquarters.
The state argued unsuccessfully that the library foundation did not qualify for incentives even under the earlier version of the law, either as a for-profit business or as a corporate headquarters, since its primary function will be to house Bill Clinton's presidential papers and memorabilia, and to support public policy research and educational activities.
Proctor's order for the ADED to grant the foundation's application would open the door for the state Department of Finance and Administration to authorize a refund of sales and use taxes imposed on the library project and any income tax credits for which the foundation may be eligible.
"The future, to me, beyond this case is that I hope Arkansas will make a serious attempt to recruit and attract nonprofits with national and international headquarters," Rutherford said. "The Clinton center has already proved that nonprofits can be economic engines."
Attorney General Beebe (D-Ark.) didn't really want to win this case. They probably threw it intentionally.
By the way, is that the same Judge Willard Proctor Jr. who ordered Bill Clinton's law license to be suspended for five years?
I can't stand to read anything about the clintons.
OK so that makes the clintoon liebrary a "for profit" institute?
Are they now going to repay for all the monies they illegally withdrew from the Little Rock Zoo fund? (tax money approved and raised for the zoo and caused the zoo to lose its accreditation due to animal neglect)
At the time they claimed they were a TAX-EXEMPT charitable organization and qualified to steal the taxpayer dollars.
Now they claim to be an "enterprise" (a business) to get more tax money reserved for thge people of Arkansas?
Which is it? an enterprise or a charity?
Sounds more like the ARKANSAS MAFIA! (again!)
The William J. Clinton Presidential Foundation sued the state in 2002 after state officials denied a foundation request for $3.5 million in reimbursements for building materials.
$7 million the Dems spend everyday on a losing race. Where are his Hollywood fundraising friends now? Why aren't they rushing out and organizing ?
Good point. The Clinton Library has also harmed public safety. The city couldn't afford to put traffic lights at some dangerous intersections because they had drained the coffers for the Clinton Library makeover.
"Cultural impact of the Clinton Library"
Boy, oh Boy: There is an oxymoron if ever there was one.
Otherwise, just more of Clinton taking, taking, taking, taking, taking, taking, taking, taking,............
Hell NO !!!!
It would be a shame for them to have to pay taxes on the sale of those memorial Blue Cocktail Dresses and souvenier condoms.
Just another tax break for the wealthiest one percent. John Effin Kerry said he'd get right on it and rectify this great injustice to the working people of America, but he was too busy right now riding his $6,000 bicycle at one of his wife's multi-million dollar homes.
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