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Prime Lodging releases Hyatt Hotels Commitment Letter of Intent

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Hyatt Key Money Commitment of $478,000 in Term Sheet

In a letter dated July 25, 2011 to Chris Verville of Prime Lodging LLC, Hyatt Place Franchising has committed to make a “key money” payment to Prime Lodging in the amount of $478,000 upon the opening of the hotel.

The letter of intent is offered through January 31, 2012 and is executable at any time after an agreement is in place between Prime Lodging and the ERC. The hotel must be opened for business by December 31, 2013 for Prime Lodging to be eligible for the key money contribution.

Kunkel Hospitality in their proposal has stated that the Hyatt “key money” will be a total of $1,000,000 and will be used as equity.

Letter_from_Hyatt_regarding_Key_Money_072511

Prime Lodging LLC releases addendum to Hotel Proposal

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Addendum Pushes Construction Start Date to April 2012 but retains Summer 2013 Grand Opening

In an addendum to the proposal to develop a downtown Convention Hotel, Prime Lodging LLC has supplied additional details regarding the start and finish date of their proposal. Chris Verville, the Managing Membr of Prime Lodging has proposed a contract signing date of October 2011, with construction to commence during April of 2012. “The time in delaying the start of actual construction will be used to refine the construction plan so that the completion of the project and the grand opening will not be impacted”, said Mr. Verville in an exclusive interview with the City County Observer.

Mr. Verville went on to state that the grand opening date of the Summer of 2013 will be in time for the City of Evansville to compete on a level playing field with other cities for 2014 conventions and that the added planning time will expedite construction and keep the City of Evansville’s investment from the risks associated with commencing construction prior to full funding of the project.

Prime Lodging Addendum in full:

Prime_Lodging_Addendum_#1_072511_(2) (1)

ERC Authorities Hiring of Vetting Consultant

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Unanimous 5 – 0 Vote Seals the Vetting Deal to a TDB Outside Firm

In a special meeting of the Evansville Redevelopment Commission the decision to go with an outside firm to handle the vetting of the two proposals submitted to develop a downtown Convention Hotel to serve the Arena and the Centre was finally approved. In a meeting that was attended by all 5 members of the ERC the decision that could have saved the project 3 years of delays if it would have been made in 2008 when Mayor Weinzapfel announced the intentions of Browning of Indianapolis to build a 4-Star Hotel in downtown Evansville was finally adopted.

In an article reported first by the City County Observer, Mr. John Kish the project manager through an Indianapolis attorney from the firm of Bingham McHale recommended outside vetting and followed that with a long list of consultants that are interested in providing that service. One of the firms charges $350 per hour to provide such services.

It was also asserted that the response by Prime Lodging does not technically conform to the RFP because there is a discrepancy in the forgivable amount of the city’s loan package. It was also acknowledged that the bid by the Kunkel Hotel Group has not yet been confirmed to conform to the RFP.

Bob Goldman, the president of the ERC confirmed with Mr. Kish and legal counsel that it is not necessary to choose either of these proposals if neither vets properly. It was also pointed out by counsel that 30 days after the responses have been opened that it is legal and within the authority of the ERC to enter into negotiations with either firm and to deviate from the terms of the original RFP. The date to begin such negotiations if that it indeed the necessity will be August 19, 2011.

In a meeting that proceeding as rapidly and as scripted as a one act play public input was not solicited and in many ways blunted. City Councilman John Friend was the only person other than the actors in the theater to get to the lectern advance the candidacy of Evansville native Vince Lopez who has served as a senior vice president for his entire career as a good choice to conduct the vetting. The candidates for vetting seemed to be very Indianapolis centric while Mr. Lopez makes his offices in Florida.

The Kunkel Hotel Group had notified Mr. Kish via amendment that they had completed their financial underwriting process but the documents stating as such were not made available to the media.

In many editorials the City County Observer has advocated for outside vetting to assure that the job was done professionally and without any local bias. Today that editorial advice was finally adhered to by the City of Evansville, the Redevelopment Commission, and the Department of Metropolitan Development.

IS IT TRUE? Part 2 July 28, 2011

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IS IT TRUE? Part 2 July 28, 2011

IS IT TRUE that the debris removal down at the ROCK PILE that we hope to see become a hotel is reported to being taken across the money saving bridge to Kentucky?…that as the project is being substantially recycled (a good thing) that we wonder what is being done in Kentucky that makes use of the recycled ROCK PILE that could not have been done in Evansville or Vanderburgh County?

