Pool, Ponies, and Harold Hill take Gary, Indiana to the Cleaners

Take That: July 13, 2011

IN RESPONSE TO: Cincinnati Taxpayers left Holding the Bag for Stadiums Financial Failures

“Why is it that reading this articular provokes feeling of deja vu? I must be psychic today, is this Evansville 10 years from now?” Blanger

“Be sure to remind them that at least Cincinnati gambled on an existing franchise, with an existing market. Weinzapfel’s gamble, on the other hand, involved creating an ice hockey market two to three times that of the existing market? Weinzapfel’s gamble, wasn’t spurred by a team threatening to leave, as Cincinnati. After all, to use an Otters analogy the CCO commenters seem to like…. Isn’t Weinzapfel’s gamble, a bit like trying to build a “Yankee stadium” for our Otters to play in? (And/or a Rupp for our Aces)” Eville Taxpayer

“You guys (the CCO) must be in a very optimistic mood today. Do you really think the idiots that run Evansville have done due diligence and vetting of any kind?I bet you laughed out loud when you were writing that. After reading about this in Cincinnati and following the antics of the ERC here in Evansville I am beginning to think that the north side of the Ohio River must cause brain damage.” The Donald

“If this country’s idea of economic development is watching grown men run up and down a field or court or skate around a rink as the case may be then we are in a world of hurt. The Indy Capital Improvement Board CIB was bailed out even before Lucas OIL was built and the Colts only pay a measly $250M/yr to use it. I have reviewed the financial statements of the CIB and I can almost guaranteee the CIB will be back to the state legislature in the next year or two asking and needing more money. Stop the madness.” Steve Smith

“Most of these stadium projects promise economic development for the area that never materializes. Unless overpriced parking, tickets, hot dogs and warm beer are what they think economic development is about.” Rwtrax

“Public money to sports teams is reverse redistribution of income. Why can’t the team owners build their own stadiums? For example if an NFL team has a $50 Million payroll and plays in a publicly funded stadium that has a debt payment of $10 Million, this is directly taking money from the pockets of people that work and handing it to ballplayers. The team should support their own stadiums and pay the players with what is left. This is no different than bailing out banks or oil companies.” The Donald

“They bring in $245 million +. That’s about as good as it gets for a stadium and a ballpark that have not hosted any all-star or Super Bowls, but it’s good enough to support itself. In 4 years, those stadiums have generated almost a billion dollars. If the city of Cincinnati cannot budget the tax revenue from that impact wisely to be able to afford a one time $50 million upgrade then how can you blame the stadium and ballpark?…. Unlike oil and banks, stadiums bring in tourists and revenue to a city.” RailoverAuto

“Tourists can’t get here or anywhere else without oil. As for banks, how many of them buy the sponsorship rights to these stadiums. Heck you can’t even turn on the lights, the scoreboard, or gas up the Zamboni without oil. Transportation and banking are vital to every economy in the world. Stadiums are ultimately just some place to watch grown men play ball. As for the estimates by the consultants, they were not close enough to keep Hamilton County from having to welch on its promise to the taxpayers.

One thing I will say for Cincinnati. At least their leaders had the courage to take to a vote of the people.” trainwreck

IS IT TRUE? Part 2 July 13, 2011

IS IT TRUE that it was also reported to us regarding the fearless leader of VenuWorks Evansville’s speech at Rotary yesterday that the topic of parking was brought up?…that the answer as we agree is that there are a sufficient number of spaces within walking distance of the new Arena?…that the real concern that most people have is not with the number of spots available but with the difficulty in finding one of them?…that Roberts has easy parking to deal with since you just drive up and down the aisles until you find one?…that downtown Evansville with several towers, some street parking, the back 40, and neighborhood parking will be more confusing and frustrating?…that the fearless leader of VenuWorks answer was that there will be numerous on street people to wave you to available parking places?…that these dudes need to seriously look into using iPhone apps to direct people to available parking as many other cities are already doing?

IS IT TRUE that the true test of being a multipurpose arena will be in being able to host one event in the afternoon and another in the evening?…that it was disclosed yesterday by the fearless leader of VenuWorks that during the first year that Ice Hockey will not be able to be held on the same day as other events such as basketball due to having to work the bugs out in the changeover process from one entertainment set up to the next?…that Ice Hockey is supposedly scheduled for 31 days in 2012 and that UE basketball is scheduled for a similar amount?…that this does not seem to be a big deal UNTIL the hockey team makes the playoffs and those playoffs are scheduled for a date that a prepaid ticketed event is already on the schedule?

