Here are four of the seven files that we were supplied by the City of Evansville in response to our Freedom of Information Act Request regarding the FREE $51 Million deal with Johnson Controls. There are three more files that will have to be reduced in size to post that we will gladly supply to anyone who emails a request for them to jjw0729@aol.com

Johnson Controls Financial Analysis Overview

Presentation (1)

EWSURFQPerformance_Contracting_Final (1)

Performance_Contracting_Project_Development_Agreement (1)

Operating at Capacity at Lower Rates is not Necessarily Good for Business

Today’s New York Times examines the negative effect that social coupon sites like Groupon are having on retail establishments. In example after example the author entrepreneur Jay Goltz presents numbers that actually favor the prospects of a business that rejects the mass coupon model that Groupon has successfully thrust onto the American business scene. The training of consumers to expect discounts and coupons on everything is changing the way that one has to do business. Mr. Goltz discusses both product and service businesses and concludes that both are negatively impacted by excessive percentages of their business being derived from social coupon site. Enjoy the article and good luck with your business.

http://boss.blogs.nytimes.com/2011/03/16/is-groupon-ruining-retailing/

IS IT TRUE that yet another boil advisory has been issued to all families and businesses that use the water from the Evansville Waterworks for human consumption?…that it hasn’t been long since the City of Evansville took over managing the municipal water facility from a private contractor to save money?…that in his last State of the City address that Mayor Weinzapfel boasted about that very action in the following manner?

“Last year, we decided to bring the management of the Water and Sewer Utility in-house, eliminates private management, and return control and accountability to the City. This move will not only save $14 million over the next five years, but it will allow us to put those savings to work to reduce combined sewer overflows.”

IS IT TRUE that when the municipal water supply is interrupted due to microbes, river breaches, low levels (4 weeks last summer), or a good old fashioned Bee Slough Cocktail, that the public has to spend money that was not budgeted or intended for buying water that was already paid to the order of Evansville Waterworks?…that roughly 200,000 people depend on an uninterrupted flow of healthy drinking water from the City of Evansville?…that a human being is recommended to drink 64 ounces of water per day?..that means that the people who depend on Evansville for water consume 12.8 Million ounces of water per day?…that means that replacing that municipal water with bottled water would require about 45,000 cases of water per day?…that the cost to replace just the lost drinking water is about $250,000 per day when the municipal sources can’t be consumed?…that does not include industrial uses, restaurants, day care centers, or any bathing?…that given the number of “boil advisory” days that Evansville has that the City of Evansville’s newfound $14 Million over 5 years just doesn’t seem like much?

IS IT TRUE that boasting about accountability brings with it the actual call for accountability?…that in all fairness every man, woman, and child in the City of Evansville water district should be paid or credited at least $1.25 per day for every day that a boil advisory is in effect?…that the only winners here are the stores that sell water and of course Vectren who will sell some more 188% overpriced electricity to the people who choose to boil instead of buy?…that one more group benefits and that is the gas stations and the oil companies who benefit from people making that extra trip to buy drinking water?…that by the end of the day Wednesday that the direct out of pocket expenses for water by all of the people and businesses served by the City of Evansville is approaching $1 Million just for this occurrence?…that when you add in the inconvenience of driving, cleaning soft drink machines, throwing out ice, and having PR people generate carefully worded press releases that the cost is much higher than that?…that it is appropriate for the City of Evansville to credit each and every customer whatever their costs were due to the interruption of their deserved good clean water?

IS IT TRUE that the deal between Whirlpool and the City of Evansville to develop a tech park near the airport and to tear down the old blue building while remediating the environmental concerns has been vanquished?…that an Evansville based construction company has pursued and secured a deal with Whirlpool to do something with that tired old piece of property?…that we are quite curious to learn the details about who is doing what and exactly what the benefits to Evansville and SW Indiana will be from this most unexpected development?

IS IT TRUE that the first consolidation hearing before both the City of Evansville and Vanderburgh County government was last night at the Civic Center?…that the architects of the plan that dominated the lectern were Chairperson Becky Kasha, Ed Hafer, and the Reverend Adrian Brooks?…that the committee itself did not even produce a plan on which they all agreed upon or voted to support?