IS IT TRUE that our old friends CAPE AIR that did their best to make an Evansville to Indianapolis flight work here a couple of years ago is profiled in today’s Wall Street Journal?…that in the rush to put together a deal to avoid defaulting on the nation’s debt that one of the things that is reported to be destined for the scrap heap are airline subsidies that have been vital to maintaining flight schedules into regional airports like our very own Evansville Airport?…that the route of interest today is a 40 minute flight from Hagerstown, MD to Baltimore?…that the drive time for this flight is 80 minutes?…that when one takes into account the ground time involved with flying that providing a subsidy paid for with public dollars to save 40 minutes of flight time really does absolutely nothing to shorten the time of the trip?…that by the time the customers of this flight did the whole airport thing that it would be more than 80 minutes door to door?…that when looking for ways to save money for the country that eliminating subsidies that add no value at all is a great place to start?

IS IT TRUE that we wonder what knucklehead came up with a subsidy for a 40 minute flight in the first place?…that we are certain that there is more than enough waste on things that produce no value or even negative value to the taxpayers that can be eliminated to balance the federal budget?…that we seriously doubt that killing sacred but useless cows is something that either party at the local, state, or federal level have the political will to do?

IS IT TRUE that Evansville will be a more competitive location to attract and grow businesses when the Evansville Airport can support more frequent and competitive flights?…that if the price of those flights is borne by federal programs that do not make sense that we may be better off waiting until our markets will support the flights?…that getting federal assistance to build runways and purchase jetways are one-time expenses and can make economic sense?…that subsidizing commercial flights that are mostly empty are a gift that keeps on taking?

IS IT TRUE that excessive regulation at the local level is another destroyer of wealth and deterrent to entrepreneurial activity?…that there are actually places in this country where local governments place licensing and training requirements on simple tasks like mowing yards, painting nails, grooming dogs, arranging flowers, and painting bathrooms?…that onerous and pointless occupational licenses prevent small businesses from being started and discourage entrepreneurs?…that it seems like the more license based restrictions that are place upon budding entrepreneurs that the worse the city doing it seems to perform?…that some of the most oppressive restrictions of this type are in the City of Detroit?…that we encourage anyone who is in favor of nuisance restrictions as a way to fill the city coffers to take trip to Detroit and observe the outcomes of protectionist policies?…that Detroit has lost 1,000,000 people since 1950?…that Detroit is now rationing city services to neighborhoods “most likely to survive”?…that Detroit is not an example for anyone to follow?

IS IT TRUE that some Detroitisms exists here in Evansville?…that the most onerous and oppressive rules in Evansville are in the construction trades?…that we have 8,000+ abandoned homes to show for it?…that no such restrictions exist on lawn mowing?…that we do not really have a problem with finding someone to mow in Evansville?…that we hope that our city administration will gravitate more toward promoting entrepreneurism than toward restricting it?…that if a city wants to be like Detroit all they need to do is act like Detroit?…that no one in their right mind would encourage that?

Downtown Today: 7/28/2011

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Time 9:00 AM – 12:00 PM
Subject SHERIFF SALE
Location 301
Recurrence Occurs the fourth Thursday of every 1 month effective 7/28/2011 until 7/28/2011 from 9:00 AM to 12:00 PM
The meeting actually starts at 10:00.
Categories ROOM 301

Time 1:00 PM – 5:00 PM
Subject CODE ENFORCEMENT HRGS
Location 307
Reminder 15 minutes
KIM JOSEY @ 7889
Categories ROOM 307

Time 1:30 PM – 3:00 PM
Subject BOARD OF PUBLIC WORKS
Location 301
Recurrence Occurs every Thursday effective 7/7/2011 until 7/28/2011 from 1:30 PM to 3:00 PM
Reminder 15 minutes
Sharon Evans @ 4982
Categories ROOM 301

Time 3:30 PM – 5:00 PM
Subject LICENSE & DISCIPLINARY BOARD
Location 318
Recurrence Occurs the fourth Thursday of every 1 month effective 7/28/2011 until 7/28/2011 from 3:30 PM to 5:00 PM
Reminder 15 minutes
LINDA PENDELTON@ 7880
Categories ROOM 318

Time 4:00 PM – 5:00 PM
Subject SS OF AFRICAN AMERICAN MALES
Location 301
Recurrence Occurs the fourth Thursday of every 1 month effective 7/28/2011 until 7/28/2011 from 4:00 PM to 5:00 PM
Reminder 15 minutes
BONNIE @ 4927
Categories ROOM 301

EVSC News Conference Planned

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Back to School Time!
Thursday, July 28
10 a.m.
EVSC Board Room, Administration Building
1 SE Ninth Street, Evansville

It’s that time of year again! School HAS started at one of our buildings and is about to start at McGary (Aug. 1) and Delaware and Evans (Aug. 4). The rest of our schools kick off the year on Wednesday, Aug. 10. The purpose of this news conference is to talk about some special initiatives we have planned that start on Friday. You may have noticed billboards and bus bench ads around town advertising times to enroll and where bus transportation information can be found.

