IS IT TRUE? Part 2 July 26, 2011


IS IT TRUE? Part 2 July 26, 2011

IS IT TRUE that for those that are sort of confused regarding the flip flopping of Mayor Weinzapfel and project manager John Kish regarding the support for the use of EB-5 funding for the new downtown Evansville Convention Hotel, we have some questions and some observations that must be pointed out?…that the Arena itself utilized a federal program that reduced the interest rate on the bonds issued to pay for the construction and the early stage operation of the Arena?…that this program was called the “Build American Bonds” and was put into place as a way to stimulate public investment during the Great Recession?…that the powerpoint presentation given by the City of Evansville touts the “Build America Bonds” as having the capacity to save the City of Evansville $67 Million over the life of the bonds issued to finance the Arena?…that works out to an average of over $2 Million per year in interest with the early years having a higher savings than the later years?

IS IT TRUE that in order to pay 35% of the interest back to the City of Evansville to service the debt on the Arena that the federal government has to get that money somewhere?…that this money is dependent on the selling of federal debt to “foreign investors”?…that if foreign investors buying US government debt is okay for the Arena we wonder why a different program using foreign investors is not seen as reliable by the same people who patted themselves on the back for getting approved to use “Build America Bonds” to finance the Arena?…that double standards are becoming the standard operating procedure down at the Civic Center?

IS IT TRUE that with two classes of bonds being used to finance the Arena that it is essentially a “NO DOWN PAYMENT” project?…that having substantial up-front equity in cash by both wannabe developers of the new downtown Convention Hotel is becoming a litmus test for moving forward?…that as a private enterprise that this is exactly a necessary condition for VETTING?…that if a 10% cash down payment would have been a condition for starting the Arena that there would not be an Arena?…that nowadays the only entities that are still able to do things line “NO MONEY DOWN”, “NEGATIVE EQUITY”, & “SPECULATIVE PRO-FORMA” deals are government projects?…that the same government that force austerity and very tough due diligence upon private enterprise are still running wild on borrowed money using the same techniques that allegedly caused the financial meltdown in 2008?

IS IT TRUE that maybe we should just hire the management of the National Football League to negotiate a treaty between the House, the Senate, and the President to deal with the looming default on the debt crisis?…that the NFL got a deal done a full month ahead of their looming deadline?…that the NFL is a pure meritocracy when it comes to who gets playing time?…that winning teams sell tickets and that the financial rewards of winning absolutely force the teams to put the best talent available on the field without regard to anything at all?…that to get the best players the teams must pay the best players the most money?…that there is no room for a team owner to put a dumb-bunny crony onto the football field unless it is for one play to get his brains knocked out?…that the NFL and other professional sports do not have a diversity problem?…that the NFL and other professional sports create millionaires of nearly all of the people that have the talent and discipline to be hired and excel on the job?…that the NFL and other professional sports organizations are one of the most adept groups at shaking down local governments for tax money for stadiums and arenas?…that maybe we should just hire the NFL to deal with problems like VETTING?

IS IT TRUE that GE just announced that it will be moving the headquarters of its X-Ray Business Unit from Wisconsin to China?…that GE accompanied that statement with a statement that no jobs will be lost in Wisconsin by the move?…that we can only say two words to that statement?…that those words are “YEAH, RIGHT”?


  1. “we have some questions and some observations that must be pointed out?”

    The mayor is hosting a town hall meeting tonight. It’d be awesom if a bunch of people showed up to ask him a bunch of tough questions.

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