IS IT TRUE that Reverend Brooks was adamant at times that the number of elected positions recommended for the Common Council (11) was not sufficient to assure adequate minority representation?…that Reverend Brooks expressed support for council level representation of the African American, Hispanic, and the Gay and Lesbian communities?…that he is correct by virtue of pure demographics that eleven seats only eight of which are ward based would guarantee any special interest group representation in a free election?…that it is typically agreed upon that the make-up of elected bodies of governance function better if these bodies of governance reflect the demographics of the governed?

IS IT TRUE that there was much discussion and even some ridicule at the fact that the lines for proposed voting districts were drawn from the 2000 census as opposed to the 2010 census?…that the “proposed wards” were drawn first to preserve the 6 current city wards and then to give 2 additional seats to the presently unincorporated areas?…that in 2000 that the unincorporated areas made up 30% of the population but were proposed to have only 25% of the geographically designated representation on the Common Council?…that in the 2010 census that the unincorporated county now contains 35% of Vanderburgh County’s population making the proposed ward borders unfair and obsolete?…that for fair and equal representation with 8 wards that roughly 22,000 people would need to be living in each ward?…that if 8 is the number that will be settled on that THREE of these wards will be predominantly based in the currently unincorporated county?…that at the present rates of shrinking by the City of Evansville and growth in Vanderburgh County that by the next census the split may be 4 – 4?…that preserving the 6 Wards of the City of Evansville resulted in clear and deliberate over-representation by the City of Evansville and under-representation by the county?…that plays right into one of the biggest concerns that has been expressed by people of the county?

IS IT TRUE that term limits along with many other widely desirable features according to Becky Kasha were “not even considered” as she said over and over again and also proclaimed that Evansville has not had any dynasties?…that the facts are not so clear with respect to dynasties?…that the facts with respect to the Office of the Mayor in most people’s lives are 52 YEARS, 13 ADMINISTRATIONS, and 4 LAST NAMES?…that history books typically have some last name before the term dynasty?…that while Evansville has not had a lifetime Mayor it has certainly been prone to keeping politics in the family from the Mayor’s office to the City Council, to the make-up of the payroll of the City of Evansville through much of the last 52 years?

IS IT TRUE that Evansville City Council President B. J. Watts uttered the old cliché’ “IF IT AIN’T BROKE DON’T FIX IT”?…that if the truth is told that the City of Evansville is “broke” both figuratively and literally?…that to utter that tired old cliché’ on a day that we were advised to boil our water before consumption, a parent’s letter was published about violence and dilapidation in the parks, and a MORNING SHOOTING occurred just 7 blocks from the Civic Center is just testament to the legacy of obliviousness on the part of City of Evansville governance?…that yes President Watts, the City of Evansville is “broke” and it is in dire need of some “fixin”?…that observing the unanswered questions, the ignored features, the discomfort with the strength that has been granted to the Mayor, and the disagreement on even minor details among the consolidation committee that this plan is not in any shape to do the needed repairs?…that if this effort is to have even a shred of probability to pass it will need to be revisited if not from scratch, close to it?

IS IT TRUE that there was some humor at last night’s meeting?…that Becky Kasha got a few laughs when she and the committee “trusted the voters to do their own term limiting”?…that tax and finance committee chairman architect Ed Hafer got a few chuckles when he said that “one should never ask an architect to help in saving money”?…that the Reverend Adrian Brooks gets the Johnny Cochran “If the glove don’t fit you must acquit” award for clever rhymes for his admonishment to the City Council and the County Commissioners to “allay the fear of the constituency with you creativity”?…that the Reverend Brooks sent a very clear and correct message that more creativity is needed for this to be acceptable and that he did it in a most creative way?