IS IT TRUE that a member of the Evansville City Council has accepted our offer to file a Freedom of Information Act request on his behalf?…that we are awaiting his instructions for the exact wording to use to make the request?…that the subject of this City Council members request is the insurance report that the City of Evansville and/or the Evansville Redevelopment Commission paid Old National $100,000 to do?…that both the City of Evansville and the ERC should be profoundly ashamed and embarrassed that a sitting member of the Evansville City Council had to ask for the help of the City County Observer in filing a FOIA request to get what he has already made multiple requests for in order to DO HIS JOB AS A COUNCILMAN?…the even the Supreme Soviet and the Politburo of the now defunct USSR allowed members of the Knesset to obtain documents on a “need to know” basis?…that Evansville, Indiana is a part of the United States of America and that the City of Evansville should stop treating elected officials as they are Krazy Komrad Kouncilmen?

IS IT TRUE that the ISTEP scores for the schools in Indiana are out and that the local schools have made some baby steps of improvement?…that for this progress we congratulate the EVSC and encourage more improvement?…that even with these improvements the passing rates for our public schools on the ISTEP are typically 10% lower than state averages?…that using the raw numbers that the CCO calculated that 91% of the private school students in Vanderburgh County passed and that 59% of the EVSC students passed?…that is a significant difference?…that if one takes it one step further the pass rate of the private schools is 54% higher than for the EVSC?…that the private schools spend less per student each year than the public schools do?…that education is not just about tossing money at school systems?

From Monday, July 25 through Friday, July 29, the University of Evansville will throw open its doors to prospective students as part of the first Indiana Private College Week. UE is one of 31 private, nonprofit colleges and universities to participate in this new statewide initiative.

During Private College Week, the University will offer daily campus tours and admission presentations beginning at 10 a.m. and 1 p.m. Advance registration is encouraged but not required.

According to research conducted by Eduventures, 71 percent of high-school students identify the campus visit as the most trusted source of information about a college or university. Private College Week allows prospective students to explore their options and experience campus life firsthand.

“Sometimes, parents and students rule out the possibility of attending one of Indiana’s independent colleges and universities based on preconceived notions about costs, without ever learning about the tremendous financial aid available,” said Richard L. Ludwick, president and CEO of Independent Colleges of Indiana, Inc. (ICI). “We want every student to consider the high-quality academics, personal attention, and higher graduation rates that distinguish our campuses.”

Students visiting one or more ICI campuses during Private College Week may enter a drawing for an Apple iPad.

ICI is a nonprofit association that represents the state’s 31 private, nonprofit colleges and universities. ICI member institutions, including the University of Evansville, enroll more than 87,000 students and annually produce 35 percent of all bachelor’s degrees in Indiana.

For more information on Private College Week, please visit www.indianacollegechoices.org.

To arrange a visit to UE during Private College Week, please call 812-488-2468 or 800-423-8633 x2468 or e-mail admission@evansville.edu.

Source: evansville.edu

Help Richard Mourdock retire Senator Lugar
When: Monday, July 18, 6:00pm
Where: 816 John St. (off the Lloyd)
Anyone who would like to help with Richard Mourdock’s U.S. Senate campaign needs to be there.

We will be gathering names of volunteers and discussing what activities will be happening in the area. Please come and bring your friends. We will need hundreds of people, each doing a wide variety of activities, something for everyone!
Call Cindy LaMar 812- 483- 5263 for questions
Paid for by Hoosiers for Richard Mourdock

• The 39 Steps runs July 15-17.
• Evening performances on Fridays and Saturdays start at 7:30 p.m. and matinees on Saturdays and Sundays begin at 2 p.m. Tickets are $22 for adults, $20 for seniors (60+), and $10 for those 25 and younger.
• New Harmony Theatre is a professional Equity theatre produced by University of Southern Indiana. Plays are performed in the historic Murphy Auditorium located at 419 Tavern Street in New Harmony, Indiana.
• For more information, or to make a purchase, visit www.newharmonytheatre.com or call the box office at 812/682-3115 or 877/NHT-SHOW.

