Bismarck City Commissioner Steve Schwab's refusal to second approval of a Renaissance Zone project could have left the dust blowing from the empty lot at the corner of Second Street and Main Avenue.

The Bismarck City Commission met Tuesday, minus two members, Commissioners Connie Sprynczynatyk and David Jensen, leaving a quorum of Mayor John Warford and Commissioners Sandi Tabor and Schwab.

Planner Kim Lee described the project being recommended by the Renaissance Zone as a new two-story building comprising 8,000 square feet on each floor. The first floor will have commercial stores, and the second will have office space.

Visionary LLP is investing an estimated $3.2 million in the structure and requesting a five-year property tax abatement worth $370,000 and a five-year state income tax incentive worth about $15,000. This is afforded since the lot falls within the boundaries of Bismarck's Renaissance Zone.

Tabor, who is a member of the Renaissance Zone authority, said that the building value of the projects through the Renaissance zone will have reached nearly $17 million with the addition of the Visionary project and has brought an additional 83 jobs to the downtown area. She motioned to approve the project.

"It's nice to know we won't have dust blowing from that corner any more," Tabor said about the lot that used to have the Corwin Churchill building, which was destroyed by fire.

But Schwab refused to second the motion. In a rare move, Warford removed himself as chairman of the meeting, putting Schwab in charge. The mayor seconded the motion and it was approved on a 2-1 vote, with Schwab voting against.

Warford characterized the project as a "poster child"for what can be accomplished through the Renaissance Zone.

Schwab later said that he feels the Renaissance Zone provides an unfair advantage for those businesses downtown.

"I'm beginning to wonder if we're going to get anybody to move downtown because they want to," Schwab said.

"I think it's unfair to other businesses outside the Renaissance Zone and provides an unlevel playing field."

Schwab said that the tax increment fund created for the downtown Renaissance Zone should be dissolved and that the more than $10 million in the fund be put into the city's general fund.

"That fund has $10 million in it and has been around since 1979. We have no slums in the downtown area; maybe it's time to dissolve the tax increment fund, put it in the general fund and start a new zone. What other areas get the incentives that are available through the zone?"

In an unrelated issue, the city asked that the county auditor not begin collections of the tax increment finance fund that had been created as part of the Northern Plains Commerce Center Urban Renewal Plan that the city commission adopted at its last meeting.

While the plan remains intact, the city administrator said that because of the way various dates fall in regard to the tax increment fund, that the request to start collections be withdrawn.

Wocken said that while the city could recommend collection in the future, he is unsure if that recommendation would be made.

"It made sense last week when we thought everything was lined up. But it doesn't make sense any more, so we thought it would be better to look at it again," Wocken said.

(Reach reporter Gordon Weixel at 250-8255 or gordon.weixel@;bismarck-tribune.com.)