These are two very important topics for families and the EVSC wants to emphasize the importance of starting school on the first day of school at the right time. Enrolling early is important and knowing what a child’s bus number and bus stop is, is integral to them getting to school on time and making the most of their school year. Every minute counts!

A new program for families to update emergency information will also be discussed.

Ozone Alert – July 27, 2011

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The Evansville Environmental Protection Agency and the Vanderburgh County Health Department have issued an OZONE ALERT for July 28, 2011 because ambient concentrations of Ozone may reach the Unhealthy for Sensitive Groups level of the National Ambient Air Quality Standard (NAAQS).

The current ozone NAAQS was set by the U.S. EPA in 2008 at an eight-hour average of 76 parts per billion (ppb). Eight-hour ozone levels between 76 to 95 ppb are considered to be Unhealthy for Sensitive Groups such as children and active adults, and people with respiratory diseases like asthma on the Air Quality Index (AQI) scale.

Air Quality Index Ozone 8-hr average
Good 0-59 ppb
Moderate 60-75 ppb
>>>>>Unhealthy for Sensitive Groups 76-95 ppb
Unhealthy 96-115 ppb
Very Unhealthy 116-374 ppb

Within a few hours or days, exposure to higher levels of ozone can cause lung and throat irritation, shortness of breath, increase the frequency of asthma attacks and aggravate respiratory diseases such as asthma, emphysema and bronchitis. Children, active adults, and people with respiratory diseases should limit prolonged outdoor exertion especially between 12:00 p.m. to 6:00 p.m. when ozone levels are highest.

NO OPEN BURNING is allowed during Ozone Alerts. The use of gas and charcoal grills is permitted, but we encourage postponing grilling until air quality improves.

To do your share to protect air quality and reduce pollution levels:
• USE PUBLIC TRANSIT – RIDE METS FREE ON OZONE ALERT DAYS!
• CONSERVE ENERGY of all kinds – turn off lights, reduce air conditioner use, etc.
• Limit your driving. Avoid unnecessary vehicle idling.
• Park and go inside instead of using drive-through windows, especially if there are long lines.
• Postpone fueling your vehicle until after 6:00 p.m. Don’t ‘top-off’ your tank when filling up.
• Consider using electric or manually operated lawn equipment. If you use gasoline-powered lawn and garden equipment, stop working at 10:00 a.m. and / or postpone work until after 6:00 p.m.
• Limit the use of solvents, parts cleaning fluids, paint thinners and chemicals. Replace lids when finished.
• Postpone painting or use water-based paints instead of oil-based paints.

IS IT TRUE? July 28, 2011

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The Mole #??

IS IT TRUE? July 28, 2011

IS IT TRUE that the candidates for the 5th Ward seat on the Evansville City Council are the most competitive candidates out there right now that are both speaking out on the shenanigans that have led us to the paltry state of affairs with the new Downtown Convention Hotel?…that with the 1st and 4th Wards being unopposed, the 2nd Ward, 3rd Ward, and 6th Ward being historically Democratic and contested by people with very different ideologies, the 5th Ward turnout may just be the Ward that will determine the Mayor of Evansville?…that the candidates for Mayor of Evansville should have their minions in the back room calculating just how long the coattails of Mr. Grafton and Councilman Friend may be?

IS IT TRUE that it is usually the top of the ticket that takes the lead in elections like this?…that neither Rick Davis nor Lloyd Winnecke have uttered so much as a peep about the haphazard way that the Evansville Redevelopment Commission has provided stewardship and accountability over the public’s dollars?…that coming forth with a plan that will define a VETTING PROCESS to determine how to spend public money for the highest positive impact at the minimum risk would clearly give one candidate an opportunity to take the high ground and the lead?…that the City County Observer has solicited both Mayoral candidates for their position on how this should be done?…that we have not gotten or received any responses?…that the next 4 years will take much cognizant thought and bold action to start digging Evansville out of the hole that it is in with respect to runaway spending and crumbling infrastructure?…that the 5th Ward is the only testing ground for offering up real solutions so far?…that maybe Mayor Grafton or Mayor Friend is the choice that we should be considering?