IS IT TRUE a meeting was held at the library located in Bayard Park recently? ….that it was discussed that the proposed demolition of a historic home located at 800 South Kentucky Ave. be razed? ….that neighbors and members of the Evansville Preservation Commission attending this meeting strongly objected to a proposed razing of this once beautiful historical home? ….that if the City of Evansville legal eagles and the Historical Preservation Director would had done their homework this issue would never been discussed?

IS IT TRUE that the reasons that some private investor has not refurbished all of the former elegance to the historic areas like Bayard Park, Akin Park, Goosetown, the Washington Avenue Corridor, and many other neighborhoods can be traced to the astoundingly low value of refurbished homes in those areas?…that the IDEA HOME had somewhere between $350,000 and $550,000 spent on its refurbishment depending on which person in the know is asked?…that the IDEA HOME is languishing on the market and is now priced at $179,000 yet it attracts no offers?…that the Front Door Pride homes cost over $200,000 each to build and languish on the market at closer to $100,000?…that Bayard Park and Akin Park are in similar neighborhoods to Goosetown and Washington when it comes to CRIME, COMBINED SEWER OVERFLOWS, and UNDERPERFORMING SCHOOLS?…that just yesterday a short walk from Bayard Park there was a 9:30 AM SHOOTING?…that unless the crime is diminished, the schools perform, and the infrastructure is at least acceptable that none of the once elegant homes facing the City of Evansville’s DILAPIDATED PARK SYSTEM will ever be economically feasible to revitalize?

IS IT TRUE that economic feasibility is only a criteria for homes that are not under the control of local government spending taxpayer dollars?…that the much maligned and too expensive to refurbish Safe House is having $240,000 spent on each of 32 apartments that it will be refurbished into?…that apartments are available all over Evansville in the FEASIBLE FREE MARKET at less than 12% of the price that the City of Evansville, the Evansville Housing Authority, and their cast of partners are celebrating the opportunity to overspend by $6.7 Million to refurbish?…that in a growing city, with acceptable crime, performing schools, and working infrastructure that many of these kinds of projects would be pursued by private dollars?…that the selective overspending of public dollars to do projects that are not needed based on population and are not feasible based on value is just infuriating?…that the numbers on this particular project that are on the Evansville Housing Authority website and the Mayor’s official press release do not match?

IS IT TRUE that speaking of non functional infrastructure that people all over SW Indiana who get their water from the City of Evansville Waterworks were treated to an unwelcome and unhealthy cocktail of good ole Ohio River water and what passes for drinking water on a normal day?…that word went out to MOST MEDIA OUTLETS courtesy of the City of Evansville that water should be boiled?…that the readership of the City County Observer is larger than the number of votes required to be elected in every one of the six wards represented in the Evansville City Council?…that we continue to be mystified by the OUTRIGHT REFUSAL of the OFFICE OF THE MAYOR to add the City County Observer to the distribution list for press releases?…that this WILLFUL REFUSAL yesterday may have endangered some of the people of Evansville who get their news from the CCO?

IS IT TRUE that the CITY COUNTY OBSERVER didn’t receive the important press release sent out by the Evansville Mayor Press/Media Relations person pertaining to the Media Advisory Water Boiling warning? ….the failure of the Mayor’s Media Press/Media Relations person not informing the City County Observer of this public health emergency could have put our readers in harm’s way from a medical health perspective? ….that it is important to point out that many of our readers solely rely on the CCO to keep them abreast of local daily happenings that directly affect their daily lives? ….if any of our loyal readers missed the City of Evansville emergency water boiler announcement sent to the main stream media but not to CCO that they should hold the City of Evansville accountable for any health problems caused drinking tainted city drinking water?…that emails, letters, and phone calls to the Office of the Mayor are in order over this very important issue?…that the appropriate contact information is as follows: (812) 436-4962, knimnicht@evansvillegov.org?

Local Young Man Continues Success with Intuit after Venture Deal and Buy Out

The Indiana statute enabling reorganization of local government requires a financial analysis as part of the reorganization plan, and the reorganization committee engaged Crowe Horwath to provide the financial evaluation of their plan. The contract Crowe Horwath signed with the mayor and the county commissioners included specific items in the scope of services. Among those required items are two that may not have been sufficiently addressed.