Time 1:00 PM – 2:00 PM
Subject SAFETY BOARD
Location 301
Recurrence Occurs the second Wednesday of every 1 month effective 7/13/2011 until 7/13/2011 from 1:00 PM to 2:00 PM
Reminder 15 minutes
TINA OWEN @ 7897
Categories ROOM 301

Time 3:00 PM – 5:00 PM
Subject CONSTRUCTION & ROOFING BOARD
Location 318
Recurrence Occurs the second Wednesday of every 1 month effective 7/13/2011 until 7/13/2011 from 3:00 PM to 5:00 PM
Reminder 15 minutes
LINDA PENDLETON @ 7880
Categories ROOM 318

IS IT TRUE that a smiling new leader of the local office of VenuWorks was the speaker at the downtown Rotary Club yesterday?…that our Moles tell us that the presentation was slick and that the speaker is a very good orator?…that he even gets high marks for being a likeable chap?…that the question and answer session produced some fairly pointed questions from the audience that did not exactly get the answer that one would hope for?…that when point blank asked about the certitude that the Shrine Circus would be in the new Evansville Arena at the regular time this year that the speaker seemed to be hedging?…that answers like “that’s the plan” or “no one has told me that it won’t be” are not really as succinct as a simple “yes, they are signed on and the load outs are tested and ready”?…that VenuWorks does not yet have a final contract in place?…that under the current temporary consulting agreement that VenuWorks needs the approval of the Evansville Redevelopment Commission to sign any acts into the Arena?…that there is no public record of any approvals for anything at all?…that there therefore cannot contractually be any acts booked, skyboxes sold, premium loge seats sold, concessions contracts in place, sponsorships completed etc.? …that we think our readers get the picture?…that complacency, the cone of incompetence, or both have the people of Evansville behind the 8 ball yet again?

IS IT TRUE that a full walk around the new Arena leaves one wondering just how to get a herd of circus animals into and out of the place during late November?…that Hannibal got some well trained war elephants across the Alps to invade Rome?…that the recently abandoned work site known as the “Pile of Rubble” does not look nearly as inviting to pachyderms, tigers, lions, horses, zebras, or even clowns as the Alps do?…that the rebar sticking up could be a hazard to these circus animals?…that if the problem of the “Pile of Rubble” is not dealt with very soon that some types of entertainment will most certainly be complicated if not impossible due to the load out situation?…that someone needs to contact INDOT today to order some “tiger crossing” and “elephant crossing” signs for downtown Evansville?

IS IT TRUE and WE REPEAT that the construction company that has been removing the debris from the “Pile of Rubble” has pulled off of the job?…that last week when the Evansville Redevelopment Commission terminated the contract with Woodruff Hospitality LLC to develop a Hyatt Place hotel in adjacent to the Arena and the Centre that the responsibility for payment for demolition services was removed from Woodruff Hospitality LLC, who said it was already going to be paid by Kunkel who was not at the meeting?…that the responsibility at this point in the absence of a future deal will fall flat on the shoulders of the taxpayers of Evansville, Indiana?…that now famous modus operandi of READY, FIRE, AIM seems to have really resulted in a bullet through the foot for the Weinzapfel Administration and the Evansville Redevelopment Commission AND a kick in the butt for the people of Evansville?

IS IT TRUE that in all fairness what has turned into a litany of chaos with respect to the hotel project is not a laughing matter?…that this mother of all failures deserves a full process audit and a complete overhaul?…that there is too much power that has been vested in the Evansville Redevelopment Commission?…that the Evansville City Council willfully granted the ERC this power by an 8 – 1 margin along party lines?…that the Mayor of Evansville appoints three of the five members of the ERC which essentially gives the Mayor dictatorial power over all of the funds managed and allocated by the ERC?…that there is no way that a process audit will recommend that this failed situation be left intact?…that any process that leaves an unmitigated “Pile of Rubble” in any downtown that resembles the Hiroshima Monument more than a modern construction site is a process that screams out for change?

IS IT TRUE? July 12, 2011

IS IT TRUE that the construction company that has been removing the debris from the pile of rubble at the former Executive Inn site has pulled off of the job?…that last week when the Evansville Redevelopment Commission terminated the contract with Woodruff Hospitality LLC to develop a Hyatt Place hotel in adjacent to the Arena and the Centre that the responsibility for payment for demolition services was removed from Woodruff Hospitality LLC, who said it was already going to be paid by Kunkel who was not at the meeting?…that the responsibility at this point in the absence of a future deal will fall flat on the shoulders of the taxpayers of Evansville, Indiana?…that now famous modus operandi of READY, FIRE, AIM seems to have really resulted in a bullet through the foot for the Weinzapfel Administration and the Evansville Redevelopment Commission AND a kick in the butt for the people of Evansville?