IS IT TRUE that the Evansville Redevelopment Commission has called a special meeting today with only two items on the agenda?…that one of those items appears to be a discussion and maybe even a vote to move forward to find and hire a person or firm to properly VET the proposals of the Kunkel Group and Prime Lodging?…that this indeed is the decision that is made that the City County Observer encourages and supports this decision?…that it is abundantly clear at this point that the ERC, Mr. John Kish, and no appointed committee that is made up of local candidates with any chance of political approval can give these proposals a “FAIR TRIAL”?…that a CHANGE OF VENUE is most appropriate?…that the diligence from home needs to be focused so that the HOME COOKING GOOD OLD BOY OPTION is not part of any outside VETTING PROCESS?…that we need to make sure that the VETTING FIRM is really hired to VET and not to do someone’s political bidding?

IS IT TRUE that the other item on the ERC agenda today is apparently about the cellular communications inside the Arena?…that the CCO alerted Evansville to the potential for last minute issues with regard to this last year when we learned that the YUM Center in Louisville had overlooked cellular service to the tune of a $2 Million change order just after opening?…that item #2 is “11-ERC-54 – Approval of Neutral Host Lease Agreement With AT&T Mobility, LLC For Distributed Antenna System”?…that in the City Council meeting on May 9th and memorialized on page 7 of the minutes of that meeting is a statement by Mr. Kish saying that he did not think that the City of Louisville truly incurred any cost at all for the cellular hardware solution to providing cellular service and that he did not anticipate that the City of Evansville will either?…that we hope that some members of the Evansville City Council remember this statement and hold Mr. Kish to his word regarding this issue?…in case they have forgotten that a link to the minutes of the May 9, 2011 City Council meeting is below?…that the words of interest start at the top of page 7?

May 9, 2011 City Council Minutes

IS IT TRUE? July 27, 2011 Special Evening Edition

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IS IT TRUE? July 27, 2011 Special Evening Edition

IS IT TRUE that there was an accident at the new Arena today that resulted in a major water line being burst?…that the water inside the Civic Center needed to be shut off to search for the leak and to commence with the repairs?…that we do not know when this repair will be completed but that we do have confidence that the crews will work 24/7 to correct this unfortunate occurrence?…that this is one of those accidents that just seems to be a part of a big construction project and that the closer we get to completion the more of these kinds of accidents may happen?…that this will cost money to fix and that the operation of the Civic Center may be disrupted costing more money and public services?…that we wonder if the costs associated with this and any future accidents will be paid for from the Arena budget as they should be?…that the Arena budget does not seem to be absorbing any of the collateral damages associated with the Arena?…that claiming to meet ones budget within the four walls of the Arena but refusing to acknowledge the collateral damage is not really honest accounting?

IS IT TRUE that the Evansville Redevelopment Commission is having a “special” meeting tomorrow that is open to the public?…that this meeting will be at 11:30 am in the conference room of the EVSC in the back out-lot of the Civic Center?…that there is no agenda published on the ERC website but that the City County Observer was supplied with the agenda at 5:00pm today after making a formal request?…that there does not seem to have been a 48 hour notice given to the media to publicize the meeting but that it was certainly at least 46 hours based on publication time stamps?… that even if no business can be conducted that this meeting will be quite interesting because there is certainly the potential for a discussion regarding whether or not an outside firm will be brought in to do the vetting of the two hotel proposals?…that the firms that made these proposals may also be present for clarifications or questions with respect to these proposals?

IS IT TRUE that right in the middle of the beginning of the vetting of the hotel proposals that one self proclaimed TV news team has not been running any stories about any of the details of the proposals which have been readily available to the public for a week?…that this crack team seems to be content to run story after story about dogs?…that as much as people like dogs that using canine filler for an entire segment of news when the City of Evansville is under fire over hotel deals gone bad is somewhat irresponsible?…that this particular station may just be asked to change its call letters to WDOG?…that they can also change their by line to “always fetching, always barking”?

IS IT TRUE that the Evansville Convention and Visitors Bureau has taken its new Executive Director’s advice to turn down the funding request made by the Evansville Community Tennis Association?…that the ECTA had requested $1.1 Million in tax dollars to build 6 indoor and 6 outdoor tennis courts at Wesselman Park?…that they allege to have half of the money needed to build the facility and a contract that gives them the right to proceed?…that we shall see about that?…that some who have looked over their contract have offered the interpretation that the contract was not executed on the time frame set forth and is no longer binding?…that once again we shall see?…that the City County Observer is proud of Mr. Bob Warren doing the ROI analysis on the project and recommending to his board not to fund this based on the numbers and not on some politicians passion for tennis?…that recommendations like this are the kind of work that comes from competence and diligence and that it is good to see a thinking man in a stewardship position over taxpayer dollars?...that the initial grade for Mr. Warren is an A for completeness?