1. An estimate of the property tax levies and property tax rates for each taxing district affected by the proposed reorganization, based on budget and levy assumptions provided in the reorganization plan.

While Crowe Horwath published their financial report on August 23, 2010, the reorganization committee did not finish their reorganization plan until three months later on November 11, 2010. How can a financial analysis published on 23 August accurately reflect a plan of government reorganization not completed until 11 November?

2. An estimate of cost savings, expenditures, efficiencies, and tax levy reductions that may be accomplished under the plan of reorganization.

Same comment – how can a report published three months ahead of the plan accurately identify any efficiencies, cost savings, expenditures, or tax levy reductions caused by that plan? Furthermore, the plan itself did not identify any efficiencies or cost savings.

Included in the Crowe Horwath report is the following statement: “We have no responsibility to update this report for events and circumstances occurring after the date of this report” which again was August 23, 2010, three months ahead of the final reorganization plan. Is this a case of a cart before a horse?

Also found on page 20 of the Crowe Horwath report is the following statement: “To date, there have been many discussions regarding the opportunity for potential savings based on the reorganization. The majority of these discussions have not yet identified potential cost savings associated with this consolidation” and “(for) the purposes of this report, Crowe (Horwath) has not undertaken a process to identify potential cost savings associated with such efficiencies.” So, did Crowe Horwath fulfill the terms of the contract?

On page 21, the Crowe Horwath report discusses the police chief’s plan of reorganization. However, there is no discussion of Sheriff’s plan even though the reorganization plan incorporates the Sheriff’s plan for merged law enforcement and the Sheriff released his plan within a week of the chief’s. This is just one of several examples of the incompleteness of the plan when the financial analysis was published.

Under whatever the committee’s proposed plan was as of August 23, 2010, Crowe Horwath estimated an increase to real estate taxpayers in the unconsolidated county of $0.28 per $100 valuation. Can anyone tell us today what the increase will be under the proposed final plan? Isn’t that the analysis that the statute requires?

More importantly, will the resulting tax increase exceed the state mandated 1% tax cap? Many county taxpayers really want to know the answer to that one.

The Crowe Horwath report points out that if the reorganization committee truly were concerned about keeping the property tax rates at their current level, the total levy of the General Services District could not exceed $39,942,740. And that would require the identification of $28 million in post-consolidation cost savings, while at the same time maintaining miscellaneous revenues constant by instituting either known efficiencies or new user fees.

Since neither the reorganization plan nor the Crowe Horwath report identified any efficiencies or cost savings, in order to hold the line on property taxes within the General Services District, the only other option is instituting user fees to remove property tax expenditures for certain existing services in the Urban Service District.

Examples of new user fees:
• Sanitation fees for trash collection, such as currently is paid by county residents
• Street light fees for the 14,760 street lights inside the city
• Private property drainage assessments inside the Urban Service District which currently are paid by the City of Evansville

These new user fees in the Urban Service District would increase miscellaneous revenues, thereby significantly decreasing property tax in the Urban Service District while holding the line in the General Service District.

Instead, the reorganization committee opted for a final plan that will significantly raise the tax rate in the General Service District and just slightly lower the tax rate in the Urban Service District at the expense of taxpayers out in the currently unconsolidated county.

In exchange for raising taxes on property currently outside the city limits, the plan threw county residents a bone by proposing to “equalize sewer rates.” While such a small potato may appeal to a few, the council and the commissioners have to ask themselves the following questions:

• What is it about the unconsolidated areas of Vanderburgh County that attracted nearly 20 thousand new residents in the past 20 years while the City of Evansville has lost 10 thousand citizens?
• What attracts new residents to the unincorporated areas in spite of the fact there are no street lights, no free trash collection, no sidewalks, and higher sewer rates?
• And what other nearby communities offer the same attractions as the unconsolidated areas of Vanderburgh County?