IS IT TRUE that there are exactly 20 days remaining until we know whether the McCurdy Hotel will follow the Executive Inn down the primrose path of failure?…that unless this can gets kicked down the road with yet another extension on the already 4 year saga to start doing something that we will have another project that has fallen on the sword of NO VETTING and NO DUE DILIGENCE WHATSOEVER?…that if this was not a costly debacle that the people of Evansville will have to BAIL OUT that this would be a comedy of errors deserving of a top award for fiction in the comedy category?

IS IT TRUE that just today that the Wall Street Journal profiled the government of Hamilton County, Ohio and the City of Cincinnati as having made the worst deal ever that resulted in building two riverfront temples to sport?…that the Cincinnati Bengals home Paul Brown Stadium is already in need of over $40 Million dollars of deferred maintenance?…that the people of Hamilton County will also have their property taxes raised to cover the shortfall created because the stadium funding sources have not performed up to projections?

IS IT TRUE that much scrutiny is about to be focused on the remainder of the projects at the MLK Entertainment Complex?…that maybe, just maybe some of the members of the Evansville City Council will show up for next week’s meeting of the ERC and demand some real accountability for the expensive ‘Fling at Walnut and King”?

Subsidizing Private Enterprise is Poor Policy

By: Steven Stanek

Apparently no shuttered factory, half-built real estate development or bankrupt sports arena can convince starry-eyed local government officials that taxpayer subsidies almost always fail to start the engines of economic growth.

The latest evidence of this: the welcome some McHenry County Board members and Lakewood village officials have given a proposed $40 million sports complex at Routes 47 and 176.

The County Board’s finance committee has endorsed backing for $18 million of federal economic stimulus bonds, and Lakewood officials are mulling $5 million in additional largesse, including helping secure grants for more financial handouts; waiving annexation, platting, and permit fees; and giving $1 million of village taxpayers’ cash.

It apparently does not matter that taxpayer-subsidized developments have an astonishing record of failure.

Here are just a few examples, with which local officials surely must be familiar:

• The Motorola plant in Harvard. More than 1 million square feet of factory space has been standing empty since 2003. That’s as many years closed as the plant was open.

• The Woodstock Die Cast property development. Bankrupt and foreclosed.

• The McHenry Riverwalk Center project at Boone Creek and Green Street. Would be bankrupt if not for millions of dollars in giveaways by the McHenry City Council, including a recent decision to let the developer virtually abandon plans for public parking. Could yet end up bankrupt.

• The $25 million Libertyville Sports Complex. Has nearly drained the village’s $10 million “rainy day” fund to repay construction bonds. Village board recently raised three taxes to keep paying the bonds. Developer was Mark Houser: the same Mark Houser who hoped to build a minor league baseball stadium at McHenry County College and now wants to build one – using subsidized stimulus bonds, of course – nearer to Woodstock.

• The $55 million Sears Centre in Hoffman Estates. Bankrupt and taken over by the village just a few weeks ago. The 11,000-seat arena opened barely three years ago.

Nationally, similar examples abound. I could fill this newspaper with them.

Research shows even “successful” subsidized projects cost taxpayers. They divert government resources, skew private spending and investment decisions, shift tax burdens, and prompt local officials to favor subsidy recipients to keep the government “investments” looking good.

Those who back government handouts for projects such as this sports complex are enemies of business competition and fairness.

They have no qualms about backroom deals for political favors that no one else can hope to receive.

Failing or failed subsidized projects litter this and neighboring counties. Yet these cautionary examples apparently have no impact on some local leaders.

So maybe we should try this approach. If a developer admits a project cannot stand on its own, would you invest your money? Of course not. Yet that is what a developer admits when he says he needs taxpayer subsidies.

“Investing” tax dollars in a dubious project is as stupid as investing our personal dollars in one. And if a developer asks for subsidies just because he wants taxpayers to lower costs to boost profits, then the project does not need subsidies.

Either way, there is never a good reason to subsidize private projects such as this sports complex.