Will this plan of reorganization really stop a post-consolidation migration of Vanderburgh County residents to say Warrick County if those residents continue to seek the benefits of living in an unconsolidated jurisdiction? It seems like the reorganization scheme is just buying one census cycle of time at best.

Bill Jeffers
2641 Malibu Drive

Using terms like “might be a melt down” without evidence is Irresponsible

When the Three Mile Island accident happened, the mainstream media sensationalized the meltdown as an Armageddon scenario that never happened and was not even possible. The following years of misinformation crippled the American nuclear power industry in a way that has kept us slaves to fossil fuels all because we as a nation have been collectively afraid of the boogyman.

The reporting then was irresponsible and the reporting on what is going on in Japan today sounds the same. Here is a link to a website that has a very simple description of Boiling Water Reactor technology along with a narrative of what is really happening as opposed to what the media is spewing. Please be as informed as possible. We do not need 30 more years of stone age based fear ruling our energy policies. When one gets their information from fools it is impossible not to be foolish.

http://bravenewclimate.com/2011/03/13/fukushima-simple-explanation/

IS IT TRUE that Lady GAGA played before a crowd of 20,000 people Saturday night at Louisville’s YUM Center?…that the face value ticket prices ranged from $50 to $175?…that with prices like that the gate at YUM Center for the GAGA concert was in the area of $2 Million?…that the Lady GAGA Monsters Tour is also making a stop in Nashville?…that the only small venue that Lady GAGA will be playing is the MGM in Las Vegas that only seats 16,800 and that standing room tickets start at $89?…that there is a movement in Evansville to have Lady GAGA open the new Evansville Arena?…that to make it financially attractive to promoters with our 11,000 seat capacity the range in seat prices will have to be from $100 – $350?…that Lady GAGA wanted to come to Evansville back in 2009 but was dismissed as too risque’?…that 10,000 times $50 equals??? You do the math!

IS IT TRUE the Firefighters Local 357 PAC had a “Meet the Candidates” night on Wednesday March 9, 2011? The meeting was very well conducted and attended and much information was obtained?…the FOP had members in attendance and made this event a very important public safety forum?…that public safety is very dedicated to the citizens they serve in Evansville which makes it a very important event for the citizens of Evansville?…that democratic mayoral candidate Troy Tornatta excused himself quite early from this very important public safety event for a previous engagement?…that Mr. Tornatta was seen shortly thereafter at the Evansville Country Club drinking and playing trivia?

IS IT TRUE that the solution for the once dilapidated public swimming pools of Evansville is widely seen as a successful solution?…that the solutions came from the formation of CITIZEN COMMITTEES that made suggestions to local government?…that when local government goes to its citizens for solutions that those solutions come with a certain amount of the all important CITIZEN SUPPORT?…that it is time for the formation of CITIZEN COMMITTEES to take on the problem solving aspects of the BLIGHT that has taken over the parks in the City of Evansville?…that government has failed in every way and just needs to get out of the way and let the citizens of Evansville take this problem on?…that no CITIZEN COMMITTEE would think that three light bulbs will solve the problem, try to diminish the problem with dismissive language, lay off all of the Park Rangers, or sign a contract that makes volunteerism illegal?

IS IT TRUE that it has now been 1,405 days since the announcement was made on May 14, 2007 that the McCurdy Hotel was to be refurbished into luxury apartments?…that it has now been 1,259 days since the Evansville Redevelopment Commission at the request of Mayor Weinzapfel approved the spending of $603,000 to purchase the parking lot?…that City Centre Properties and Scott Kosene the developers of the McCurdy project are both listed as contributors to the Weinzapfel for Mayor committee for 2010?…that we wonder just what worthy cause that all of the campaign donations made to the Weinzapfel for Mayor fund will go to now that Mayor Weinzapfel has taken his hat out of the political ring for the forseeable future?

IS IT TRUE that there are now 604 days remaining in the two years that the EPA had given the City of Evansville to present an acceptable solution to the Combined Sewer Overflow problem?…..that this plan is an expensive and complex endeavor that needs immediate attention to avoid the embarrassment and expense of another round of fines?